Canada and Ontario investing $22 million to protect farmers and food processors

News release

New funding will help more than 130 agri-food businesses reach new global markets, boost exports and help create 925 good-paying jobs across Ontario

October 13, 2026 – Waterloo, Ontario – Agriculture and Agri-Food Canada

The governments of Canada and Ontario are partnering to invest almost $22 million through the Market Diversification and Trade Resiliency Initiative to help more than 130 Ontario farmers and processors sell more Ontario grown products around the world. The investment will support projects that diversify and expand agri-food trade opportunities, create 925 good-paying jobs and advance the province’s plan to protect Ontario’s agri-food sector by building a more secure, sovereign and self-reliant food supply.

As part of the Sustainable Canadian Agricultural Partnership, this investment supports the province’s Grow Ontario Strategy to give farmers and businesses the tools they need to build long-term resiliency, create good-paying jobs and stay competitive in the face of tariffs and economic uncertainty. This government funding, combined with cost-shared investments by the sector, is expected to generate up to $134 million in investments for Ontario farmers and processors.

Applications for the Market Diversification and Trade Resiliency Initiative opened earlier this year to help Ontario farmers and processors expand into new domestic and international markets and strengthen production capacity through three funding streams. Examples of projects supported through the initiative include:

• Up to $499,000 to Martin’s Family Fruit Farm in Waterloo to develop an innovative packaging line for apple sauce.

• Up to $70,000 to Beck’s Broth in Kitchener to launch new products and expand distribution nationally.

• Up to $494,000 to Lynch Ag Ltd. in Englehart for a handling line, optical sorter and AI enabled grading software to support increased interprovincial and export sales.

• Up to $310,000 to Canada Royal Milk in Kingston for a pulse light system and a shrink wrapper packaging system to diversify beyond Canadian retail markets.

Cost-sharing rates and maximum funding amounts vary by funding stream. The investment also supports the Grow Ontario Strategy’s goal of increasing the province’s agri-food exports by eight per cent annually by 2032.

The Sustainable Canadian Agricultural Partnership is a five-year (from 2023 to 2028), $3.5-billion investment by federal, provincial and territorial governments to strengthen the competitiveness, innovation and resiliency of Canada’s agriculture and agri‐food sector. This includes $1 billion in federal programs and activities and a $2.5 billion commitment for programs designed and delivered by the provinces and territories, cost-shared 60% federally and 40% provincially/territorially.

Quotes

“Creating new export opportunities for Ontario food products starts with improving market access and working together. By leveraging our shared strengths, we are helping to build a stronger and more resilient agricultural sector.”
- The Honourable Heath MacDonald, Minister of Agriculture and Agri-Food

“We are laser focused on expanding markets and trade opportunities for Ontario farmers and agribusinesses. The Market Diversification and Trade Resiliency Initiative is protecting agri-food jobs and agribusiness resilience in the face of unprovoked tariffs from Donald Trump. This $22 million investment is unleashing over $110 million in private sector investment, creating over 900 new good-paying jobs and keeping Ontario’s food supply chain secure, sovereign and self-reliant.”
- Sam Oosterhoff, Ontario Minister of Agriculture, Food and Agribusiness

“The Kitchener-Waterloo region is home to innovative farmers and food businesses that help feed families here at home and across the country. Through this investment from Canada and Ontario, more than 130 agri-food businesses across the province will have support to reach new markets, grow their operations, and create good-paying jobs. We’re funding local businesses, helping our region’s agri-food sector grow, and strengthening the sector for the future.”
- Tim Louis, Member of Parliament for Kitchener – Conestoga

“Food and Beverage Ontario congratulates the producers and processors supported through the Market Diversification and Trade Resiliency Initiative. Provincial investment in agri-food, including processing, is what lets Ontario companies diversify markets, build resilience and keep jobs here."
- Chris Conway, CEO Food & Beverage Ontario

"As unfair tariffs threaten livelihoods, this government is working night and day to protect farmers and food processors in Waterloo Region, who are some of the hardest-working and most innovative in Ontario." said Mike Harris, MPP for Kitchener—Conestoga. "These investments in Martin's Family Fruit Farm, Beck's Broth and others, will help them launch new products and reach new customers, helping build good jobs right here in our community."
- The Hon. Mike Harris, MPP, Kitchener—Conestoga

Quick facts

The Ontario Ministry of Agriculture, Food and Agribusiness is delivering the Market Diversification and Trade Resiliency Initiative. Approved projects are to be completed by October 15, 2027.

Building sector capacity and growth and enhancing its resiliency were among priorities set for the Sustainable Canadian Agricultural Partnership.

The Grow Ontario Strategy is the government’s plan to strengthen the agri-food sector, support economic growth and ensure an efficient, reliable and responsive food supply for Ontarians.