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First State Food System Program Opens Fourth Grant Application Cycle


Dover, Del – The Delaware Division of Small Business (DSB) and the Delaware Council on Farm & Food Policy (Council) announced that DSB began accepting grant applications for Cycle 4 of the First State Food System Program on May 5, 2025. Through this program, funding is available to Delaware farmers, small, community and independent grocery retailers offering culturally diverse foods, and a range of other food supply chain businesses and organizations.

Also referred to as the Delaware Grocery Initiative, the goal is to expand access to healthy foods in food deserts in Delaware and areas at risk of becoming food deserts, by provided grants and other forms of financial assistance to eligible food resources. Awarded funds will support expanding supply chain capacity, collaboration between community partners, and entities doing their part to build resilience in Delaware’s food system.

For Cycle 4, DSB and the Council will prioritize projects that address food aggregation, cold storage, or food transportation activities. Grants of up to $12,500 will be awarded. As in prior years, farmers are encouraged to apply. To be considered for funding as a small to mid-sized producer, the farm operation must have an annual sales value of at least $20,000. The farm must actively produce no more than 300 acres of fruits, vegetables, other specialty crops, or other products for human consumption.

Applicants must request funding for a project that can be completed no later than December 31, 2025. Funds may be used to cover various operational or capital expenses. All grant applications must be submitted by 4:00 p.m. Friday, May 30, 2025.

For more information on the program as well as access the application, go to de.gov/foodgrant. For questions, contact DSB at business@delaware.gov or the Council at DDA_farmandfoodpolicy@delaware.gov.

Since 2022, the Council has awarded just over $1.9 million, funding 39 projects across Delaware. Administering this grant program has provided financial resources directly to businesses and non-profit organizations serving rural and urban communities throughout the state. This has also been an opportunity to better understand Delaware’s food system and pinpoint what works and what may be missing. As individual households, small businesses, farmers, and State and local resources face continuing pressures, building capacity across our food supply chain is how Delaware achieves food security.

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The Division of Small Business is a state agency committed to helping small businesses start and grow in Delaware through a variety of services it provides. From start-ups to experienced business owners looking to expand, our team of Regional Business Managers can provide you one-on-one assistance and counseling to help you succeed. They can assist with a variety of needs, including: navigating government processes, connecting owners with our many resource partner organizations, and identifying funding opportunities for which you may qualify. See all of the programs and services we offer at business.delaware.gov.


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