To Sustain Agriculture in Drought-plagued California, Look to Michigan’s Developing Local Distribution Infrastructure

To Sustain Agriculture in Drought-plagued California, Look to Michigan’s Developing Local Distribution Infrastructure

California just can’t catch a break when it comes to water.

As the New York Times noted recently, thousands of California Central Valley acres now feature dusty fields where tomatoes and melons once grew. Without any water, fields are simply being left fallow.

Large scale, centralized production wasn’t always at a disadvantage in California. The dryness of inland areas like Fresno, Bakersfield and Temecula made them ideal for finely managing crop production with few pests. The sunny, relatively stable year-round climate couldn’t be beat. When crops needed water, tightly controlled irrigation was designed to draw upon snowmelt off the Sierra Nevada up north and from the Colorado River further south.

But population growth requires more water, and a changing climate has meant the Sierras have only 12 percent of normal snowpack levels this year. Empty fields may be the new normal. A drought declaration by Governor Jerry Brown in late January is likely to be only the first of many.

Chronic droughts are upending the current regime of California farming. Even where California growers switch to less water-intensive crops and varieties, there is only so much production you can do with a shrinking water supply.

So the billion dollar question is: how can the nation’s capitol for fruit and vegetable production adapt to changing water and climate realities?

For a perspective on a way forward, it’s helpful to look at the country’s second-most diverse agricultural producing state: Michigan.

In this “Third Coast” farming powerhouse, you can follow roads past endless fields of asparagus and tomatoes in the southwest part of the state, or berries and cherries near Traverse City, all destined for export to other states.

And yet, even without any water crisis, Michigan is already taking steps to implement new models of agriculture.

Like California’s, Michigan’s wholesale markets are often only accessible to large producers, processors and distributors, favoring national and global supply chains at cut-throat prices that disincentivize fair wages for labor and long-term land and water stewardship.

But we know larger volume production and distribution doesn’t translate to higher profit margins for farmers. To keep more value with farmers, local food distribution infrastructure is needed.

Amid Michigan’s large farms and processors, new ventures are sprouting up to provide a way for small farms to access wider markets for their products. At Local Orbit, we work with many entrepreneurs that are doing exactly that, and this spring we are leading Hub Camp trainings across the country to help people start up more.

In attendance at the Hub Camp in Michigan were farmers, farmers’ markets managers, managers of incubator kitchens, a retail food cooperative, a YMCA and a major food bank—all planning new businesses to move product from local farmers to schools, hospitals, chefs, grocers and everywhere else in their communities.

If you put Michigan Hub Camp attendees on a map, and then add other local food distribution businesses already in the Michigan Food Hub Network, you’d see the resurgence of a regional food economy that offers increased economic value to small Michigan farmers in every corner of the state.

If there’s less water to be had in California, the only choice may be to grow less and derive more value from what is grown. Many California farmers’ markets are already hubs for significant wholesale activity, and there is huge potential to scale up this activity with purposeful regional distribution built atop new or existing infrastructure.

As for Local Orbit, this spring we’re running more Hub Camp trainings in Los Angeles and Davis. At each Hub Camp, we will work with a new cohort of 15 aggregation and distribution entrepreneurs to refine their business operations.

They’ll be uniquely positioned at a time of great urgency. Given the uncertainty surrounding the water crisis, it is even more important to have a wider diversity of farming styles and local distribution networks to allow them to flourish.

We believe more diverse farming supported by regional distribution networks will help forge new pathways to sustain the California food shed for many years to come.

Are you working to expand local food distribution on the West Coast? We’re bringing like-minded entrepreneurs together with experienced food hub operators, topic experts and mentors to help you grow your business. If you, or someone you know is aggregating and distributing food from farms to chefs, universities and hospitals, tell them about Hub Camp!

Hub Camp: the Nuts & Bolts of Local Food Distribution

March 16 – 18 in Los Angeles, California

April 27 – 29 in Davis, California

This three-day intensive for local food distribution entrepreneurs offers practical training on operations and logistics, working with producers and marketing to wholesale buyers. Participants walk away with a six-month action plan for building a multi-farm aggregation and distribution business. With local topic experts on food safety, finance and legal issues. Space is limited, so apply early.

