Biobased Markets and Development Access Grant Program

The Biobased Markets and Development Access Grants Program (BDAP), administered by the U.S. Department of Agriculture’s Rural Business-Cooperative Service (USDA RBCS), is designed to promote the commercial viability of advanced biobased technologies in the United States. Rooted in the authority of the Commodity Credit Corporation (CCC) Charter Act, this grant initiative represents a significant investment in domestic biobased innovation. The CCC has historically worked to expand domestic markets for agricultural commodities, and BDAP continues that mission by supporting demonstration-scale projects that convert agricultural commodities into biobased products. The program reflects USDA’s broader strategy of encouraging sustainable economic development in rural communities. The main objective of BDAP is to provide financial support to eligible projects for the construction or operation of Integrated Demonstration Units (IDUs). These units must demonstrate the successful and continuous production of biobased products using agricultural commodity-based feedstocks. The aim is to validate the commercial potential of the technologies deployed, ensuring they can operate at scale with consistent outcomes. Grants can be used for costs such as construction, feedstock procurement, equipment purchase and installation, salaries, and report development for the IDU. However, BDAP funding cannot be used for IDUs that have already been completed before the application. Eligibility for BDAP is highly specific. Applicants must have successfully completed Phase 1 of USDA Rural Development’s Refinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program—commonly referred to as Section 9003—and received a "Greenlight Letter" to proceed to Phase 2. In addition, applicants must demonstrate a legitimate financial need, submit a full cost analysis, and provide an updated and complete budget covering the entire scope of their IDU project. Eligible projects must use feedstocks derived from agricultural commodities, excluding stored grain. Acceptable feedstocks include a broad list of agricultural inputs such as corn, soybeans, timber, aquatic plants, and livestock derivatives. To initiate the application process, interested parties must first notify USDA RBCS of their intent to apply within 14 days of receiving an invitation letter. This notification must be submitted via email to EnergyPrograms@rd.usda.gov. Upon acknowledgment of the intent to apply, applicants then have 60 days to submit a complete electronic application to the same email address. Incomplete or late applications will not be considered. The grant opportunity remains open until available funds—totaling $200 million—are fully expended. No individual award can exceed $10 million. The BDAP program is not offered on a fixed annual cycle. Instead, applications are accepted on a rolling basis until funds are exhausted. This flexible timeline is intended to allow qualified applicants to enter the process when they are ready, though timing is crucial given the limited funding pool. There is no specific deadline listed for submission, nor are there recurring annual rounds of funding. The lack of a fixed application window makes early engagement with the USDA essential for prospective applicants. For inquiries or assistance, applicants should direct questions to the USDA RBCS at EnergyPrograms@rd.usda.gov and should clearly reference the BDAP program in the subject line. Further program details and legal authorities can be found at www.usda.gov/ccc and on the USDA Rural Development website. Applicants are encouraged to consult these resources or contact their local Rural Development office for help navigating the application process.