SALEM — The Oregon Department of Agriculture is accepting applications for $2 million in grants to upgrade and expand meat processing facilities.

Funding was provided by the 2021 Legislature to jump-start investments while ODA revives the state’s dormant meat inspection program.

The six-week application period opened Feb. 9, and closes March 23. Grants are capped at $500,000, and ODA expects requests will exceed available funds.

ODA Director Alexis Taylor said the COVID-19 pandemic highlighted the need for more options in meat processing for livestock raised in Oregon.

“These critical resources will expand Oregon’s regional meat processing capacity and strengthen our food supply chain from disruptions we saw early on in the pandemic,” Taylor said. “I am excited to see the proposals we receive which will support our rural economies, open new markets for Oregon products and connect local consumers with local producers.”

The Oregon Meat Processing Infrastructure and Capacity Building Grant is open to all Oregon meat processors, including slaughter facilities that fall into one of three categories:

• Those planning to expand capacity to include animals raised in Oregon and operate under the State Meat Inspection Program.

• Those planning to build new plants and facilities to process animals raised in Oregon and will operate under the State Meat Inspection Program.

• Plants operating under USDA inspection that are planning to increase meat processing from animals raised in Oregon.

ODA anticipates its inspection program will begin in July, pending approval from the USDA Food Safety and Inspection Service.

Andrea Cantu-Schomus, ODA spokeswoman, said the program’s first set of draft rules were evaluated by the federal government in January.

“We are in the midst of making necessary changes to meet their program requirements,” she said.

Oregon has not had a state inspection program since 1971, when it was eliminated due to budget cuts. In 2020, the Legislature allocated $926,195 and three full-time employees to re-establish the program.

Currently, Oregon has 13 USDA-inspected meat plants that are either at full capacity or require ranchers to drive long distances — what are known as “processing deserts.”

By expanding processing capacity, ODA says it can reduce transportation time and costs; support direct-to-consumer meat sales; reduce processing bottlenecks; provide wholesale options for value-added processors; and give producers greater control over the price they receive for livestock.

The $2 million Oregon Meat Processing Infrastructure and Capacity Building Grant is meant to help spur this work.

For additional questions or to receive a paper application, contact ODA Trade Development Manager Gary Neuschwander at 503-551-1706 or gary.neuschwander@oda.oregon.gov.