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USDA announces $33.5M in grants in order to expand food systems

The U.S. Department of Agriculture's (USDA) Agricultural Marketing Service today awarded over $33.5 million for 113 grant projects in 43 states and territories to expand and strengthen local and regional food systems and increase the availability of locally grown agricultural products. The funding will be distributed through the Local Agriculture Market Program's (LAMP) Farmers Market and Local Food Promotion Programs (FMLFPP) and the Regional Food System Partnerships (RFSP) grant program.

"The Local Agriculture Market Program is a key piece of USDA's efforts to strengthen local and regional food systems with over $220 million awarded to 597 projects since 2021," said USDA Under Secretary for Marketing and Regulatory Programs Jenny Lester Moffitt. "The projects will expand market opportunities for small and mid-sized producers, allow more money to stay within local and rural economies, and build resilience in our food systems."

FMLFPP is implemented through two grant programs, the Farmers Market Promotion Program (FMPP) and the Local Food Promotion Program (LFPP). The goal of the programs is to strengthen local and regional food businesses through projects that support farmers via the creation of targeted marketing capabilities; training on topics such as record keeping, fair pricing, family-friendly marketing, and agritourism activities; and new market development.

This year, FMPP is awarding $14.2 million to 60 projects across 28 states and territories. The program funds projects that support producer-to-consumer markets, such as farmers' markets, roadside stands, agritourism activities, community-supported agriculture programs, and online sales.

Project highlight 1:
The University of Wisconsin is receiving an FMPP grant to train and support 100 direct-to-consumer farmers to better understand key business management systems that result in increased sales and profitability. Early-career and direct-to-consumer farmers will learn financial management skills and financial acumen to diversify and expand their sales and foster peer-to-peer connections to improve financial and sales management confidence.

LFPP is awarding $14.1 million in fiscal year 2024 funding to 43 projects across 29 states and territories. The program supports local and regional food businesses that engage as intermediaries in indirect producer-to-consumer marketing. The awarded projects focus on activities, such as supporting the processing, aggregation, distribution, and storage of local and regional food products; developing value-added products; and facilitating regional food chain coordination.

Project highlight 2:
In Her Shoes, Inc. in Webb, Miss., is receiving an LFPP grant to enhance the sustainability of small farms as well as rural and underserved communities' access to fresh produce in the Mississippi Delta. Their project will provide support and training to more than 30 small, locally owned and operated farm businesses and build a mobile produce market that connects farmers to other programs, such as USDA's Local Food Purchase Assistance program.

RFSP is awarding $5.2 million to 10 partnerships across 10 states. The program supports the development of relationships between local and regional food businesses and institutions, such as schools, hospitals, and governments to increase local and regional foods in institutional cafeterias and meal programs.

Project highlight 3:
The Southeast Regional Cooperative in East Point, Ga. is receiving an RFSP grant to create a partnership that will engage food and agriculture businesses, non-profits, and universities to increase efficiency in the region's charitable food network. They will develop strategies to improve transportation management, middle-of-the-supply chain logistics, value-added processing, and integrated data management, all of which will culminate in a regional service center.

LAMP and its accompanying grant programs are funded through the 2018 Farm Bill and FY2024 annual appropriations.

AMS supports U.S. food and agricultural product market opportunities while increasing consumer access to fresh, healthy foods through applied research, technical services, and congressionally funded grants. These projects will support the development, coordination, and expansion of direct producer-to-consumer marketing, local and regional food markets and enterprises, and value-added agricultural products.

Overall, the USDA's LAMP grants foster an environment where vertical farms and greenhouse operators focused on local markets can thrive. By supporting market expansion, improving financial skills, enhancing supply chains, and fostering collaboration, these programs make it easier for local agricultural businesses to succeed and grow in the increasingly competitive food industry.

To learn more about AMS's investments in enhancing and strengthening agricultural systems, visit www.ams.usda.gov/grants

Source: US Department of Agriculture

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