Up to $1 million for agriculture, food and beverage businesses to invest in expansion or relocation of their value adding and manufacturing operations in WA.
Current status of program
CLOSED
To register your interest in future rounds or discuss alternative grant opportunities please contact us here.
On this page you will find
What is the Value Add Investment Grants
The Value Add Investment Grants (VAIG) Program supports agriculture, food and beverage businesses to invest in the expansion or relocation of their value adding and manufacturing operations in WA. It also supports the planning of expansion projects through feasibility study grants.
The VAIG is a major competitive grant program of the Department of Primary Industries and Regional Development (DPIRD), which is designed to build resilience within the agribusiness, food and beverage value adding industries and reduce WA’s reliance on imported products.
Since 2018, $23.8 million has been awarded by the state for grants to support direct capital investment by value-adding processing and food and beverage businesses. Funding has targeted businesses with growth potential to invest in new projects or expansion opportunities that build competitiveness and sustainability, grow the food and beverage sector, create jobs, and diversify the economy.
The VAIG program comprises two grant streams:
- Feasibility stream
- Capital Investment stream
The Feasibility stream provides the opportunity for eligible businesses to receive funding for planning, feasibility and other de-risking activities which a business plans to use to support an investment decision for qualifying capital expenditure and expansion projects relating to food and beverage manufacturing or other forms of value add processing. Projects must align to the stated objectives of the VAIG program and are for projects commencing no earlier than June 2024.
The Capital Investment stream will provide funds to eligible applicants for capital investment projects to expand, diversify or relocate their value adding and processing operations in WA. Projects must align to the stated objectives of the VAIG and be delivered by 28 February 2026.
VAIG level of support
Feasibility Stream
- Minimum funding of $15,000
- Maximum of $100,000
- Recipients must provide a 30% Cash Co-Contribution
Capital Investment Stream
- Minimum funding of $500,000
- Maximum of $1 million
- Recipients must provide at least $1 of cash co-contribution for every $1 of funding (1:1) received
VAIG important dates
- This program is currently closed
VAIG objectives
As part of the State’s broader economic development and recovery post-pandemic, VAIG Round Three aims to strengthen and diversify the WA economy by supporting investments in new manufacturing capability which result in reducing WA’s reliance on imported products, supports business growth, fosters innovation and creates jobs.
Activities and expenditure eligible for VAIG support
Activities that can be funded under the Feasibility Stream:
- Technical consultants
- Professional services including, accounting, tax, legal and other services
- Property related services including architect, planners, designers and valuers
- Product or market analysts and advisors
- Specialist reports and data services as may be applicable
- Other advisors or relevant service providers
- Obtaining regulatory approvals
- Obtaining licences necessary to grow operations.
Activities that can NOT be funded under the Feasibility Stream:
- Costs incurred prior to the project commencement date in the agreement
- Projects relating to “on-farm” primary production activities. The intent is to support post-production value adding to primary production
- Subsidy of the applicant or related entity’s operational expenditure; the ongoing costs of running the business. Examples include, but are not limited to, production, processing and manufacturing costs, repairs, salaries, supplies, and rent.
- Costs incurred in the preparation of a grant application
- Hospitality, entertainment, the provision of alcohol and gratuities
- Marketing and market development activities
- Honorariums, scholarships, study tours, fact-finding missions
- Travel expenses
- Any capital or operational expenses including infrastructure, maintenance or land acquisition
- Agricultural primary production and farm infrastructure
- Data purchase or database access
- Legal fees
- Protecting or patenting intellectual property
- A research and development project involving an experiment or a trial with an unknown outcome.
- Any other expenditure as determined by the Department that does not meet program conditions
Activities that can be funded under the Capital Stream:
- Investment in new manufacturing capability or processing facilities, new technology or plant modernisation which results in reducing WA’s reliance on imported products, supports business growth, fosters innovation and creates jobs;
- Investment that improve sustainability, reduces the environmental impact of the manufacturing or processing activities being undertaken or contributes to improvements in broader environmental, social, and governance outcomes;
- Investment that enables expansion or diversification of business operations that relate to value adding to primary production in WA; or
- Businesses to relocate operations to, or expand existing operations in, regional and/or metropolitan WA.
