Agriculture and Agri-Food Canada (AAFC) · AgriInnovate

AgriInnovate ProgramUp to $5M (repayable, interest-free)

AgriInnovate is Agriculture and Agri-Food Canada's interest-free, repayable contribution for for-profit agri-food businesses that commercialize, demonstrate or adopt commercial-ready technology. It normally pays up to $5 million and up to 50% of eligible costs. It is closed to applications with no reopening date published, and the program runs until March 31, 2028.

Up to 50% (60% for under-represented groups)
Cost share
Between intakes
Intake status
November 9, 2026
Last verified

Chase Miller

Co-Founder, wrote and reviewed this page

Facts checked against the official source

average funding secured per client
$334,132
approval rate
94%

Program Details

Key information at a glance

Between intakes

Information last verified by the Impact Applications research team against official program sources. How we verify

AgriInnovate is closed to applications and Agriculture and Agri-Food Canada has not published a reopening date. The program itself runs until March 31, 2028. If you have a commercial-ready agri-food technology, the useful work now is the project summary form's evidence: proof the innovation is new to Canada, pilot results, secured cash for your share, and permits in hand.

Program

AgriInnovate Program

Agency

Agriculture and Agri-Food Canada (AAFC)

Funding Range

Up to $5M (repayable, interest-free)

Cost Share

Up to 50% (60% for under-represented groups)

Eligibility

For-profit agri-food businesses incorporated in Canada with a commercial-ready technology or process (generally TRL 7 or above) to commercialize, demonstrate or adopt. Closed to applications, no reopening date published.

Short answer: AgriInnovate is an interest-free, repayable contribution of up to $5 million from Agriculture and Agri-Food Canada for agri-food businesses that commercialize, demonstrate or adopt technology that is already proven at pilot scale. It is closed to applications today, with no reopening date published, and the program runs until March 31, 2028.

AgriInnovate at a glance
Maximum AAFC contributionNormally not more than $5,000,000 per project
InstrumentRepayable contribution, no interest charged
AAFC share of eligible costsNormally up to 50%; up to 60% where more than half the business is owned or led by under-represented groups
Your shareCash only; in-kind is ineligible
Total government funding capNormally 75% of eligible costs (100% for Indigenous applicants)
RepaymentUp to 10 years, normally starting 1 year after the project ends
Technical readinessCommercially ready, generally TRL 7 or above
Decision times (service standards)30 business days for the project summary form; 100 business days for a complete application
IntakeClosed to applications; program ends March 31, 2028

Is AgriInnovate open right now?

No. Agriculture and Agri-Food Canada's program page shows "Closed to applications" and "Intake period: Closed", and it does not give a reopening date. The program has not been cancelled. It sits under the Sustainable Canadian Agricultural Partnership and runs until March 31, 2028.

That matters for planning. The project summary form asks for evidence that takes months to build, such as pilot results, secured financing and permits. A business that has it ready when an intake opens is not starting from zero.

Who qualifies for AgriInnovate

You must meet every one of these:

  • A for-profit organization incorporated in Canada: a business or corporation, a cooperative, or an Indigenous business that is a corporation or cooperative, including economic development corporations.
  • A legal entity able to sign a legally binding contribution agreement.
  • An agricultural, agri-food or agri-based technology or process that is commercially ready, with prototypes and pilot-scale testing complete. AAFC says this is generally Technology Readiness Level 7 or above.
  • An innovation that is new to the modern Canadian agricultural and agri-food sector and a significant improvement over technologies or processes used elsewhere.
  • Benefits that reach the wider sector, not only your own operations.

You also need the managerial, technical and financial capacity to finish the project and to repay the contribution. AAFC assesses all three.

The three kinds of project AgriInnovate funds

On AAFC's innovation continuum the program starts at technology demonstration and runs to technology adoption. Research and prototype development come earlier and are not funded here.

  1. Commercialization of innovative agricultural, agri-food or agri-based technologies or processes. AAFC's examples include a new facility to commercialize a significant new way to produce alternative protein, and bio-based food packaging that is new to Canada.
  2. Demonstration of a technology that is ready to commercialize, through production of samples for market validation or a reference or showcase site for pre-commercial demonstration.
  3. Adoption of commercially ready technology in your own agriculture or agri-food operations. The technology must be new to the Canadian sector, not yet widely adopted in other countries, and need significant adaptation or customization.

