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November 7, 2018 by Craig Hoover

Farm activities most likely to receive government funding

There are roughly 80 government funding programs available under the Canadian Agricultural Partnership (CAP). Most farmers and agriculture processors are aware of the grants available, but many choose not to apply due to the labour intensive nature of the application process. Others aren’t aware that their activities are eligible for funding.

So what kinds of activities are supported by the government? For the most part, these are activities that make agriculture more productive and competitive. If you’re hoping to take advantage of the funding opportunities available to farmers, it’s important to understand what kinds of activities the government will and won’t fund.

What won’t the government fund?

In general, the government is not interested in offering money for the purchase of land. If you’re adding another 50 acres to your greenhouse or field, the government is unlikely to contribute because you are simply growing your status quo operation. This would also apply to funding for more buildings (e.g. barns) or the kind of equipment you already own. If the activity in question is simply an expansion on what you already have and doesn’t lead to productivity improvements or increases in technology, you are unlikely to qualify for funding.

Funding for activities to increase exports

Many activities intended to increase exports attract government funding. There is money available for people creating new marketing campaigns, attending trade shows and trade summits or doing anything else to increase the sale of products outside of Canada. For example, if a Canadian business were to start a new brand to sell product in another country, there is money available to help pursue that initiative.

Funding for process development

If you’re a farmer and you have a new product or process you are developing, that is a good way to garner government support. In the farming world, everything is a process. Anything that’s process-related that involves the implementation of new technologies to create a more efficient and effective process – from a fertilizing process to a new feed process – could qualify for funding. This could apply to a range of other businesses, including breweries, bakeries, slaughterhouses, smokehouses, butcher shops, food processors and producers or processors of poultry, pork, dairy, vegetables and fruit.

Funding for environmental sustainability

There is also a great deal of funding available for activities geared toward environmental sustainability. For example, if you are looking to implement a method to reduce waste or use waste streams to generate electricity for your facilities, you are likely to receive funding. The government is trying to integrate the whole agriculture sector, encouraging companies to work together. Ideally, the government would like to see Canadian farm businesses develop technology and machinery other Canadian farmers can use.

More activities the government funds

In addition to the aforementioned activities, the government will support productivity enhancement (automation), as well as food safety and traceability. This includes activities like barcoding and ERP systems, which make it easier to track and recall a product should a food safety issue occur. There is also money available to help manufacturing companies develop new agriculture machinery. In addition, companies developing new technologies can access funding to help cover their research and development costs. If you are interested in this or any of the grant opportunities outlined above, speak to a Collins Barrow expert and find out how you can secure government funding for your business.

Meet the Author

Craig Hoover Craig Hoover
Windsor, Ontario
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