Government of Canada to support PEI Dairy Processor Cooperative - Cowsmo

Government of Canada to support PEI Dairy Processor Cooperative

The dairy sector contributes $24 billion to the Canadian economy through sales by farmers and food processors, including over $80 million in farm cash receipts from Prince Edward Island. Dairy processors help ensure Canadian families continue to benefit from high-quality products, creating good, well-paying jobs for Canadians.

Agriculture and Agri-Food Minister Lawrence MacAulay today announced federal investments of up to $5.4 million for Amalgamated Dairies Ltd (ADL) to modernize its Summerside operation, 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. This investment will also enable ADL to increase storage capacity for both specialty cheese products and packaging supplies.

The bulk of this investment comes from AAFC’s Dairy Processing Investment Fund ($4.4 million) and the rest from Atlantic Canada Opportunities Agency, ACOA’s Business Development Program.

Minister MacAulay was speaking to ADL’s annual general meeting currently in progress in Summerside.


“ADL is a great example of the economic benefits that come from a strong dairy processing industry. The Government of Canada is glad to support this modernization project, which will strengthen PEI’s dairy industry, its food processing sector and the island’s overall economy.” –The Honourable Lawrence MacAulay, Minister of Agriculture and Agri-Food

“Today’s investments build on commitments made by the Government of Canada and the four Atlantic provinces to drive economic growth in the region through the Atlantic Growth Strategy, which supports strategic investments in initiatives that build on the region’s competitive advantages, including its thriving agriculture industry and high-quality food products.”– The Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development and Minister responsible for the Atlantic Canada Opportunities Agency (ACOA)

“ADL is an important leader of the dairy processing industry. This Government of Canada’s investment supports the strong management, dedicated employees and dairy farmers all contributing to making ADL a Canadian success story.”– Member of Parliament for Egmont, Bobby Morrissey

“The funding announced under the AAFC Dairy Processing Investment Fund and ACOA will provide ADL the ability to adapt to the new realities in the Canadian dairy industry and invest in the infrastructure and innovation that are needed to grow and diversify our business into the future.  The ADL Water Street cheese plant expansion will increase production capacity by 40% and increase storage capacity by 30%. Improvements and modernization of processing equipment and technology will also allow ADL to work with our partners to diversify products and seek new markets. ADL is proudly owned by 165 family dairy farms and today’s announcement provides them the confidence to continue investing in their farm operations.”– Jim Bradley, CEO, Amalgamated Dairies Ltd.

Quick Facts

  • ADL’s modernization project is supported by the Dairy Processing Investment Fund, a $100 million, four-year (2017 – 21) program designed to help dairy processors modernize their operations and improve productivity and competitiveness.
  • The medium-sized dairy processing cooperative with 260 employees was created in 1953 and is owned by 165 family dairy farms.
  • ADL’s project is also supported by $1 million in repayable contributions from the Atlantic Canada Opportunities Agency (ACOA)’s Business Development Program: $500,000 for equipment to expand the plant’s capacity, and $500,000 for additional equipment to create new value-added products.
  • Canada’s dairy sector is also supported by the associated Dairy Farm Investment Program. To date (as of March 29, 2018), 870 dairy producers have been approved for funding support valued at over $43.2 million, in a wide array of projects from small investments in cow comfort equipment to large ones for automated milking systems.


Source: CISION

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