Mountaire officials have received a $255,000 grant from the Delaware Strategic Fund to build the hatchery, expected to increase chick production from 750,000 to 1.8 million each week, reports capegazette.com.

Mountaire Vice President of Human Resources and Business Services Mike Tirrell said the project is driven by customer demand.

"The company may seek other grants, but at this point the rest of the money is coming from Mountaire, Mountaire has been in Millsboro since 2000, and we are constantly updating,” Mr Tirrell said.

In 2000, the $35 million resource recovery plant was built; updates to processing procedures and equipment have followed, but hatchery construction, which began last month, is one of the largest projects since 2000.

“This is a win for the agriculture industry, the environment and a win for Delaware, keeping the economy going here, creating jobs,” said Delaware Economic Development Office Director Alan Levin.

“Chicken is a nutritious product, and the fact it is made in Delaware makes it even better.”

Mountaire, which has another hatchery in Princess Anne, Md., started planning the hatchery expansion last year, when officials decided to add on to an existing building in Millsboro. The 22,000-square-foot expansion will result in 85,000 square feet of hatchery space.