$8 Million in Grant Funding Now Available to Ontario’s Dairy Processing Sector

The governments of Canada and Ontario are investing up to $8 million, through the Sustainable Canadian Agricultural Partnership (Sustainable CAP), to create or increase processing efficiencies and enhance food safety in the province’s dairy processing sector.

Funding Details

  • The Dairy Processing Modernization Initiative is open to cow, goat, sheep and water buffalo milk processors.

  • Each eligible applicant can receive up to $200,000 in cost-share support.

  • Applications open on April 2, 2024, and will remain open until the initiative is fully subscribed. Eligible project costs can be incurred as of April 2, 2024.

  • Funding can be used to acquire modern technologies that increase production efficiency and ensure food safety in their facilities. Funding can also be used to help cover the purchase and installation of new or refurbished equipment and its associated costs, such as training.

Sustainable Canadian Agricultural Partnership (SCAP)

The Sustainable CAP is a five-year (2023-2028), $3.5-billion investment by federal, provincial and territorial governments to strengthen competitiveness, innovation, and resiliency of the agriculture, agri‐food and agri‐based products sector. This includes $1 billion in federal programs and activities and a $2.5 billion commitment that is cost-shared 60 per cent federally and 40 per cent provincially/territorially for programs that are designed and delivered by the provinces and territories.

  • There are 171 licensed cow and goat dairy processors, plus additional sheep and buffalo dairy processors in the province.
  • Building productivity through new innovations, technologies and efficiencies for the agri-food industry was a top priority set for Sustainable CAP by the federal-provincial-territorial agricultural ministers in The Guelph Statement.
  • Sustainable CAP will help enable the goals outlined in Ontario’s Grow Ontario Strategy, which include increasing the production of food by 30 per cent by 2032 and growing agri-food exports by eight per cent, annually.


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