Step 1: Read about the Program

CANtex builds on the record of the Canadian Apparel and Textile Industries Program (CATIP), which has funded close to 400 industry projects since its inception in January 2003.

For Canadian textile manufacturers, competitiveness is seen as key to ensuring long-term success in today’s global marketplace. Through CANtex, the Government of Canada has re-affirmed its commitment to help eligible Canadian textile manufacturers lower costs, enhance productivity, improve company efficiency, and diversify textile products.

Who is eligible to apply for CANtex funding?

Canadian companies established prior to June 27, 2002, and created for the purpose of manufacturing textiles.

What projects are eligible?

Initiatives related to textile production activities in the areas of: 

• Implementation of textile production processes to increase productivity; or
• Implementation of a project to re-engineer textile production processes and/or re-tool production equipment and facilities to produce innovative and/or higher value-added textile products.

Productivity Component

What costs are eligible?

Eligible costs for projects under the Productivity Component include: 

• Studies to identify appropriate textile production efficiency initiatives;
• Planning directly related to the project;
• Consultant and professional service fees directly related to the project (fees related to the cost of preparing an application are NOT eligible);
• Staff wages and salaries directly related to the project; and
• Equipment installation, engineering, software, and staff training costs directly related to the project.
  
  Note: Capital costs including equipment, land and building costs are not eligible for assistance under the Productivity Component.

Funding Criteria

Effective September 30, 2005, the Productivity Component of CANtex will consist of both non-repayable and repayable contributions with the following criteria: 

• Non-repayable contributions will be provided at a rate of up to 50 percent of eligible project costs (see below) to a maximum of $100 000.
  
  
• Repayable contributions will be provided at a rate of up to 50 percent of eligible project costs to a maximum of $500 000. Project contributions greater than $100 000 are repayable in total.
  
  Specific repayment terms and conditions will need to be discussed with a CANtex representative. Generally, repayment terms and conditions will depend on the size of the contribution, project timeframe, and financial capability of the recipient.

Transformative Component

What costs are eligible?

Eligible costs for projects under the Transformative Component include: 

• Studies undertaken to identify appropriate textile production efficiency initiatives and/or to assess market opportunities for new or different textile production capacity; or, studies directly related to the project;
• Planning directly related to the project;
• Consultant and professional service fees directly related to the project (fees related to the cost of preparing an application are NOT eligible);
• Staff wages and salaries directly related to the project;
• Equipment installation, engineering, software, and staff training costs directly related to the project;
• Capital costs including equipment but not land and building costs; and
• Marketing costs directly related to the project (cannot exceed 20 percent of total eligible project costs).

Funding Criteria

Effective September 30, 2005, the Transformative Component of CANtex will consist of repayable contributions with the following criteria: 

• Repayable contributions will be provided at a rate of 50 percent on the first $2 million of eligible costs (see below), 40 percent on the next $2 million and 30 percent on costs above this amount, to a maximum total repayable contribution of $3 million in assistance.
  
  For example, a project with $8 million in total eligible costs could receive $3 million in assistance ($1 million on the first $2 million, $800 000 on the next $2 million and $1.2 million on the last $4 million).

Specific repayment terms and conditions will need to be discussed with a CANtex representative. Generally, repayment terms and conditions will depend on the size of the contribution, project timeframe, and financial capability of the recipient.

Step 2 - See Examples of Projects.

Step 1 - Read About CANtex
Step 2 - See Examples of Eligible Projects
Step 3 - Read FAQs
Step 4 - Download Application Forms