Grants available for ag processing ventures

Colorado

Local governments can receive up to $15,000 to help private enterprises in their areas. The Colorado Agricultural Value Added Development (CAVAD) program is offering these grants to help Colorado companies find ways to add value to their commodities and determine the potential of expanding new agricultural processing operations.

"The purpose of this program is to help add value to agricultural products produced in Colorado," said Jim Rubingh, director of the Markets Division at the Colorado Department of Agriculture. "Selling value-added products is often more profitable for the producer, and it helps to create more jobs."

In 2005, four communities were awarded CAVAD grants: Delta, for brandy production; Montrose, for cheese processing; Pueblo, for chile processing; and Mesa County for wine production.

Local governments apply for the grants on behalf of the companies, so private enterprises should approach their local government with an idea to add value to an agricultural product. The CAVAD Board reviews all applications and selects grant recipients. The money can be used to finance research on management, marketing, financing and processing.

The application deadline is March 31, 2006, and $50,000 is available. For an application form and guidelines, contact the Colorado Department of Agriculture Markets Division at 303-239-4114 or visit www.coloradoagriculture.com.

CAVAD was created to help facilitate the processing of agricultural products and commodities within the state and to serve as a resource for the state's agricultural industry. Administered by the Colorado Department of Agriculture, CAVAD was established in 2001 and is led by a board of seven individuals who are appointed by the state legislature and the governor.

Date:1/25/06