The federal government is investing $750 million in domestic year-round food production, with funding aimed at helping Canadian growers adopt greenhouse technologies, expand operations and improve access to fresh fruits and vegetables.
Agriculture and Agri-Food Minister Heath MacDonald announced the launch of the Controlled Environment Agriculture (CEA) Growth Pathway Program recently. The initiative is part of the federal government's $3.2-billion National Food Security Strategy, announced in June 2026.
Two funding streams target production and technology
The program has two funding streams: $650 million for technology adoption and $100 million to expand local food production in rural and northern communities.
The larger stream will support producers looking to adopt, expand or modernize controlled-environment agriculture infrastructure and technologies, including automation, robotics, lighting and digital growing tools.
The second stream will fund community-driven projects designed to increase local and regional food production, improve access to fresh food and strengthen food security in rural and northern communities.
Individual approved projects may receive between $100,000 and $10 million from Agriculture and Agri-Food Canada.
The federal government says the investment is intended to increase domestic fruit and vegetable production, reduce reliance on imported produce and strengthen Canada's food supply by supporting production methods that are less dependent on seasonal growing conditions.
"Controlled environment agriculture is transforming how food is grown in Canada. By investing in year-round production of fresh fruits and vegetables closer to home, these technologies will strengthen food security, create jobs, and support economic growth in communities across the country," MacDonald said in a statement.
"Our government will continue investing in innovative solutions that strengthen our domestic food system and ensure Canadians have access to fresh, high-quality, domestic food for generations to come."
Part of $3.2-billion national food strategy
The program is among several measures included in the National Food Security Strategy, which is backed by $3.2 billion in federal investments over 10 years.
Other initiatives include Farm Credit Canada's $1-billion Agri-Food Project Finance Fund, a recently announced $1-billion Food-Link Fund and tax measures allowing immediate expensing for eligible greenhouse buildings.
The government says the measures are intended to lower food production costs, improve supply chains, encourage productivity and innovation, and increase competition across the food system.
Applications open to producers and community organizations
The CEA Growth Pathway Program is open to Canadian producers, for-profit and non-profit organizations, Indigenous individuals and communities, including First Nations, Inuit and Métis communities and governments, as well as not-for-profit associations and other levels of government.
Eligible applicants can submit a Project Summary Form beginning Oct. 30, with the submission period running until Dec. 23, 2026. Organizations whose proposals align with the program's objectives will be invited to submit full applications.
Funding under the technology adoption stream may be provided through either repayable or non-repayable contributions, depending on the project and its expected benefits. Funding under the rural and northern communities stream will be provided as non-repayable contributions.