Funding and grants to automate your food processing plant in Canada

Automating a packaging line, integrating palletizing, or automating case packing represents a strategic investment for any Canadian agri-food SME. Good news: many public funding programs – federal and provincial – can absorb a significant share of these expenses, regardless of your location in Canada.

As a manufacturer and integrator of automated packaging solutions for the food and beverage industry, ENOLINE helps its clients transform their plants without blowing their budget. This article lists the main funding programs available: first, federal programs valid across Canada, then provincial programs specific to Ontario, British Columbia, Alberta, and Nova Scotia.

These programs are accessible to all food and beverage processing companies, regardless of the province in which they operate. They form the basis of any financial package for an automation project.

The National Research Council of Canada's Industrial Research Assistance Program (NRC-IRAP) is one of the most versatile funding programs for innovative SMEs. It offers non-repayable contributions to cover labour and subcontracting costs related to technology innovation projects.

• Financial assistance: Up to 80% of eligible labour costs and 50% of subcontracting costs. Contributions range from tens of thousands to several million dollars depending on project size.

• Eligible projects: Development or adaptation of automation technologies (machine vision, cobots, advanced control systems), integration of new packaging lines with an innovative dimension.

• Learn more:NRC-IRAP – Government of Canada

Administered by Agriculture and Agri-Food Canada under the Sustainable Canadian Agricultural Partnership (Sustainable CAP, 2023-2028), the AgriInnovate program supports the commercialization, demonstration, and adoption of innovative technologies in the agri-food sector. The program may be relevant for certain advanced automation projects in food processing plants.

• Financial assistance: Repayable contributions of up to $5,000,000 per project, with support covering up to 50% of eligible costs. Enhanced cost-sharing ratios are available for businesses owned by underrepresented groups.

• Eligible projects: Advanced automation (robotics, machine vision, AI), modernization of packaging lines, digitalization of processing operations, integration of new or innovative packaging technologies.

• Priorities: Projects combining several priority areas (automation, robotics, digitalization) are favoured.

• Learn more: AgriInnovate – Agriculture and Agri-Food Canada

The Supply Management Processing Investment Fund was created to help processors of dairy, poultry, and egg products invest in new automated equipment and technologies to improve their productivity and adapt to the impacts of international trade agreements.

• Financial assistance: Up to 50% of eligible costs, with a maximum of $5,000,000 per application.

• Eligible projects: Acquisition of automated equipment for dairy, poultry, or egg processing plants; reduction of labour costs and acceleration of automation.

• Learn more:SMPIF – Agriculture and Agri-Food Canada

BDC offers financing solutions specifically designed for automation and digital transformation projects. Term loans, equipment financing, and specialized advisory services help reduce initial outlays, in addition to government grants.

• Financial assistance: Flexible loans for the purchase of packaging machinery, software, and consulting services related to automation. Amounts adapted to project size.

• Added value: BDC also offers resources and tools to structure an automation project and avoid common mistakes in financing such projects.

• Learn more:BDC – Technology financing

Launched in September 2025 to replace the Strategic Innovation Fund, the Strategic Response Fund (SRF) is endowed with $5 billion to support investment projects with a strong impact on innovation, growth, and employment in Canada. In the agri-food sector, it can finance major automation projects integrating advanced technologies.

• Eligibility: Primarily dedicated to large-scale projects (investments exceeding several million dollars) led by companies of significant size.

• Learn more:Strategic Innovation Fund – Government of Canada

The Canadian Food Innovation Network funds innovative projects in the food and beverage industry through several programs (FoodTech Next, Innovation Booster, Food Innovation Challenge). It targets in particular automated solutions, intelligent processes, and food waste reduction.

• Learn more:CFIN – Canadian Food Innovation Network

NGen (Next Generation Manufacturing Canada) is Canada's advanced manufacturing cluster that funds collaborative projects involving automation technologies and smart manufacturing. Agri-food companies can participate in partnership with other industrial or academic players.

• Learn more:NGen – Advanced Manufacturing Canada

Find our articles dedicated to programs and grants by province by clicking on the links below:

• Quebec

• Ontario

• British Columbia

• Alberta

• Nova Scotia

As in Quebec, the most effective strategy is to combine several public programs to maximize the overall coverage rate for your automation project. By respecting the stacking rules specific to each program (generally capped at 75% of total government assistance), it is possible to cover a very significant share of eligible expenses.

For example, a food manufacturer in Ontario could combine:

• An AMIC contribution (interest-free loan) for the purchase of ENOLINE equipment;

• The AgriInnovate program for advanced processing technologies;

• FedDev Ontario assistance for expansion and job creation.

In Alberta, the combination could include AMPG (matching grant), the SCAP value-added program, PrairiesCan funding, and the SR&ED credit. In British Columbia, the BC Manufacturing Jobs Fund, PacifiCan BSP, and CleanBC incentives can be combined depending on the nature of the project.

Generally eligible expenses include the purchase of machinery and robots, engineering and integration services, programming fees, consulting services for diagnostics and design, as well as certain fit-out work directly related to the automation project.

As a specialist in packaging automation for the food and beverage industry, ENOLINE does more than manufacture and install equipment. Across Canada, the company can help you:

• provide technical data and line layouts

• work with your advisors (Investissement Québec, BDC, MAPAQ, City of Quebec, etc.) to align the project schedule with grant deadlines.

The golden rule: plan your project with ENOLINE before submitting your applications. Most programs require expenses to be incurred after filing, so it is essential not to order equipment before obtaining your approvals.

Most of the programs presented in this article specifically target SMEs. AMPG (Alberta), AMIC (Ontario), the BC Manufacturing Jobs Fund (B.C.), and ACOA programs (Atlantic) are all designed for small to medium-sized businesses. Large federal programs such as the Strategic Response Fund are aimed more at very large-scale projects.

Yes, in the vast majority of cases. Almost all programs require expenses to be incurred after the application filing date. It is therefore recommended to plan your project with ENOLINE to obtain the necessary technical information, then submit your funding applications before officially placing equipment orders.

Yes, within the limits of the stacking rules specific to each program. In general, total government assistance (federal + provincial + municipal) cannot exceed 75% of eligible costs. Some programs have additional restrictions (for example, AMIC in Ontario cannot be combined with other Ontario provincial programs).

Yes, in many programs, professional fees (engineering, integration, programming, consulting, diagnostics, feasibility studies) are eligible on the same basis as equipment purchase, provided they are directly related to the automation project.

Timelines vary by program, from a few weeks to several months. Some programs such as NRC-IRAP have shorter processing times because they operate on a continuous basis, while programs with application windows (such as AMIC in Ontario) can take several months between submission and decision. It is important to factor these timelines into the overall planning of your project.