The Food Storage, Distribution and Retail Program supports food system partnerships in BC to advance practices, processes, infrastructure, and collaborations that will strengthen and streamline food system logistics, storage, and transportation and address supply chain bottlenecks. 

The Food Storage, Distribution and Retail Program (FSDR) is an up to $15M program funded by the Government of BC through the Ministry of Agriculture and Food (AF) and delivered by the Investment Agriculture Foundation of BC (IAF).

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Area of Interest:

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Overview

Approach

Eligibility

Application

Prioritization

Resources

Background

The FSDR program is under the Food Affordability and Innovation Fund (FAI), an up to $20M fund. FAI aims to improve the affordability of food in BC through targeted investments in supply chains, food system innovations and partnerships. Specifically, the Fund will support approaches and collaborations at strategic nodes along the food supply chain to strengthen and streamline logistics, storage and transportation and improve access to affordable food, particularly in remote, rural, and/or indigenous communities. Learn more about FAI.

Program Goal

To support food systems partnerships in BC to advance practices, processes, infrastructure, and collaborations that will strengthen and streamline food system logistics, storage, and transportation and address supply chain bottlenecks.

Program Objectives

  • Improve and enhance food aggregation, storage, and distribution.
  • Improve infrastructure and supply chain logistics within BC’s food system.
  • Improve the supply of food to rural, remote, and/or Indigenous communities.
  • Increase access to affordable food for British Columbians.

Approach

Funding will be allocated to support eligible activities in two key focus areas. Each funding stream will have set cost-share ratios and funding limits, outlined below.

Stream 1: Regional Distribution Networks and Shared Storage

  • Funding Allocation: $10.5M to improve regional distribution networks and shared storage capacity.
  • Applications will be accepted through a two-step process, consisting of:
    • Expression of Interest (EOI)
    • Full Project Application

Stream 2: Independent or Co-operative Grocery Retailers

  • Funding Allocation: $5M to improve the operational capacity of independent grocery retailers.
  • Applications will not require the submission of an Expression of Interest and will be accepted throughout a six-week intake window.

Program Structure

Funding is available to industry through the following streams:

Funding Stream
Project Funding Limits
Cost-Shared Ratio
Stream 1: Regional Distribution Networks and Shared Storage Min. $100K to $3M Max.* 75%
Stream 2: Independent or Co-operative Grocery Retailers Min. $25K to $150K Max. 75%

*Exceptions may be made on case-by-case basis for projects targeting indigenous communities that are below the $100,000 Stream 1 minimum size but are strongly aligned with program objectives.

Note: The total funding for the parent organization and all subsidiaries cannot exceed the project funding limit of $150K.

Stacking

Stacking of funds from other government programs is allowed up to 100%, provided other funds are not from programs delivered by IAF.

Eligibility Criteria

Eligible Applicants

To be considered eligible to apply for this program, an applicant must be a BC-based organization working within BC’s food system and with a minimum of 2 years of operations.

Stream 1: Regional Distribution Networks and Shared Storage

Stream 1 is open to BC-based agriculture and seafood input suppliers, producers, food processors, industry associations and small-to-medium sized businesses along the food supply chain. Eligible organizations or partnerships in Stream 1 can include:

  • Input suppliers
  • Producers
  • Processors
  • Co-packers
  • Distributors
  • Wholesalers
  • Independent retailers
  • Industry associations
  • Commercial food hubs
  • Indigenous nations and organizations

Commercial food hubs refer to shared-use food and beverage processing facilities that offer food and agriculture businesses access to commercial processing space, equipment, expertise and resources to support business development and growth.

Note: Other value-chain/industry members, such as academic or agritech companies, can be partners on projects, but not direct applicants for funding.

Stream 2: Independent Grocery or Co-operative Retailers

Only Independent or Co-operative Grocery Retailers are eligible to apply for Stream 2.

