Grant Available to Help Iowa Dairy Farmers Purchase New Technology, Like Robots

Iowa Dairy Association has launched the Dairy Innovation Grant Program, which has been created to increase on-farm dairy processing, reduce farm labor costs, and expand the availability of dairy products for consumers.

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The lack of labor availability is driving many dairy producers to consider implementing new technology, such as robots to milk the cows or cow sensors to manage their reproduction.

Mariah Busta, executive director of the Iowa Dairy Association, says they are excited for the launch of the Dairy Innovation Grant Program, which has been created to increase on-farm dairy processing, reduce farm labor costs, and expand the availability of Iowa dairy products for consumers.

“It is an initiative our organization worked hard on and are pleased to see it come to fruition with the Iowa Department of Agriculture & Land Stewardship,” she said. “The grant program will support Iowa’s dairy farms by addressing the need for innovation - whether through dairy processing or implementing labor-reducing technologies on the farm - plus, give Iowa consumers additional options to support local dairy. We appreciate the investment by Governor Reynolds and Iowa’s legislators in our dairy industry.”

Iowa Secretary of Agriculture, Mike Naig, said Iowa consumers will ultimately benefit from the availability of more Iowa-made and locally produced dairy products by helping Iowa dairy farms cost-share the addition of new on-farm processing equipment or labor-saving technology through Choose Iowa Dairy Innovation Grant Program.

“We are excited to identify the most innovative and creative dairy projects through this program, which we know will create new markets for farmers, more choices for consumers, and additional economic activity in our rural communities,” Secretary Naig said.

The grant program, which was authorized during the 2023 legislative session and is administered by the Iowa Department of Agriculture and Land Stewardship, has an overall budget of $750,000 for the first year. With the legislative intent of assisting smaller dairies and farmers, the highly competitive program will match up to $100,000 per project.

The cost-share grants could, for example, help dairies invest in pasteurization equipment, processing vats, packaging and labeling products, robots, health monitoring, automated feeding systems or cleaning assistance. The program funds are not eligible to cover start-up costs, advertising, public relations, salary/benefits/wages, existing debt or any expenses incurred before awarding the grant.

Successful applicants must be located in Iowa, have fewer than 50 employees, and be in good standing with pertinent regulatory agencies. Only dairies permitted and inspected by the Iowa Department of Agriculture and Land Stewardship are eligible. Full details about the cost-share grant program, including financial matching requirements, application, eligibility and scoring are available on the Choose Iowa website.

Applications should be submitted through the online portal on the Choose Iowa website and are due by 12:00 p.m. on Friday, February 9, 2024. Grant recipients will be announced in March 2024. email Questions to chooseiowagrant@iowaagriculture.gov.

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