P & H Milling Group is building a new flour mill in Hamilton.
Ontario Agriculture Minister Jeff Leal says it's the first new flour mill in Ontario in 75 years.
The province is investing 5 million dollars in the project.
P & H is putting 40 million dollars into the new mill.
The new bulk mill will be built on Pier 10 in Hamilton Harbour.
Parrish & Heimbecker says the mill will enable the company to process 25 per cent more grain and help increase it's intake of Ontario wheat by over 10 per cent a year.
It's also expected to create 16 new jobs and keep another 200 in Ontario.
P & H spokesman Derek Jamieson says the provincial investment supports the Milling Group's ongoing commitment to innovation, productivity and quality.
