Feds announce $3 billion plan to support Canadian food industries

A federal food security strategy with a $3 billion price tag has just been announced.

A release today by Employment and Social Development Canada has revealed the launch of the official National Food Security Strategy.

This decade-long initiative, according to the release, will “drive productivity and innovation, support independent grocers, and create greater competition across Canada’s food system to help lower prices for Canadians.”

Key takeaways from the announcement point out that $1 billion of this lump sum will be put toward infrastructure, via expanding food terminals and hubs to better support independent grocers and avoid price standards set by large grocery chains.

Another $1 billion will be set aside for the new Agri-food Project Finance Fund, alongside a $150 million Food Security Fund, both of which have been designed to stimulate domestic food production and maintain crop value in Canada.

“By reducing red tape and helping innovative businesses get projects off the ground faster, we will unlock new opportunities for farmers, food processors, and entrepreneurs across the agri-food sector,” Heath MacDonald, Minister of Agriculture and Agri-Food, said in a statement.

Blanket food production incentives are not the only part of the plan, as according to the feds, $750 million has been put aside to expand food production in ‘vertical farms’ to reduce reliance on inconsistent supply chains.

A sweeping mandate removing red tape has also been implemented, which will modernize approvals for seeds, feed, fertilizers, and other products, while also allowing farmers to access critical tools faster.

Macdonald further stressed the importance of this incentive, as Canadians have been struggling with food access for years, stating, “The National Food Security Strategy is about giving Canadians greater choice, control, and access to affordable, locally produced food.”