USDA Specialty Crop Block Grant Program (SCBGP)
USDA Agricultural Marketing Service
State subgrants: varies
Grow your specialty crop operation with state funding
USDA block grant program that allocates funds to state departments of agriculture, which then issue competitive subgrants to growers, producer associations, universities, and nonprofits working on specialty crops — fruits, vegetables, tree nuts, dried fruits, horticulture, and nursery crops (not including cannabis, tobacco, or commodity crops like corn and soybeans). Individual growers and organizations apply to their state ag department, not USDA directly. Funded annually at approximately $85M/year under the Farm Bill. FY 2024 cycle closed; FY 2025 allocation expected fall 2025.
- Funding type
- Grant
- Level
- Federal
- Amount range
- $10,000 – $500,000
- Realistic amount
- Individual subgrant awards most commonly fall between $25,000 and $150,000. Marketing and market access projects for pro…
- Deadline
- State-level: varies by state. USDA annual federal deadline typically March–May (state applications to USDA). Subgrant deadlines set independently by each state — contact your state department of agriculture for current open solicitations.
- Status
- between-intakes
- States
- Nationwide
- Payment model
- reimbursement
Who qualifies
- FOR STATE-LEVEL SUBGRANTS: Any entity that enhances the competitiveness of specialty crops including: specialty crop growers (individual farmers, family operations, corporations), producer associations and cooperatives, land-grant universities and research institutions, nonprofit organizations serving the specialty crop industry, state commodity boards
- The project must solely enhance the competitiveness of specialty crops — projects that benefit both specialty and commodity crops are ineligible
- Specialty crops defined by law: fruits, vegetables, tree nuts, dried fruits, horticulture, and nursery crops. Excludes: tobacco, hemp/cannabis (in most states), and all commodity crops (corn, soybeans, wheat, rice, cotton, oilseeds)
- Projects must have a multi-producer or industry-wide benefit — projects that only benefit one individual grower's operation without broader industry impact are generally ineligible (check your state's specific rules)
- Must be in good standing with state and federal reporting requirements if a prior SCBGP recipient
- SAM.gov registration required for entities receiving $25,000 or more in federal funds
What it covers
Eligible expenses
- Research activities enhancing specialty crop competitiveness (field trials, variety development, pest/disease management research)
- Marketing and promotion activities: branded campaigns, trade show participation, export market development, consumer education
- Food safety programs: GAP/GHP certification assistance, food safety training, traceability system development
- Pest and disease management programs (including pesticide registration, integrated pest management development)
- Production and postharvest technology research and extension
- Industry data collection and economic studies
- Training programs for growers, farmworkers, and handlers
- Infrastructure projects with shared multi-producer benefit (e.g., shared packing facilities, shared cold storage — with state pre-approval)
- Indirect costs up to the federally-negotiated rate (or 10% de minimis if no negotiated rate)
Ineligible expenses
- Projects benefiting commodity crops (corn, soybeans, wheat, cotton, etc.) alongside specialty crops
- Individual farm infrastructure that does not provide industry-wide benefit
- Real property acquisition
- Costs incurred before the subgrant period of performance begins
- Political and lobbying activities
- Alcoholic beverage promotion (in most state programs)
- Projects that benefit only the applicant organization without broader specialty crop industry impact
- Cannabis/hemp projects in states that exclude them from SCBGP eligibility
- Construction of buildings (in most state programs)
How to apply
-
1
Identify your state's SCBGP coordinator
Contact your state department of agriculture's grants office and ask specifically about the SCBGP program and when the next subgrant solicitation opens. Every state has a designated SCBGP coordinator. You can find contact information via the USDA AMS SCBGP state contacts page at ams.usda.gov/services/grants/scbgp. Timing of state solicitations varies by 3–4 months across states.
~1 hrs
-
2
Confirm your crop qualifies as a specialty crop
Specialty crops are defined by statute — when in doubt, confirm with your state coordinator. Common borderline cases: dried beans (specialty if marketed as identity-preserved specialty variety, commodity otherwise), fresh herbs (specialty), hops (specialty), mushrooms (specialty), sweet corn (specialty), popcorn (commodity). Cannabis/hemp eligibility varies by state program rules.
~1 hrs
-
3
Develop a project that benefits the industry broadly
SCBGP requires projects to enhance specialty crop competitiveness beyond the individual applicant. Fundable project types: research and development (new varieties, disease resistance, pest management), food safety and traceability programs, marketing and promotion (farmer's markets, branding, export market development), training and education for growers, and infrastructure for multi-producer use. Single-farm infrastructure that benefits only one operation is typically not fundable.
~10 hrs
-
4
Submit to your state department of agriculture
States have their own application formats and online portals. Most require: project narrative (problem statement, objectives, methodology, timeline, evaluation), budget with line-item detail, organizational capacity statement, and letters of support from industry stakeholders. Federal forms (SF-424) may be required depending on the state. Submit before your state's deadline — USDA does not accept applications directly from individual growers.
~20 hrs
-
5
Implement project and submit required reports
Funded projects must comply with state reporting requirements (typically semi-annual progress reports and a final performance report). USDA requires states to aggregate and report outcomes; non-compliance by subgrantees jeopardizes the state's future SCBGP allocation. Maintain detailed financial records — most states conduct desk reviews or site visits.
~10 hrs
Industry & certifications
NAICS codes: 111211, 111219, 111310, 111320, 111331, 111332, 111333, 111334, 111335, 111336, 111339, 111411, 111419, 111421, 111422, 111920, 111930, 111940, 111991, 111998
Apply at the state level, not USDA — many growers search for 'USDA SCBGP' and miss that their state ag department runs the subgrant competition. Large specialty crop states (CA, FL, WA) are more competitive; smaller states often have lower competition and award most compliant applications.
Deadline & timing
USDA announces the federal allocation and state application period annually. States then issue their own solicitations for subgrants — typically 60–120 days after receiving their federal allocation. California, Washington, Florida, and other large specialty crop states run semi-annual solicitations. Most state subgrant deadlines fall June–October for projects starting January of the following year. FY 2024 state subgrant cycles ran through approximately fall 2024; FY 2025 cycles expected to open late 2025 after USDA allocations are made.
Programs that stack well
- Usda Farmers Market Promotion Program
- Usda Local Food Promotion Program
- USDA Value-Added Producer Grant (VAPG)
- Usda Agricultural Marketing Service Programs
- State Department Of Agriculture Programs
Related programs
Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.