Canadian farmers face pressure to reduce emissions and keep their businesses profitable. On‑farm climate and agriculture investment programs help pay for new practices that improve soil health, cut greenhouse gases, and build resilience. This guide explains who can apply, which activities get funding, and how major programs like the Canada Organic Trade Association (COTA) – On‑Farm Climate Action Fund work.
These programs give cost‑shared funding to farms that use beneficial management practices (BMPs) with climate benefits. Most are funded by Agriculture and Agri‑Food Canada (AAFC) and managed by industry groups or provinces.
Funding usually supports:
The main example for organic producers is the COTA – On‑Farm Climate Action Fund (OFCAF), a federal program run by the Canada Organic Trade Association.
Each program has its own rules, but in Canada, most on‑farm climate investment programs require:
Active farm business in Canada
You must be a sole proprietor, corporation, or partnership with a valid business number.
Adoption of approved BMPs
Common BMPs include:
Cost-sharing
Programs cover part of the costs. You pay the rest with cash or in‑kind contributions.
No duplicate funding
You cannot claim the same expense under two programs funded by the same federal stream.
Tools such as GrantHub’s eligibility matcher let you filter on‑farm climate programs by province, farm type, and production system.
On‑farm climate programs fund a range of activities. Examples include:
Soil testing and nutrient planning
Helps reduce fertilizer use and improve soil health.
Planting cover crops
Seeds, planting, and termination costs may be covered.
Improving grazing systems
Fencing, water systems, and pasture planning for rotational grazing.
Technical support and training
Some programs pay for expert advice or workshops.
Demonstration projects
Funding for groups to show new practices in local settings.
Check each program’s guidelines for full lists of eligible costs and activities.
The COTA – On‑Farm Climate Action Fund is a targeted on‑farm climate program for organic producers.
According to program information:
Funding covers three main BMP areas:
The program also offers:
COTA’s OFCAF gives financial help for BMP adoption, with project funding up to $100,000, depending on project scope and approved costs.
Besides OFCAF, other programs support on‑farm improvements:
Poultry and Egg On‑Farm Investment Program (AAFC)
Ag Demonstration of Practices and Technologies (ADOPT) – Saskatchewan
Each program has unique eligibility rules. Matching your farm profile to the right funding stream is important.
Skipping certification requirements
For COTA’s OFCAF, organic certification or transition status is required. Conventional farms cannot apply.
Claiming the same expense twice
Applying for the same cost under two federal programs can make your application ineligible.
Ignoring expert recommendations
OFCAF needs BMPs to be recommended by qualified agronomic experts. Self-designed projects may be rejected.
Not planning for cost-sharing
Grants require you to contribute. Make sure you have enough cash or in‑kind support before applying.
Q: Can conventional farms apply for the COTA On‑Farm Climate Action Fund?
No. Only organic‑certified farms or those officially transitioning to organic production can apply.
Q: Are equipment purchases eligible under on‑farm climate programs?
Sometimes. Equipment must directly support an approved BMP. Always check the program’s eligible cost list.
Q: Can I combine OFCAF funding with provincial grants?
Yes, sometimes. You must not claim the same expense twice, and total public funding limits must be followed.
Q: Do I need to finish the project before applying?
No. Most programs, including OFCAF, fund projects going forward. Expenses from before approval are usually not eligible.
Q: Is in‑kind labour accepted as a contribution?
Yes. COTA allows part of the required 15% contribution to be met with in‑kind support.
GrantHub tracks hundreds of active grant programs across Canada, including on‑farm climate and agriculture investment programs, making it easier to check which ones fit your business profile.
On‑farm climate and agriculture investment programs can help cover real costs, but eligibility details matter. Before you apply, check your certification status, BMP fit, and cost‑share capacity. GrantHub helps you compare programs like the COTA On‑Farm Climate Action Fund with other federal and provincial options, so you can focus on funding that fits your farm.
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