(MAPAQ) - Food Processing Program - Component 2
At a glance
- From 25,000$ to 150,000$
- 50% of project cost
- Open Date : April 04, 2024
- Agriculture, forestry, fishing and hunting
- Ministry of Agriculture, Fisheries and Food
Overview
Eligibility criteria
Applicants who meet all of the following requirements are eligible:
- Are companies registered with the Quebec Enterprise Register;
- Are applying for financial assistance for an establishment they operate in Quebec;
- Have been in operation for at least one full year (12 months);
- The establishment for which the application for financial assistance is submitted meets at least one of the following conditions:
o It carries out food processing activities or at least two other activities recognized by the Ministry whose food products are, at the time of application, offered on the wholesale market or online sales;
o Operates a central kitchen;
- Present, in their most recent annual audited financial statements, reviewed or compiled by a chartered professional accountant (CPA) :
o Minimum sales of $300,000 related to food processing activities or other activities recognized by the Ministry;
o Minimum equity of $100,000
Who is eligible
- Companies registered with the Registraire des entreprises du Québec.
- Companies operating an establishment in Quebec.
- Businesses that have operated an establishment for at least one full year (12 months).
- Companies whose establishments meet at least one of the following conditions:
- Food processing activities or at least two other activities recognized by the Ministry.
- Operation of a central kitchen.
- Businesses with annual sales of at least $300,000 and equity of at least $100,000 in their most recent annual audited financial statements, reviewed or compiled by a CPA.
Who is not eligible
Ineligible applicants Ineligible applicants include
- Applicants whose establishment for which financial assistance is requested holds a local slaughterhouse or slaughterhouse under permanent inspection permit granted under the Food Products Act (RLRQ, chapter P-29);
- Applicants whose establishment for which financial assistance is requested holds a license to slaughter animals for human consumption (federally inspected slaughterhouse) granted under the Canadian Food Safety Regulations;
- Applicants whose establishment for which financial assistance is requested manufactures cheese and holds a dairy plant operating permit, granted under the Food Products Act (RLRQ, chapter P-29);
- Applicants whose processing establishment exclusively processes livestock feed; 15
- Applicants whose aquatic product processing establishment is located in the maritime regions and whose main activity is the preparation and canning of aquatic products (NAICS code 3117);
- Government departments, budget-funded bodies, non-budget-funded bodies, Crown corporations referred to in Schedules 1 to 3 of the Financial Administration Act (R.S.Q., chapter A-6.001), corporations controlled directly or indirectly by a government (provincial or federal) or by a government corporation (provincial or federal), or corporations controlled directly or indirectly by a government (provincial or federal) or by a government corporation (provincial or federal).
- Financial cooperatives and banking institutions;
- Applicants registered in the Registre des entreprises non admissibles aux contrats publics (RENA), including their subcontractors registered in the RENA, accessible at the following address: https://amp.quebec/rena/;
- Applicants who, during the two years preceding the application for financial assistance, have failed to meet their obligations after having been duly served with formal notice by the Minister, in connection with previous financial assistance granted by the latter;
- Applicants who are subject to an order issued by the Minister or a judge under the Animal Welfare and Safety Act (RLRQ, chapter B-3.1);
- Applicants who are for-profit companies with more than 100 employees, who are requesting financial assistance of $100,000 or more, and who are unable to meet the requirements of the Equal Access to Employment Program;
- Applicants who are under the protection of the Companies' Creditors Arrangement Act (R.S.C. [1985], chapter C-36) or the Bankruptcy and Insolvency Act (R.S.C. [1985], chapter B-3).
Eligible expenses
- Purchase, delivery and installation of new or used equipment from an equipment supplier, with a minimum three-month warranty.
- Purchase and implementation of an enterprise resource planning system.
- Fees and travel expenses for external experts with no business ties to the claimant.
- Part of the remuneration of the internal expert responsible for implementing the project, corresponding to the time directly devoted to carrying out the project (may not exceed 30% of the total financial assistance).
- Design of plans and specifications for project implementation that have not received financial support under Component 1.
- Acquisition of specialized software and equipment required to carry out the project.
- Subscription fees for specialized software for up to one year.
- Staff training costs, including travel expenses in accordance with the scales set out in the Recueil des politiques de gestion du gouvernement du Québec.
Eligible projects & activities
Eligible projects To be eligible, projects must meet the following conditions:
- Have eligible expenses of at least $50,000;
- Have a maximum duration of 36 months from the date financial assistance is granted;
- Demonstrate an increase in workforce productivity, as demonstrated by a diagnostic study
concern food processing activities or other activities recognized by the Ministry and carried out by the applicant;
- Consist of at least one of the following projects:
o Automation, robotization or digitization of processes;
o Implementation or adaptation of ERP software.
For companies operating a central kitchen, only the latter may be the subject of a project under this component.
