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Forest Sector Investment and Innovation Program


About the program

The Forest Sector Investment and Innovation Program (FSIIP) provides funding for strategic investments in the forest sector that:

    • improve productivity and innovation

    • enhance competitiveness

    • support new market access

    • provide benefits to Ontario’s broader forest sector

    • strengthen regional economies

Support is available under two project categories – business projects and collaboration projects.

Funding amounts

Business projects
You can receive funding support of up to 30% of eligible costs in the form of a performance-based loan (of which, up to 50% may be forgivable).

Grants of up to 15% of eligible costs may be considered in exceptional situations at the discretion of the province.

Stacking with other provincial funding programs is not allowed. Stacking with other government support (for example, federal or municipal) is allowed to a maximum of 50% of eligible project costs.

Collaboration projects
You can receive funding support of up to 30% of eligible costs in the form of a grant to a maximum of $3 million.

Stacking with other government funding programs (for example, federal, provincial and municipal) is allowed to a maximum of 75% of eligible project costs.

Selection process

To be selected for funding, projects must:

• demonstrate strong alignment with the program’s objectives, which are to:

o enhance productivity and competitiveness

o increase innovation

o create greater market access for Ontario firms

o improve the competitiveness of Ontario’s broader forest sector

o strengthen regional economies

• demonstrate need for government financial support to complete the project and have sufficient funding to complete the project (when combined with proposed support from FSIIP).

• pass a two-stage project evaluation process:

o Stage I: project overview to determine whether project meets eligibility criteria and assessment of how well the project aligns with the objectives of the program

o Stage II: competitive, rounds-based project evaluation process, including financial and technical due diligence

Funding is approved through a competitive rounds-based process. Although a project may meet all program objectives and criteria, there is no guarantee it will be approved, as there may be other projects submitted that more effectively meet program objectives and criteria.

How to apply

To submit a Stage I application, please follow these steps:

    • Step 1: Contact us for help with your application.

    • Step 2: Click the ‘Log In’ button at the top right corner of this page to register with Transfer Payment Ontario and complete the FSIIP Stage I Eligibility Checklist and Application Form.


FSIIP will follow an open, competitive rounds-based application process.

Round 1

• Stage I: December 20, 2019

• Stage II: January 29, 2020

Round 2

• Stage I: March 20, 2020

• Stage II: April 28, 2020

Round 3

• Stage I: June 19, 2020

• Stage II: July 27, 2020

Round 4

• Stage I: September 18, 2020

• Stage II: October 26, 2020

Eligibility Requirements

Business projects

Support is available for projects with at least $3 million in eligible costs undertaken by for-profit manufacturers and processors of wood and forest biomass across Ontario, including:

    • saw mills

    • pulp and paper mills

    • secondary wood manufacturers

    • bio-economy projects

Harvesting and resource extraction projects are not eligible for funding.

Collaboration projects

Support is available for Ontario-based projects with at least $3 million in eligible costs undertaken through a collaboration of:

    • forest sector for-profit businesses

    • not-for-profit research organizations

    • forest industry associations

    • academia

Eligible collaborations should develop, diversify and transform Ontario’s forest sector through innovation in technology, process and/or products.

A minimum of three partners are required (including at least one Ontario-based for-profit forestry/wood products company).

Program Guidelines


For information regarding the Forest Sector Investment and Innovation Program please contact the Ministry of Natural Resources and Forestry’s Business Development Branch by:

Last updated: December 11, 2019