Iowa Pumps Up Dairy Innovation with New Grants

By Andi Anderson

The Iowa Secretary of Agriculture, Mike Naig, recently unveiled the Choose Iowa Dairy Innovation Grant Program, designed to enhance on-farm dairy processing, reduce farm labor costs, and increase the availability of Iowa dairy products. Authorized during the 2023 legislative session and administered by the Iowa Department of Agriculture and Land Stewardship, the program has a $750,000 budget for its inaugural year. 

Targeting smaller dairies and farmers, the competitive program will match up to $100,000 per project. Drawing inspiration from successful Iowa cost-share grant programs, such as the Choose Iowa Value-Added Grant and the Butchery Innovation and Revitalization Program, the initiative aims to bolster local food availability and processing capacity. 

Secretary Naig, emphasizing Choose Iowa as the state's flagship brand for local food and beverages, highlighted the program's goal of connecting consumers with Iowa-made products. By assisting dairy farms in acquiring on-farm processing equipment or labor-saving technology, the initiative aims to expand the variety of locally produced dairy products. 

Cost-share grants may be utilized for investments in pasteurization equipment, processing vats, packaging and labeling, robots, health monitoring, automated feeding systems, or cleaning assistance. However, start-up costs, advertising, public relations, salaries, existing debt, and expenses predating the grant award are not covered. 

The eligibility criteria include being located in Iowa, having fewer than 50 employees, and being in good standing with regulatory agencies. Only dairies permitted and inspected by the Iowa Department of Agriculture and Land Stewardship qualify. Application details, financial matching requirements, and scoring criteria are available on the Choose Iowa website. 

Examples of eligible scenarios include Farmer A seeking funding for a $120,000 rotary cup filling machine, Farmer B purchasing $65,000 health monitoring equipment, and Farmer C applying for $100,000 for two $380,000 robotic milkers. 

Applicants should submit proposals through the online portal on the Choose Iowa website by 12:00 p.m. on Friday, February 9, 2024. Grant recipients will be announced in March 2024. For inquiries, contact Choose Iowa Director Beth Romer at chooseiowagrant@iowaagriculture.gov. 

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