Get funding of up to $1 million (small businesses) or $20 million (larger businesses) to cover the project costs of diversifying into new product streams or implementing innovative process improvements.

Eligibility criteria

The eligibility criteria for this grant are as follows:

Legal entities validly incorporated or registered in Canada including for-profit and not-for-profit organizations such as companies, industry associations, and research associations
Indigenous organizations and groups
Provincial, territorial, regional, and municipal governments and their departments and agencies where applicable

Who is eligible

Legal entities validly incorporated or registered in Canada are eligible for this grant, including for-profit and not-for-profit organizations such as companies, industry associations, and research associations, Indigenous organizations and groups, and provincial, territorial, regional, and municipal governments and their departments and agencies where applicable.

For-profit organizations
Not-for-profit organizations
Indigenous organizations and groups
Provincial, territorial, regional, and municipal governments and their departments and agencies

Who is not eligible

Some type of companies may not be eligible for this grant, summary below:

Companies not validly incorporated or registered in Canada

Eligible expenses

The eligible expenses for this grant include costs related to adopting transformational technologies and diversifying product streams in the forest sector. Eligible expenses may cover project costs such as technology deployment, product development, and environmental outcomes.

Technology deployment
Product development
Environmental outcomes

Eligible projects & activities

The Investments in Forest Industry Transformation (IFIT) program offers funding for projects that adopt transformative technologies in the Canadian forest sector to increase industry competitiveness and environmental sustainability. Eligible activities include capital investment projects that deploy innovative technologies and diversify product streams, as well as studies that assess the feasibility of forest sector innovations.

Capital investment projects that enable the adoption of transformational technologies in the forest sector.
Studies linked to the advancement of innovation in the forest sector to support future capital investments or strategic shifts by forest sector firms.

Evaluation & selection criteria

The IFIT program uses a two-phase application process with evaluation and selection criteria to prioritize eligible projects:

Applications will be assessed against the specified Rated Program Criteria that can be found in the Applicant Guidebook.
Final funding decisions will consider funding requested per year and IFIT budget availability, distribution of funding across Canada, and projects addressing targeted innovation categories.

How to apply

Step 1: Complete the Expression of Interest (EOI) form
Provides high-level information about your business and project
Requires logging in with a GCKey through the NRCan Online Submission Portal
Submission for the stream you are applying for
Form takes 30 to 60 minutes to complete
Preparation of responses offline is recommended
Step 2: Submit the EOI form
Program staff will screen your EOI and contact you about next steps
Step 3: If selected, complete the Full Project Proposal (FPP)
Additional information and documentation required, such as business financials and project plans
Applications assessed against specified Rated Program Criteria
Final funding decisions made based on assessment results and other criteria

Documents and links

Investments in Forest Industry Transformation — Capital Investment Projects

Apply to this program

Grant Summary:

The Investments in Forest Industry Transformation (IFIT) program in Canada provides funding to support the adoption of transformative technologies and products in the forest sector, aiming to enhance industry competitiveness and environmental sustainability through innovative projects.

Grant Details:

The Investments in Forest Industry Transformation (IFIT) program was established in 2010 to encourage the adoption of revolutionary technologies in the Canadian forest sector, bridging the gap between development and commercialization. By offering non-repayable contributions of up to $10 million for capital investment projects and up to $1 million for studies, the program supports initiatives that lead to new or diversified revenue streams while promoting low-carbon alternatives. IFIT focuses on fostering a more competitive and environmentally sustainable forest sector by funding projects that enhance energy efficiency, decarbonize industrial processes, and explore bioenergy carbon capture technologies.

Capital investment projects supported by IFIT have resulted in the deployment of innovative technologies and advanced bioproducts derived from wood, such as bioenergy, bioplastics, and biochemicals. These projects have had a significant impact on forest-reliant communities, securing thousands of direct and indirect jobs. Through the studies stream, IFIT funds feasibility studies to assess the market potential and technology viability of innovative projects, paving the way for future capital investments and strategic shifts within the forest sector.

To be eligible for IFIT funding, applicants must be legal entities registered in Canada, including for-profit and not-for-profit organizations, Indigenous groups, and government entities. The program operates through an Expression of Interest (EOI) process, with multiple application windows for project submissions and subsequent funding decisions. Applicants selected to advance to the Full Project Proposal (FPP) phase will undergo a comprehensive evaluation based on specific program criteria to determine funding allocation. IFIT aims to establish a prioritized list of eligible projects that align with its innovation goals and environmental impact objectives.

Through ongoing webinars, program updates, and a transparent application process, IFIT strives to support the forest sector's transformation and contribute to Canada's position as a leader in sustainable forest practices. By investing in projects that integrate cutting-edge technologies, IFIT plays a crucial role in driving innovation, creating new job opportunities, and fostering a more resilient and environmentally conscious forest industry.