Value Added Producer Grant
Helping Agricultural Producers Expand & Innovate
The USDA Value-Added Producer Grant (VAPG) program provides funding to help farmers, ranchers, and agricultural producers generate new products, expand marketing opportunities, and increase income. Whether you are turning raw agricultural commodities into market-ready goods or expanding your customer base, VAPG can support your efforts.
What is the VAPG Program?
VAPG supports agricultural producers through two types of grants:
- Planning Grants – Assist with business plans, feasibility studies, and market research.
- Working Capital Grants – Help cover costs related to processing, marketing, distribution, and other business operations.
Examples of Value-Added Activities
- Producing cheese from farm-produced milk.
- Bottling and marketing organic fruit juices.
- Converting raw grain into specialty baked goods.
- Creating branded and packaged meat products.
Who Can Apply?
Eligible applicants include:
- Independent agricultural producers.
- Farmer and rancher cooperatives.
- Agricultural producer groups.
- Majority-controlled producer-based business ventures.
Special Considerations:
VAPG provides priority points and reserved funding for:
- Beginning farmers or ranchers.
- Socially disadvantaged farmers or ranchers.
- Small- and medium-sized family farms.
- Proposals that support food safety improvements.
How Can Grant Funds Be Used?
Grant and matching funds can support:
- Planning Activities: Business plan development, feasibility studies, market research.
- Working Capital Expenses: Processing costs, marketing and advertising, inventory, and salaries.
Important Restrictions - VAPG funds cannot be used for:
- Agricultural production expenses.
- Facility construction or renovation.
- Equipment purchases exceeding $6,500 (except for eligible food safety expenses).
How to Apply
Step 1: Check Your Eligibility
Ensure you meet the program’s criteria and have a qualifying value-added project. VAPG Eligibility
Step 2: Prepare Your Application
- Review program regulations and guidelines.
- Develop a business plan or feasibility study (if required).
- Gather necessary financial and operational information.
Step 3: Submit Through the Grant Application Portal
All applications must be submitted via the USDA Grant Application Portal (GAP): Apply Here
Resources & Assistance
Need help? Reach out to one of our experts or use these resources and support:
- VAPG Website: Visit Here
- Application Toolkits & Forms: Available Here
- Rural Development State Offices: Call 1-800-670-6553 (Press "1") or Find Your Local Office
- Agricultural Marketing Resource Center: Explore Here