Canadian PM Justin Trudeau Announces $100 Million Investment in Plant-Based Industry

On 22 June 2020, Prime Minister Justin Trudeau announced an investment of CAD $100 million (US$74 million) into Merit Functional Foods, a manufacturer of plant-based protein. The investment will be directed to the company’s facility located in Winnipeg, which will support the production of highest quality pea and canola protein. 

Merit states that its new protein extraction facility will produce plant proteins superior in flavour, solubility, and purity, claiming that this will be the world’s first production plant able to create canola protein suitable for human consumption. CEO Ryan Bracken also states that the new plant will produce “unprecedented pea protein”. The facility is due to be operational by December and will create 80 new jobs.
The alternate protein market is a booming industry which is used extensively due to its minimal generation of carbon footprint in comparison to animal derived protein. In January, Merit Functional Foods had partnered with Nestlé to develop alternate protein for its foods and beverages. “As people around the world start eating more plant-based products, we have an opportunity to bring together Canadian innovation and Canadian crops, and a chance to create good, well-paying jobs,” said PM Trudeau.

The funding package includes $10 million from Agriculture and Agri-Food Canada’s AgriInnovate Program. Additionally, $25 million loan from Farm Credit Canada; $55 million loan from Export Development Canada and $9.2 million from the Protein Industries Canada supercluster were also included.

The Canadian government had previously invested $150 million (US$110 million) in vegan-friendly food and beverage development in 2018, but the most recent investment comes as the industry experiences unprecedented growth across the world, especially during the coronavirus pandemic as slaughterhouse began to shut down. According to the National Research Council Canada, the market for alternative protein is predicted to grow at an annual rate of 14% by 2024 to reach a third of the country’s entire protein market. Veganism is growing as sustainability and health become increasingly important dietary considerations. Countries like Canada are increasingly promoting the plant protein demand around the world.

Read: Canada's New Healthy Eating Guide Removes Milk
Read More: Nestle Plans To Build New Plant-based Food Facility in China Under CHF 100 Million Investment Plan