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Trade diversification a goal of latest initiative

Jon Jon|Apr 18, 2025
Farm operations may qualify for 50% cost-shares up to $50,000.
To offset the instability in conventional trade relations, Canadian growers are being encouraged to help create diversity and new trading partners.

“We’re not making more buggy wheels, are we? You gotta prepare for the change.”
George Morris, pioneering producer

In 1993, George Morris observed that Canada, as a trading nation, couldn’t put a fence around the country and hope to compete and prosper -not in agriculture or in any business sense. That sentiment came after he received an honourary degree from University of Guelph for establishing the George Morris Research Centre -as a “think tank” and a voice of reason between farmers and the government. It was one of many accomplishments in his career as both a primary producer and agri-food advocate.

By 2020, Canada’s membership in trade accords was extensive, including the Canada-United States-Mexico Agreement (CUSMA), the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and the Canada-EU Comprehensive Economic and Trade Agreement (CETA). But in 2022, Russia invaded Ukraine causing short- and long-term trade disruptions around the world in certain commodities. The return of the Trump administration in the U.S. in 2025 has introduced more uncertainty, resulting in greater economic impacts here in Canada and in U.S. relations with other, formerly stable trading partners.

Against this backdrop, governments in Ontario and Canada, as well as private sector interests and economists, have renewed calls for greater domestic production and diversification with other trade interests and other countries. The Government of Canada is offering the CanExport for Small and Medium-Sized Entreprises (SMEs), a program to encourage primary producers to establish a presence in international markets where they currently have little or no sales.

This new focus on diversification and expanding the list of export customers is timely. CanExport for Small and Medium-Sized Enterprises offers grants and contributions to help Canadian producers and farm businesses establish ventures working with new trading partners. The program offers eligible businesses a cost-share of 50% to a maximum of $50,000.

By helping businesses to increase and diversify their exports, the program contributes to their expansion and growth. It supports companies that have meaningful economic ties to Canada, the potential to contribute significantly to our economy and the capacity and commitment to expand globally.

Eligible activities and expenditures

  • Be established in Canada and for-profit
  • Be an incorporated entity, limited liability partnership (LLP) or a co-operative in Canada
  • Have an active Canada Revenue Agency (CRA) business number
  • Declare annual revenues between $100,000 and $100 million
  • Travel to foreign markets
  • Participate in trade shows
  • Market intelligence gathering
  • Intellectual property protection
  • Creating tailored marketing materials

Ineligible activities and expenditures

All other forms of business relationships and structures are not eligible, including:

  • Sole proprietorships
  • Limited partnerships (LP)
  • Third-party representatives, including:
    • Entities representing their interests (agents, promoters, sales representatives, and consultants)
    • Trading houses and export brokers (unless for the agriculture and agri-food sector)
    • Distributors
    • Wholesalers acting as an intermediary

If you’re interested in learning more about the CanExport for Small and Medium-Sized Entreprises (SMEs) program, contact the professionals at Elite Agri Solutions, at 519 – 953 – 4479. They can help with the terms and details, including required documentation, contribution payments (versus grant payments) and the assessment process.

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