Independent Grocery Retailers must meet the NAICS definition of what constitutes a grocer NAICS code 44511. This definition is accepted by all government in North America–Canada, US and all provinces, territories and States. The 44511 definition:

This industry comprises establishments, known as supermarkets and grocery stores, primarily engaged in retailing a general line of food, such as canned, dry and frozen foods; fresh fruits and vegetables; fresh and prepared meats, fish, poultry, dairy products, baked products and snack foods. These establishments also typically retail a range of non-food household products, such as household paper products, toiletries and non-prescription drugs. (Statistics Canada)

Eligible Projects

All projects and activities must align with the program goal of supporting BC food systems partnerships to advance practices, processes, infrastructure, and collaborations that will strengthen and streamline food system logistics, storage, and transportation and address supply chain bottlenecks.

See ‘Project Examples’ below.

Partnerships and broad benefit may be prioritized for regional distribution and shared storage projects to determine funding allocations, however, are not required for independent grocers applying to Stream 2.

Note: For this program, the term “broad benefits” means the benefit of the project activities extends beyond a single person or business. For example, the benefits extend to the community, environment, or towards increasing food security within the food system.

Eligible Activities and Expenditures

Eligible project activities and costs are those that support improvements to regional distribution networks and shared storage capacity, and/or improvements to operational capacity of independent grocery retailers.

This can include purchasing, developing, or upgrading equipment, facilities, and infrastructure.

Project activities must clearly demonstrate alignment with the program goal and objectives. This can be by:

  • Having a direct impact on rural, remote and/or Indigenous communities (areas that are more prone to being cut off from their food supply during emergencies or have difficulty accessing food affordably due to high costs/challenges of transporting food to those communities).
  • Supporting the role of independent grocers in providing access to affordable food in rural, remote, and/or indigenous communities.
  • The purchase, development, or upgrade of facilities, equipment or infrastructure that support stronger food system partnerships.

Project Examples

The following project activities and/or expenses are examples of what is eligible for funding through the Food Storage, Distribution and Retail Program.

  • Warehousing and storage facility improvements that reduce costs and increase food volumes, such as shared facilities at key nodes along the supply chain.
  • Innovative transportation models that reduce costs and increase food volumes, such as shared transportation networks that pool shipments.
  • Partnerships to improve collaboration within the supply chain and increase food supply to specific communities, including through direct sourcing or bulk purchasing of ingredients (by processors) or produce (by independent retailers) and freight optimization.
  • Practices and processes that reduce strengthen supply chains, and increase food availability, such as mobile grocers, inventory management, or aggregation initiatives.
  • Implementation of technologies that improve the efficiency of the food supply chain, such as digitized inventory management.
  • Advance the use of artificial intelligence and data-driven insights on transportation providers and available options such as routes and compatibility of shipments, or to explore automation that offers end-to-end tracking to maximize the logistics of existing transportation modes to their fullest potential (e.g., periods of greater availability of commercial vehicle space on the coastal ferry system).

  • Replacement of dated and inefficient refrigeration and freezers.
  • Upgrades to retailing technology that provide for predictive detection along with remote or shared service maintenance.

Ineligible Activities and Expenses

The following participants, activities and expenses are not eligible to be funded under the Food Storage, Distribution and Retail Program. This list is not exhaustive and is meant to be used as a guideline.

Ineligible Applicants

  • Non-independent retailers (i.e. national chains).
  • Manufacturers of alcoholic beverages.
  • Pet food, cannabis-infused products, and/or nutritional supplements.
  • Restaurants and food service, including catering services.
  • Provincial or federal agencies.
  • Non-B.C. based businesses.
  • New entrants, with less than two years of operations.

Ineligible Activities and Expenses

  • In-kind activities.
  • Any costs not specifically required for the execution of the project.
  • Equipment, facilities, and infrastructure investments that do not support B.C.’s food supply chain and address supply chain bottlenecks.
  • Direct income support.
  • Core operational expenses.
  • Existing operating expenses.
  • Staff wages not directly related to the implementation of project activities.
  • Regular capital expenditures, machinery costs, and general operating expenses made in the ordinary course of business.
  • Export subsidies.
  • Direct advertising/promotion.
  • Costs related to activities that directly influence or lobby any level of government.
  • Research and development-specific projects.
  • Planning or training specific projects.
  • Individual business support for food safety and other certification processes.
  • Purchasing new facilities or real estate.*

*Applicants may consider building on land currently owned.

