The Chautauqua County Industrial Development Agency approved a $440,000 Al Tech revolving loan and $75,000 revolving loan to AgriAmerica Fruit Products for an expansion project. AgriAmerica said it plans to acquire a grape processing plant in Dunkirk. Photo by Jimmy McCarthy

LAKEWOOD — Lucy won’t be the only one known for pressing grapes in the area, thanks to the Chautauqua County Industrial Development Agency.

At Tuesday morning’s meeting, the IDA board approved a $440,000 Al Tech revolving loan and a $75,000 Chautauqua revolving loan for AgriAmerica Fruit Products.

The Al Tech Loan for $440,000 will be used to partially fund the acquisition of 200 Water St. in Dunkirk, a grape processing plant. The terms are for 20 years at 4 percent interest with payments made annually. The $75,000 loan will be used as working capital for improvements and other needs. The terms are for 5 years at 4 percent interest with payments made annually.

During the meeting, which was held at Classic Brass in Busti, Eric Huddy and Richard Jozwiak, owners of AgriAmerica Fruit Products based in Silver Creek, gave a presentation regarding the expansion project. The board approved both of the loans.

After the meeting, Huddy said he and Jozwiak feel “lucky to get the facility.” The facility was once Cliff Star Corporation, and is owned by Cott Beverages. Huddy said the facility has been used to produce juice and/or wine for about 100 years. AgriAmerica Fruit Products would be utilizing the facility to make grape juice, specifically kosher juice, which would mean their product would not compete with other local products.

Huddy said AgriAmerica is a company that is associated with agriculture and agriculture services that is built around Chautauqua County agriculture.

“We’re all in,” he said. “We’re pretty heavily vested in agriculture in Chautauqua County.”

Currently, AgriAmerica grows 400 acres of grapes and grows about 600 acres of agricultural land, most of which is located in the area. The company offers agricultural services such as harvesting and hauling which will help other farmers. The company also helps to market grapes for other farmers, which led to their development of the juice processing plant.

Huddy said the plant will provide a market for about 1,000 acres of grapes and will accept about 7,500 tons of grapes per year. Around 75 local family farms will have the opportunity to market a portion of their annual crop for use at the plant.

Huddy said AgriAmerica requested a study on the impact the plant would have on jobs from Stonebridge Research, a research firm out of California that has done studies for the juice, wine and grape industry before.

The study found that 117 jobs are projected in association with the plant, including 42 fruit farming jobs, 10 food manufacturing jobs, nine wholesale distributor jobs and 56 jobs in a variety of areas including construction, maintenance, support and transportation.

Overall, Huddy said he is excited about the project, especially in light of the closing of ConAgra in 2014. He said the jobs lost due to the closing had an impact on the local economy, but the loss of market for grape growers isn’t often considered.

“Hopefully, there will be more of a heading of not just ‘grape expectations,’ but great expectations,” he said. “It looks like this is the right path for us.”

Huddy said the hope is to begin processing grapes as soon as the 2018 season in either September or October.

“We have a lot of work to do between now and then,” he said.