SunOpta Expands Operations
In order to meet increased demand for healthy roasted snacks and ingredients, the Company has completed an expansion of its roasting and packaging facility, Dakota Gourmet.
15/09/06 Organic foods company, SunOpta today provided an update on a number of expansion projects within the Company's SunOpta Food Group operations.
In order to meet increased demand for healthy roasted snacks and ingredients, the Company has completed an expansion of its roasting and packaging facility, Dakota Gourmet, located in Wahpeton, North Dakota. Dakota Gourmet had reached full capacity at the end of 2005 in this facility where the Company processes, roasts and packages organic and natural food snacks from corn, soy and sunflower. The expanded facility will add approximately 50% further capacity and allow for continued growth in a market which is growing at 30% per year.
In order to meet continued demand for the Company's oat and soy fiber products, the Company has commenced expansion of capacity by an average of 20% at its fiber plants located in Louisville, Kentucky, Cedar Rapids, Iowa and Cambridge, Minnesota. Demand for oat and soy fibers continues to grow as many food products add fiber for fortification purposes, aimed at improving the nutritional content of foods in today's market place. These expansions will be implemented over the next six months.
SunOpta also announced that it has signed a lease for a new 95,000 square foot organic grocery distribution center in Richmond, British Columbia required to accommodate strong growth in the Western Canadian market in organic and natural food products. This new facility will feature 30 foot ceilings to increase efficiency and utilize state-of-the-art warehousing systems and innovative technologies and should be ready for occupancy in August 2007. These facilities will result in the consolidation of two locations currently leased by the SunOpta Canadian Food Distribution Group in the Vancouver area.
As a result of increasing demand for the Company's natural and organic dried fruit bars, an expansion of drying and processing capabilities at the Fruit Group's facility located in Omak, Washington, has commenced. This expansion will increase throughput by 70% and will be completed by December 2006.
Steve Bromley, President and Chief Operating Officer commented "We continue to strategically expand our operating capabilities in response to demand for our healthy product offerings. This is a most exciting time for SunOpta as healthy eating trends converge to create significant opportunities for the Company."
