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We Applied for a Value Added Producers Grant

written by

Morgan Dawkins

posted on

April 26, 2026

We Applied for a USDA VAPG Grant | Mad Horse Meats

The Mad Horse Meats Blog • Farm Business

We Applied for a USDA
Value-Added Producer Grant

Spring 2026  •  Morgan Dawkins DVM  •  Hancocks Bridge, NJ

Last week we submitted a USDA Value-Added Producer Grant application requesting $25,000 to fund a Feasibility Study, Business Plan, and Marketing Plan for expanding value-added meat production at Mad Horse Meats. Here is the full story of what we applied for, why, and what the process was actually like — for our customers who want to know what we are building toward, and for other farmers who might be considering applying themselves.

The Value-Added Producer Grant Program

The USDA Value-Added Producer Grant program — VAPG for short — is a federal grant program that helps agricultural producers enter into value-added activities. The idea is straightforward: when a farmer takes a raw agricultural commodity and does something to it that increases its value — processes it, packages it, markets it differently — the farmer captures more of the revenue that would otherwise go to middlemen. VAPG helps fund that transition.

There are two types of VAPG grants. Planning Grants — up to $50,000 — fund the studies and plans you need to determine whether a value-added project is viable. Working Capital Grants — up to $200,000 — fund the actual operational costs of running a value-added project. We applied for a Planning Grant. The grant requires a dollar-for-dollar match — for every grant dollar you need to provide an equal amount from your own funds.

VAPG is part of the USDA Local Agriculture Market Program and is administered by USDA Rural Development. Applications are submitted through a national competitive process. The FY2026 deadline was April 22.

Key Numbers

The Mad Horse Meats Application

Grant requested: $25,000 Planning Grant

Matching funds: $25,000 cash match (personal funds)

Total project cost: $50,000

Project period: 24 months

Consultant: Grow Good Roots

Deliverables: Feasibility Study, Enterprise Business Plan, Marketing Plan

What We Are Trying to Build

Mad Horse Meats currently processes all of our animals at an outside USDA-inspected facility about an hour from the farm. It works — but it creates real constraints. We have to schedule weeks or months in advance. We cannot always process animals at their optimal weight. There are gaps in product availability that frustrate customers and limit our growth. And every time we transport live animals an hour each way we add cost, labor, and stress to animals that we work hard to keep calm.

The long-term vision for this farm has always included bringing processing on-site. Not because it is the exciting thing to do — it is an enormous undertaking — but because it is the right thing for the animals, the product, and the business. On-site processing means animals go from pasture to processing without a trailer ride. It means we control the timeline, the quality, and the cost. It means we can bring all four species — beef, lamb, pork, and chicken — to market consistently and on our own schedule.

Before we pursue financing for that kind of infrastructure we need a rigorous independent analysis. Is it financially viable at our production volumes? What will it actually cost to build and operate? What does the market look like? What processing options make the most sense for a farm our size? Those questions require a Feasibility Study. The Business Plan and Marketing Plan follow from that. That is exactly what VAPG Planning Grants are designed to fund.

“Before we pursue financing for that kind of infrastructure we need a rigorous independent analysis. That is exactly what VAPG Planning Grants are designed to fund — and exactly what we applied for.”

What Applying Actually Involved

I will be honest — the application was a significant undertaking. VAPG applications are detailed, technical, and require careful attention to language. If you are a farmer thinking about applying, here is a realistic picture of what it involves.

1

SAM Registration

Before you can apply for any federal grant you need an active registration at sam.gov with a Unique Entity Identifier. This took us just a few days to complete and needs to be renewed annually. Get this done first — it is the one thing that can stop your application cold if it is not in place.

2

eAuthentication and the Portal

VAPG applications are submitted through the USDA Grant Application Portal at vapg.rd.usda.gov. You need a Level 2 eAuthentication account to access it. The portal walks you through the application section by section — entity details, applicant type, value-added products, work plan and budget, matching funds, and the merit evaluation.

3

Technical Assistance

We worked with Abbe Turner of NMPAN — the Niche Meat Processor Assistance Network — who provided free technical assistance throughout the process. NMPAN is a USDA-supported network specifically focused on helping small and mid-scale meat processors. If you are a meat producer applying for VAPG reach out to NMPAN before you start. Their guidance was invaluable. We also worked closely with Nicole Day of AgriForaging Compliance Services, who has been helping us with processing compliance planning, and who reviewed our application and provided critical framing guidance.

4

The Framing Challenge

This was the hardest part and worth understanding if you are considering applying. VAPG cannot fund the planning or construction of a processing facility — that is explicitly listed as an ineligible use of funds under 7 CFR 4284.926. Our application initially framed the project around planning for a processing facility. That framing was wrong and would have disqualified us. The correct framing — which Nicole Day helped us understand — is that the grant funds value-added production expansion and market access, with processing as one component being evaluated. Same project. Very different language. Getting that framing right took significant revision.

5

The Merit Evaluation

The merit evaluation is the section that determines your score. It covers technological feasibility, operational efficiency, profitability and economic sustainability, qualifications of key personnel, work plan and budget, matching funds commitment, prior VAPG history, and priority points. First-time applicants receive priority points — as do applicants requesting under $125,000 and those contributing to geographic diversity. We qualified for all three Administrator priority categories.

6

The Consultant

We engaged Grow Good Roots to conduct the Feasibility Study, Business Plan, and Marketing Plan if the grant is awarded. Having an identified consultant with a documented proposal strengthened the application significantly — it showed reviewers that this is not a theoretical plan but an active project with real people and real costs attached. If you are applying without an identified consultant the application still asks you to describe the qualifications your consultant will need.

Now We Wait

The application has been submitted. USDA Rural Development will review applications through a competitive scoring process and announce awards later this year. We do not know the timeline for award announcements — VAPG is a nationally competitive program and review takes time.

If we are awarded the grant Grow Good Roots will begin work on the Feasibility Study within the first few months. The full scope — Feasibility Study, Business Plan, and Marketing Plan — is expected to take approximately nine months of active work within our 24-month project period. The results of that work will directly inform whether and how we pursue financing for expanded processing capacity.

If we are not awarded we will evaluate whether to reapply in a future cycle with a stronger application. VAPG is competitive. Not every application gets funded on the first try. We went into this process knowing that and we are proud of the application we submitted regardless of outcome.

We will post an update when we hear back. In the meantime if you are a farmer considering a VAPG application and have questions about the process feel free to reach out. We are happy to share what we learned.

Resources for Farmers

Where to Start If You Are Considering VAPG

USDA VAPG program page: rd.usda.gov — search Value-Added Producer Grant

NMPAN technical assistance for meat processors: nichemeatprocessing.org

SAM registration: sam.gov — do this first, it takes time

VAPG Grant Application Portal: vapg.rd.usda.gov

NJ USDA Rural Development state office: your first call for state-specific guidance

• • •

Thank you for following along with what we are building here. The transparency is intentional — we think you deserve to know not just what is in the package but what goes into getting it there.

— Morgan Dawkins DVM

Mad Horse Meats  •  Hancocks Bridge, NJ  •  madhorsemeats.com

VAPG, value-added producer grant, USDA grant, federal grant, farm business, processing facility, feasibility study, business plan, marketing plan, Grow Good Roots, NMPAN, AgriForaging, Salem County, New Jersey, Hancocks Bridge, family farm, regenerative f

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