The Perfect Blend – An Innovative and Environmentally-friendly Company in Northern Ontario

Nitrogen generator

A yellow rectangular machine with a button on the front.

This equipment sits just outside the Muskoka Roastery factory where it separates nitrogen from the air and then feeds the nitrogen through lines to workstations inside.
Photo credit: Emily Blackman, Well Known Inc.

Patricia Snell understands the importance of embracing innovation to drive business growth, stay relevant in changing times, and stand out from the competition. As the co-founder and president of the Muskoka Roastery Coffee Co. —an unmistakably Canadian company that is proudly owned and operated, with beans roasted and packaged right here in Northern Ontario—she is always looking for ways to enhance efficiency, quality and sustainability. So when she learned about state-of-the-art equipment that could save her company time and money, she turned to the Federal Economic Development Agency for Northern Ontario (FedNor) for assistance. Thanks to a FedNor loan through the Regional Growth through Innovation program, Muskoka Roastery purchased a nitrogen generator to produce nitrogen on site. When inserted into packaging, the gas displaces oxygen, ensuring a fresh product for consumers.

"As air flows through the machine, it extracts the nitrogen, which makes up 78% of the air we breathe," explains Snell, "and then feeds it through lines to connect to coffee bagging and pod boxing workstations in the factory."

Snell says the addition of the nitrogen generator means her company no longer has to pay for regular delivery, manual hookup and removal of nitrogen cylinders. Furthermore, it dovetails nicely with the company's growth plans.

"The nitrogen generator will enable us to increase our production volume by two and a half times, and in turn, expand our market reach and penetration with our new advantaged Version 2.0 compostable coffee pods," adds Snell.

A watchful eye

Woman standing in a factory watching production.

Lene Massey, Senior Roastery Manager, oversees every roast to ensure a perfect balance of flavour and aroma.
Photo credit: Emily Blackman, Well Known Inc.

Ideas are always percolating in Snell's mind. She says it's the only way to stay in the game. For the past quarter century, Muskoka Roastery Coffee Co. has been doing just that, racking up a number of key accomplishments to its credit. It became the first roaster in North America to convert to 100% Rainforest Alliance certified beans, demonstrating its commitment to biodiversity conservation and the protection of ecosystems, as well as ensuring safe working conditions for farm families.

In 2016, it expanded to the single portion segment of the coffee market with the world's first compostable coffee pod; sustainability has always been at its core. As a certified B corporation, Muskoka Roastery meets the highest standards of social and environmental responsibility, operates as a zero waste facility thanks to new industry-leading recyclable bags, and gives back 1% of sales each year to environmental initiatives, ensuring every cup supports a healthier Canada.

Snell says each of these innovations is designed to capture a different consumer group, broadening its overall appeal and securing a larger market share. A decision to redesign its website and incorporate advanced e-commerce technology in the fall of 2019, positioned the company well to take advantage of online sales during the pandemic. Grocery, Amazon, and wholesale purchases account for approximately 93% of the company's total sales, and direct to consumer sales make up the remaining 7%.

Muskoka Roastery's large roaster

A machine with a container of coffee beans.

A great cup of coffee starts with finely roasted beans.
Photo credit: Emily Blackman, Well Known Inc.

The nitrogen generator is Muskoka Roastery's third project with FedNor. As Snell continues to explore ways to scale up, she hints that it may not be her last.

Learn more about FedNor's programs and the types of initiatives it funds in support of the federal Prosperity and Growth Strategy for Northern Ontario.