Local Community. Mutually-Beneficial. Markets, Agritourism and Shared-Use Food Processing Facilities. Rob Holland & Megan Bruch

Transcription

1 Farmers and the Local Community Mutually-Beneficial Opportunities from Farmers Markets, Agritourism and Shared-Use Food Processing Facilities Rob Holland & Megan Bruch TN Farmland Legacy Conference October 10, 2008

2 Center for Profitable Agriculture Focus is Value-Added Agriculture Department in UT Extension Partnership with Tennessee Farm Bureau Close relationships with TDA -- Market Development Located at the Middle Tennessee Research and Education Center in Spring Hill

3 Enhancing Tennessee agriculture and rural communities by 1) Analyzing and evaluating value- added d agriculture ideas (submitted to the Center through an application process) 2) Conducting educational outreach programs on value-added topics (workshops, seminars, classes, conferences, meetings) 3) Developing Extension educational 3) e e op g e s o educa o a materials for value-added subjects (publications, fact sheets, tools)

4 Adding Value to Tennessee Agriculture Processing, packaging & marketing agricultural l commodities and farm resources Increasing the farm portion of consumer expenditures

5 Value-added added Examples Commodity Milk Strawberries Composted Farm Wastes Tomatoes/Peppers Farm Value-added Product Bottled Milk/Cheese Strawberry Preserves Packaged Soil Conditioner Hot Sauce/Salsa Agritourism

6 Farmers and Communities Working Together Shared-Use Food Processing Facilities

7 Shared-Use Food Processing Facilities Many definitions Community Kitchen Local Cannery Shared-Use Commercial Kitchen Community Food Processing Facility Kitchen Incubator Food Processing Incubator

8 Shared-Use Food Processing Facilities Type of business incubator that can be used (for a fee) by several commercial food processors for the preparation of food products in an approved food-processing facility.

9 Shared-Use Food Processing Facilities Incubator Temporary/Foster Growth(*) () Fee Rent or User Fee Several Shared-Use Commercial..... Products for sale Food Products... Certain Products (based on equipment and inspection) Approved Inspected/Permitted (for certain products) Facility Building, Utilities, Equipment. (*) Technical services often available.

10 Shared-Use Food Processing Facilities in Tennessee? Culinary Center Cumberland University (Wilson County) Clinch-Powell Community Kitchen (Hancock County) UT Center for UT Center for Entrepreneurial Food Processing (Knoxville)

11 Opportunities for Communities Potential economic development Job-creation Demand for other businesses & services Centralized community development initiative Festivals Tourism Farmers Market Agritourism Celebration of local culture/heritage Foster local marketing opportunities

12 Opportunities for Farmers Low start-up costs for adding value Technical assistance Test-market opportunity Access to equipment Low maintenance (cost & time) Legal

13 Challenges Balancing processing schedules with seasonal harvests Setting rental rates to attract users and cover expenses Regulations facility and users Sound management / leadership Financing Strong local interest by users and supporters Strong market potential for products Self-Sustainability S

14 Farmers and Communities Working Together Farmers Markets

15 Number of Farmers Markets in Tennessee

16 Why a farmers market for farmers? Desire opportunity to direct market products to consumers efficiently i and effectively Value-added Ability for new or small farms to generate income Ability to develop new customers for products

17 Why a farmers market for communities? Communities interested in revitalizing business districts or downtowns Bringing g consumers back to these areas may result in economic benefits for neighboring businesses Communities interested t in retaining farmland Consumers increasingly gy interested in buying fresh, local, source-verified, highquality products Fun, community atmosphere

18 Challenges Working with multiple people from several groups Varying goals, agendas, personalities Remembering a market must be a profit center to vendors in order to have a supply of products Accumulating resources (land, labor, capital) Developing and enforcing by-laws, policies and procedures Recruiting vendors Addressing regulatory issues Marketing

19 Example State t Street t Farmers Market, Bristol Farmers supply farm fresh products Cities/counties provide support Bristol, Sullivan County, TN; Bristol, Washington County, VA Start-up and recurring funding Purchased umbrella shelters Redesigned transit center Added d restrooms, concession area, benches Staff time for grant writing, marketing, market management

