Saguenay, Quebec, April 21, 2008 – The Honourable Jean-Pierre Blackburn, Minister of Labour and Minister of Canada Economic Development, today announced the awarding of $600,000 in repayable funding toward the startup of Transfo-Gypse Inc., a manufacturer of absorbent products and dry, dust-free binding agents for use in the animal, horticultural and agricultural markets. Funding of this innovative project, which will necessitate an investment of more than $3 million and result in the creation of some 40 jobs in the area, will enable the company to acquire equipment and launch its operations.
Based in Saguenay's La Baie borough, Transfo-Gypse will specialize in the manufacture of such absorbent products and binding agents using a unique process that recycles neutralized anhydrite, an aluminium by-product, from the Rio Tinto-Alcan aluminium fluoride plant.
"The result of research and development, this Transfo-Gypse project will enable the region to develop specialized know-how that can only help consolidate Saguenay's aluminium processing sector, which is a priority for Canada Economic Development," stated Minister Blackburn.
The majority of the funding, or $500,000, has been awarded through the Venture Capital Fund for Business Startups in the Regions, a Canada Economic Development initiative created in partnership with the Community Futures Development Corporations (CFDCs), Business Development Centres (BDCs), various venture capital firms and the Fondation de l'entrepreneurship, to support the startup of enterprises in seven regions and 21 Regional County Municipalities (RCMs) of Quebec. The remaining $100,000 in funding comes from Canada Economic Development's Business and Regional Growth program, an initiative whose aim is to strengthen the conditions conducive to the sustainable growth of Quebec's regions and small and medium-sized enterprises (SMEs).
"Canadian businesses that invest in knowledge and innovation help stimulate the growth of our economy. Their research and development activities lead to the creation of quality products and services that open up doors to new markets and generate well-paying jobs right here in our communities." Minister Blackburn added.
"Canada's fiscal and trade rules, along with the measures our government has introduced in its most recent budget, aim to create the kind of conditions that will incite Canadian enterprises to invest in research and innovation and thereby become industry leaders in their respective fields. During this fiscal year and the next two to come, the additional tax cuts provided for in our 2008 budget will translate into $88.7 million in tax relief for Quebec taxpayers and businesses," the Minister concluded.
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Sources:
Nadia Marceau
Communications
Canada Economic Development
Tel.: 418-668-4602 or 1-800-463-9808
E-mail: nadia.marceau@dec-ced.gc.ca
Sylvain Frenette
Office of the Honourable Jean-Pierre Blackburn
Canada Economic Development
Tel.: 514-496-1282
E-mail: sylvain.frenette@hrsdc-rhdsc.gc.ca
