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GOVERNMENT OF CANADA INVESTS $925,000 TO FURTHER INNOVATION IN THE DAIRY INDUSTRY

GUELPH, Ontario, March 19, 2008 - The Government of Canada is delivering for Canadian dairy farmers and consumers by investing $925,000 to assist with the development of new, innovative dairy products. Dave MacKenzie, Member of Parliament for Oxford, made the announcement today on behalf of the Honourable Gerry Ritz, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board.

"Canada is known the world over for its high quality, tasty and nutritious dairy products. This project will allow the dairy industry to continue developing innovative new products while taking advantage of new market opportunities," said Mr. MacKenzie. "This project will not only lead to a more competitive dairy industry, but provide Canadian consumers with a greater variety of healthier foods, such as different varieties of cheeses."

This project, funded in part through Agriculture and Agri-Food Canada's Advancing Canadian Agriculture and Agri-Food (ACAAF) program, will be coordinated by the Gencor-owned Thornloe Cheese Plant in New Liskeard. It will support the development of novel dairy products, including different varieties of cheeses and cheese alternatives with functional food characteristics. Functional foods provide additional health benefit beyond basic nutrition, such as probiotic-fortified yoghurt.

"This project will help explore and evaluate opportunities for the development of innovative niche dairy products," says Kim Turnbull, Agricultural Adaptation Council (AAC) Chair. "It will also provide an opportunity for producers to be involved in an integrated value chain with the production and processing of milk directly through to the consumer."

The ACAAF program is delivered in Ontario by the AAC on behalf of the federal government.

For more information on ACAAF, please visit www.agr.gc.ca/acaaf.

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For more information, media may contact:

Media Relations
Agriculture and Agri-Food Canada
Ottawa, Ontario
613-759-7972
1-866-345-7972

Margaux Stastny
Press Secretary
The Office of the Honourable Gerry Ritz
613-759-1059

Nadine Armstrong
Communications Manager
Agricultural Adaptation Council
519-822-7554



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