The governments of Canada and Ontario have recently announced a significant investment aimed at bolstering small businesses in the agri-food sector. Through the Sustainable Canadian Agricultural Partnership (Sustainable CAP), up to $5 million will be allocated to enhance food safety systems and stimulate growth among small food processors, producers, and service providers.

This investment, delivered through the Food Safety and Growth Initiative, is designed to help eligible businesses adopt new food safety and traceability equipment, technologies, and standards, as well as provide related employee training. The initiative aims to address market and consumer demands, enabling businesses to grow and strengthen Ontario’s agri-food supply chain.

Supporting Growth and Stability in Ontario’s Agri-Food Sector

The investment supports the goals of the Grow Ontario Strategy, focusing on enhancing the stability and competitiveness of the province’s agri-food supply chain. Robust food safety systems are crucial for industry growth, and this initiative is poised to help smaller businesses build consumer confidence by investing in measures that detect, prevent, and mitigate food safety risks.

Federal Minister of Agriculture and Agri-Food, Lawrence MacAulay, emphasized the importance of providing farmers and food processors with the latest tools and resources. “This investment in technology and equipment upgrades will help folks prevent and quickly address food safety risks and keep their operations on the cutting edge,” MacAulay stated.

Ontario Minister of Agriculture, Food and Agribusiness, Rob Flack, highlighted the government’s commitment to working with smaller businesses to enhance food safety and expand their reach. “Investments through the Food Safety and Growth Initiative will allow smaller food businesses to improve their operations so they can grow and compete in Ontario and outside our borders,” Flack said.

Details of the Food Safety and Growth Initiative

The initiative will support various projects, including the development or improvement of food safety or traceability programs, upgrades to equipment and technology, assessments by qualified third parties, and the implementation of internationally or nationally recognized food safety programs, such as first-time certification audits.

Eligible projects can receive up to 50% of eligible costs in cost-share funding, with a maximum of $75,000 per project. Applications for the initiative will be accepted starting August 21, 2024, and will remain open until December 1, 2025, or until the budgeted funds are fully allocated.

The Sustainable CAP is a five-year, $3.5-billion investment by federal, provincial, and territorial governments aimed at strengthening the competitiveness, innovation, and resiliency of Canada’s agriculture, agri-food, and agri-based products sector. This includes $1 billion in federal programs and activities, and a $2.5-billion cost-shared commitment for programs designed and delivered by provinces and territories.

Implications for Huron County’s Agri-Food Sector

For Huron County, one of Ontario’s most agricultural regions, this investment is particularly significant. The agri-food sector is a cornerstone of the local economy, and improvements in food safety systems and the adoption of new technologies will help local businesses thrive. Enhanced food safety not only protects consumers but also opens up new markets for local producers and processors.

Commenting on the announcement, Colin Carmichael, Executive Director of the Huron Chamber of Commerce said, “This investment is a vital boost for Huron County’s small agri-food businesses. By enhancing food safety systems and adopting new technologies, our local producers and processors can improve their competitiveness and expand their markets. This support from the federal and provincial governments is crucial for the continued growth and stability of our agri-food sector.”

Industry leaders have also expressed their support for the initiative. Chris Conway, Chief Executive Officer of Food and Beverage Ontario, noted, “Food and beverage processing is the largest manufacturing sector by employment in Ontario, and over 90 percent of the over 4,000 companies in Ontario are small businesses. This announcement supports the sector by improving food safety systems, equipment, standards, and training. In turn, this will help food and beverage operators adapt to market and consumer needs as well as grow their businesses.”

Kevin Schinkel, President of Meat and Poultry Ontario, added, “We commend the federal and provincial governments for their partnership and support. This investment will build resiliency in our food system by supporting businesses advancing their food safety systems. This is good news for everyone.”