Alberta Agriculture, Food and Rural Development

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Alberta Agriculture and Rural DevelopmentFood
Processing Development Division
Responsible for developing programs and services
to encourage the growth, diversification and
competitiveness of the agricultural, food and
feed processing industry
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• Food Processing Development Centre
• - Product development laboratory
• - Test Kitchen
• - Pilot Plant

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• Services
• Applied research
• Product and process development
• Interim processing
• HACCP consultation
• Engineering and process consultation
• Seminars, workshop and equipment demonstrations
• Sensory Evaluation

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• Division Personnel
• Total Complement of 45 staff
• Scientists
• Technologists
• Engineer
• Maintenance
• Strong academic credentials
• Industry or research experience
• Business orientation

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• FPDC Results
• 120 new products developed annually
• 1-3 new companies graduating per year
• 1/3 cost recovery

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• FPDC - Commercialization
• Many small developing food processors used the
  Centre as an interim processor.
• Operated at the Centre until their scale allowed
  them to move into their own facility or
  co-packer.
• FPDC is designed to be a developmental facility.
  Due the wide range of equipment and expertise, we
  are very effective in the early stages of product
  and process development cannot provide the
  production efficiencies offered by a dedicated
  product line.

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• FPDC - Commercialization
• Many companies leaving the FPDC were not
  surviving
• New building construction costs, marketing costs,
  equipment costs too high
• Limited co-packing options
• Inexperienced management
• Labour shortages

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• Incubator Purpose
• Assist new food processors through the
  development stage between product and process
  development at FPDC towards commercial market
  development and ultimately the establishment of
  their own facilities. 80 of incubator graduates
  survive beyond their first five years
• To allow the FPDC to concentrate more on
  investigative and developmental activities.
• To create new value added processors, trained
  food industry personnel and products for export
  and domestic markets.
• To attract product/process initiatives of
  established food industry participants to Alberta.

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• Agrivalue Processing Business Incubator
• Unique in Canada
• Partnership financing (AAFRD, AVAC Ltd., Alberta
  Infrastructure, WED)
• Managed by the Food Processing Development
  Division
• Advisory board and Tennant Selection Committees
  involve the private sector

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Business Incubator

• 24/7 CFIA registered production facility (6,870
  m2 )
• Eight fully serviced processing suites varying in
  size and design
• Individually metered utilities to each suite
• Shipping and receiving bays with storage
  capabilities
• Shared administrative services with private
  offices/conference room
• FSEP/HACCP and Logistics management on site
• Mentoring assistance to new businesses
• Maximum of three year lease
• Escalating lease cost to encourage graduation

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• Incubator Facility Charges

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• Tennant Selection Criteria
• Product suitable for production in a CFIA
  registered facility
• Business Plan and roadmap for growth
• Resources for initial working capital
• Willingness to develop management and business
  skills
• Contribution of a significant portion of new
  business into the Alberta economy
• Activities must be complementary to existing
  Alberta Industry

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• Incubator Campus of Services
• Food Processing Development Centre
• Business Commercialization Branch
• Agrivalue Processing Business Incubator
• Service Partners
• Agriculture Financial Services Corporation
• AVAC Ltd.
• Industry Partner
• Alberta Food Processors Association

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Commercialization Continuum
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• For further information
• Ken Gossen
• Director
• Food Processing Development Division
• Leduc,AB
• PH 780-980-4860
• Email ken.gossen_at_gov.ab.ca