Regina-based Avena Foods has announced construction of an oat processing plant for over $20-million just south of the Queen City near Rowatt.

Avena Foods CEO Gord Flaten says works begins this spring on the plant, which should open next year.

He says the expansion will more than double the current production capacity of gluten-free oats for the company, which is seeing significant growth in demand.

Avena Foods sells gluten-free oats around the world and Flaten says demand has grown more than 10 percent in the past year.

Flaten says gluten-free oats is used in snack foods, health foods and a dairy replacement.

He says the new facility will complement the existing processing plant in Regina.