Old Dutch Foods expands Hartland potato chips plant with NB government support

Old Dutch Foods will expand their Hartland plant with support of a $15-million loan of the New Brunswick government.

The New Brunswick governement is investing in Old Dutch Foods Ltd. to help it expand its operations in New Brunswick and add 40 jobs to its 128-member workforce.

Premier Shawn Graham , Finance Minister Greg Byrne and Steve Aanenson, chief executive officer, Old Dutch Foods Ltd., made the announcement in Hartland today.

"We are pleased to partner with Old Dutch Foods as it builds on a very strong base of operations here in New Brunswick and expands to meet market demand,"said Graham. "We are eager to support value-added export manufacturers that create well-paying rural jobs and contribute significantly to the provincial economy."

The provincial government is providing a $15-million repayable loan to help fund a new packaging line, new equipment and more warehouse space.

This expansion will also double the annual potato requirement for Old Dutch Foods Ltd.[in Hartland], which currently obtains potatoes from seven Hartland-area farmers.

Old Dutch Foods Ltd., founded in Winnipeg in 1954, operates five plants across Canada and works closely with a sister company, Old Dutch Foods, Inc. in the United States. The company makes tortilla chips and potato snacks, multigrain chips, extruded corn snacks, popcorn and party mix.

Aanenson said the expansion will boost direct spin-offs to local shipping companies, farmers and packaging suppliers, with annual New Brunswick expenditures expected to grow to $28 million from $18 million.

"Our plant in Hartland is currently working at full capacity, and we are happy to work with the government and our local growers on this exciting project,"said Aanenson. "Expanding this plant will help us serve the growing snack food market throughout eastern and central Canada and the northeastern United States."

Byrne said he was confident that potato farmers in the St. John River Valley will meet the new demand for their products as a result of the expansion.

"Our farmers have invested in state-of-the-art storage technology to ensure a steady supply of raw potatoes for Old Dutch Foods Ltd.,"said Byrne. "We know our growers will rise to the challenge, and we look forward to seeing more local potatoes in grocery stores throughout North America."