CANADA — P&H Milling Group, a division of Parrish & Heimbecker Ltd., has announced plans to build a new C$241 million (US$177.5 million) flour milling facility in Red Deer County, Alberta.
The facility, with an estimated daily milling capacity of 750 tonnes of wheat, will be supplied by Western Canadian farmers, further strengthening P&H Milling’s position in the Canadian milling industry.
Strategically located between Calgary and Edmonton, the mill is expected to be completed and operational by fall 2026.
A groundbreaking ceremony on September 6 marked the beginning of construction, attended by officials from the government of Alberta and Red Deer County.
The new facility will feature advanced processing technology designed for high throughput, energy efficiency, and a low carbon footprint, aligning with Canada’s climate and sustainability goals.
In addition to milling operations, the site will include offices, warehousing, logistics infrastructure, rail siding, and provisions for future expansion.
John Heimbecker, CEO of Parrish & Heimbecker, highlighted the project’s impact on the local economy:
‘This new facility not only strengthens our position in the Canadian milling industry but also boosts Alberta’s baking industry by supplying high-quality flour to a diverse range of customers. We are proud to contribute to the local economy and support the agricultural community by sourcing 230,000 tonnes of locally grown wheat each year.”
The construction is expected to create up to 200 jobs, with 27 full-time skilled positions available once operational.
The mill will serve various end-use customers, including commercial bakers, retail bakers, large bakery wholesalers, and major pizza commissaries. Additionally, the flour produced will support exports to bakeries in British Columbia and the Pacific Northwest region of the United States.
The Red Deer County facility represents a significant step in P&H Milling Group’s strategy to expand its operations and bolster Canada’s food production capabilities.
The company currently operates eight wheat flour mills across Canada with a total daily capacity of 61,800 cwts and a grain storage capacity of 4.02 million bushels.
The new facility will increase the company’s total milling capacity and help meet the rising demand for high-quality Canadian flour.
Government Support Drives Investment in Agri-Processing
The project has received significant support from the Alberta government, which sees it as a testament to the effectiveness of its Agri-Processing Investment Tax Credit program.
RJ Sigurdson, Minister of Agriculture and Irrigation for Alberta, stated that the proposed P&H Milling Group’s new flour mill project proves the Agri-Processing Investment Tax Credit program is doing its job to attract large-scale investments in value-added agricultural manufacturing.
“The new facility will help drive economic growth by sourcing wheat from Alberta farmers, creating new jobs, and positioning the province to attract spin-off investments in the commercial baking industry,” he noted.
The Agri-Processing Investment Tax Credit program offers a 12% non-refundable tax credit to companies making capital investments of US$10 million or more in agri-processing.
In February, P&H Milling announced plans to expand production at its Hamilton, Ontario, facility with a third mill and additional storage. These efforts underscore the company’s commitment to driving industry investment, facilitating exports, and supporting the continued growth of Canada’s food sector.
“We are able to invest in this new mill project thanks to significant support from the government of Alberta and Red Deer County, which further cemented our choice to build the mill in this location,” said Heimbecker.
“Farmers in and around Central Alberta produce high-quality wheat that can now be processed locally. The area is also a prime location for us to bring in grains through our existing Grain Asset Network.”
Parrish & Heimbecker, Ltd., headquartered in Winnipeg, Manitoba, is a Canadian, family-owned agribusiness with a wide range of operations, including grain merchandising, flour milling, crop inputs, and feed mills at over 70 locations across Canada.
The company’s milling division, P&H Milling Group, is one of Canada’s largest flour millers and continues to expand its presence in both domestic and international markets.
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