In its second round of funding, the Colorado Department of Agriculture’s Climate Smart Market Expansion Project is now accepting proposals for pilot projects that increase demand and create premiums for agricultural products grown using climate smart practices. Climate smart practices are associated with improved soil health, optimized water usage, more diverse and beneficial ecosystems, and/or reductions in greenhouse gas emissions.
“Our producers deserve to capture more of each food dollar and we know there is untapped potential in the marketplace to drive regenerative products forward,” said Amanda Laban, CDA’s Markets Division Director. “By tailoring the Climate Smart Markets program to give producers higher premiums and find new markets we are working to create better livelihoods for our farmers and ranchers and meet the ever-changing market landscape.”
A total of $120,000 is available for initiatives that increase demand for agricultural products employing climate smart practices at any stage of the supply chain or for projects that develop market premiums for producers. Food, beverage, clothing, or other manufacturers or brands that source from Colorado are encouraged to apply, as are supply chain businesses such as processors, commodity handlers, farm products dealers, buyers, and distributors. Proposals are being accepted as Documented Quotes through the Colorado Vendor Self Service (VSS) website.
In April, the first round of the Climate Smart Market Expansion grants distributed $90,000 to three innovative projects that yielded meaningful results in developing and expanding these markets.
“This award gave us the resources to prove that climate smart barley production is both possible and profitable,” said Todd Olander, Founder and Farmer at Root Shoot Malting. “Our project not only positions our on-farm malting facility to expand business with breweries seeking verified sustainability data, it also demonstrates that Colorado’s malt barley growers can replicate this model to strengthen their operations while caring for the land. We’re proud to share a framework that benefits farmers, maltsters, and brewers alike.”
Highlights of the projects funded in the first round of grants are below.
Building Resilient Supply Chains for Colorado Brewing Industry. Olander Farms, Root Shoot Malting, New Belgium Brewing, and Downforce Technologies partnered to use Colorado-grown climate smart barley to demonstrate how verification systems can bridge the gap between farmers using climate-smart practices and breweries requiring documented sustainability credentials for consumer-facing claims and compliant reporting.- Meeting in the Middle: Integrating San Luis Valley Grain Value Chains. Tumbleweed Bread, Jones Organics Farms, and Colorado State University Extension partnered to purchase equipment that increased processing and storage capacity for locally grown, climate smart rye and millet. They also developed an educational consumer marketing campaign and launched a value-added product: the Adventure O, a whole-grain snack aimed at outdoor enthusiasts.
- Northeast Colorado Organic Outlet and Storage Facility Enhancement. Centennial Ag Trading purchased a 4,000-bushel bin to receive and store drought-tolerant grains and cereals, addressing unmet need expressed by large organic buyers. Expanding the business’ short-term storage capacity increased its output capabilities by 30-40% per month, positioning it to support northeast Colorado’s organic commodities production and markets.
The maximum award amount for this round of the Climate Smart Market Expansion Project is $30,000.00 per proposal. Proposals should define how their activities will achieve one or more of the following outcomes:
- Increased purchasing volume of climate smart commodities or agricultural products
- Documented premiums for climate smart commodities or products for a minimum of the length of the award, preference given to proposals demonstrating long-term sustainability
- Increased capacity for cleaning, processing, storage, distribution, or manufacturing of climate smart commodities or products
- New verified buyer contracts or agreements for climate smart commodities or products
- New marketing initiatives or increased effective marketing and consumer education strategies for products with climate smart messaging
- Development of a new climate smart packaged product for launch to markets, or reformulation of existing product(s) to include climate smart ingredients
Visit the Colorado Vendor Self Service (VSS) website and search for the Documented Quote (DQ) number *2026*0001* to review the DQ documents, deadlines, and full submission instructions.
CDA will host an Optional Virtual Information Session for interested Offerors on October 17th 2025, at 11 a.m. MT. The deadline to submit materials is October 29, 2025, at 12 p.m. MT. Additional information about the virtual meeting and submission deadline is available on the Colorado VSS website.
If there are any questions related to this solicitation, please contact Kathy Chang by the submission deadline.