food hubs

Every community wants to support initiatives that promote economic growth and create new jobs, but sometimes it can be hard to decide on the best way to accomplish these goals.  Now there is a new resource to help communities make the economic case for investments in local food. Today, Secretary Tom Vilsack announced the availability of “The Economics of Local Food Systems: A Toolkit to Guide Community Discussions, Assessments and Choices” at the Good Food Festival’s Financing and Innovation Conference in Chicago. Secretary Vilsack highlighted USDA’s continued support of local and regional food systems, much of which is coordinated through USDA’s Know Your Farmer, Know Your Food initiative.

As I walked up to my new USDA office, distracted by the animal noises, I dodged horse-drawn buggies while tiptoeing around cow pies.  Originally from the suburbs of Atlanta, my exposure to livestock was limited.  As a market reporter with USDA Market News, I found that my exposure would significantly increase and fast.

The entire agricultural supply chain turn to USDA Market News – administered by USDA’s Agricultural Marketing Service (AMS) – for reliable data that serves as the information lifeline for America’s agricultural economy.  Our reports, with data gathered and distributed by reporters like me, reach millions of stakeholders every day to ensure that everyone in the ag supply chain have the information they need.

Rural communities are looking for innovative ways to sustain quality of life and build viable food systems that support the health and economic needs of their people.  Working Landscapes is a Warrenton, N.C. nonprofit that creates sustainable food hubs by bridging the gap between local farmers and area consumers.  As a 2015 USDA Farm to School grantee, Working Landscapes uses its food hub resources to link local farmers and northeastern North Carolina school districts, demonstrating that working together can make a difference in the quality of life for rural communities.

By Tim Williams, Program Manager, Working Landscapes

The lights are on and the machines whirring on a recent June morning in downtown Warrenton, N.C. From the outside, the former cotton gin warehouse doesn’t look like much, but what you find behind the historic facade is an innovative farm to school venture that is bringing locally grown, fresh-cut vegetables to students across the northeastern part of the state.

October is National Cooperative Month, and all this month we will be shining a spotlight on several projects throughout the month that have been supported through USDA Rural Development's Cooperative Services. One fine example is Great River Organics in Ohio. Kimberly Rous and Hannah Scott work for our partner, the Ohio Cooperative Development Center in Piketon, Ohio and provided us some insight on a successful cooperative venture that is producing organic produce throughout central and north-central Ohio.

Great River Organics formed as a farmer-owned cooperative in December of 2014. Comprised of seven certified-organic farmers in central Ohio, the cooperative aggregates, markets, and distributes the organic produce grown by the farmer-owners through programs like the Great River Market Bag, a community-supported agriculture program that includes about 300 subscribers across central Ohio. They're also actively involved in the Ohio and West Virginia Food Hub Network, which promotes the development of food hubs in the region.

There’s no doubt about it – gears are turning in the world of local food production.  From rural communities to large food retailers, local and regional food is a growing business across the country.  In the USDA’s Market News division, developing market reports to keep up with the growing need for local food data is a priority for us.

Following Secretary Tom Vilsack’s lead to ramp up local and regional food efforts, USDA Market News – part of the Agricultural Marketing Service – issues a local beef report for the state of Vermont each month.  Two Market News reporters from Pennsylvania ventured to the Green Mountain State to meet with existing customers and recruit new ones.  Trekking all throughout the state, they visited a total of 10 farms, talked to numerous people about grass-fed beef, and learned about how Market News can better serve this sector of the industry.

If you’re in the Washington, DC-area on Friday, July 17, join us between 5 p.m. and 8 p.m. outside USDA Headquarters at 12^th and Independence Avenue, S.W., near the Smithsonian Metro stop.  Bring your dancing shoes, friends and appetite.  We’ll be holding the third in a series of 6 monthly USDA Farmers Market at Night.  The July night market’s “Hot & Cold” theme will feature Brazilian Music, local food trucks and free blueberry ice cream.

Farmers markets across the country are gathering places where local food producers are building successful businesses and bringing fresh, local food to neighborhoods across the country. As the demand for local food continues to increase, farmers markets are maturing from small stands to entertainment destinations with extended hours, live music, and a variety of local products.

Since 2009, USDA has invested in 29,100 local food opportunities, including food hubs, small scale processing and farmers markets across all 50 states and the US territories. These investments include over 12,000 loans and micro-loans to small-scale producers who often sell products locally and over 13,000 high tunnels (low-cost covered structures that extend the growing season and make locally-grown products available later in the year).

However, as with any investment, the success of a business depends not just on an infusion of capital, but also on good planning.  Technical assistance services such as feasibility studies, business planning, financing strategies, supply chain logistics, marketing, and guidance with the policy and regulatory environment are equally important.

Cross-posted from the White House Rural Council blog:

At USDA, we understand the enormous market potential of local food. Industry estimates suggest that local food sales in America have nearly doubled in recent years, jumping from $5 billion in 2008 to $11.7 billion in 2014. We’ve invested more than $800 million in 29,100 local and regional food businesses and infrastructure projects over the past six years to help farmers, ranchers and rural businesses tap into that market.

Indeed, local food is a national phenomenon that has significant impact on every state’s economy. But local food is not only a business opportunity for agriculture, it can also be a development tool that allows communities to maximize the impact of what is grown and made locally. Local food projects can help grow local food economies and drive downtown and neighborhood revitalization, which is what the Administration’s Local Foods, Local Places initiative is all about. And this year, the initiative is particularly focused on ensuring that kids and families in need have an opportunity to benefit from the development of local food systems. This initiative is part of the White House Rural Council’s “Rural Impact” effort to improve quality of life and upward mobility for kids and families in rural and tribal communities.

Farmers markets are an important part of local and regional food systems.  Nationwide, 150,000 farmers and ranchers are selling their products directly to consumers to meet the growing demand for local food.  Many sell their products at farmers markets, which can be a catalyst for future growth. 

According to USDA’s National Farmers Market Directory, there are over 8,400 farmers markets across the country serving as community gathering places where America’s food producers are building successful businesses and bringing fresh, local food to their communities.  As local and regional food systems continue to expand, so does the need for reliable market data.

“The term ‘farm to school’ involves thinking of the whole plate, so to speak. It’s about increasing the amount of local and regional foods served in school cafeterias while also increasing education and community outreach for kids, and creating market opportunities for producers.”

So says Matt Russell, Grant Program Manager for the Farm to School Program at USDA’s Food and Nutrition Service (FNS).  Matt works to support school districts, non-profits, and other stakeholders in bringing more local and regional food into the school meal program.