The federal government is putting 3 million dollars into the new dairy research and innovation centre being built near Elora.
Federal Agriculture Minister Gerry Ritz announced the funding at this week's DFO annual meeting in Toronto.
The Ontario government is putting 20 million into the centre, the DFO 1 million and other industry participants are contributing another 1 million dollars.
The new Elora centre will conduct research in a number of areas, including health, reproduction and animal well-being.
DFO Chair Bill Emmott says the Elora Research Station will ensure a healthy long-term future for the Ontario and Canadian dairy industry.