Led by Opportunity North East (ONE), SeedPod will put the region’s businesses at the forefront of innovation, productivity and sustainability, increasing high-value exports and creating new jobs. It will drive green economic recovery, low-carbon food production and contribute to net-zero goals.

The project’s planning application was approved by Aberdeen City Council’s planning development management committee yesterday.

The £21 million investment, backed by the Aberdeen City Deal and funders the UK Government, Scottish Government and Opportunity North East – will create the go-to centre of excellence that will deliver industry’s regional and national growth ambitions.

It will inspire market-led innovation in products, manufacturing, processing and packaging and support skills and people development across the supply chain. It will also provide specialist facilities for high-growth new businesses to nurture their development.

Scotland’s Rural College (SRUC) is a strategic partner in the project. SeedPod will be located on its Craibstone campus and is due to open in 2022.

The project includes £10m of capital funding provided jointly by the UK Government and Scottish Government via the Aberdeen City Region Deal (ACRD) – a partnership between the governments, Opportunity North East, Aberdeen City Council and Aberdeenshire Council.

Opportunity North East has committed £4.4m of funding towards delivering SeedPod’s objectives and set up Food Hub (NES) Limited with an industry board to take the project forward. Scotland’s Rural College (SRUC) is a strategic delivery partner and is providing the site for SeedPod on its Craibstone campus.

Patrick Machray OBE, chair of Food Hub (NES) Limited and vice-chair of Opportunity North East, said: “The project partners are delighted that SeedPod has received the necessary planning approval so that we can proceed at pace with final procurement and construction.

“Food and drink is the UK’s largest manufacturing sector, turns over £2.2 billion in north east Scotland every year and already provides more than 22,000 jobs in the region. It is our largest industry after energy. Its growth is critical to our economic future as it can deliver more and higher-value jobs, increase exports of premium products to high-margin markets and play a key role in the drive to a low-carbon economy.

“SeedPod will be the sector’s go-to place to deliver business growth, create new employment and fast-track the next generation of entrepreneurial start-ups. Its facilities, programmes and the global consumer insights it will provide will make the region’s businesses leaders in foods of the future innovation, high-value manufacturing and low-carbon food production and support industry growth nationally.”

Wayne Powell, principal and chief executive of SRUC, added: “This latest milestone is great news for SeedPod, the north east of Scotland and the development of SRUC’s campus in Aberdeen. We are excited to be working with SeedPod as neighbours and partners to help grow the economy.”

Kate Forbes, secretary for finance and economy, said: “The Scottish Government is a full partner in the Aberdeen City Region City Deal, contributing £125 million over 10 years. The investment in this project through the Deal will contribute to the region’s economic recovery by creating jobs, and providing the commercial infrastructure to support and attract businesses to Aberdeen and the surrounding areas.

“Projects like SeedPod highlight the importance of this Deal and demonstrates the ability to provide support to the northeast food and drink industry and diversify the regional economy.”