Overview

MARBIDCO recognizes the importance of the forest products industry from economic, environmental, and consumer perspectives, and thus seeks to assist in growing a strong and diversified wood products industry in Maryland. MARBIDCO aims to assist Maryland’s forestry businesses with improving operations and efficiency, increasing productivity and employment opportunities, and supporting new market development.

By helping to sustain and grow a healthy forestry industry, investment now will yield substantial longer-term benefits for Marylanders. Recognizing this, the Governor and Maryland General Assembly authorized $125,000 in funding for FY 2026 for MARBIDCO to offer the Maryland Wood Products Industry Equity Incentive Program (WPIEI). With limited grant funds, MARBIDCO will only be awarding one project a grant of $125.000.

In FY 2026, MARBIDCO aims to incentivize one large-scale high-impact project focused on value-added production and job creation/expansion. A competitive review will involve a higher priority towards a project meeting these criteria.

Applicants should specify in their application and business plan the number of jobs expected to be created by their proposal and the type of job (job type/title, full-time/part-time, permanent/temporary employment, etc.). In addition, applicants should specify if their project will be “value-added”. Value-added projects can be defined as: “a basic wood product manipulated in such a way to command additional market value”.  Basic wood products are raw wood materials like logs, lumber, and wood pulp. Thus, Value-Added Wood Products are derived from basic wood products and are further processed to increase their value and utility.

The WPIEI Program offers up to a 25% matching grant, up to the maximum amount allowed, for the purchase of equipment or facilities improvement. An ancillary objective of this program is to complement the financial services offered by private commercial lenders by leveraging funds to facilitate larger-scale projects, thereby enabling industry growth. This program will help a Maryland wood fiber processor or manufacturer increase production and utilization of locally sourced wood fiber, improve business operations, and explore new market opportunities.

Eligible applicants may apply for incentive grants for a wide range of equipment and capital asset purchases of specialized forestry and logging equipment and large-scale wood processing equipment. Eligible projects include tangible equipment purchases and facilities improvement costs.

Eligible applicants include primary or secondary wood products processors. Applicants can include sole proprietorships, partnerships, cooperatives, corporations, and LLCs. Grant funds and matching funds must be used for equipment and capital asset purchases that have a useful life of seven years or more. MARBIDCO seeks applications for projects or purchases that will improve operations, increase productivity and/or workforce expansion, support the production of value-added wood products, or aid in the pursuit of new markets.  This should be evident in the project description and business plan. As noted above, special consideration will be given to projects that highlight the potential for job creation and the production of ‘value-added’ wood products for FY 2026.   

Terms and Conditions

Grant Award Amount: $125,000

Minimum Project Budget: $500,000

Maximum Project Budget: N/A

Maximum Percentage of Grant: MARBIDCO will match up to 25% of the cost of the project with a $125,000 cap for each project (That is, the maximum amount of grant funding that any single applicant can receive from the WPIEI program is $125,000).

Matching Funds Required: Yes. This can be in the form of cash (equity), a bank loan, or a MARBIDCO loan (please see the MARBIDCO website for information on the MRBIFF and Forestry Loan Programs).

Application deadline: November 14, 2025 (electronic submissions are encouraged).

Applicants will be notified by February 15, 2026, if they have been approved

Disbursement of Funds: Applicants should expect to purchase or order equipment by no later than May 31, 2026. Funds will be disbursed on a reimbursement basis (proof of payment required) or MARBIDCO can directly pay vendors with submission of approved invoices.

Eligible Expenses: Grant funds and matching funds must be used for equipment projects and capital asset purchases that have a useful life of seven years or more.  Examples include, but are not limited to, the following:

•      Wood processing equipment and facilities

•      Sawmills

•      Dry kilns

•      Primary and secondary wood processing equipment

•      Optimization systems for maximizing fiber yield recovery

•      Shavings, pellet mills, and sawdust dryers

•      Other capital equipment that is designed specifically for use in the forest products industry