AAFC names advanced manufacturing, automation, robotics and digitization as priority areas, and gives greater consideration to projects that touch more than one. It ranks projects that help other agri-based businesses compete above adoption projects whose benefits stay mostly with the applicant, and it ranks adaptation above customization.

What AgriInnovate pays for, and what it will not

Eligible (examples AAFC lists)Ineligible (examples AAFC lists)
Machinery, equipment and software, purchased and installedResearch costs
Renovations, site and leasehold improvements; building purchase and construction case by caseLand, goodwill, and existing equipment or buildings owned by a related party
Salaries and benefits for project labourPost-launch operating costs
Contracted professional or specialized servicesTravel and hospitality
Start-up costs, including interest capitalized during construction and calibrationRegulatory compliance costs (permits must be in place before you apply)
Marketing expertise, to a maximum of 20% of total eligible costsRefundable GST or HST, amortization and in-kind contributions

Equipment has to be installed, not just bought or in transit. Costs count only from the date your application is deemed complete, and anything spent before the contribution agreement is signed is at your own risk.

How AgriInnovate repayment works

  • No interest, except on late payments and debts owed to the Crown.
  • Up to 10 years to repay after the project is complete, with payments normally starting one year after completion.
  • Unconditional by default. AAFC may offer conditional repayment to small enterprises, start-ups and emerging innovators. Under that model a year's payment is triggered only when gross business revenue passes a threshold tied to the amount disbursed, and a missed trigger is not usually carried into later years.

Because the money comes back to AAFC, treat it in your model as interest-free debt with a long runway, not as a grant. AAFC asks for 10 years of incremental revenue and expense figures from the project and pro forma statements that include the forecast repayment.

AgriInnovate in dollars: a $2 million example

Here is how the rules above play out on a hypothetical $2 million project. The figures are illustrative. AAFC sets the actual share and repayment schedule in each contribution agreement.

A $2 million AgriInnovate project
Standard (50%)Majority owned or led by under-represented groups (60%)
Eligible project costs$2,000,000$2,000,000
AgriInnovate, interest-free and repayableUp to $1,000,000Up to $1,200,000
Room for other government funding (75% cap)Up to $500,000Up to $300,000
Your cash, at minimum$500,000$500,000
Repayment if spread evenly over 10 years$100,000 a year$120,000 a year
First repaymentNormally 1 year after the project is complete

Three things follow from the table. Your share is cash, so the $500,000 has to be secured before the application is deemed complete. If the other government money does not come through, your cash share grows to $1,000,000, or $800,000 at the 60% rate. And the $5 million ceiling only binds on bigger projects: on $14 million of eligible costs, 50% would be $7 million, but AAFC's contribution normally stops at $5 million.

For Indigenous applicants the combined government cap is 100% of eligible costs rather than 75%, so other programs can cover more of the gap.

The application, in order

  1. Project summary form. Eight sections, submitted online through AAFC's Grants and Contributions portal. It has to prove the innovation is significant and new to Canada, that it is commercially ready, and that the benefits reach beyond your own business.
  2. Invitation. AAFC's service standard is 30 business days to tell you whether you may submit a full application.
  3. Full application. Ten sections online, plus a detailed project budget and required documents: a business plan, organizational chart, corporate structure diagram, three years of audited or review engagement financial statements, pro forma statements, signed financing agreements, market research or letters of support, articles of incorporation, supplier quotes, permits and patents, technical information, and any inter-company agreements.
  4. Decision. AAFC's service standard is 100 business days from a complete application to an approval or rejection letter.
  5. Contribution agreement and reporting. After approval, AAFC negotiates the agreement. Recipients file progress, performance and financial reports, plus annual reporting on the repayable contribution.

Where AgriInnovate files get stopped

These are the gates in AAFC's own criteria that a project has to clear:

  • The innovation is not new enough. It must be new to the modern Canadian sector and a significant improvement over what is used elsewhere. AAFC says demonstrating significance is mandatory before it invites a full application.
  • The technology is not ready. Lab or prototype work below roughly TRL 7 belongs in an earlier-stage program.
  • The benefits stay inside the company. Internal efficiency gains on their own do not meet the sector-benefit test.
  • The cash is not secured. AAFC wants signed financing agreements, term sheets or bank statements, and third-party money cannot be conditional on AAFC's approval.
  • Permits come later. Every regulatory permit must be in place before you apply.
  • The budget has the wrong costs in it. Research, travel, land and in-kind items are ineligible, and marketing above 20% of eligible costs will not count.

