The Manitoba government has announced that it is supporting an expansion project at HyLife Foods Ltd. in Neepawa, Manitoba.
“Our economy is growing here in Neepawa and throughout Manitoba, thanks to record levels of private-sector investment,” said Premier Brian Pallister. “Support for the expansion aligns with our priority of building on Manitoba’s industrial strengths. The growth we are seeing at HyLife helps position Manitoba pork as a high-quality, high-value commodity in a growing global market.”
The province is supporting the expansion in Neepawa and a new feed mill in the R.M. of Killarney-Turtle Mountain through tax increment financing (TIF) estimated at $9.5 million over 22 years. Manitoba and the Government of Canada provided an additional $2 million to the expansion through Growing Forward 2, a joint-funding program that ensures Canadian producers and processors are able to innovate and capitalize on emerging market opportunities.
“HyLife’s expansion is strengthening our rural economy, creating jobs in the agri-food industry and enhancing Manitoba’s position as a leader in pork and protein processing,” said Municipal Relations Minister Jeff Wharton, who attended today’s announcement along with Agriculture Minister Ralph Eichler, and Indigenous and Northern Relations Minister Eileen Clarke.
Wharton noted the support for HyLife’s expansion aligns with Manitoba’s new TIF framework currently in development.
“We thank the Manitoba government for their support enabling us to provide premium pork product and create jobs and economic activity locally here in Neepawa and in the province of Manitoba,” said Claude Vielfaure, CEO, HyLife. “Our products continue to be exported to countries around the world, with hogs raised in Manitoba and processed in Neepawa. We pride ourselves in being community partners, and are proud of our employees and their contributions to the community.”.Vielfaure noted HyLife’s expansion focuses on optimizing its integrated pork production system. It will expand the plant to enable a full double shift, improve process flows, allow investments into equipment, grow additional hog supply and integrate incremental feed supply, he said.
Headquartered in La Broquerie, HyLife is the largest hog production company in Canada and among the top 15 in North America. Together with its affiliates, it has business holdings in Canada, the United States, Mexico and China. In 2011, HyLife achieved platinum status in Canada’s list of best managed companies. HyLife exports 75 per cent of its products to 23 countries around the world including Japan, China, Mexico and Russia.
Tax increment financing is a financing tool that governments use to encourage economic growth and development through incremental taxes created by significant new development. Manitoba is currently working on a new TIF framework focusing on economic growth, value for money and limiting risk, which will benefit municipalities and communities across Manitoba.
