Southwestern Ontario Development Fund Awards Wineries Business Expansion Grants

Ontario government funding has recently been announced for two wineries, Diamond Estates Wines and Spirits Limited and Andrew Peller Limited. Each business will use its manufacturing grants to expand facilities and purchase state-of-the-art equipment. Between the two recipients, 45 new jobs will be created and another 133 jobs will be retained.

In total, $1,135,300 in business expansion funding will be awarded through the Southwestern Ontario Development Fund.

Both the successful wineries have been awarded funding through the Southwestern Ontario Development Fund (SWODF), a grant that is commonly used to offset a portion of construction and technology adoption costs. SWODF supports the development and expansion of Ontario-based manufacturers and can improve the scope, scale, and timelines of growth projects.

Southwestern Ontario Development Fund Supports Two Niagara Wineries

Over $1 million in Ontario business expansion grants have been awarded to two Niagara-based wineries. These firms include:

  • Diamond Estates Wines and Spirits Limited
  • Andrew Peller Limited

Facility Expansion at Diamond Estates Wines and Spirits

Diamond Estate Wines and Spirits is one of the largest wine manufacturers in Ontario. The company produces some of the highest-selling Vintners Quality Alliance (VQA) wines including Lakeview Cellars, Dan Aykroyd Wines, and 20 Bees.

The Southwestern Ontario Development Fund (SWODF) will provide up to $608,100 in manufacturing grants to support the facility expansion and purchase of new equipment.

With SWODF funding support, Diamond Estates plans to expand its facility by 43,300 square feet. This increases space and enables the integration of new fermentation equipment, humidity- and temperature-controlled storage, and additional bottling areas. The business will also purchase market-leading wine canning equipment. Diamond Estates is one of the few wineries to produce canned still wine. This is highly demanded by consumers who want self-serve drinks and lightweight packaging.

Through the expansion project, Diamond Estates will be better able to meet order demands and give consumers what they want. As a result, the company will create 16 new jobs by March of 2021 while retaining another 46 existing jobs.

New Facility Construction for Andrew Peller Limited

Andrew Peller Limited is a leading Canadian wine producer with top VQAs such as Peller Estates, Wayne Gretzky, Trius and Hillebrand. In addition to wines, the winery creates wine-based liquors, whiskies, spritzers, cocktails, and premium personal wine making products.

SWODF manufacturing grants will support up to $527,200 in business expansion grants to construct a new facility and purchase new equipment.

By accessing Ontario government grants through the Southwestern Ontario Development Fund, the company will construct a new Wayne Gretzky Winery and distillery production facility. This will increase tourism in the region and increase the profile of the Wayne Gretzky distillery brand. In addition, SWODF funding will enable the purchase of new equipment to enable expansion into craft distilling. This will increase barrel, fermentation, and overall production capacity.

As a result of this government funding-assisted project, Andrew Peller Limited will open an entire new facility, create 29 new jobs, and retain 87 current jobs by March of 2020.

About the Southwestern Ontario Development Fund

The Southwestern Ontario Development Fund (SWODF) is an Ontario government funding program that supports companies making large-scale facility and equipment investments. By offsetting a portion of project costs, business can be more responsive and capitalize on emerging market opportunities, such as the demand for new products, packaging formats, or overall increase in product demand.

SWODF supports Ontario-based companies with up to 10-15% of eligible project costs to a maximum of $1.5 million in Ontario government grants.

To develop a competitive SWODF application, businesses must create a proposal for a future project that creates high-quality jobs, supports increased productivity, and helps the company reach out to new markets.

Learn more about the types of projects eligible for SWODF funding, as well as key tips to support project management by downloading the Key Tips: Expanding Production in Canada slide deck.

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Posted: May 15, 2018 by Mitra Zaimi . Updated: May 15, 2018 by Mitra Zaimi.

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Mitra Zaimi is in Honours Legal Studies and Business with a minor in Economics at the University of Waterloo. As Mentor Works’ Sales Development Analyst, Mitra engages with business owners to connect them with government funding initiatives.

Comments 2

21 May 2018 Reply

Hello is there no funding resources in western Canada? my business is in Vernon B.C.

22 May 2018 Reply

Hello and thanks for your comment. This article explores funding for southwestern Ontario businesses. There are also many programs focused on businesses from western Canada, including B.C. I’d recommend checking out our resources for western Canada businesses to learn more.

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