Value-Added Producer Grant Program Opens for Applications Today – Due January 31, 2018

August 29, 2017

The USDA opened the application period for the Value-Added Producer Grant Program today, with applications due January 31, 2018. Applicants are eligible to receive up to $250,000 in grant funding, through the program, as detailed below.

The Value-Added Producer Grant (VAPG) program helps agricultural producers enter into value-added activities related to the processing and/or marketing of new products. The goals of this program are to generate new products, create and expand marketing opportunities, and increase producer income.

Funding Levels:
• Planning Grants (grant funds for business plans, feasibility studies, or market research) – $75,000 maximum
• Working Capital Grants (grant funds for product labels, packaging, processing, advertising, and other marketing and promotional expenses) – $250,000 maximum
• A total of $18 million will be awarded for all projects

Eligibility:
• Independent producers (individual or family farms)
• Agricultural producer groups
• Farmer- or rancher-cooperatives
• Majority-controlled producer-based business ventures

Project Eligibility: Grant and matching funds can be used for planning activities or for working capital expenses related to producing and marketing a value-added agricultural product. Examples of planning activities include conducting feasibility studies and developing business plans for processing and marketing the proposed value-added product. Examples of working capital expenses include processing costs, marketing and advertising expenses, and some inventory and salary expenses. Applicants may receive priority if they are a beginning farmer or rancher, a socially-disadvantaged farmer or rancher, a small or medium-sized farm or ranch structured as a family farm, a farmer or rancher cooperative, or are proposing a mid-tier value chain.

Project Period: Up to 36 months depending on the complexity of the project

Matching Funds Requirements: A $1 for $1 match is required.

The awards are expected to be announced May 31, 2018.

The full Notice of Funding Availability can be found here.

For more information on this grant or how to apply with Morrison & Company’s assistance, please contact Toni Scott at tscott@morrisonco.net or 530-809-4672.

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