Greenhouse grants – Canada Invests $750M in Controlled Environment Agriculture (CEA)

Greenhouse Benches - Automated benches

Through Greenhouse Grants, the Government of Canada has unveiled its National Food Security Strategy, announcing a major investment aimed at growing year-round domestic fruit and vegetable production and reducing the country’s reliance on imports.

A $750M Investment Over Seven Years, in Two Streams

The first stream of greenhouse grants, worth $650 million, will support growers in adopting technologies such as automation, robotics, lighting, and digital crop management tools. The goal is to reduce the energy and operating costs associated with CEA production, while helping fund both the modernization of existing facilities and the construction of new ones.

The second stream of greenhouse grants, worth $100 million, targets rural and northern communities specifically, helping them develop local food production solutions tailored to their unique challenges.

On top of this, growers will benefit from a concrete tax measure: the immediate expensing of costs related to building or expanding greenhouses – a measure that directly lowers the upfront cost of any investment project.

$750 million Government of Canada investment in controlled environment agriculture and greenhouse production - greenhouse grants

Growth That's Already Well Underway

Industry figures show just how much potential this sector holds. In 2024, Canada had 974 commercial greenhouse vegetable operations, producing over 866,000 metric tonnes and generating $2.7 billion in sales – a 5% increase over 2023.

Greenhouse strawberry production is a clear example of this growth: output has nearly tripled since 2020, rising from 2.5 to more than 7.5 million kilograms, worth $75.2 million in 2024.

Ontario remains the leading producer (72% of Canadian production), followed by British Columbia (13%) and Quebec (9%). That said, the government notes that production remains highly concentrated -cucumbers, tomatoes, and peppers account for 96% of greenhouse volumes – leaving real room for diversification for growers willing to innovate.

Ambitious Targets for 2032

The government has set three clear goals:

  • Double the value of CEA production sold in Canada, from $774M (2024) to $1.55B (2032)
  • Cut reliance on imported crops that can be grown through CEA by 20%
  • Reduce labour and energy costs for CEA production by 10% to 20%

The Right Time to Invest in Your Greenhouse Project

This announcement confirms what we’ve been seeing on the ground for years: greenhouse growing is a strategic lever for Canada’s food security, and growers who invest in modern, efficient facilities are well positioned for the future.

At Harnois Greenhouses, we’ve supported growers for three generations in designing and building commercial greenhouses tailored to their crops and climate. Whether you’re planning a new facility or modernizing an existing greenhouse, our team can help you structure a project that makes the most of this favourable context.

Have a project in mind? Contact our team to discuss it.

Source: Government of Canada, National Food Security Strategy – agriculture.canada.ca

 

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