Decision on Timaru plant next month

Press, 13 May 1987, Page 3

Decision on Timaru plant next month

The outcome of talks between Timaru business interests and a big American food distribution company on the establishment of a new food processing plant will not be known until June.

A spokesman for the Timaru group, Mr Brian Petrie, yesterday confirmed that Chaparral Industries, Ltd, a Los Angeles-based food company specialising in supermarket distribution had been involved in talks. Mr Petrie denied suggestions that a contract had been finalised.

“They have visited us but there is no suggestion

of a contract being signed. Things are still at the formative stage,” he said yesterday.

The American company’s final decision on the proposal was not expected to be made until early June. The meeting between Chaparral Industries and Meadowlands Foods International discussed a series of proposals including the formation of a joint , ven? ture company and building a high technology processing plant. The proposal, if successful, will boost the region’s vegetable processing industry threatened by

the closing of the Watties Industries frozen food factory in Timaru in October. The Timaru group has asked for public assistance for a $lOO,OOO feasibility study. The project would be a “tremendous boost” to the region, said Timaru’s member of Parliament, Mr Maurice McTigue. “The plans are being developed in the face of the multi-nationals and show the sort of thing that can be achieved by small groups of individuals,” he said yesterday.

“This is the kind of boost needed in Timaru.”