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 $40,000 to help rural agricultural producers develop new products and expand business lines.
“By helping rural small businesses and ag producers improve their bottom line, we are supporting the very economic foundation of rural America,” Finstad said. “Whether it’s helping to expand marketing or furthering the development of a newly created product, the Value-Added Producer Grant program supports the creativity and value of these entities. 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 Hennepin County, Midwest Elderberry Coop will use a $40,000 grant to help with a business expansion plan for the cooperative owned by 22 local ag producers. Midwest Elderberry Cooperative grows North American elderberry in support of better agriculture by reviving rural economies and communities through natural growth of nutrient dense flowers and berries. The coop has a network of more than 100 small to mid-sized ag producers that share information to help continuously improve this product. This project will help the coop to expand sales of the elderberry and flower within the craft food and beverage market.
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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