Cooperative Development Grant Program

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% of the total project cost as a match.
  • Match can be in the form of cash, in-kind contributions, or both.

Applying

Applications are due by 4 p.m. Central Time (CT) on Monday, January 5, 2026.

• Carefully read the Cooperative Development Grant Request for Proposals (RFP) for eligibility and requirements.
• Apply online.
  • If you’re a new user, you need to create an account first.
  • Once you are logged in, select “Cooperative Development Grant FY26.”
• Submit questions in writing before 4 p.m. CT on Monday, December 29, 2025.
  • Email MDA.AGRIGRANTS@state.mn.us with “Cooperative Development Grant” in the subject line.
  • Note: MDA employees are not authorized to give advice on any applications. Applicants who solicit or receive advice from unauthorized MDA employees may be disqualified from eligibility for a grant award.

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