Applications

Stream 1: Regional Distribution Networks and Shared Storage

  • Applicants are required to complete a two-step application process. An Expression of Interest (EOI) can be submitted starting September 28, 2023, until October 26, 2023, at 4:30 pm PST. EOI submissions will be accepted through the IAF Client Portal.
  • Eligible applicants/projects will be notified with an Invitation to Apply and be invited to complete a full application. If you are invited to apply, you will have 30 calendar days to submit a complete online application and provide documents.
  • An invitation to complete a full application is not a guarantee of funding.

Stream 2: Independent or Co-operative Grocery Retailers

  • Applicants are required to complete an online application. Applications will be accepted on a continuous basis starting September 28, 2023, until November 9, 2023, at 4:30 pm PST. Applications submissions will be accepted through the IAF Client Portal.

All Stream 1 and Stream 2 projects must receive IAF approval before starting activities or incurring any project costs. All projects can be 24 months in duration and must be completed no later than February 1, 2026. Retroactive approval of costs incurred prior to project approval will not be considered.

Reminder: Don’t wait to create your account on the IAF Client Portal. It can take up to two business days for IAF Staff to verify your Organization Registration.

Important Dates

Stream 1: Regional Distribution Networks and Shared Storage

  • September 28, 2023 – Expression of Interest (EOI) Open
  • October 26, 2023, at 4:30 pm Pacific – EOI Closes
  • November 24, 2023 – Notification of ‘Invitation to Apply’
  • December 21, 2023, at 4:30 pm Pacific – Application Deadline
  • February 1, 2024 – Earliest Project Start Date
  • February 1, 2026 – Project Close

Stream 2: Independent or Co-operative Grocery Retailers

  • September 28, 2023 – Application Intake Open
  • November 9, 2023, at 4:30 pm Pacific – Application Deadline
  • January 1, 2024 – Earliest Project Start Date
  • February 1, 2026 – Project Close

Application Process

Applicants will apply through the IAF Client Portal. Please create an account and register your organization. Once the IAF Team have validated your information you will be able to begin the application process. Do not wait to start this process – it can take up to two business days to validate your organization.

The application process and required documents may vary within each funding stream. The application process will generally consist of:

REMINDER: Do not wait to start this process – it can take up to two business days to validate your organization!

  1. Go to the IAF Client Portal
  2. Create a personal profile (name and email)
  3. Provide organization information, including:
  • Name
  • Contact details
  • Type of organization
  • BC ID / CRA numbers
  • Primary contact

The purpose of the Expression of Interest (EOI) is to determine the eligibility of your organization for funding and the eligibility of the project concept. The EOI needs to align with the program goal and objectives.

Select Food Storage, Distribution, and Retail Program to provide the following information:

  • Funding stream and project type.
  • A concise project description.
  • An indicative project cost.
  • Proposed benefits / impacts.
  • Partners, if any.

Stream 2 Applications, as well as eligible applicants from Stream 1’s EOI are invited to submit a full application. The purpose of the full application is to solicit all information required for the funding decision.

  • Select the Stream 2 Application or for Stream 1 complete the new ‘Full Application’ section on your successful EOI. This will include:
    • Project start & end dates.
    • Detailed project description, project goals and objectives.
    • Provide a description of key activities/outcomes, who will undertake work and a timeline.
    • Intended benefits/impact.
    • Partnerships and communications plan.
    • Funding request/detailed project budget.

Applicants may be required to provide supplementary materials in support of their application (e.g., letters of support, CV’s, quotes). These documents can be uploaded through the IAF Client Portal as attachments to the application.

