TLDR*: The USDA’s Value-Added Producer Grant (VAPG) is giving farmers and ranchers up to $250,000 to turn raw products into something more profitable. We’re giving an overview to prepare you to write the grant.
The USDA’s Value-Added Producer Grant (VAPG) helps farmers and ranchers turn their raw products into something more profitable—think fruit into jam, wheat into flour, or agritourism ventures. Grants go up to $250,000 and require a 1:1 match. If you’re a small farm, beginning farmer, or socially disadvantaged producer, you might get priority. Deadline: April 17.
Need help? We recommend working with a grant writer or at least a consultant because this is a very hard grant to get—more on that below.
What’s the VAPG Grant About?
The VAPG helps farmers increase profits by adding value to their raw products. Whether it’s processing, marketing, or expanding your sales channels, this grant gives you funds to develop a business plan or cover working capital expenses for a value-added product.
Think:
- A dairy farm starting a cheese-making operation
- A wheat farmer launching a small-batch flour brand
- A fruit grower selling jams and preserves
- A ranch offering agritourism experiences
Who’s Eligible?
Farmers, ranchers, cooperatives, and producer-based business ventures can apply. This is important to understand because makes it harder to get this funding. You are competing against a lot of agribusinesses around the nation. You may get priority if you are:
- A beginning farmer
- A veteran farmer
- A socially disadvantaged farmer
- A small or medium-sized family farm
- A farmer cooperative
- Proposing a mid-tier value chain
Not sure if you qualify? Take the VAPG Self-Assessment Survey.
Things to Consider Before Applying
This all sounds good, right? Keep this in mind as well:
- Grants require a 1:1 match, meaning if you apply for $100,000, you need to bring $100,000 in cash, in-kind contributions, or loans.
- It’s highly competitive—plan ahead and work with a grant writer.
- Applications require detailed business and marketing plans.
- Need help with that? Contact us for business and marketing plan assistance!
- Funds can cover planning (business plans, feasibility studies) or working capital (marketing, processing, inventory).
What This Grant Will NOT Cover
VAPG does NOT fund:
❌ Regular farming activities like planting, harvesting, or transporting raw commodities.
❌ Research and development for new products (your value-added product should already be viable).
❌ Purchasing or repairing land, buildings, or equipment (beyond office and computer needs).
❌ Paying salaries to owners or family members.
❌ Grant application costs or lobbying efforts.
How to Get Started
- Register with SAM.gov – This can take WEEKS, so start early. (This is needed for ALL grants).
- Take the VAPG Self-Assessment Survey – See if you qualify.
- Work with a Grant Writer – We recommend connecting with an expert to increase your chances of success.
- Prepare Your Application – Gather your business plan, marketing strategy, and matching funds details.
- This is a TOUGH application with lots of pieces, so make sure you set aside lots of time for it!
- Submit via the USDA Grant Application Portal before the deadline.
Need help? We recommend working with a grant writer to navigate the process. We can give you recommendations for grant writers. Click on the “Grant Writer Recommendations” button above.
Want More Funding Opportunities?
Sign up for our weekly funding email alerts to stay updated on farm grants, loans, cost shares and other opportunities in two steps:
- Take our FREE Funding Eligibility Survey
- Sign Up for Weekly Email Alerts
*TLDR means too long didn’t read; it’s the summary of this article. We know you’re busy, so we want to let you know what’s going on in 30 seconds or less.
Let’s Talk!
The VAPG requires for you to develop business and marketing plans for your proposed value-added product. We can help with that, find 15 minutes below to see how we can help you.