APPLY FOR THE UNITED STATES DEPARTMENT OF AGRICULTURE RURAL DEVELOPMENT VALUE-ADDED PRODUCER GRANT NOW

The United States Department of Agriculture (USDA) Rural Development is offering Value-Added Producer Grants (VAPG) to help agricultural producers to generate new products, create and expand marketing options, and increase their producer income through value-added activities. Electronic applications for the grants are due April 11, 2024 and paper applications are due April 16, 2024. To be eligible to apply for this program, applicants must meet the program regulation definitions as a independent producer, harvester, steering committee, agriculture producer group, farmer or rancher cooperative, or a majority controlled producer based business venture.  Beginning and/or socially disadvantaged farmers or ranchers, small to medium sized farms, a ranch structured as a family farm, farmer or rancher cooperative, and those proposing a mid-tier value chain may receive priority consideration. Grants will be awarded through a national competition. Every fiscal year, the Federal Register publishes a notice and Grants.gov makes an announcement requesting applications.

Total program funding available through the VAPG program is $31 million with maximum individual grants for planning set at $75,000.00 and for working capital at $250,000.00. There is a requirement for 100 percent cost share match required for all applications.

Grant funds can be used for planning activities and working capital expenses incurred in producing and marketing a value-added product. Feasibility and business plan development would be an example of a planning activity. Working capital expenses would include some inventory and salary expenses, processing costs, and marketing and advertising expenses.

To apply, visit the Federal Register here for details. Applicants will need to be pre-registered on the System for Award Management (SAM).

If you have questions, reach out to your nearest Rural Development Office.