Farm Credit Canada opened a $1 billion Agri-food Project Finance initiative to fund major food processing and manufacturing projects across Canada, aiming to strengthen domestic supply chains, create value-added products, and improve food security by reducing reliance on exporting raw agricultural products for processing.
- Farm Credit Canada launched a $1 billion Agri-food Project Finance initiative with a 60-day Expression of Interest process for eligible projects
- The program targets construction-ready infrastructure projects that expand food processing and manufacturing capacity across Canada
- The initiative addresses a critical gap where Canada exports raw agricultural products for processing abroad before they return to domestic grocery shelves
- Funding is part of Canada's National Food Security Strategy and works alongside a $150 million Velocity Agri-Capital Partners investment
- The goal is to strengthen domestic supply chains, create value-added products, and build a more resilient food system for long-term food security
Farm Credit Canada opened a 60-day Expression of Interest process Monday for its new $1 billion Agri-food Project Finance initiative, inviting organizations to bring forward major processing and manufacturing projects across the country.
The specialized financing program, part of the Government of Canada’s National Food Security Strategy, targets construction-ready infrastructure projects that expand food processing and manufacturing capacity. The goal is to create more value-added Canadian agricultural products, strengthen domestic supply chains and improve long-term food security.
“Our government is focused on strengthening Canada’s food system so Canadians can count on a reliable supply of high-quality, affordable food,” said Heath MacDonald, minister of agriculture and agri-food. “This new $1 billion fund, combined with the $150 million investment in Velocity Agri-Capital Partners, will help Canadian agri-food businesses bring ambitious projects to life, expand processing capacity, and grow value here at home.”
The initiative addresses a gap in Canada’s food system. While the country produces some of the world’s highest-quality agricultural products, much of that is shipped abroad for processing before returning to Canadian grocery store shelves. Many projects needed to close that gap require significant investment and can be difficult to finance through conventional lending alone.
FCC will use its market intelligence, data-driven research and established relationships across the value chain to identify where investment could have the greatest impact.
“Canada’s agriculture and food industry has a unique opportunity to meet the growing demand at home and around the world, not only helping producers but feeding more Canadians,” said Justine Hendricks, president and CEO of FCC. “Agri-food Project Finance will unlock the right projects to help Canada build the infrastructure and processing capacity we need for a stronger, more resilient and more self-reliant food system.”
The initial 60-day window will help FCC identify suitable projects and understand industry demand. FCC expects to consider additional project opportunities as the initiative evolves.
