St. Paul, Minn. – Today, the Minnesota Office of Cannabis Management (OCM) announced a new program to help Minnesota farmers enter and thrive in the cannabis industry. The $2 million CanGrow program includes grants to eligible organizations that will help farmers navigate the regulatory structure of the legal cannabis industry through CanGrow farmer training grants, and to nonprofit organizations that will fund loans to farmers who want to expand into the legal cannabis industry through CanGrow farmer loan grants.

CanGrow farmer training grants will fund these eligible organizations to provide educational materials, training, and technical support to farmers who want to enter or expand into the legal cannabis industry. Project categories eligible for funding are outlined in the request for proposals. CanGrow farmer loan grants will fund nonprofit organizations to assist farmers by providing low-interest loans for entering the legal cannabis industry. This initiative aims to accelerate market entry and growth for farmers ready to start or expand their farms, avoid costs and risks for farmers at all stages of readiness, and reduce compliance risks, costs, and infractions for cannabis farms.   

“Providing farmers the financial opportunity to take part in Minnesota’s cannabis market and make strategic investments is the best way to ensure they can build equity,” said OCM Interim Director Eric Taubel. “Through CanGrow, farmers who want to enter the cannabis market will receive support and tools to succeed.”

The announcement comes a week after the formal adoption of OCM’s rules governing Minnesota’s adult-use cannabis market – a crucial step that allows the office to begin issuing business licenses to applicants who have completed all necessary steps in the application process. With rules in place, hundreds of social equity applicants are first in line to receive business licenses after completing application requirements.

CanGrow grant awards for technical assistance in the first round of funding are expected to range from $10,000 to $50,000 per project. Grant awards for loan financing are expected to range from $200,000 to $500,000 per eligible organization (individual farmer loans will range from $2,500 to $50,000 or up to $150,000 for projects with matching funds). OCM intends to fund investments in eligible communities throughout the state with this competitive grant program. Organizations eligible to receive CanGrow farmer training grants include nonprofit organizations, educational institutions, local governments, private businesses, community groups and partnerships between different types of organizations. CanGrow farmer loan grants are only eligible to nonprofit corporations.

Organizations interested in applying for a CanGrow grant must submit a written application that explains their proposed community investment, the community's needs, and the expected positive outcomes. Applications will be evaluated based on their potential community impact, the organization’s track record of success, and community support for the investment. Priority will be given to applications from organizations that demonstrate a history of successful training or navigation services, particularly for farmers facing barriers to education or employment. OCM will give weight to applications where the proposed grant projects will serve areas where residents are eligible to be social equity applicants.

CanGrow grants are part of a larger collection of grants that will support and provide funding for technical assistance, financial capital, and workforce training for the Minnesota legal cannabis industry. The other grant programs are CanRenew, promoted through OCM, and three programs that are overseen by the Minnesota Department of Employment and Economic Development (DEED): CanStartUp, CanNavigate, and CanTrain. For more information on those grant programs visit DEED’s Support for Cannabis Businesses website.

“We recognize that financing and resources are critical for Minnesota farmers,” said Jess Jackson, OCM’s director of social equity. “CanGrow helps to increase access to ownership by ensuring underserved farmers get a fair opportunity at entering the cannabis market.”  

Funding will be awarded through a competitive process with review by a committee representing content and community specialists. OCM will announce selected grantees/awardees in fall 2025. If selected, applicants may only incur eligible expenditures when the grant agreement is fully executed, and the grant has reached its effective date.

For more information on CanGrow grant opportunities and how to apply, please visit the /ocm/socialequity/cangrow.jspMinnesota Office of Cannabis Management website.