Agri-Processing Initiative FAQs

bigstock-Cheese-raclette-in-refining-14284052What is the objective of Government Funding for Business through the AgriProcessing Initiative (API)?   Through Canadian government funding API will help businesses from the AgriProcessing sector adopt innovative technology and processes so they will be better positioned to compete in the global economy, and thus the Canadian Agri-Processing sector on a whole will become more globally competitive.

Who can apply for the AgriProcessing Initiative Funding for Small Business?

Incorporated, for-profit companies as well as cooperatives are eligible to apply for API government funding for business so long as they:

  • Have processing facilities in Canada;
  • Have reported employment expenses for at least the past year; and
  • Are predominantly engaged in the processing (physical or chemical transformation) of raw agricultural commodities or agri-based ingredients

What is the definition of processing under API?

According to definition, processing is defined by API as the physical or chemical transformation of raw agricultural commodities or agri-based ingredients.  The definition does not include harvesting, cleaning, sorting and packaging of raw agricultural commodities.  Only those who meet this definition will be eligible for API funding for small business.

What is the timeline for AgriProcessing Applications

Applications must include project deadlines set before March 31, 2014.   For additional government funding for agriculture opportunities please visit our overview of The AgriInnovation Program.

What types of projects will be eligible for AgriProcessing Initiative Canadian government funding?

The AgriProcessing Initiative small business government funding provides repayable contributions toward the cost of:

  • Purchasing and installing new-to-company equipment and machinery in Canadian agri-processing facilities; and
  • Contracting external expertise for services related to equipment installation, and consultation, design, and advice regarding new-to-company manufacturing technologies, processes and products.
  • The AgriProcessing Initiative is a five year initiative providing up to $50 million and ending on March 31, 2014.
  • It can provide repayable contributions of up to $2 million, or up to 50% of total eligible project costs, whichever is less.
  • AgriProcessing contributions are non-interest bearing and unsecured.

How much assistance is available under the AgriProcessing Initiative?

Is there a limit to the total amount government assistance for a project?

Total Canadian government funding cannot exceed 75% of total eligible costs.

What are the terms of repayment?

AgriProcessing funding, which is in the form of non-interest bearing, unsecured contributions, must be repaid within 8 years of project completion.

Is there a deadline to apply for the program?

The AgriProcessing Initiative will receive applications continually until all available funding has been exhausted.  However, projects must be completed by March 31, 2014.

How do I find out more information about the Agri-Processing Initiative?

Please choose from one of the options below, or contact a Canadian government funding expert for more information.


Government Grants for Small Business & Small Bus
iness Loans Ontario

We offer several ways for small and medium-sized Canadian businesses to stay connected with the Canadian government funding experts.    The best way to get informed is to attend a Free Canadian Government Funding Workshop, but if you cannot make it to one of our events please do subscribe to our Canadian Government Funding Weekly E-Newsletter, and follow us on LinkedIn, Google+, Facebook , or Twitter!


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