Another $4 million has been awarded to northern suburbs manufacturing businesses from a fund dedicated to reviving Melbourne’s automotive heartland.
The funds are expected to deliver 116 new jobs to the region.
The first round of funding from the joint federal and state government Melbourne’s North Innovation and Investment Fund (MNIF) was announced in stages last year, with 17 businesses sharing about $18.8 million.
ABBE Corrugate in Coolaroo, Bertocchi Smallgoods in Thomastown, Altimate Foods in Campbellfield and Bon Appetit Australia in Reservoir are the latest recipients of the funding.
Bertocchi, a family-owned company, based in Trawalla Avenue, will be given $2 million to help expand a new $9 million plant that is under construction, purchase new slicing machinery and create product lines.
The expansion is being tipped to create 69 new jobs.
Coburg-based chocolate company Koko Black was one of only two companies to receive $3 million in the first stage last year, the largest single amount to be awarded from the fund so far.
But last week the business announced it had appointed voluntary administrator Deloitte to restructure the company.
State Industry Minister Lily D’Ambrosio’s adviser told Star Weekly the company was operating as usual and no jobs were at risk.
Dave Smith, the head of the Australian Manufacturing Workers Union vehicle division, criticised the former Liberal state government’s selection criteria for fund recipients.
“We have argued for proper scrutiny around the selection process although this has not always been the case,” he said.
A federal Department of Industry spokesman said a portion of Koko Black’s $3 million grant had been paid.
He defended the federal government’s eligibility requirements for the grants, but did say there were provisions in Commonwealth contracts to review grant recipients.
“Applicants are required to meet a range of eligibility requirements and address five merit criteria when applying for funding under MNIIF,” he said. “These, along with details of the merit assessment process, can be found in the ministerial programme guidelines.”