IAF staff are available to answer questions regarding eligible activities, costs and/or the application process. IAF may also contact applicants for additional information or clarification to assess or strengthen their application.

Applicants can contact fsdr(at)iafbc.ca with any questions about the program or to receive support in developing their application.

Applicants are encouraged to include only activities they are confident will be completed on time and within budget limits.

Need help with IAF’s Client Portal?

We’ve created a number of tutorials and FAQs about the IAF Client Portal to help you navigate this resource successfully.

Review and Adjudication

The review and adjudication varies depending on the stream being applied for, as Stream 1 requires a two-step application process and Stream 2 requires a one-step application process.

Stream 1: Regional Distribution Networks and Shared Storage

  • All EOIs received by the deadline will be reviewed for applicant eligibility, completeness and alignment with program goals and objectives.
  • EOIs that are eligible will be invited to submit a full application starting on November 24, 2023.
  • All full applications received by December 21, 2023 at 4:30 pm Pacific will be reviewed for activity eligibility and completeness.
  • Applications will be prioritized according to the Prioritization framework for Stream 1 and due diligence will be conducted.
  • Funding decisions will be made and communicated within 60 days of the application deadline.

Stream 2: Independent or Co-operative Grocery Retailers

  • All full applications received by November 9, 2023 at 4:30 pm Pacific will be reviewed for applicant eligibility, activity eligibility and completeness.
  • Applications will be prioritized according to the Prioritization framework for Stream 2 and due diligence will be conducted.
  • Funding decisions will be made and communicated within 60 days of the application deadline.

Funding will be awarded based on eligibility, alignment with program goal and objectives, and prioritization criteria, subject to available funds.

All adjudication decisions are final.

Eligible applicants which rank equally with each other in the Prioritization Criteria will be funded according to the date and time on which the full application was submitted through the IAF Client Portal.

EOIs and applications may be assessed by a technical review / advisory committee and/or the Ministry of Agriculture and Food as required. If funding is not fully committed through the first intake, a second intake may be considered.

Notifications & Obligations

Funding Notifications & Contracts

If the project is approved, IAF will inform the applicant of the details of the decision and any associated terms and conditions. The applicant then enters into an agreement with IAF which outlines the obligations of each party.

Funding is application and project-specific and must be used for the approved project and related expenses. Funds are non-transferable.

If an Applicant is advised their project has been approved and the Applicant starts incurring costs, no costs are eligible for reimbursement unless a Contribution Agreement is ultimately signed between the applicant and the Investment Agriculture Foundation. Any costs incurred prior to signing of a Contribution Agreement, would be incurred solely at the applicant’s risk without obligation of payment with program funds.

All project activities and expenditures must be approved to be eligible for funding reimbursement.

Notice of an ‘Invitation to Apply’ to Stream 1 applicants will be issued within 30 days. Stream 2 applicants can expect to receive a funding decision within 60 days of the application deadline. Stream 1 and 2 projects may begin on or after January 1, 2024, and must be completed within 24 months by or before February 1, 2026. Retroactive costs may be considered on a case-by-case basis for Stream 1 projects.

If the project is not approved, the applicant will receive a written response from IAF.

Changes to Contracted Projects

If you are not able to complete your project or require a change, please inform the IAF Team as soon as possible using the IAF Client Portal.

Funding Acknowledgement

This program is funded by the Government of BC, as such acknowledgement of funding is required when publicly communicating about a project and/or funding. To ensure appropriate acknowledgement, all communications and marketing materials, including public announcements or social media posts, must be pre-approved by the IAF Communications Team. Materials can be submitted via the IAF Client Portal.

Reporting Requirements

Successful applicants must complete one or more activity and financial reports to receive payment from the program. This report must be filled out and submitted to IAF to be considered for funding reimbursement. It is important that reports are submitted on time and with all the required information. Please retain all invoices and receipts, you may be asked to submit some or all receipts/invoices following a review of your report by the IAF Team. Expenses will be reimbursed based on the approved project budget and/or audited receipts. All reporting will be completed via the IAF Client Portal.