Eligible geographic areas
Companies in Quebec
Evaluation & selection criteria
Projects are submitted on an ongoing basis. All complete applications for financial assistance, for which both the applicant and the project are eligible, will be analyzed by representatives of the Minister, based on the following criteria:
- Relevance of the project to the objective of the component;
- Concordance between the diagnosis and the presentation of the project in the application for financial assistance;
- Targeted workforce productivity gains following project completion;
- Feasibility, realism and viability of the project;
- The technical, organizational and administrative capacities required to carry out the project;
- The viability and financial performance of the applicant;
- Contribution to sustainable development. The Minister's decision will be communicated to the applicant by e-mail.
How to apply
On-line application form sent via the MAPAQ website - Processing takes 2 to 4 weeks. An advisor in charge of the application file will contact the applicant and follow up on the progress of each application.
- Prepare the Application:
- Gather all required documents, which include the filled and signed financial aid application form, financing plan, annual financial statements, productivity diagnosis, equipment bids (if available), documents justifying ministerial enhancement, and required environmental and municipal authorizations.
- Submit the Application:
- Send all required documents in French via email to the specified program address: transfo@mapaq.gouv.qc.ca.
- Acknowledgement of Receipt:
- After submission, you will receive an acknowledgement of receipt from the Ministry. If additional information is needed or a document is missing, the Ministry will contact you.
- Assessment of Admissibility:
- The Ministry will evaluate whether the application is complete and whether both the applicant and the project are eligible. Incomplete applications will be rejected.
- Project Analysis:
- If the application is admissible, a representative from the Ministry will analyze the application based on its relevance, alignment with the productivity diagnosis, productivity gains, and other criteria such as feasibility and viability of the project.
- Decision:
- After analysis, the Ministry will inform you of its decision to fund or not fund the project. If approved, a financial aid agreement will be sent for you to sign. If rejected, a decision notice explaining the reasons will be sent.
- Request for Review (if necessary):
- If you wish to contest the decision, an appeal can be made within 20 business days following the decision notification. The necessary form is available on the program's website.
Additional information
- Maximum rate of financial assistance : 50% of eligible expenses
- 10% bonus for projects meeting ministerial or government priorities In the case of equipment purchased from a supplier registered with the Quebec Business Register, the bonus applies only to the eligible expense, not to all eligible expenses.
- Minimum amount of assistance granted : $25,000
- Maximum amount of assistance : $150,000 per establishment for the duration of the Program
- Type of contribution from applicant and partners : Cash
- Applicant's minimum private funding : 20% of eligible expenses
Contact information
The Food Transformation Program, Phase 2 — Workforce Productivity, offered by the Ministry of Agriculture, Fisheries and Food of Quebec (MAPAQ), represents a significant opportunity for Quebec's food sector businesses that are eager to enhance their productivity through automation and robotics. This program is specifically designed to encourage innovation and efficiency among companies actively involved in food processing or other ministry-recognized activities.
The main goal of this phase is to increase workforce productivity by integrating advanced technologies that can significantly transform the daily operations of businesses. For example, adopting integrated management systems or automating certain production lines could not only increase production rates but also reduce human errors and improve overall product quality.
To be eligible for this program, companies must be registered with the Quebec Enterprise Registrar and have operated a facility in the province for at least twelve months. Additionally, they must have generated an annual revenue of at least $300,000 and possess at least $100,000 in equity, demonstrating their financial stability and capacity to sustain medium to long-term investments.
The application process begins with the preparation and submission of a complete set of necessary documents, including a properly filled financial aid application form, a detailed financing plan, the latest audited financial statements, a productivity diagnosis, and any required environmental and municipal authorizations if the project demands it. It is important to note that all these documents must be submitted in French and in a single email to the address provided by MAPAQ, ensuring that the application is processed efficiently and within the required timelines.
Once the application is submitted, the ministry sends an acknowledgment of receipt to the applicant. This step is crucial as it confirms that the file is in the hands of MAPAQ and ready to be assessed. The ministry then verifies the completeness of the application. If additional information is needed or documents are missing, the applicant will be informed. This step requires responsiveness and attention from the applying company to ensure that the application can smoothly progress to the next phases.
The application evaluation phase is rigorous. MAPAQ analyzes the relevance of the project in relation to the program's objectives, the financial viability of the company, and the consistency between the productivity diagnosis and the proposed solutions. The analysis also covers the technical and organizational capabilities of the company to successfully carry out the project. This detailed evaluation is essential to ensure that public funds are invested in projects that not only meet the program's criteria but are also likely to succeed and contribute to the local economy.
If the project is accepted, a financial aid agreement is sent to the applicant for signing. This document outlines the conditions and modalities of the financial aid, legally framing the commitments of both parties. In case of rejection, a decision notice is sent to the applicant, explaining the reasons for the refusal, which can be a valuable source of information for improving future applications.
Companies whose applications are rejected can request a review of the decision within twenty business days. This step is an important right for applicants, allowing them to ensure their application was fairly evaluated according to the program's guidelines.
The Food Transformation Program, Phase 2, is thus a well-structured initiative that supports businesses in their growth and adaptation to new technologies. For food sector companies in Quebec, this program represents a chance to fund projects that might otherwise be out of reach due to financial constraints, thereby boosting their competitiveness in both local and international markets.
