Farmers will soon be able to apply for grants between £1,000 and £25,000 to adopt new technology and invest in productivity-boosting equipment.
The Farming Equipment and Technology Fund, which is part of the government's Farming Investment Fund, will open again later this month.
The scheme offers grants for specific items of equipment to increase productivity, boost environmental sustainability and improve animal health and welfare.
This year's fund is split into two themes: productivity and slurry, which opens later this month, and animal health and welfare, which will be available in March.
Farmers, foresters and growers in England, including contractors to these sectors, can apply for a grant between £1,000 and £25,000.
Grants go towards the cost of specific items from a prescribed list set out by Defra.
The department said that in the fund's first round, those who applied for a grant received approximately 44% of the total cost.
It added that the fund proved very popular, and the first round was significantly oversubscribed.
"We encourage anyone who was unsuccessful in the first round to apply again," Defra said in its online blog, published 9 February.
"There are two separate ‘portals’ to apply for each grant: one for productivity and slurry, and one for animal health and welfare.
"When the window to apply opens, simply visit the online portal and answer questions for the types of grants you are applying for."
Defra added: "The minimum grant is £1,000 per portal so the minimum investment for those wishing to apply across both portals remains as it did in the first round.
"If your application is successful, you can then buy the item. You will be able to claim the reimbursement using your receipt."
