Newfoundland and Labrador�s cranberry industry continued building on its remarkable success story in 2006, producing a record harvest of 127,000 kilograms.

The harvest was worth $120,000 in farm gate value. Processing added another $130,000 to the value of the crop. These results show the cranberry harvest is helping rural farmers diversify their crops and provide opportunities for growth.

"The success of this year�s cranberry harvest is another example of our efforts to diversify and develop innovative and sustainable industries in rural Newfoundland and Labrador," said the Honourable Kathy Dunderdale, Minister of Natural Resources. "This year�s harvest has grown 71 per cent over last year and is 367 per cent higher than 2004 and demonstrates the potential in commercial cranberry production."

Initiated only four years ago, the provincial cranberry industry is part of the Alternative Crops Initiative of the Canada-Newfoundland and Labrador Agricultural Policy Framework agreement. The provincial and federal governments have been sharing the $150,000 annual cost of research and development into improving cranberry crop yields.

"Canada�s New Government is pleased to have had a hand in this impressive success story," said the Honourable Chuck Strahl, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board. "This initiative demonstrates the importance of research and development to the prosperity of farmers."

This year�s harvest was grown on 11 hectares of land on three private partner farms at Stephenville Crossing, Stephenville and Terra Nova, as well as at the Department of Natural Resources� demonstration and experimental site at Deadman�s Bay. A 1.6 hectare farm at Frenchman�s Cove on the Burin Peninsula is also coming into production and should add another 9,000 to 14,000 kg of fruit to next year�s harvest.

The Government of Newfoundland and Labrador is working with local farmers to develop a long-term cranberry strategy to put more acres into production. Increasing the cranberry harvest will create opportunities for more secondary processing.

"We have proven our province can grow quality cranberries at competitive prices and we look forward to growing even more berries and adding more value to this emerging industry," Minister Dunderdale said.

Indian Bay Frozen Foods bought 95 per cent of the crop, packed and froze it in Wareham-Centreville, Bonavista Bay. The company sold the majority of that amount in European markets.

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