MDA Launches Biofertilizer Innovation and Efficiency Program

The Minnesota Department of Agriculture (MDA) is introducing the Biofertilizer Innovation and Efficiency Pilot Program, an initiative designed to help farmers improve nitrogen management and adopt innovative technologies that protect water quality and enhance soil health.

Applications for the 2026 growing season opened March 2 and will close on May 1. They are being accepted on a first-come, first-served basis. Farmers who participate can receive $15 per acre for reducing their commercial nitrogen fertilizer application rate by the lesser of 15% or 30 pounds per acre when using a qualifying biofertilizer product.

“This program is about supporting farmers who want to try new approaches to nutrient management while maintaining productivity,” said MDA Commissioner Thom Petersen. “By incentivizing the use of biofertilizers and precision technologies, we can reduce nitrogen loss and protect Minnesota’s water resources.”

Program Details

• Available for the 2026 and 2027 growing seasons.
• Farmers can enroll 40 to 3,000 acres of eligible farmland in participating Minnesota counties. The MDA reserves the right to limit the number of acres enrolled per applicant.
  • Eligible counties: Becker, Benton, Carver, Cass, Crow Wing, Dakota, Dodge, Douglas, Fillmore, Goodhue, Houston, Hubbard, Kandiyohi, Lincoln, Morrison, Mower, Murray, Nicollet, Nobles, Olmsted, Otter Tail, Pipestone, Pope, Rock, Scott, Sherburne, Stearns, Swift, Todd, Wabasha, Wadena, and Winona
• Open to all crops with a University of Minnesota-recommended nitrogen fertilizer rate.
• Qualifying biofertilizer products must be registered with MDA and provide nitrogen through microorganisms such as bacteria or fungi.

How to Apply

1. Register in the State of Minnesota’s SWIFT system to obtain a vendor number
2. Submit the electronic application form

Applications will be accepted until 4 p.m. May 1 or earlier if program capacity is reached. Grant agreements must be signed by May 29. Farmers will receive payment after submitting documentation verifying nitrogen reduction and biofertilizer use by Nov. 30, 2026. Applications for the 2027 growing season will open next year. A total of $500,000 will be split between the two growing seasons.