State approves tax incentives for expansion of C.R. food plant

The Iowa Department of Economic Development approved a tax incentive program Tuesday for a major expansion of the Cargill food plant in Cedar Rapids. Economic Development Director C.J. Niles says Cargill’s been approved for an enterprise zone designation with the company’s promise of a 26-million dollar investment.It’ll give the company a tax credit and a refund of sales taxes during construction. Niles says the expansion will allow Cargill to go after some niche markets with new food additives. The expansion will also create new jobs.Niles says the expansion will add 15 new jobs at 14-dollars-an-hour, and retain the 200 workers already laboring at the plant. Niles says they don’t know the cost of the credits to the state, because that will depend on Cargill’s future tax liability.