ST. PAUL, Minn., Sept. 28, 2020 – U.S. Department of Agriculture (USDA) Rural Development State Director for Minnesota Brad Finstad today announced that USDA is investing $250,000 to help a rural agricultural producer develop new products and expand business lines.
“Rural small businesses and ag producers are the economic backbone to any community,” Finstad said. “Helping them improve their bottom line for operations, fosters growth and creativity moving forward. Under the leadership of President Trump and Agriculture Secretary Perdue, USDA is a dedicated partner of rural Minnesota in building stronger and healthier communities for economic prosperity.”
Background
In Melrose, Minnesota, Stony Creek Dairy, LLC will use a $250,000 grant to help with working capital for processing labor and associated costs of turning raw milk into pasteurized milk. Stony Creek Dairy is locally produced on the farm-site so that the milk does not need to travel far to be processed, preserving the rich flavor. The seven-generation dairy farm produces several hormone-free products, from Skim Milk to Whole Milk, Swiss Chocolate Milk, Heavy Cream and slow-churned butter. This project will help to expand sales of these pasteurized milk products, create seven new jobs and retain three employees.
Funding for today’s announcement was made available through USDA Rural Development’s Value-Added Producer Grant (VAPG) program. Grants may be used for planning activities or working capital expenses related to producing or marketing a value-added product including feasibility studies, business plans, processing of the value-added product, logo and website development and marketing and distribution. Independent agricultural producers, farmer or rancher cooperatives, and producer-controlled entities are eligible to apply.
Grants are awarded through a national competition—each fiscal year, applications are requested through a notice published in the Federal Register and through an announcement posted on Grants.gov.
In April 2017, President Donald J. Trump established the Interagency Task Force on Agriculture and Rural Prosperity to identify legislative, regulatory and policy changes that could promote agriculture and prosperity in rural communities. In January 2018, Secretary Perdue presented the Task Force’s findings to President Trump. These findings included 31 recommendations to align the federal government with state, local and tribal governments to take advantage of opportunities that exist in rural America. Increasing investments in rural infrastructure is a cornerstone recommendation of the task force.
To view the report in its entirety, please view the Report to the President of the United States from the Task Force on Agriculture and Rural Prosperity (PDF, 5.4 MB). In addition, to view the categories of the recommendations, please view the Rural Prosperity infographic (PDF, 190 KB).
USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural areas. For more information, visit www.rd.usda.gov/mn or contact your local area office.
If you’d like to subscribe to Minnesota USDA Rural Development updates, visit our GovDelivery subscriber page.
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