Sidney, British Columbia -- The Honourable Stephen Owen, Minister of Western Economic Diversification and Minister of State (Sport), and Wayne Easter, Parliamentary Secretary to the Minister of Agriculture and Agri-Food , today announced $150,000 toward the Small Scale Food Processor Association for the creation of a shared-services co-operative that will provide marketing and manufacturing solutions to small food producers on Vancouver Island. "Specialty foods and beverages are in high demand in B.C., but less than 20 per cent is provided by local suppliers,” said Minister Owen. “This pilot project will strengthen the competitiveness of small-scale food entrepreneurs and expand the industry, leading to jobs and new opportunities for British Columbia . The Government of Canada is investing in local solutions for local challenges.” "I'm pleased to provide support for this project as it demonstrates how the co-operative model can be used to find innovative solutions to create local economic activity," said Wayne Easter, Parliamentary Secretary to the Minister of Agriculture and Agri-Food with special emphasis on Rural Development. "This project is an excellent example of using a co-operative approach to build partnerships and achieve results." The “Local Flavours Products and Services Co-operative” was launched by the Small Scale Food Processor Association as a pilot project to help small producers from Vancouver Island enhance their business opportunities and better serve their market. The pilot project will develop the co-operative’s infrastructure, membership and business networks. Small-scale food processors create wonderful products but have challenges becoming commercially viable on their own,” said Pattie Whitehouse, co-chair of the Small Scale Food Processor Association. “This funding from the Government of Canada is helping small producers and processors increase their economic viability and get their products to an eager market.” The Vancouver Island pilot project is a new model for social enterprise in the agri-food sector, linking partners from the private and the public sectors. Since the market for high value-added agri-food is very strong and likely to grow due to consumer concerns about food safety and purity, investment in a small- scale production and marketing system is a timely and important contribution to economic diversification across British Columbia. Western Economic Diversification Canada as well as the Government of Canada’s Co-operative Development Initiative provided funding for this project . Western Economic Diversification Canada is the federal department mandated to support economic diversification in communities across Western Canada through activities that advance Innovation, Entrepreneurship, and Sustainable Communities. Managed by the Co-operatives Secretariat of Agriculture and Agri-Food Canada, the five-year, $15-million Co-operative Development Initiative is a Government of Canada program designed to help Canadians develop co-operatives and to test innovative ways of using the co-op model to respond to today's social and economic challenges. Federal funding for this project was provided for in the March 2004 budget. - 30 - For additional information, contact: Susan Schooley Manager, Communications Western Economic Diversification Canada Phone: (604) 666-1318 Web Site: www.wd.gc.ca Renée Gillen Press Secretary Office of the Minister, Western Economic Diversification Canada (613) 954-1110 Kate Glover Director, Communications Agriculture Canada Phone: (604) 666-8851 WD Toll-Free Number 1-888-338-WEST (9378) World Wide Web Site: English: http://www.wd.gc.ca French: http://www.deo.gc.ca