NEW BERLIN – Greek yogurt manufacturer Chobani will receive a $1,500,000 grant to retain and create new jobs in its local production facility. Empire State Development’s Board of Directors met Wednesday in New York City and approved funding totaling $9,353,424 to create 1,220 new jobs and retain 731 existing jobs in New York State, including the approval of three Regional Council priority projects for the Central New York, Capital Region and Mid-Hudson regions. The funding will leverage over $142.5 million in investments across the state.
Chobani Inc., an internationally recognized yogurt manufacturer and the number one seller of Greek-style yogurt in the U.S., has been awarded a grant of up to $1,500,000 to be used for a portion of the cost associated with the acquisition and installation of new machinery and equipment. The company has made significant investments in people, plant and equipment to support growth, with approximately $115 million invested in property and plant improvements alone over the past five years. Chobani approached ESD in early 2011 for financial assistance to conduct a major investment in machinery and equipment needed to meet consumer demand, and in response ESD proposed a $1,500,000 capital grant for the acquisition and installation of new machinery and equipment and $8,500,000 through the Excelsior Jobs Tax Credits Program.
Chobani’s purchases will include filling and processing equipment to increase production and reduce soft costs. The project involved the acquisition of 100 adjacent acres and construction of an 80,000-square-foot addition to the existing New Berlin facility. Chobani’s expansion is a direct result of consumer and market demands, and once completed it will allow for substantial increases in production. The project, which has a total project cost of $88.5 million, will retain 386 existing jobs, create 450 new full-time permanent jobs, and is anticipated to retain and create a total of approximately 3,200 jobs in the local dairy industry.
“Under Governor Cuomo’s leadership, the state is continuing to make smart decisions that will produce a significant return on our investment to create the jobs and private sector activity we need to grow our economy,” said Empire State Development President, CEO & Commissioner Kenneth Adams. “By approving just over $9 million in state resources, we are able to leverage over $142 million in private investment across New York that will help bring and keep businesses here. The Regional Council initiative continues to pay big dividends for taxpayers, as we see the three transformational projects approved today move forward as drivers of economic growth for their respective regions.”
Empire State Development (ESD) is New York’s chief economic development agency (www.esd.ny.gov). The mission of ESD is to promote a vigorous and growing economy, encourage the creation of new job and economic opportunities, increase revenues to the State and its municipalities, and achieve stable and diversified local economies. Through the use of loans, grants, tax credits and other forms of financial assistance, ESD strives to enhance private business investment and growth to spur job creation and support prosperous communities across New York State. ESD is also the primary administrative agency overseeing Governor Cuomo’s Regional Economic Development Councils and the marketing of “I Love NY,” the State’s iconic tourism brand. For more information on Regional Councils and Empire State Development, visit www.regionalcouncils.ny.gov and www.esd.ny.gov.