Dairy Innovation Program (DIP)
Highlights
The Dairy Innovation Program is designed specifically for dairy processors like you. This program ensures you have the milk supply needed to create new and innovative dairy products without affecting your current provincial milk allocation. By participating, you can help increase the overall demand for milk, benefiting both your business and the industry.
Why Apply?
- Access to Milk Supply: Guaranteed milk supply for new product development.
- Allocation Credits: Receive allocation credits that do not convert into quota, providing flexibility.
- Support for Innovation: Encourages the creation of new dairy products, helping you stay competitive.
Benefits
- Increased Demand: Boosts overall milk demand, potentially increasing your sales.
- No Impact on Existing Supply: Your current milk supply allocation remains unaffected.
- Provincial Credit Sharing: Provinces can share allocation credits, enhancing resource management.
Applying is straightforward, and the benefits are substantial. This program offers a unique opportunity to innovate and grow your business with the support of the Canadian Dairy Commission.
Financing Details
Type of Financing: Grant
Repayment Terms and Interest Rates:
- No repayment required.
- No interest rates apply.
Eligible Expenses:
- Research and development of new dairy products.
- Purchase of equipment directly related to innovation.
- Marketing and promotional activities for new dairy products.
- Training and development for staff involved in innovative processes.
Ineligible Expenses:
- General operational costs not related to innovation.
- Purchase of real estate.
- Debt refinancing.
- Salaries for existing staff not involved in innovation.
Fees:
- No application fees.
- No administrative fees.
Qualifications
- Must be a dairy processor.
- Must be producing innovative dairy products.
- Must require access to milk for production without affecting existing provincial milk plant supply allocation.
Must be located in a province that supplies milk for the new DIP contracts.
Disqualifications:
- Businesses that do not process dairy products.
- Businesses not producing innovative dairy products.
- Businesses that do not require additional milk access beyond their existing provincial milk plant supply allocation.
Description
The Dairy Innovation Program is designed to help your business create new and innovative dairy products. You can receive an allocation credit for the milk needed to develop these products without affecting your existing milk supply. This means you can experiment and innovate without worrying about your current milk allocation.
The program aims to boost overall milk demand by encouraging new product development. This can lead to increased sales and growth for your business. The allocation credits are provided on an end-use butterfat basis, ensuring you have the necessary resources for your innovative products.
There is no payback period for these allocation credits, and they cannot be converted into quotas. This allows you to focus on developing new products without the financial burden of repayment. The program provides a unique opportunity to expand your product line and grow your business in the dairy industry.
Program Steps
Gather Required Documentation: Prepare the following documents to complete your application:
- Business plan
- Financial statements (last two years)
- Proof of business registration
- Details of the innovative dairy product you plan to produce
- Any existing contracts or agreements related to the new product
Complete the Application Form: Fill out the Dairy Innovation Program application form available on the Canadian Dairy Commission's website.
Submit the Application: Send the completed application form along with the required documentation to the Canadian Dairy Commission. You can submit it via email to [email protected] or mail it to their office.
Review and Follow-Up: After submission, the Canadian Dairy Commission will review your application. Be prepared to provide additional information or clarification if requested.
Await Approval: Once your application is reviewed, you will be notified of the decision. If approved, you will receive details on the allocation credit and next steps.
Implement Your Project: Upon approval, begin producing your innovative dairy product as outlined in your application. Ensure compliance with all program requirements and reporting obligations.