Alberta introduces new agro-processing tax credit | globalnews.ca

Alberta’s food manufacturing Sales reach a record $20.1 billion in 2021. Now, a move by the provincial government is expected to push that number even higher.

“We are here to send a clear message to potential investors in North America and around the world. We have heard from producers and processors in Alberta that we need to do more to help grow our province’s agro-processing industry. is,” said Nate Horner, minister Agriculture and irrigation.

Alberta Agro-Processing Investment Tax Credit Provides a 12 per cent non-refundable tax credit to corporations making a minimum capital investment of $10 million or more to build or expand agro-processing facilities in Alberta.

Horner said the specifics of the tax credit are still being worked out, but he believes it will benefit all aspects of the agriculture sector.

“If you believe that anything that takes a raw agricultural commodity and transforms it and adds value in some way, it fits the model,” Horner said.

Horner said the goal is to attract even more business to the province: “It is for new investment – ​​it may mean expansion of existing facilities, but that is the intention, it is for new investment.”

In 2021, the food sector was the largest manufacturing industry in the province.

Finance Minister Travis Toews said success in the agriculture sector played a role last week, when Alberta saw its credit rating improve.

“Just a week ago, Moody’s Investor Service upgraded Alberta’s credit rating and Alberta’s strong economy is one of the factors that influenced the rating change, good news, good news for all Albertans,” Toews said.

The province said global demand for food is expected to grow by 56 percent in 2050 and this new tax credit will ensure Alberta continues to grow the economy and help feed the world.

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