Tasmanian Government funding for two northern Tasmanian businesses will help strengthen Tasmania's reputation as a producer of fine food and wine, the Parliamentary Secretary for Small Business, Rebecca White said today.

Ms White today congratulated two Northern recipients who received funding under the Tasmanian Government Innovation and Investment Fund (TGIIF) - Holm Oak Vineyard and Anchor Organics.

"These two investments will help create new jobs and opportunities in Northern Tasmania, and reinforce our reputation as a producer of gourmet food and wine." Ms White said.

"Through a $72,500 grant, Holm Oak Vineyard will be able to buy winery equipment to significantly increase their production capacity, while $250,000 for Anchor Organics will help the company buy equipment to produce niche market baby potatoes."

Ms White said the TGIIF, which was announced in the 2012 / 2013 budget, is an investment of $3 million and is part of the government's response to tackling regional employment challenges.

"The fund aims to drive investment in innovative projects that will improve business sustainability, performance and productivity," she said.

"Through this program, we're offering help to Tasmanian businesses and helping create new jobs and opportunities in regional areas.

"Holm Oak's winery expansion and purchase of small batch contract filtration and bottling equipment, will build production capacity of premium Tasmanian wines,"

"It will also benefit other local vineyards by providing bottling and labelling capacity, further enhancing the Tasmanian brand and quality.

"Anchor Organics' investment in a computer controlled vegetable sizer will increase high value sales of their niche market baby potatoes."

"This will increase sales, primarily to export customers by $3.7 million over the next two years."

"Importantly, both these investments support jobs in the local area - with 10 new jobs being created at Anchor Organics and an additional 3 new jobs at Holm Oak Vineyard in the first year alone."

"In addition to the local people directly employed by these projects, these investments will also help to support the local networks of suppliers and subcontractors," Ms White said.

"I congratulate Rebecca and Tim Duffy at Holm Oak, and Terrence Rattray at Anchor Organics for their respective successes in securing these grants."

Ten projects received grant funding under the Tasmanian Government Innovation and Investment Fund (TGIIF).