Application Prioritization Criteria

Stream 1: Regional Distribution Networks and Shared Storage

Priority 1: Applications will be assessed on their Geographical Scope. Applications that (a) target rural and remote locations in BC and (b) benefit multiple locations will be prioritized.
Geographical Scope Priority 1a: Rural and Remote Locations
Locations that are outside urban areas (i.e., rural) or that are difficult to access (i.e., remote).
Priority 1b: Multiple Locations
More than one location is projected to positively impact from proposed activities.
Priority 2: Based on the geographical scope, the application will then be prioritized based on its potential to have broad benefits. Applications that intend to (1) meet multiple outcomes of the program and (2) have multiple beneficiaries will be prioritized.
Broad Benefit Key Outcomes Objectives
Regional distribution networks improved.
Volume of shared storage capacity increased.
Beneficiaries
Project benefits extend beyond the applicant and multiple beneficiaries will benefit.
Priority 3: Based on the geographical scope and broad benefit, the application will then be prioritized based on its potential for impact. Applications that (1) directly impact the volume and diversity of food available and (2) anticipate realizing their intended impact within 12 – 18 months of project completion will be prioritized.
Project Impact Scale of Impact
Project will improve the supply chain to positively impact the volume and/or diversity of food moving through the distribution
system providing better access to food for BC citizens.
Timeline of Impact
The benefits of the project will be realized within 12 – 18 months of the project being completed.

Stream 2: Independent or Co-operative Grocery Retailers

Alignment with program objectives:

Priority 1.1  Improving supply of food to rural, remote, and/or indigenous communities.
Priority 1.2  Improving and enhancing food aggregation, storage, and distribution.
Priority 1.2 (equal with above) Improving infrastructure and supply chain logistics within BC’s food system.

Eligible applicants which rank equally with each other in the Prioritization Criteria will be funded according to the date and time on which the completed application was submitted through the IAF Client Portal.

Ready to Apply?

Stream 1: Applications are closed.

Stream 2: Applications are closed.

Resources

FAQ

A commercial food hub refers to to shared-use food and beverage processing facilities that offer food and agriculture businesses access to commercial processing space, equipment, expertise and resources to support business development and growth.

Yes, seafood businesses are eligible to apply.

This program has been designed to support projects that can strengthen the supply chain and reduce bottlenecks for areas of the province that are most prone to being cut off from their food supply during emergencies or have difficulty accessing food affordably due to higher costs of transportation and storage.

A farm business is a separate legal entity which can enter into contracts that either owns or leases the land which project activities will occur on.

Retroactive costs may be considered on a case-by-case basis for Stream 1 projects.

IAF provides payments by EFT (direct deposit). To get your EFT information set up to ensure timely delivery of your payment(s), please follow the directions provided here to update your client portal.

Successful applicants must complete one or more activity and financial reports to receive payment from the program. Payment schedules will be provided in the Contribution Agreement executed with the project proponent.

Maximum of 24 months to complete your project. All projects must be completed by February 1, 2026.

Please provide the status of the permit and any supporting documentation at the time of application. Permits

All recipients are required to comply with all necessary laws and regulations.

No, GST is not eligible for reimbursement.

When reporting you may be asked to submit an image of the equipment (or similar) serial number. The serial number must match the serial number on the submitted invoice. Expenses will be reimbursed based on the approved project budget and/or audited receipts. All reporting will be completed via the IAF Client Portal.

Have a Question?

Contact the IAF Team

Food Storage, Distribution and Retail Program Guide

Download the Food Storage, Distribution and Retail Program Guide.

Funding Acknowledgement Requirements

Download the Funding Acknowledgement Requirements for the Food Storage, Distribution and Retail Program.

Have a Current Project?

Please visit the program’s Project Resource Hub for more information.

CAP Logo, Province of BC Logo, Government of Canada Logo

We gratefully acknowledge the financial support of the Province of British Columbia through the Ministry of Agriculture and Food.