The USDA opened its 2026 Value‑Added Producer Grant to help producers grow through new products, stronger markets,
and added revenue.
The U.S. Department of Agriculture (USDA) Rural Development office has opened the application period for the 2026 Value-Added Producer Grant.
Find complete information on the Value-Added Producer Grants | Rural Development website. Key information is called out below.
What does the VAPG program do?
The Value-Added Producer Grant (VAPG) program helps U.S. agricultural producers enter into value-added activities that:
- Generate new products from raw agricultural commodities
- Create and expand marketing opportunities
- Increase producer income through enhanced product value and market reach
Funding overview
- Total available funding: Approximately $25 million
- Maximum grant amounts:
- Planning grants — Up to $50,000 for planning activities (e.g., feasibility studies, business and marketing plans)
- Working capital grants — Up to $200,000 for working capital needs (e.g., processing, packaging, advertising, inventory, and salaries)
- Matching requirement: 1:1 match (100% of the grant amount), which may include cash or eligible in-kind contributions
- Grant funds cannot be used for construction or equipment
Who can apply?
- Agricultural producers and associated groups
- Farmer and rancher cooperatives
- Majority-controlled, producer-based business ventures
Who gets priority?
Applicants may receive priority consideration if they meet any of the following criteria:
- Beginning farmer or rancher
- Veteran farmer or rancher
- Socially disadvantaged farmer or rancher
- Small or medium-sized farm or ranch structured as a family farm
- Farmer or rancher cooperative
- Proposing a mid-tier value chain project
- 10% of total funds are reserved for:
- Beginning, veteran, and socially disadvantaged farmers/ranchers
- Mid-tier value chain proposals
- Food safety projects where the majority of funds improve market access
How CLA can help with grant programs
Contact your CLA advisor for more information on the VAPG program and how CLA can assist with this opportunity. We have a team of experienced professionals evaluating the new changes and can help you navigate the complexities of federal grants.
Whether you need help with grant application writing and review, developing effective strategies to implement grant management policies and procedures, or need training on understanding compliance requirements, CLA can guide you through the process.