bigstock-Confident-Business-Man-Demonst-4913417The AgriInnovation Program (AIP)  is a five-year initiative beginning April 1, 2013 through March 31, 2018, with a project completion date of January 31, 2018 to allow for a program evaluation to occur. The Canadian government funding for  via AgriInnovation’s Commercialization and Adoption Stream is focused on helping companies with innovative agri-products, technologies, or services proceed through the product demonstration, commercialization and adoption phases. This program launched on April 1, 2013, with a focus on pre-commercialization product demonstration and product commercialization. For Adoption projects, funding can be obtained, initially, through the Agri-Processing Initiative (API) that remains open through April 2014.

 Canadian Government Funding Program Details

AgriInnovation government funding for business Program overview:

  •  Amount: Interest-free, repayable contributions from max of $2-$10 million dependent on project type
  • Timeframe: Open application process. Projects to be completed by March 31, 2018
  • Projects: Pre-commercial and commercialization projects. For adoption projects, please refer to the Agri-Processing Initiative (API) until April 1, 2014.
  • Eligibility Factors: For profit companies or cooperatives

 Funding for Small Business Eligible Activities

Activities eligible for funding for small business through the AgriInnovation Program include the following:

  • Commercialization of innovative agricultural, agri-food or agri-based products, technologies, processes or services where the innovations will be introduced to the market at the successful completion of the project;
  • Adoption of innovative agricultural, agri-food or agri-based products, technologies, processes or services where recent innovations are adopted and adapted to existing operations;
  • Pre-commercial demonstration of innovative agricultural, agri-food or agri-based products, technologies, processes or services, where all necessary testing and piloting has been completed and the innovation is within 24 months of market, and which involve one or more of the following:
    • Demonstration of product, process, technology or service needed to acquire certifications necessary for commercial operation;
    • Production of samples for market validation;
    • Creation of a reference or showcase site for pre-commercial demonstration; or,
    • Demonstration to a targeted user in order to secure a key customer necessary to penetrate the market.

 Costs Eligible for Government Funding Canada

The following costs are eligible for Canadian government funding for business:

Salaries/Benefits

  • Labour including wages/salaries and benefits, and specific per diem fees;

Contracted Services

  • Professional or specialized services needed to undertake eligible project activities and for which contracts are entered into;
  • Cost of contracted work related to compliance with the Canadian Environmental Assessment Act 2012;

Capital Assets

  • Building purchase, renovation, site improvement, leasehold improvements and construction costs;
  • Machinery, equipment, and software purchase and installation costs;

Other Direct Project Costs

  • Rental, lease of facilities, equipment or machinery;
  • Goods and services and all related shipping and transportation costs;
  • Licenses and permits;
  • Start-up costs, including interest capitalized during construction, insurance during
  • Construction, fees and charges for operation of equipment for adjustment and calibration, and training;
  • Production of materials required to fulfill obligations under the agreement, including translation and production of materials in the second official language;
  • Marketing costs, such as hiring of marketing expertise and other related activities as may be deemed necessary to the success of the project;
  • Materials/consumables needed to undertake the project; and
  • Other reasonable costs directly related to the project (AAFC’s discretion)
  • Eligible costs must be presented, in the budget, under the standard categories for all funding projects

Costs Ineligible for AgriInnovation Government Funding for Business

The following costs are not eligible for government funding for small business through the AgriInnovation Program:

  • Capital items not specifically required for the execution of the project;
  • Refundable portion of the Goods and Services Tax/Harmonized Sales Tax, value-added taxes, or other 
items for which a refund or rebate is received;
  • Any cost, such as amortization that would not result in a direct, out-of-pocket expense for the 
recipient;
  • Land, goodwill, and existing equipment or buildings owned by a related party;
  • Hospitality (e.g. alcohol, meals, entertainment, gifts, etc.) and Travel;
  • Research and development costs;
  • Any portion of any cost that, in AAFC’s opinion, exceeds the fair market value for that cost item; and,
  • Any other expenditure not specifically listed as eligible or otherwise approved as eligible.

 AgriInnovation – Commercialization and Adoption Stream Application Process

The application process for AgriInnovation government funding for business under the AgriInnovation Commercialization and Adoption Stream is a two-step process.

The first step is to submit a project screening document, when approved you will need to submit a full application.

Additional Information on the AgriInnovation Commercialization and Adoption Stream

Looking for more detailed information regarding this program?  Choose from one of the following options:

Program-OverviewProgram-UpdateGet-Started

Also look to our AgriInnovation FAQ’s blog if you have further questions regarding this program.

Until April 2014 please projects classified as  ”adoption” will be pointed to the Agri-Processing Initiative for funding support.

Contact Canadian Government Funding Experts

Mentor Works Ltd. provides selection and support services for small and medium-sized businesses looking for government small business grants and small business loans Ontario.   Sign up for our Canadian Government Funding Weekly E-Newsletter, or register for a Free Canadian Government Funding Workshop.   You can also follow us on LinkedIn and Twitter!

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Written by

Ryan has a BA in economics, an MSc in management, and several published works including two books. As Marketing Analyst at Mentor Works, Ryan enjoys communicating with business owners & executives about government grants and funding available to help overcome obstacles to growth.

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