TRURO – A local dairy products manufacturer planning to expand its operation here received a financial boost from the provincial government Friday.
The province is lending Scotsburn $5.5 million toward the company's $10-million phase one expansion. The company can earn up to $480,000 in forgiveness, based on job creation. The loan is repayable over 15 years. A $2-million capital equipment incentive will also help Scotsburn buy new novelty ice cream machines.
"Over the past 10 years, Scotsburn Dairy has been aggressively pursuing new customers and markets for the premium ice cream products we make," said Scotsburn president and CEO Doug Ettinger in a news release. "This financial assistance will allow us to continue to grow and create value-added jobs."
Scotsburn's expanded workforce is expected to earn nearly $35 million in annual payroll, money they can spend in their communities and to make life better for their families. The province will earn $17 million in direct tax revenue over five years.
"This is great news for Scotsburn Dairy and the province because of the benefits throughout the company's supply chain," said Scotsburn board chairman and local dairy farmer Jim Burrows, also in a news release. "For Scotsburn dairy farmers like me, it is important to have our dairy investing in equipment that allows us to supply innovative products, and grow our consumer base."
With a larger and more efficient facility, Scotsburn Dairy Group will be able to secure new contracts and meet growing demand for its ice cream products. The initial expansion will create 40 new jobs and protect more than 500 jobs in Nova Scotia.
Scotsburn Dairy Group is the largest locally owned dairy processor and distributor, and the leading manufacturer of ice cream and frozen novelties, in Atlantic Canada. Scotsburn produces private label products for major retail customers that are distributed across Canada and internationally.