NY: McCullagh Coffee Increases Capacity with New Machine

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Empire State Development (ESD) and McCullagh Coffee today announced that the Buffalo, New York, privately held manufacturer has acquired a Coffee Form and Fill machine. The new machine will substantially increase the capacity of McCullagh, which roasts, blends, packages and delivers coffee and associated products to wholesale customers, and place the coffee company in a competitive position nationwide.

“Our commitment to the City of Buffalo is longstanding; the acquisition of this new packer can only enhance and sustain this commitment,” said McCullagh President and CEO Warren Emblidge Jr.

The $225,000 machine, purchased from the Matrix Manufacturing Company of Saukville, Wisconsin, is being financed in conjunction with the ECIDA and NYSERDA and has qualified for an incentive from ESD. This new machinery and equipment is the first phase of a $1,083,307 overall investment. ESD will provide a $100,000 Economic Development Fund grant toward the total project, with $40,000 for the first phase. The upgrade will allow the Buffalo-based company to not only retain its current accounts, but also expand its customer base, taking on new national accounts.

“Small businesses, such as McCullagh, are engines of job growth and investment,” said ESD President, CEO & Commissioner Kenneth Adams. “It’s projects like this—that support and provide much needed capital to our small businesses—that will help transform New York State’s economy. I am pleased New York was able to assist this long-time, Buffalo-based business.”

The New York State Energy Research and Development Authority (NYSERDA) is providing the company with a $10,000 incentive for the energy savings attributed to upgrading new equipment, which includes a new coffee packaging machine, high efficiency motors and infrared heaters. These energy-efficient measures will help increase the capacity and efficiency of coffee packaging operations while also reducing energy costs.

“Cutting energy use is good for business and good for our environment,” said NYSERDA President and CEO Francis J. Murray. “NYSERDA commends McCullagh Coffee for its work to reduce the energy use at its Buffalo facility, and we stand ready to help businesses of all sizes in Western New York benefit from smart investments that will provide strong returns for years to come.”

The ECIDA provided a low interest loan in the amount of $107,300 through its Regional Development Corporation to help finance the new machinery.

“Helping local businesses invest in new innovative equipment is one of our main missions,” said ECIDA Vice President John Cappellino. “McCullagh’s commitment to innovation and excellence in its industry is exactly what we need to encourage and invest in.”

McCullagh Coffee, located at 245 Swan Street in Buffalo, has been in the coffee business for over 140 years, with Emblidge owning the company since 1987. In addition to supplying coffee and related products to national accounts, McCullagh maintains Western New York regional distribution centers. The processing taking place on Swan Street consists of mixing, roasting, cooling, grinding, de-gassing and packaging of coffee. The company currently has 42 local employees and supplies Wal-Mart, one of its major accounts.

McCullagh is also a strong advocate on behalf of sustainability. Emblidge cited the company’s production of its totally sustainable coffee entitled ECOVERDE. This coffee is Rainforest Alliance certified and is both compostable and biodegradable.

“It is our hope that not only will McCullagh’s productivity increase with the acquisition of the new machine, but also its sustainable product sale will be enhanced,” Emblidge said.

About McCullagh Coffee
Since 1867, McCullagh Coffee has been importing, roasting, and grinding quality coffees for wholesale customers. Today, McCullagh specializes in over 15 blends of traditional, upscale, and sustainable gourmet coffees, teas, hot chocolate, flavoring syrups, creamers, sugars, sweeteners, juice products and paper products. It also provides coffee equipment and excellent service. Its warehouse, multiple roasters and packaging machines, and large fleet of eco-friendly delivery vehicles give it the capacity and capability to exceed the expectations of every customer. McCullagh efficiently supplies beverage service to markets surrounding its headquarters in Buffalo and its distribution centers in Toronto, Ontario, Canada and Salt Lake City, Utah.

About ESD
Empire State Development is New York’s chief economic development agency and administrator of the statewide business resource portal New York First (www.NYfirst.NY.gov). The mission of Empire State Development is to promote business investment and growth that leads to job creation and prosperous communities across New York State. ESD also oversees the marketing of “I LOVE NY,” the State’s iconic tourism brand. For more information on Empire State Development, visit www.esd.ny.gov.