Innovation, Trade and Rural Development
July 31, 2008

Panel Manufacturer Targets Northern Countries

Quality North Inc. of St. Anthony has received $25,000 from the Provincial Government to expand its reach into global markets.

"With the rising cost of labour and building materials, the market for new home construction using manufactured panels is growing," said the Honourable Trevor Taylor, Minister of Innovation, Trade and Rural Development. "Recognizing this opportunity, Quality North is looking to increase its market penetration in such key markets as Iceland and Greenland. Our investment will enable the company to increase awareness of its product through various trade shows and prepare a long-term market strategy."

Quality North was formed in 2006 by Hubert Randell of Sealand Enterprises, Ted Lewis of Holson Forest Products, and Tony Rumbolt of Elite Builders after visiting Greenland to evaluate the market for home and building materials. It was determined that the short construction season and high building costs in northern countries favoured panel homes, so they returned to the province and began to manufacture panels for modular homes.

"Panel home construction significantly reduces the demand for on-site skilled labour and in northern export markets such as Nunavut, Greenland, and Iceland, the cost of skilled labour is a major issue," said Mr. Randell, President of Quality North. "In addition, panel homes require less shipping space, which is a significant consideration for export markets."

In addition to manufacturing panels, the company also manufacturers commercial construction trailers, and is currently seeking distributors for its trailers in Ontario, Alberta, and Nunavut. The company employs 12 people in the construction of panels and trailers.

Funding was provided through the Business and Market Development Program (BMDP). BMDP provides new entrepreneurs and expanding small businesses with matching funding to help them acquire the necessary expertise to pursue new business ideas and markets. The $1 million program is intended to support new growth opportunities in the economy, such as value-added manufacturing activities and export-oriented opportunities.

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Media contacts:

Scott Barfoot
Director of Communications
Department of Innovation, Trade and Rural Development
709-729-4570, 690-6290
ScottBarfoot@gov.nl.ca
Hubert Randell
President
Quality North
709-866-2981
qualitynorth@hotmail.com

2008 07 31                                                       10:45 a.m.


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