Canada Economic Development

Canada Economic Development

August 25, 2011 14:30 ET

Government of Canada Invests in Productivity of Five Bas-Saint-Laurent Manufacturing Firms

ST-HUBERT-DE-RIVIÈRE-DU-LOUP, QUEBEC--(Marketwire - Aug. 25, 2011) - Acting on behalf of the Honourable Denis Lebel, Minister of Transport, Infrastructure and Communities and Minister of the Economic Development Agency of Canada for the Regions of Quebec, the Honourable Bernard Valcourt, Minister of State (Atlantic Canada Opportunities Agency and La Francophonie), today announced the awarding of $839,357 in total repayable financial assistance to five Bas-Saint-Laurent manufacturing firms for productivity enhancement.

"Our government is committed to supporting Quebec's regions, particularly the ones severely affected by the forest crisis, in their efforts to diversify their economies and create and maintain employment. The Government of Canada is proud to lend its assistance to these five Bas-Saint-Laurent enterprises so they can improve their performance and productivity," said Minister of State Valcourt.

The acquisition of technological equipment will help these firms raise their efficiency and cost-effectiveness while improving their manufacturing processes and product quality. They will thus be in a better position to enhance their performance and to withstand fluctuations in certain industrial sectors.

The value-added transformation of wood, metal products and innovative materials is a priority area of action for Canada Economic Development in the Bas-Saint-Laurent region. The projects announced today will help consolidate the economy of municipalities hard hit by the crisis in the forest sector. This funding from the Government of Canada has been granted through the Temporary Initiative for the Strengthening of Quebec's Forest Economies (TISQFE).

About the TISQFE

The Temporary Initiative for the Strengthening of Quebec's Forest Economies was brought into force in June 2010 to help communities affected by the forestry crisis diversify their economies in order to ensure their growth and create and maintain employment. The initiative's goal is also to support small and medium-sized businesses in these communities in their efforts to secure their viability and sustainable development. This measure is one of several put in place by the Government of Canada in the past months to counteract the effects of the forest crisis. Others include, for example, the Community Adjustment Fund, with its $1 billion budget over the past two years to mitigate the impacts of the crisis, the $1 billion granted to the Pulp and Paper Green Transformation Program to help enterprises carry out environmentally-friendly projects and the $230 million invested, in collaboration with the Government of Quebec, for silvicultural work and the restoration of bridges and culverts on multi-use forest roads. Workers have also received their fair share of support, with the Government of Canada introducing some of the most generous measures in history to help them through the economic crisis.

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Five Bas-Saint-Laurent projects funded through the Temporary Initiative for the Strengthening of Quebec's Forest Economies (TISQFE)


Promoter Description - Investment - Contribution
Produits forestiers basques
Repayable contribution of $65,000 on a total investment of $166,400 for the construction of three additional kilns for the transformation of wood coal and for the acquisition of equipment for the bulk handling of the product. This SME produces wood coal from maple and birch for use in the restaurant, consumer, horticultural and metallurgical markets. International in scope, the firm derives a significant share of its revenues from export. Its recent equipment acquisitions helped the company boost its productivity and manufacturing capacity.
Usinage industriel Dégelis
Repayable contribution of $90,000 on a total investment of $150,000 for the acquisition of machining equipment and two gantry cranes as well as for the development of a Web site following the company's relocation. The firm specializes in the design, manufacture, re-fitting and repair of metal parts of all kinds for customers mainly in the Bas-Saint-Laurent forest, farming and manufacturing industries. This new equipment enabled the enterprise to expand its range of products and services to include the value-added machining of complex and large-sized parts, as well as to improve its productivity. The new Web site, which should be up and running shortly, will assure the company of greater visibility and easier access to new markets.
Usinage F.R.
Repayable contribution of $133,057 on a total investment of $356,581. Usinage F.R. specializes in the manufacture, modification and assembly of steel, stainless steel, aluminium and plastic parts for the manufacturing industry. Its customers are mainly in the sectors of transportation, food, furniture, medical equipment and industrial equipment. This financial assistance allowed the enterprise to acquire a five-axis digital lathe, an automatic saw and order processing and management software, thereby enabling it to increase its competitiveness and better meet the growing demand.
Les Industries Massé et D'Amours (2009) Inc.
Repayable contribution of $76,300 on a total investment of $121,000 for the acquisition of higher-performance technological equipment, the construction of a conveyor for wood residue and the installation of an automated output for the storage and delivery of skid bundles in order to improve the firm's productivity. The company manufactures handling pallets out of aspen for customers in Quebec, Ontario and the United States. This new equipment will reduce wasted time resulting from production stoppages and optimize the piling and distribution of finished products.
Atelier de soudure Rivière-du-Loup
Repayable contribution of $475,000 on a total investment of $950,000 to help the company increase its productivity by machining complex and over-sized parts. With the acquisition of its new high-performance equipment (digital lathe, three-axis digital pipe bender, portable milling machine for large parts, vertical automatic metal saw, robot welder), the enterprise be in a better strategic position to improve its competitiveness in all market segments and to withstand fluctuations in certain industrial sectors.
Total number of projects funded: 5
Total contributions from Canada Economic Development: $ 839,357
Total investments generated: $ 1,743,981

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