PLESSISVILLE, QUEBEC--(Marketwire - Feb. 11, 2011) - The Honourable Christian Paradis, Minister of Natural Resource, today announced that Recyclage Granutech Inc. has been awarded $517,500 in repayable funding through the Temporary Initiative for the Strengthening of Quebec Forest Economies (TISQFE) to improve its competitiveness, notably by acquiring production equipment.

Founded in 2002, Recyclage Granutech Inc. is the only company in Eastern Canada to specialize in the recovery and recycling of oversized tires. This SME operates in a promising niche for the Centre-du-Québec region, namely, the recovery and valorization of residual waste. "The project implemented by Recyclage Granutech Inc. is aimed at making its R&D-based manufacturing process profitable and enhancing its competitive position within its industry sector," said Minister Paradis.

The rubber chips recovered by Recyclage Granutech are sold to paper mills for energy production, the crumb rubber is used by manufacturers of playground synthetic surfaces and, lastly, the steel is delivered in bundles to foundries for valorization. This project will help maintain 20 jobs, recall 19 employees to work and create 13 permanent full-time new positions. This contribution from Canada Economic Development is contingent upon the company's meeting current environmental standards.

About the TISQFE

In force since last June, the Temporary Initiative for the Strengthening of Quebec's Forest Economies was established to help communities affected by the forestry crisis diversify their economies in order to secure their development and create and maintain employment. The measure's aim is also to support the viability and sustainable growth of the small and medium-sized enterprises (SMEs) in these communities.

"The TISQFE is working very well. I am delighted that we are well on our way to reaching our goal of investing $50 million in Quebec in the first year of the initiative," concluded Minister Paradis.

This measure is one of many put in place by the Government of Canada in recent months to counteract the effects of the forest crisis. Others include the two-year $1 billion Community Adjustment Fund to mitigate the impacts of the crisis, the $1 billion granted to the Pulp and Paper Green Transformation Program, to help enterprises carry out environmentally-friendly projects, and the investment of $230 million in collaboration with the Government of Quebec for silvicultural work and the restoration of bridges and culverts on multi-use forest roads. Workers have also benefited from their fair share of support, with the Government of Canada introducing some of the most generous measures in history to help them through the economic crisis.

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Contact Information: Sources:
Canada Economic Development
Lyne Montpellier
819-371-5138 or 800-567-8637
Canada Economic Development
Office of the Honourable Denis Lebel
Benoit Fortin - Special Assistant, Communications