Poultry and Egg On-Farm Investment Program: Step 1. What this program offers

Step 1. What this program offers

Intake period: Open

Applications will be accepted until March 31, 2030. The program ends March 31, 2031.

There is currently a high volume of applications submitted to the program. Processing times are currently longer than the published service standards.

The Poultry and Egg On-Farm Investment Program (PEFIP) is a reimbursement-based^{Endnote 1} program that will provide non-repayable contributions of almost $759 million^{Endnote 2} over 10 years. The funding allocations include:

• $357.3 million for chicken producers
• $91.9 million for turkey producers
• $219 million for egg producers
• $90.6 million for broiler hatching egg producers

Program objectives

The program aims to help supply-managed poultry and egg producers adapt to market changes resulting from the implementation of recent international trade agreements, namely the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Canada—United States—Mexico Agreement (CUSMA). The program supports on-farm investments that:

• increase efficiency or productivity
• improve on-farm food safety and biosecurity
• improve environmental sustainability
• respond to consumer preferences (improving animal welfare, adopting alternative housing systems, transitioning to organic production, etc.)

The program seeks to make sure the fair distribution of funding across all supply managed producers in the poultry and egg sectors based on the projected impact of market access concessions made under CPTPP and CUSMA.

Funding

Funding is allocated by sector (chicken, turkey, eggs, and hatching eggs) and by province according to the provincial shares of the national quota/production. Your maximum funding amount, or share of the program budget, is determined based on your share of provincial quota/production holdings on January 1, 2021, as identified by your respective provincial marketing board.

Refer to funding availability to find out when successful applicants can expect their reimbursement.

Cost-sharing

Eligible project costs will normally be shared between Agriculture and Agri-Food Canada (AAFC) and you as follows:

• AAFC — a maximum of 70%
• You — a minimum of 30%

Additional cost share for young producers

Subject to certain conditions, AAFC may provide up to 85% of eligible project costs for young producers who were 35 years old or younger on January 1, 2021.

A young producer is defined as a person who was 35 years old or younger on January 1, 2021 and who is actively engaged in farming in Canada.

Note: the additional cost share does not result in young producers receiving more funding — all applicants are limited by their maximum funding amount under the program, which is based on their share of production/quota. It may, however, reduce the amount that a young producer must invest themselves to access their maximum funding amount under the program.

Considerations for the young producer cost-share

To receive the young producers' cost-share (up to an additional 15% of eligible project costs), one of the following scenarios must be applicable to the legal entity that is applying for funding.

The legal entity must be:

1. majority owned by young producer(s) as per the following definition:
   1. the applicant is a young producer and the sole proprietor; or
   2. the applicant is a business, trust or partnership where the young producer(s) is a majority shareholder/member/beneficiary/partner/owner. Majority is defined as more than 50%

      Note: where more than one young producer is involved in the operation, their cumulative ownership percentage will be taken into consideration to establish if they are the majority owners.

2. led by young producer(s)
   1. For the applicant to be considered 'Led by a young producer(s)' all of the following criteria must be met.

      The young producer(s) must:

      • have managed the business for more than 2 years and be working toward acquisition/succession
      • have an active role in strategic decision-making (involved in establishment of priorities, objective and goals of the business, overall operations)
      • have an active role in day-to-day decision-making (involved in financial management, Human Resources, supply management, logistics or customer services)
      • be a child/child's spouse or grandchild of the majority shareholders/members/beneficiaries/partners/owners
      • must be currently developing or have developed a succession plan to acquire the farm

Eligible applicants will be asked to self-identify as majority owned or led by young producer(s) when registering with the program. Where applicable, applicants will then be asked to submit a declaration, during the assessment of a project application, to attest to the majority ownership or leadership by young producer(s). They may also be required to submit proof of employment and/or other supporting documentation if requested. AAFC reserves the right to audit this declaration and/or information at any time following the application.