New York Opens Applications for $8.5m Dairy Grants

Applications are open until October 28 for the second round of New York’s Dairy Modernization Grant Program. The state announced the new funding on August 19, describing the programme as support for supply-chain efficiency and agricultural infrastructure.

Eligible projects include larger on-farm storage capacity and improvements to transportation systems. State Agriculture Commissioner Richard Ball said equipment such as bigger bulk tanks and improved cooling systems could allow farms to keep milk for an additional day when snow emergencies block roads in parts of New York.

The latest allocation follows $21.6 million awarded to more than 100 farms in the programme’s first round in 2025. New York has also secured $12.75 million for a planned third round, bringing the state’s announced dairy-infrastructure commitment under Governor Kathy Hochul to $42.85 million.

State support has also covered large commercial processing projects. They include Fairlife’s $650 million facility in Webster, Agri-Mark’s $30 million expansion in Chateaugay and Chobani’s $1.2 billion plant in Rome.

New York says the processing investments support its position as the leading milk-producing state in the north-eastern United States. Dairy is the state’s largest agricultural industry and accounts for almost half of total agricultural revenue.

About 2,700 dairy farms operate across New York and produce more than 16.6 billion pounds of milk annually. Ball said the state wanted a domestic food system that was “resilient and responsive” and less dependent on food supplies from other countries.