Erika Block Speaking at 2013 National Farm Viability Conference

The viability of our local farms is reaching critical importance. The reason is simple, America’s farms provide an unparalleled abundance of fresh, healthy food, but they are rapidly disappearing. America is losing more than an acre of farmland every minute.

Among the opportunities for local farmers is creating new operational efficiencies, streamlining financial information, advanced inventory analytics and simple communications tools that connect farmers with buyers–the same tools that are helping today’s small business owners compete against much larger players.

There are an increasing number of information management systems becoming available to organize farm production, transactions with buyers and managing customers. Erika Block, founder and CEO of Local Orbit, is speaking today the 2013 National Farm Viability Conference in Middlebury, Vt.

Erika will discuss how Local Orbit is supporting the entrepreneurs who are creating new local food markets with a simple suite of business software tools, and how these markets are helping farmers become smarter sellers, expand into new markets and reach new buyers.

Panelists presenting with Erika include: Mark Cannella, UVM Extension; Nick Bullock, Yankee Farm Credit, and Giulia Stellari, Ag Squared.

Each panelist will share his or her perspective on the opportunities and challenges facing farmers presented by a rapidly shifting environment. Each will discuss their business models and the technologies that are helping farms become more competitive in a rapidly growing local food market.

Additional details on the Farm Viability Conference are available here.

From Front to Field: Resources for Veterans Interested in Sustainable Agriculture

From Front to Field: Resources for Veterans Interested in Sustainable Agriculture

Farmer Veteran Coalition

This topic hits close to home. My sister is an active member of the US military, currently serving an 11-month tour of duty in Afghanistan. When her tour is over, she will complete her remaining 11 months of service in the US, and then start a new chapter without the uniform.

Many men and women serving in all branches of the US Armed Forces are faced with the same challenges my sister will encounter after her military service ends. They leave their posts with a strong work ethic, discipline and commitment to success. The challenge is to transition those skills into well-paid employment in an already struggling economy.

The shift from the military to civilian life is not always easy. Unemployment rates for veterans are twice the national average. Suicide rates are at an all-time high, especially for those who were wounded in combat or suffer from post-traumatic stress disorder.

Fortunately, several organizations are tackling these problems head-on by offering programs and resources for veterans interested in sustainable agriculture. These programs serve two purposes: provide valuable hands-on job training while introducing the country to a group of new farmers, dedicated to growing their local food economies.

If you are a veteran or know a veteran interested in becoming a farmer, here are a few resources to consider:

  • Resource GuideThe Farmer Veteran Coalition offers a comprehensive resource guide that details employment, training and fellowship opportunities available specifically for veterans. The guide is tailored to both beginning and established farmers, and includes an extensive list of financing options, business planning tips and where to find additional supporting organizations.
  • Based in Colorado, Veterans to Farmers is a non-profit organization – founded by former US Marine Buck Adams – focused on teaching veterans organic, controlled-environment growing techniques. Training programs are offered in 9 to 12 month cycles, with an emphasis on organic hydroponic agriculture. Students leave the program with skills in systems construction, greenhouse maintenance and operations, plant propagation and business management planning.
  • Veterans Farm grows blueberries and peppers in containers, allowing for wheelchair accessibility. Located in Jacksonville, Florida, the farm offers a 6-month horticultural therapy program where participants harness their military leadership skills and apply them to successful entrepreneurship ventures in agriculture.
  • The founders of Archi’s Acres, a farm in Southern California, developed the Veterans Sustainable Agriculture Training (VSAT) program to help transition service men and women into the sustainable agriculture industry. The program consists of over 240 hours of hands-on farm training, farm management, business planning and entrepreneurship.
  • The Center for Rural Affairs, a non-profit organization dedicated to establishing and maintaining strong rural communities, developed the Veteran Farmers Project. Participants gain access to training, individual consultation and a helpline for specialized answers.
  • Beginning Farmers is an online resource for farmers, researchers and policy makers. The website includes a section of veteran farmer success stories, training and employment opportunities.

