New Agri-food Project Finance program seeks large-scale, construction-ready processing and manufacturing projects to strengthen domestic food production and supply chain resilience.
Farm Credit Canada (FCC) has opened a 60-day Expression of Interest (EOI) process for a new $1 billion Agri-food Project Finance initiative, marking one of the largest targeted investments in Canadian food processing infrastructure in recent years.
The financing program is intended to support large-scale, construction-ready agri-food processing and manufacturing projects across Canada. By helping businesses expand domestic processing capacity, the initiative seeks to strengthen food supply chains, increase the production of value-added agricultural goods, and improve long-term food security for Canadians.
The announcement forms part of the federal government’s National Food Security Strategy and aligns with broader efforts to build a more resilient food system. Federal officials say increasing domestic processing capacity can help reduce reliance on foreign processing facilities while creating new economic opportunities throughout the agricultural value chain.
“Canada’s food system must be able to meet the needs of Canadians while remaining competitive globally,” said Agriculture and Agri-Food Minister Heath MacDonald. He noted that the new fund, combined with a previously announced $150 million investment in Velocity Agri-Capital Partners, is intended to help agri-food businesses move forward with ambitious expansion projects and strengthen the country’s processing sector.
A significant portion of Canadian agricultural production is exported for processing before returning to domestic markets as finished food products. Industry leaders have long identified this gap as a missed opportunity for value creation, investment, and job growth within Canada.
FCC says many large processing and manufacturing projects face challenges securing financing through traditional lending channels because of their scale, complexity, or capital requirements. The new Agri-food Project Finance initiative is designed to address those challenges through a specialized debt financing approach tailored to major infrastructure developments.
FCC plans to use market intelligence, industry research, and relationships across the supply chain to identify projects that could generate meaningful benefits for producers, processors, and consumers.
“Canada’s agriculture and food industry has a unique opportunity to meet growing demand both at home and internationally,” said Justine Hendricks, FCC president and chief executive officer. “Agri-food Project Finance will help unlock projects that expand processing infrastructure and strengthen Canada’s ability to produce, process, and supply food domestically.”
The initial 60-day EOI period will allow FCC to gauge industry interest and identify projects that align with the program’s objectives. Eligible organizations with significant processing or manufacturing proposals are encouraged to submit project information for consideration.
FCC indicated that additional project opportunities may be considered as the program evolves and industry needs become clearer. Organizations interested in participating can review eligibility requirements and submit expressions of interest through FCC’s Agri-food Project Finance program website.
Visit the FCC website to learn more about Agri-food Project Finance.