Activities that can NOT be funded under the Capital Stream:
- Costs incurred prior to the project commencement date in the agreement.
- Projects relating to “on-farm” primary production activities. The intent is to support post-production value adding to primary production
- Subsidy of the applicant or related entity’s operational expenditure; the ongoing costs of running the business. Examples include but are not limited to production, processing and manufacturing costs, salaries, utility charges, rent, or relocation of employees
- Costs incurred in the preparation of a grant application
- Hospitality, entertainment, the provision of alcohol and gratuities
- Marketing and market development activities
- Honorariums, scholarships, study tours, fact-finding missions
- Travel expenses
- Purchase of land or buildings
- Agricultural primary production and farm infrastructure
- Data purchase or database access
- Legal fees
- Protecting or patenting intellectual property
- Repair or connection to infrastructure or major equipment that could be considered part of normal business or ongoing operations
- A research and development project involving an experiment or a trial with unknown outcome
- Any other expenditure as determined by the Department that does not meet
program conditions
See the guidelines for full details of activities and expenditure eligible for support.
Other VAIG important details that you will need to know
Organisations eligible for VAIG support
To be eligible to receive a grant, your application must be related to relating to food and beverage manufacturing or other forms of value add processing to primary production in WA; and the applicant must meet ALL of the following criteria:
- Be a private sector business (including incorporated trustees), public companies, grower cooperatives, or similar organisations that have an ABN, and are registered for GST;
- The project must be located in, or looking to relocate to, regional and/or metropolitan WA;
- Be capable of entering into a legally binding agreement with the WA Government;
- Have the financial capacity to fund the minimum cash contribution;
- Have been in operation for a minimum of twelve months (Feasibility Stream) or two years (Capital Investment Stream) or a similar established track record;
- Projects must also comply with requirements subject to each stream.
Regional and Aboriginal business are encouraged to apply.
See the guidelines for full details of organisations eligible for VAIG support.
VAIG assessment criteria
Feasibility stream:
1.ESG Impact (10%)
- contribute to Environmental, Social and Governance (ESG) initiatives; and
- support sustainability initiatives (such as reducing carbon footprint, supporting Net Zero, supporting sustainable growth).
2.Strategic business case (25%)
- the feasibility study, business plans, or other de-risking activities will support a commercial investment decision for a proposed project that has the potential to grow investment in the value adding agriculture, food and beverage industry.
3. Direct Economic Benefit (20%)
- the feasibility activities are associated with plans for direct investment in the WA value adding agribusiness, food and beverage sectors; and
- the plans for development, expansion or relocation will: 1) create or retain direct employment or create a positive effect on job creation and the community; 2) increase value added production; 3) produce additional revenue, exports or potentially replace imports; and 4) generate potential long-term benefits that continue after funding has ceased.
4. Project Feasibility (30% )
- the study’s activities (feasibility study, business plans, approvals, etc.) are credible and accurately identify what the feasibility study is going to examine, key personnel and contractors.
- a minimum of two quotes have been sought for the proposed project.
5. Viability of Applicant (15%)
- capacity, capability and commitment to complete the project successfully within nine months of execution of the funding agreement; and
- sufficient funds to meet the milestones and complete the work, including the minimum applicant contribution and outlining any other project funding sources including contributions from the Commonwealth or local governments, community, private sector or other organisations.
Capital stream:
Assessment criteria for Stage One: EoI submissions
- Strategic alignment – How the project will contribute to the objectives of VAIG stated in this document.
- Benefits – How significant are the benefits (both direct and indirect) to the business and the broader WA economy such as economic diversification, Environmental, Social and Governance (ESG) initiatives and job creation.