20 Impacts State t Street t Farmers Market, Bristol Average 300 customers per day Availability of fresh fruits and vegetables for customers Community interaction social venue WIC program (TN) and Senior Citizens Nutrition Program (VA) for farmers markets Coordinated with market management, County Health Departments and vendors Increased knowledge in product preparation p (especially for WIC clients) Average vendors per day 25 to 35% of income from farmers market (according to SSFM survey) 10 to 25% increase in sales reported when WIC vouchers available Develop relationships with customers Improved transit hub facilities

21 Resources for Tennessee Farmers Markets Developed through a partnership with the following organizations Center for Profitable Agriculture Tennessee Department of Agriculture Ag Tag USDA Rural Development Available on-line at

22 Farmers and Communities Working Together Agritourism

23 What is Agritourism? Many definitions An industry combining elements of agriculture and tourism where members of the public visit a farm to participate in agricultural-related educational or entertainment activities or purchase farm products

24 Example Attractions On-farm Retail Markets Animal exhibits Horseback riding Fee-fishing Festivals and fairs Bed and Breakfasts Vacations Tours Pick-your-own/ Cutyour-own Wineries Agriculture-related museums Farmers markets Agriculture related festivals and fairs

25 Why agritourism for entrepreneurs? Increase net income from farm for existing farmers Add value to farm resources Sustain farm as a business Ability to work on-farm Add jobs for next generation Educate the public about agriculture Lifestyle change for professionals/retirees i

26 Why agritourism for communities? Additional recreation choices Sustain farm land Revenue multiplies through community (jobs, expenses, investments) Adds additional attraction for tourists (they may stay longer) Additional tourism revenue and tax dollars (gas, food, lodging)

27 Industry Statistics Visitor expenditures add about $16 to $17 million in economic activity directly For every dollar spent at an agritourism attraction an additional $.85 of economic activity is generated through multiplier effects With multiplier effects, these expenditures stimulate a total of about $31 to 32 million in economic activity in the state (Jensen, et. al. Visitors to Tennessee Agritourism Attractions )

28 Challenges Marketing Safety and liability Regulatory issues Zoning Fuel prices Labor Management

29 Example Myers Greenhouse & Myers Pumpkin Patch and Corn Maze Dairy farm Greenhouse Quilt trail stop School tours Pumpkin patch Corn maze Haunted corn maze Retail store Event hosting Company picnics, reunions, weddings, teacher in-services

30 Example Myers Greenhouse & Myers Pumpkin Patch and Corn Maze Vera Ann serves as Community support received officer or member in Marketing assistance from many organizations tourism local and regional Tennessee Agritourism tourism organizations Association President Press coverage from area Northeast TN Specialty newspapers Growers Assn. Technical assistance and Treasurer educational programs from County Ag Board UT Extension Chairman Customers who drive to Rural Resources farm to purchase products Main Street Greeneville TAEP Cost-Share Program Assistance Partners in Education with elementary and middle school Marketing assistance through Pick Tennessee Products and Tennessee Farm Fresh

31 Impacts Myers Greenhouse & Myers Pumpkin Patch and Corn Maze For the Myers Ability to work on farm and supplement farm income while using education training Ability to be a supportive farmer s wife and future farmer s mother Increased potential to allow future generations to farm Ability to educate public about importance of agriculture

32 Impacts Myers Greenhouse & Myers Pumpkin Patch and Corn Maze For the Community Local source of products Community/industry t advocate Agriculture education/experience Entertainment venue Revenue generation from tourists Seasonal jobs Groups such as fire department, FFA, school groups work for fundraisers

33 Agritourism Resources Publications, presentations, ti electronic newsletter Workshops/Conferences Information available on Information available online at

34 Farmers and Communities Working Together Shared Use Kitchens, Farmers Markets and Agritourism

35 Farmers and Communities Working Together Rob Holland & Megan Bruch (931) (931)