Protein Industries Canada has introduced a $3 million program intended to support Canadian ingredient manufacturers and food processors as they adapt to shifting trade dynamics with the United States. The new initiative is designed to facilitate the development or reformulation of products using Canadian-grown ingredients for the domestic market.
“Canada can be the preferred ingredient supplier to the world – building off our strong advantages as an agricultural powerhouse”
The Strengthening the Canadian Supply Chain Program will reimburse up to 75% of eligible project costs, with a funding cap of $200,000 per project. To qualify, projects must involve at least one of the following components: reformulating products with domestically produced ingredients, scaling up and commercializing Canadian food products for Canadian consumers, or scaling up domestically produced ingredients for use by Canadian manufacturers.
Emphasis on Canadian crops
Projects must use Canadian feedstocks or ingredients derived from crops such as wheat, oats, barley, peas, soy, or fava beans. Applications involving other crops, including lupin and hemp, will also be considered.
The program arrives amid heightened economic uncertainty, particularly surrounding trade relations with the US, and is focused on bolstering domestic supply chains and processing capacity.
Higher reimbursement rates for capital investments
In addition to the new funding stream, Protein Industries Canada is modifying its existing Technology Leadership Program to increase reimbursement rates for capital and equipment expenditures. These adjustments will apply retroactively to current and developing projects. The organization stated that this change is intended to ease the cost burden associated with establishing processing infrastructure within Canada.
“Now more than ever, it is vital that we support our Canadian ingredient manufacturers and food processors. Their ability to remain viable is key to Canada’s agriculture and food sector, and Canada’s domestic supply chain,” said Robert Hunter, CEO of Protein Industries Canada.
Continued support of plant-based innovation
Recent efforts by the organization to reinforce Canada’s plant-based supply chain have included the establishment of a soy powder pilot facility and a separate $8 million investment in faba bean protein development.
Hunter continued, “Canada can be the preferred ingredient supplier to the world – building off our strong advantages as an agricultural powerhouse. To seize that opportunity we must invest in, and support, our domestic processing capacity.”
