Minnesota Launches $2M CanGrow Grants to Support Cannabis Farmers
- Minnesota Cannabis
- Minnesota Launches $2M CanGrow Grants to Support Cannabis Farmers
22 April 2025
The Minnesota Office of Cannabis Management (OCM) has launched a new $2 million program - CanGrow Grant - designed to support local farmers looking to enter the legal cannabis market. The initiative aims to expand access to the industry, reduce startup costs, and promote social equity as the state prepares to issue cannabis business licenses.
What Is the CanGrow Program?
CanGrow provides financial assistance to help farmers grow cannabis legally in Minnesota through two types of funding:
Training Grants
- $10,000 to $50,000 for organizations offering cannabis education, technical support, and help with regulatory compliance.
Loan Grants
- $200,000 to $500,000 to nonprofits that will distribute low-interest loans to farmers.
- Individual farmers can access loans up to $150,000, especially for projects that provide matching funds.
Why It Matters
For Farmers
- Reduces the cost and complexity of starting a cannabis business.
- Provides crucial education and compliance support in a highly regulated market.
For Minnesota's Medical Cannabis Patients
- Increased local cannabis cultivation may improve product variety and availability.
- Could lead to lower costs and more options for those with a medical cannabis certification.
For Cannabis Businesses in Minnesota
- A more diverse and competitive supply chain benefits dispensaries, processors, and retailers.
- Creates partnership opportunities with new growers and nonprofits.
For Industry and Community
- Supports social equity goals, especially for farmers from historically disadvantaged communities.
- Builds a more inclusive cannabis economy in Minnesota.
Who Is Eligible?
- Farmers across the state, with priority given to social equity applicants.
- Nonprofits, educational institutions, and local governments may apply to distribute training or loan funds.
What’s Next?
- Business licenses for cannabis businesses in Minnesota will begin rolling out in the coming weeks.
- CanGrow is part of a broader suite of MN cannabis industry support programs, including CanStartUp, CanNavigate, and CanTrain, run through OCM and the Department of Employment and Economic Development.