- Feasibility – What information is provided on the steps taken or planned to determine the project’s feasibility including the key risks and the development of a concrete project management plan.
Assessment criteria for Stage Two: Grant application
1.ESG Impact (10%)
- Ability to contribute to Environmental, Social and Governance (ESG) initiatives; and
- Ability to support sustainability initiatives (such as reducing carbon footprint, supporting Net Zero, supporting sustainable growth).
2.Direct Economic Benefit (30%)
- increase agriculture, food and beverage value added production;
- result in direct investment in the WA value adding agribusiness food and beverage sectors, such as: 1) Enhance competitive landscape for WA (increase exports/ replace imports) 2) Market diversification and enhancement 3) Product diversification 4) Employment upskills/ diversification 5) Job creation
- allow business to scale operations to expand into new markets, new products, new customers, etc., and generate potential long-term benefits that continue after funding has ceased.
3. Indirect Economic Benefit (20%)
- deliver innovation or production productivity benefits e.g. through the introduction of new technology, enhancement of employee skills, improved safety, new management techniques or raising the value of outputs.
- complement or create an added incentive for other investment to occur, e.g. through the creation of critical mass of an industry sector or through the potential attraction of an industry partner;
- create any benefits for any other groups such as suppliers, transport operators or other service providers; and
- advance priority initiatives for the agribusiness, food and beverage sectors in WA relevant industry or community support for the project if applicable.
4. Project Feasibility (25% )
- the project is technically feasible, and any plant and equipment purchased is fit for purpose;
- that any regulatory requirements including planning and environmental issues have been identified;
- the estimated timeframes for the planning, development, approval and implementation of the project; and
- that project risks have been identified and strategies developed to manage them.
5. Viability of Applicant (15%)
- their capacity, capability and commitment to undertake the project successfully by February 2026. This includes track record and experience of delivering large projects of a similar nature; and
- that they have sufficient funds to deliver the project, including the minimum contribution, noting aboriginal businesses may be 15% Value Add Investment Grants: Capital Investment Stream – Round 3 – Guidelines (A12175796) Page 10 of 13 considered on a case-by-case basis, and outlining any other project funding sources including contributions from the Commonwealth or local governments, community, private sector or other organisations.
How do I get the VAIG?
Applicants must:
- Read and understand the guidelines.
- Ensure eligibility for the funding. Applicants that do not meet all the eligibility criteria will not be considered.
- Deliver the project as outlined in the application.
- Provide complete information requirements.
See the guidelines for full details of the assessment criteria.
Information to prepare for the VAIG application
Feasibility stream:
Applicants must supply the following information:
- if a trustee of a trust, a copy of the trust deed that outlines that the trustee has the authority to make application on behalf of the trust
- bank account details
- physical and postal addresses
- contact details
- two supplier quotes for the proposed scope of works
Capital stream – EOI information required from Applicant:
The EoI will comprise two sections: (1) business information and (2) project information.
Business information requested will include a short description of the overall business operations and summary information relating to annual total revenue, current number of employees and business location(s).
Project information will include a description of the proposed project, including the purpose
and objectives of the project. Additional details requested will include:
- Estimated total project budget
- Anticipated grant funding request (not to exceed 50% of project budget)
- Project timeline or schedule
- Short description of intended funding plan (e.g., self-funded, private investment, etc.)
- Efforts undertaken (or to be undertaken) to de-risk the project, such as business case, risk analysis and mitigation plan, feasibility assessment, engagement regarding approvals, licencing and regulatory requirements etc.
- Confirmation that the applicant has reviewed eligibility requirements and affirms its ability to provide supporting evidence should the applicant proceed to Stage 2: Grant Application.
See the application form for full details of information requirements.
Applying for VAIG
Applications are submitted online via the SmartyGrants portal.
Register your interest here with GrantHelper to explore your alignment with this grant and how we can assist you to increase your chances of success.
VAIG resources
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