Food processing: MAPAQ offers up to $150,000 in subsidies

Quebec’s food processing sector is facing major productivity and competitiveness challenges. Against this backdrop, the Ministère de l’Agriculture, des Pêcheries et de l’Alimentation du Québec (MAPAQ) is proposing a new version of the Programme Transformation Alimentaire, with a substantial budget of $40 million.

Volet 2 of this program offers an exceptional opportunity for companies in the food sector. With financial assistance of up to $150,000 per plant, and a reimbursement rate of 50% of eligible expenses, this program makes it possible to invest in automation, process robotization and integrated management systems.

We support food processors in optimizing their business processes and maximizing available subsidies. Our expertise enables you to effectively navigate eligibility criteria, prepare your file and successfully implement your productivity improvement projects.

Purpose of the food processing subsidy

Component 2 aims to increase the productivity of the food processing workforce through automation, robotization or the implementation of integrated management systems (e.g. ERP-type software packages).

In other words, the program provides financial support for projects that:

• Do more with less manpower, or
• Optimize internal processes through technological investment.

The aim is to boost the competitiveness of companies by helping them modernize their processes.

Eligibility criteria

To be eligible for the grant, the company must meet all of the following criteria:

Company profile

• Be registered with the Registraire des entreprises du Québec (REQ);
• At least 12 months of full operation;
• Present, in its most recent annual financial statements (12 months, signed by an external CPA):
• Food processing sales of at least $300,000;
• Total sales not exceeding $200,000,000;
• Equity of at least $100,000.

Target establishment

• Be located in Quebec;
• To carry out food processing or operate a central kitchen;
• Market its products on the wholesale market or through online sales.

Exclusions

The company is not eligible if:

• It is a slaughterhouse, a dairy plant or produces animal feed;
• It operates in the catering business;
• It does not comply with Bill 101 (francization) if it has 25 or more employees (as of June 2025);
• It is registered with the RENA or is subject to a ministerial or court order;
• It is bankrupt, under arrangement with creditors, or a Crown corporation or municipal entity.

Eligible activities and expenses

The program funds projects aimed at improving workforce productivity, including:

• Purchase, improvement, delivery and installation of equipment (new or used, with a minimum 3-month warranty);
• Purchase and implementation of integrated management software packages (e.g. ERP);
• The acquisition of specialized software or equipment required for automation or robotization;
• Subscriptions to specialized software (up to 1 year);
• Design of plans and specifications (not financed by Component 1);
• External expert fees (not related to application preparation);
• The working time of in-house experts assigned directly to the project (max. 30% of financial assistance);
• Training costs (registration, teaching materials, travel in accordance with government scales);
• Social security charges for personnel assigned to the project (equivalent to 26% of salary or according to accounting justification).

Ineligible activities or expenses

Certain expenses and activities are excluded from funding. It will not be possible to obtain a subsidy for:

• Expenses incurred prior to full submission of the application;
• Costs related to the preparation or follow-up of the grant application;
• Modifications to premises, constructions or extensions;
• Purchase of buildings, land or motorized rolling stock (e.g. trucks);
• Current operating expenses (e.g. maintenance, consumables);
• Employees’ wages while they are in training;
• Expenses that have already received financial support from another MAPAQ program;
• Suppliers or subcontractors registered with the RENA or in default of compliance with MAPAQ;
• Taxes (GST/QST).

Financial assistance – MAPAQ

The program can cover up to 50% of eligible expenses, for a maximum grant of $150,000 per company or group of related applicants. The minimum amount of financial assistance granted is $25,000, which means that the project submitted must generate at least $50,000 in eligible expenses.

In certain cases, an additional 10% bonus may be granted, bringing the maximum assistance to 60% of expenses. This bonus applies to projects that are aligned with certain ministerial or government priorities, such as sustainable development, the next generation of entrepreneurs, improved environmental practices or structuring technological innovation. These priorities are assessed on a case-by-case basis by MAPAQ.

However, the company must finance at least 20% of eligible costs with private funds. In addition, total public assistance (including grants, tax credits and other forms of government support, whether federal, provincial or municipal) may not exceed 60% of eligible expenses, or 70% if the project is enhanced.

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