As of August 22, 2019, the CanExport funding program will undertake two significant updates that impact how the program operates and the value it provides to Canadian exporters. The first and most notable update is to the program’s contribution amount, while the second focuses on company eligibility. Previously, agriculture and agri-food companies were unable to apply; these types of applicants are now encouraged to submit funding applications.
Once the program updates are implemented, applicants will be able to access up to 75% of eligible expenses to a maximum $75,000. These had previously been set for 50%/$50,000.
All applications submitted on or after August 22, 2019 will be considered for the new contribution rate and eligibility criteria, but any applications submitted prior to this new date will be evaluated under the program’s old rules. Please note that companies can only have one active project funded by the program at a time; despite the program update, all previous successful applicants still need to wait until their supported project activities have completed and all project claims have been processed before they can apply again.
What Are CanExport and AgriMarketing Grants?
CanExport is a Canadian government grant that offsets the cost of export marketing projects, such as participation in trade shows or missions. Provided federally, businesses and organizations across Canada can apply for this funding to expand export marketing budgets and get more value out of export expansion projects.
Likewise, AgriMarketing is a now-closed Canadian government funding program that provided funding for many of the same projects and activities supported through CanExport. The biggest difference between the two programs is that AgriMarketing only supported agricultural producers and agri-food processors whereas CanExport supported all other applicant types.
In the past, both programs offered up to 50% of eligible project costs to a maximum contribution of $50,000 in export funding.
This program administration was a modestly effective way to support Canadian exporters, but there’s recently been a renewed vision for both programs that seeks to find further efficiencies and improve the support provided to all types of Canadian companies.
How Are these Export Marketing Grants Changing?
- Contribution Increase: CanExport and AgriMarketing export grants have historically provided up to 50% of eligible project expenses to a maximum $50,000 per application. Effective August 22, 2019, CanExport’s new funding contribution amount will increase to 75% of eligible project expenses to a maximum $75,000 per application. This is a significant increase that greatly reduces a business’ export marketing costs.
- Program Realignment: Now closed, AgriMarketing will no longer process new applications. All applicants, even agricultural producers and processors, are encouraged to use the CanExport program for all new applications. CanExport’s expanded eligibility criteria supports previously ineligible companies, so long as your marketing activities and target market are eligible for funding.
How Can Businesses Apply for CanExport Funding?
To apply for CanExport marketing grants, businesses must complete a comprehensive application that includes a detailed plan for expanding sales in global markets. Applicants need to show the value of the project (new leads or revenue), a detailed breakdown of project expenses, and explain why the new market is of strategic importance. Businesses must receive application approval prior to incurring funding-eligible expenses.
To discuss your upcoming project and discuss if it’s a good fit for Canadian export marketing grants, please contact Mentor Works.