Salerno to be home to $3-million R&D facility

Part of $140 million investment in Ontario by Gay Lea Foods over the next four years

Gay Lea Foods says it is about to begin construction on a $3-million research and development facility at its Salerno cheese plant in Hamilton.

Gay Lea Foods Co-operative Ltd. bought the family-run Salerno Dairy in February 2014 amid fears the acquisition would mean an end to the local company or drastic scaling back of operations.

But CEO Mike Barrett says the company remains committed to the cheese-making facility and store on Morley Avenue, near Parkdale Avenue North, that will have the “Centre of Excellence” attached to it.

Barrett said when the facility opens in the spring it will only mean a handful of jobs, but the jobs will be highly skilled and high paying. He said more than 180 employees currently work at Salerno. That’s 30 more than worked at the company at the time of the takeover.

In a statement, Hamilton Mayor Fred Eisenberger said he was “thrilled” by the announcement.

“Investing in our food and beverage manufacturing sector continues to be a significant part of Hamilton’s growing economy. We welcome the potential for research jobs at their new Centre of Excellence in our community.”

Barrett said, “This is another line in the sand that shows we are committed to investing in the city of Hamilton. I know there was a lot of concern that we were going to shut it down. That is the furthest thing from the truth.”

Salerno was started in 1961 by Carmine Marzaro, an Italian cheese maker, in a garage off Cannon Street. The cheese was delivered door to door.

The news this week about the R and D facility in Hamilton was part of a larger announcement by the company of plans to spend $140 million over four years to establish “an innovative, nutrition and nutraceutical-grade dairy ingredients hub in Canada.”

A big part of the investment will be a $60-million expansion plan at its operation in the village of Teeswater in Bruce County.

Gay Lea has its headquarters in Mississauga and has more than 950 employees working in facilities across the province. In addition to buying Salerno in 2014, Gay Lea Foods also bought Ivanhoe Cheese in Madoc in 2008, Hewitt’s Dairy in Hagersville in 2014 and Black River Cheese in Milford and Stirling Creamery in 2016.