Sask government accepting applications for Saskatchewan Value-Added Agriculture Incentive
Saskatchewan Value-Added Agriculture Incentive applications are now being accepted by the provincial government.
The program intends to improve investment in the value-added agriculture sector.
SVAI offers a non-refundable, non-transferable 15 per cent tax credit on capital costs for newly-constructed or expanded value-added agriculture facilities.
“There is an increasing global demand for food, fertilizer and fuel, and Saskatchewan is well-positioned to be a global export leader in those sectors,” Trade and Export Development Minister Jeremy Harrison said.
“This initiative supports rural growth, provides outlets for locally-produced crops, and creates more opportunities to attract entrepreneurial talent and foreign investment.”
New and existing value-added agricultural facilities with $10 million in new capital expenditures are included in projects that will qualify for SVAI.
Eligibility relies on projects demonstrating that capital expenditures were made to create new production or to increase existing production.
The benefit redemption is 20 per cent in year one after the facility enters operation, 30 per cent in year two and 50 per cent in year three.
Value-added agriculture alludes to shaping or upgrading raw, primary agricultural products and agricultural by-products waste into a new product.
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Products include pea protein processors, oat milling operations, malt producing operations and cannabis oil facilities.