TORONTO — P&H Milling Group will spend C$40 million ($29.3 million) to construct a new bulk mill on Pier 10 in Hamilton Harbor, Ont. As part of the project, P&H Milling said it will receive a C$5 million investment from the Ontario government. It marks the first greenfield site flour mill to be built in Ontario in 75 years.
P&H Milling Group, a division of Parrish and Heimbecker, is the second largest flour milling company in Canada and the largest flour miller in Ontario.
The new mill is expected to have a production capacity of 7,200 cwts of flour per day. The 10,000-square-foot facility will be seven stories high. Additionally, the new bulk mill will house efficient equipment, including additional grain and flour storage. The expansion will enable the company to process 25% more grain, and help increase the company's intake of Ontario wheat by over 10% more annually, P&H Milling said.
Funding is being provided through the Jobs and Prosperity Fund - Food and Beverage Growth Fund. The government said the mill will create sustainable jobs, expand export opportunities, and strengthen the province's food and beverage processing sector.
“Parrish & Heimbecker has been part of the Canadian agriculture and food community for over 100 years and we value the partnerships we have developed over that time,” said Derek Jamieson, president and chief operating officer of P&H Milling Group. “This investment through Ontario’s Jobs and Prosperity Fund supports the Milling Group’s ongoing commitment to innovation, productivity and quality.”
The project is expected to increase P&H Milling Group’s productivity and improve its competitiveness, the government said. P&H Milling has seven flour mills in Canada with a total wheat flour capacity of 54,500 cwts, according to the 2016 Grain and Milling Annual. Facilities are located in Lethbridge, Alta.; Halifax, N.S.; Acton, Cambridge and Hanover, Ont.; Montreal; and Saskatoon, Sask.
Production is expected to start at the new mill at the end of 2016. Buhler AG, Uzwil, Switzerland, will be the primary equipment supplier for the new mill.The investment is expected to create 16 new jobs while retaining more than 200 jobs in Ontario.