The Ontario government is investing $24 million in a baby formula production facility being built by a Chinese company in Kingston.
Premier Kathleen Wynne met with Feihe International — the owners of Canada Royal Milk — on November 25th in Beijing, China.
Slated to open by 2020, the $225 million plant will be the Chinese milk product company’s first baby formula facility outside of China. It will also be Canada’s only wet infant formula facility and North America’s only goat milk infant formula facility, according to Kingston’s Economic Development Corporation.
The province says the funds from the Ontario’s Jobs and Prosperity Fund will help the company “purchase and install innovative, intelligent processing and packaging equipment.”
“We’re excited to welcome Feihe International to Ontario. In addition to bringing good jobs to the Kingston community, this project will also open up new opportunities for our dairy and goat producers to continue to grow and thrive,” said Ontario Ag Minister Jeff Leal, in a statement.
The plant represents significant new demand for skim milk, as the company says it will produce 60,000 metric tons of dry infant food annually.
“I want to thank Ontario for their support. Ontario and Qigihar, Heilongjiang, where Feihe’s milk resources are located, are both situated in the World’s Golden Milk Belt at 47 degrees north latitude where its natural environment is the most ideal place for producing premium quality dairy products,” said Youbin Leng, chair of Feihe International.
With over 55 years of history, Feihe is China’s largest domestic infant formula company, noted Leng.
The 320,000 square foot plant is expected to employ 277 people.