Amalgamated Dairies Ltd. of Summerside, Prince Edward Island, is getting a federal subsidy of up to $5.4 million.
Agriculture and Agri-Food Minister Lawrence MacAulay made the announcement during the co-operative’s annual meeting recently.
The investment is helping the cooperative to reduce production costs, increase the volume of milk it buys from dairy producers and introduce new products in response to market demand, the federal agriculture department said in a news release.
“This investment will also enable ADL to increase storage capacity for both specialty cheese products and packaging supplies,” the release said.
Most of the money is drawn from Agriculture and Agri-Food Canada’s Dairy Processing Investment Fund ($4.4 million) and the rest from Atlantic Canada Opportunities Agency’s Business Development Program.