Stacking AgriInnovate with other programs

Total government funding from federal, provincial, territorial and municipal sources normally cannot exceed 75% of a project's eligible costs, or 100% for Indigenous applicants. With AgriInnovate at up to 50% or 60%, that leaves room for 15 to 25 points from other government sources on the same costs. Our grant stacking guide walks through how to allocate costs across programs so nothing is claimed twice.

Because AgriInnovate does not pay research costs, it does not fund the R&D work that comes before it. For that earlier stage, see NRC IRAP and SR&ED, and our Prairie agtech funding guide for what is open now. Ask the program how it will count any tax credits on the project before you build the financing plan.

How Impact Applications helps with AgriInnovate

AgriInnovate is a two-stage application with a long document list and a repayment model to defend. Our Full-Service Grant Management covers the project summary form, the full application, the contribution agreement and the reporting. While the intake is closed, Grant Check shows which programs your business can apply for today, and the agriculture funding page covers the wider agri-food picture.

Last reviewed: November 9, 2026, against Agriculture and Agri-Food Canada's AgriInnovate program pages. Confirm the intake status there before you apply.

AgriInnovate FAQs

Common questions about the AgriInnovate program

No. As of November 9, 2026, Agriculture and Agri-Food Canada's AgriInnovate page reads "Closed to applications" and "Intake period: Closed", with no reopening date published. The program itself has not ended: AAFC states it runs until March 31, 2028 under the Sustainable Canadian Agricultural Partnership.

AAFC's contribution to a project will normally not exceed $5,000,000, and the program normally funds up to 50% of eligible project costs. Where more than 50% of the business is owned or led by one or more under-represented groups (Indigenous Peoples, women, youth aged 35 and under, visible minorities, persons with disabilities, or 2SLGBTQI+), AAFC may add 10 points, for a 60% AAFC and 40% applicant split. Your share must be cash; in-kind contributions are ineligible.

Neither, exactly. It is a repayable contribution for for-profit businesses. AAFC charges no interest except on late payments and debts owed to the Crown. Repayment normally begins one year after the project ends and runs for up to 10 years, on a schedule set in the contribution agreement. Repayment is expected to be unconditional, though AAFC may offer conditional repayment, triggered when gross business revenue passes a threshold, to small enterprises, start-ups and emerging innovators.

A for-profit organization incorporated in Canada that can enter a legally binding agreement: businesses and corporations, cooperatives, and Indigenous businesses that are corporations or cooperatives, including economic development corporations. The project must commercialize, demonstrate or adopt an agricultural, agri-food or agri-based technology or process that is commercially ready, generally Technology Readiness Level 7 or above, with prototypes and pilot-scale testing complete.

No. On AAFC's innovation continuum the program starts at technology demonstration and runs through commercialization to adoption. Basic and applied research and prototype development come before it, and research costs are on the program's list of ineligible costs.

Only as an adoption project, and it is the program's lowest priority. The technology must be new to the modern Canadian agricultural or agri-food sector, not yet widely adopted in other countries, and need significant adaptation or customization. AAFC places lower priority on adoption where the benefits accrue mainly to the applicant, and ranks adaptation above customization.

AAFC lists, among others: research costs, travel, hospitality, land, goodwill, post-launch operating costs, capital items the project does not specifically need, existing equipment or buildings owned by a related party, refundable GST or HST, in-kind contributions, and regulatory compliance costs, because every regulatory permit must be in place before you apply. Marketing is capped at 20% of total eligible costs.

AAFC's service standards are 30 business days to assess a project summary form and say whether you are invited to submit a full application, then 100 business days from a complete application package to an approval or rejection letter. A contribution agreement is negotiated after approval. Costs can count only from the date your application is deemed complete, and anything spent before the agreement is signed is at your own risk.

Yes, within a cap. Total government funding from federal, provincial, territorial and municipal sources normally cannot exceed 75% of a project's eligible costs, or 100% for Indigenous applicants. AAFC also asks that your pro forma statements factor in any government tax incentives or credits and the forecast AgriInnovate repayment.

On a hypothetical $2 million project, AgriInnovate normally pays up to 50%, or $1,000,000, interest-free and repayable. Total government funding normally cannot exceed 75% of eligible costs, so other government programs can add up to $500,000 and you put in at least $500,000 in cash. Spread evenly over 10 years, the repayment would be $100,000 a year, normally starting 1 year after the project ends. AAFC sets the actual schedule in the contribution agreement.

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