1. Minnesota Department of Agriculture
  2. Business Dev, Loans, Grants
  3. Grants
  4. Cooperative Development Grant Program

The application period for this program is closed.

The Cooperative Development Grant Program (CDG) is a competitive funding opportunity to help farmers finance new cooperatives that organize for purposes of operating an agricultural product processing facility or marketing an agricultural product or agricultural service.

Eligible applicants

Applicants must:

  • Be a new cooperative organized under Minn. Stat. 308A or 308B (incorporated on or after January 1, 2016);
  • Certify that all control of the cooperative is from farmers, family farm partnerships, family farm limited liability companies, or family farm corporations (as defined in Minn. Stat. 500.24, subdivision 2) who are actively engaged in agricultural commodity production;
  • Be operated primarily to process agricultural commodities or market agricultural products or services produced in Minnesota;
  • Receive or intend to receive agricultural commodities produced primarily by shareholders or members of the cooperative; and
  • Not allow nonpatron voting rights.

Eligible projects

Projects must support the development of new cooperatives in the production, processing, or marketing of agricultural commodities, products, or services produced in Minnesota.

Amount available

We will award up to $185,000. Grantees must complete their project within three years of signing a grant contract agreement.

  • You can request between $2,500 and $50,000 for an individual project.
  • This grant requires a match.
    • You must commit at least 50 percent of the total project cost as a match.
    • Match can be in the form of cash, in-kind contributions, or both.

Applying

The application period for the fiscal year (FY) 2026 program closed on January 5, 2026. We're tentatively planning to release the FY 2027 Request for Proposals (RFP) in fall 2026. Details on this page and in the Cooperative Development Grant RFP FY 2026 (PDF) give an overview of last year's grant. This is subject to change for FY 2027.

Contact us if you need this information in an alternative format.

These organizations may be able to help you in developing your application and completing your project:

If your agency would like to be added to this list as a resource for cooperatives or developing cooperatives, email your information to MDA.AGRIGrants@state.mn.us.

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