By Kristy Dorsey

Plans for a £21 million hub to boost output from food and drink businesses in the north-east of Scotland have been put forward with the hope of construction to begin later this year.

Described as a “crucial milestone” in efforts to ultimately double the size of the industry, currently valued at £2.2 billion, the SeedPod facility will be home to sector-specific business growth programmes and provide access to global market trends. It will also include 12 commercial-grade manufacturing and production incubator units, two development kitchens, storage space, presentation areas and co-working facilities.

A planning application for construction on Scotland Rural College’s Craibstone campus near Aberdeen has been submitted to the local council. If approved, it is hoped work will begin this summer, with SeedPod opening in the autumn of 2022.

The Herald: Patrick MachrayPatrick Machray

The project includes £10m of capital funding provided jointly by the UK and Scottish governments via the Aberdeen City Region Deal (ACRD). Economic development body Opportunity North East (ONE) is the lead ACRD partner for the delivery of SeedPod, and has committed £4.4m to the program.

The £21m budget for the project includes running costs for SeedPod during its first 10 years in operation.

Patrick Machray, vice chairman of ONE and chair of Food Hub (NES), said the project aims to increase turnover in the region’s food and drink sector by 5 per cent annually.

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“SeedPod is the critical ingredient that will help north-east Scotland’s significant food and drink sector to innovate, accelerate growth, increase productivity and target foods of the future products at high-margin markets,” he said. “It will provide young businesses with essential space to grow in its production incubator units, support established companies with productivity and market development, and is a strategic asset at a critical time for national sector recovery and growth.

“This is a transformational project for realising the sector’s green growth ambition. SeedPod will increase the value of exports and the jobs that food and drink manufacturers and processors provide in rural and urban communities.”

More than 22,000 people work in food and drink businesses across Aberdeen and Aberdeenshire. The region accounts for more than 20% of Scotland’s total food and drink output.