Funding announced for Deer Lake wood treatment company

Paul
Paul Hutchings
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Deer Lake Mayor Dean Ball, left, along with Innovation, Business and Rural Development Minister Keith Hutchings get a tour of Goodfellow Inc. from employee Andy Ford on Wednesday.

DEER LAKE  A pressure-treated wood facility in Deer Lake received $250,000 from the province.

The announcement was made by Innovation, Business and Rural Development Minister Keith Hutchings Wednesday. Goodfellow Inc. will use the extra funding to reduce turnaround time and potentially bring in more personnel over the next few months according to the minister.

The funding is made up of a $150,000 low interest loan and a grant of $100,000. It has been made available through the Business Attraction Fund, which supports large-scale strategic investments in business ventures and infrastructure for the purpose of attracting business to the province.

Hutchings said the loan guarantee is tied to security and assets.

“Funding supported the establishment of a pressure treatment facility adjacent to the company’s existing distribution yard which treats local wood using modern technology,” Hutchings said. “This investment significantly reduces the turnaround time required to produce and distribute product.”

He said the funding would also significantly decrease the company’s operating costs and add to its competitive edge.

The decision comes after another wood treatment company, Marwood of New Brunswick, pulled out of Deer Lake in favour of a location near Clarenville.

A Marwood representative said the decision had nothing to do with government funding, but was based on an available location on the east coast that already had wood cutting equipment in place.

Goodfellow has been operating in the province for over three decades, with locations in St. John’s as well as Deer Lake and across the country.

Company vice-president Dave Warren said the grant allows the company to produce value-added products on the island.

Twitter: WStarDeerLake

Organizations: Goodfellow Inc., Business Attraction Fund

Geographic location: Deer Lake, New Brunswick, Clarenville

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Recent comments

  • offdarock
    June 13, 2013 - 15:17

    wow, nice dig, i must say, it brings tremendous pride to my heart when i see the mayor of my home town continue to be innovative to his approach of trying to increase the business footprint and self sufficiency of Deer Lake. Congratulations to the mayor and the councillors who, despite the rants and negativity of some, continue on looking out for the best interests of our town not just in the present, but for future generations. I am very proud of you all and hope to retire back to Deer Lake and enjoy the mark you have left on its future viability, well done.

  • a business man
    June 13, 2013 - 06:51

    Sure, take my tax dollars and give it some other private company? God forbid that I get to keep more of my money to spend on me. And they wonder why investors seek jurisdictions with lower tax rate even when thousands of citizens are unemployerd at home. At the end of the day, I will do what is best for me, and paying taxes so that the government can give grants to other companies is not good for me.