Glacier FarmMedia—Global Food and Ingredients, a plant-based and plant protein company with facilities in Saskatchewan, has announced a “wind down” of its business operations.
A May 7 news release on the GFI website says the company cannot service its outstanding debts.
“The wind-down is a result of recent macro-economic events, which have caused GFI to experience challenges in purchasing adequate supplies of raw material inputs for its processing assets, which has resulted, and is expected to continue to, result in a material decline in the company’s sales and gross profit until new raw material supply becomes available from the fall 2024 Canadian harvest,” the release says.
Read Also
Canada seeks pact with Southeast Asian countries to diversify trade
Canada is seeking to finalize a free trade deal with Southeast Asian nations as part of a push to expand into new markets, its top diplomat said, responding to the hefty tariffs imposed on it by the United States, its neighbour and largest trade partner.
“Management and the board of directors have determined that these challenges will make it near impossible for (GFI) to continue to operate and service its debts, leaving no other option than to wind down its operations.”
Less than a year ago, in June 2023, Corporate Knights named GFI one of the Future 50 Fastest Growing Sustainable Companies in Canada.
“GFI’s selection for this prestigious list is a testament to its commitment to supplying premium, sustainable plant-based protein food and ingredients,” said a GFI announcement about the Fastest Growing award.
“The company’s mission centres around providing healthy and sustainably produced plant-based food and ingredients, utilizing regenerative crops that enrich the soil and employing local processing methods with minimal emissions and water usage.”
GFI has headquarters in Toronto and has several facilities in Saskatchewan, including elevators in Zealandia and Lajord. It purchased peas, lentils, chickpeas and other high protein crops from farmers.
In a financial statement released in February, GFI says it has four lines of business — Core Ingredients, Value-Added Ingredients, Plant-Based Pet Food Ingredients and Downstream Products — and ships to 37 countries around the world.
While operating, GFI manufactured pea and lentil flours, pea protein, pasta made from lentils and its own brand of pulse-rich pet food.
From April 1 to December 31, 2023, GFI had revenues of $76.1 million, a decline of 18 per cent from the same period in 2022.
A May 8 company news release said GFI has received letters from its secured lenders demanding immediate and full payment of the “outstanding debt balances of $14,987,992 and $6,844,973.”
Another GFI release from early May said: “The company will be working with its lenders to sell its assets in an orderly fashion,”.
This story will be updated when more information is available.