Image Credits: Farmer Veteran Coalition

USDA Low Interest Microloan Program Offered to New Farmers

USDA Low Interest Microloan Program Offered to New Farmers

Farmers in the FieldThe United States Department of Agriculture (USDA) has introduced a new microloan program that provides emerging farmers with the low-interest start-up capital they need to operate and grow their businesses.

“The new microloan program is aimed at bolstering the progress of producers through their start-up years by providing needed resources and helping to increase equity so that farmers may eventually graduate to commercial credit and expand their operations,” according to a USDA press release.

Agriculture Secretary Tom Vilsack explains that those interested in a career in farming and starting an agricultural business often rely on high-interest credit cards or personal loans to finance their start-up operations.

The interest rate for the USDA microloan program is currently 1.25%, though the percentage changes monthly. Applications should check with their local Farm Service Agency office for the most current rate.

“By further expanding access to credit to those just starting to put down roots in farming, USDA continues to help grow a new generation of farmers, while ensuring the strength of an American agriculture sector that drives our economy, creates jobs, and provides the most secure and affordable food supply in the world,” Vilsack said.

Farmer with GreensNew farmers can apply for up to $35,000 to pay for initial start-up expenses such as hoop houses, essential tools, irrigation and delivery vehicles. Annual expenses including seed, fertilizer, utilities, land rents, marketing and distribution expenses are also eligible for coverage.

“As their financing needs increase,” the press release states, “applicants can apply for an operating loan up to the maximum amount of $300,000 or obtain financing from a commercial lender under FSA’s Guaranteed Loan Program.”

The microloan repayment terms vary, though none exceed seven years. Annual operating loans must be repaid within 12 months or when the farmer’s products are sold.

A downloadable PDF Fact Sheet provides additional details on eligibility requirements and the application process; emerging farmers interested in applying for a microloan may contact their local Farm Service Agency office to discuss their options.

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Images by: Jason Houston

 

“Rerouting Farm to Fork” Panel Discussion at IACP Conference in April

“Rerouting Farm to Fork” Panel Discussion at IACP Conference in April

IACP-Panelists2

Erika Block will present at this year’s International Association of Culinary Professionals (IACP) conference.

Erika has curated a panel of food system innovators and thinkers, including Lucy Norris of the Northwest Agriculture Business Center, Thomas Nelson of the Capay Valley Farmshop, Robert Puro of Seedstock, and Matt Rothe, a Fellow at Stanford’s Hasso Plattner Institute of Design and Food Systems Laboratory.

Each panelist will share their perspective on the opportunities and challenges presented by a rapidly shifting environment, new business models and technologies that are transforming food’s journey from farm to fork.

IACP LogoInternational Association of Culinary Professionals Conference
Dirt to Digital: Real Food in a Virtual World
April 6-9, 2013 | San Francisco, CA

Topic: Rerouting Farm to Fork
Presenters: Erika Block, Founder and CEO, Local Orbit; Thomas Nelson, Co-founder and President, Capay Valley Farmshop; Lucy Norris, Marketing Director, Northwest Agriculture Business Center; Robert Puro, Co-founder, Seedstock; Matt Rothe, Fellow, Hasso Plattner Institute of Design at Stanford, Food Systems Laboratory
When: April 8 | 10:30am – 12:00pm

We know the trends – locally produced, hand crafted, farm branded – underscored by deeper concerns about nutrition, food safety, climate change, and local economies. Shifting demographics, combined with unprecedented access to information, are increasing the demand for transparent, local and sustainably produced ingredients – at the grocery store, in restaurants, in schools and universities. Join the panel for a conversation about new business models and technologies that are reinventing food production and distribution to meet this demand – and the opportunities and challenges they present in transforming the farm-to-fork supply chain.

IACP brings together culinary professionals and organizations working in food systems across the culinary landscape. Registration and the conference agenda are available online through IACP.

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