Funding a stronger supply chain

17/02/2012

A strong supply chain is the bedrock of our flourishing agri-food sector, says Agriculture Minister Michelle O’Neill.

The Minister was speaking as she visited County Tyrone businesses Cloughbane Farm Foods and Loughshore Vegetable Limited to see the investments that both companies have undertaken with the help of assistance from the Processing & Marketing Grant Scheme (PMG).

Under the PMG Scheme financial support, up to £0.5million, can be provided for capital investment in buildings and plant and equipment for business working in the agri food processing sector.

Originally a family farm, Cloughbane Farm Foods diversified by opening a farm shop in 2003 which has now grown into supplying raw meat and cooked readymade meals to the local retail sector and the retail multiples. As the business has grown they have applied and been successful in getting PMG funding in 2008, 2009 and 2011.

The Minister said: “The aim of the PMG Scheme is to help the processing sector to develop and remain competitive in the market place. The funding to Cloughbane is an excellent example of how my Department can work with companies through their phased growth. This growth has had a positive impact on the local farming and producer network who are now supplying more raw produce to Cloughbane for processing.”

At Loughshore Vegetable Ltd, located in Derrylaughan, the Minister was able to see how the assistance provided under the PMG Scheme helped a local vegetable company invest almost £1million in the construction of a new purpose built factory together with new plant and equipment.

Speaking after a tour of the premises the Minister said: “This is a further example of a company building on success and I am encouraged to see how, with the help of PMG, Loughshore Vegetables have been able to expand the factory floor area and introduce new machinery that will improve efficiency and provide the capacity to increase sales.

“The continued growth of this business is also positive news for local vegetable producers because as the company’s sales grow, they require more raw product, so it is a win-win situation for both producer and processor.”

The Rural Development Programme 2007-2013 is part financed by the European Agricultural Fund for Rural Development (EAFRD) and the Department of Agriculture and Rural Development (DARD). DARD works in partnership with Invest NI in the delivery of the PMG Scheme. The PMG Scheme is open for applications until 24 February 2012.

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