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USDA Seeks Applications for Grants to Help Agricultural Producers Increase the Value of Their Products

Name
Jessica Bowser
Email
jessica.bowser@ks.usda.gov
Phone
(785) 271-2701
City
Topeka
Release Date

USDA Rural Development State Director Patty Clark announced that USDA is currently taking applications for the Value-Added Producer Grant Program.  USDA is making up to $44 million available nationwide to agricultural producers to develop value-added products and to expand markets.

“The Value-Added Producer Grants are a great opportunity for agricultural producers in Kansas to find innovative ways to add value to their raw agricultural commodities,” said Clark.  “USDA’s Value-Added Producer Grants are federal investments that will further spur economic activity and provide jobs in rural Kansas.”

Value-Added Producer Grants may be used to develop new products and create additional uses for existing ones. Priority for these grants is given to veterans, members of socially disadvantaged groups, beginning farmers and ranchers, and operators of small- and medium-sized family farms and ranches. Additional priority is given to applicants who seek funding for projects that will create or increase marketing opportunities for these types of operators.

The deadline to submit paper Value-Added Producer Grant applications is July 1, 2016. Electronic applications submitted through grants.gov are due June 24, 2016.  Mailed applications should be sent to:  USDA Rural Development, Attn:  Nancy Pletcher, 1303 SW First American Place, Suite 100, Topeka, KS 66604-4040.  For application questions, contact Nancy Pletcher at (785) 271-2733 or nancy.pletcher@ks.usda.gov.  More information can also be found on the agency’s website:  www.rd.usda.gov/programs-services/value-added-producer-grants/ks

Since 2009, USDA has awarded 1,126 Value-Added Producer Grants totaling $144.7 million. Last year in Kansas, nine businesses received Value-Added Producer Grants: 

  • Bee Hopper Honey, in Valley Center, Kan., received a create a new honey product line.

  • Central Grazing Co., LLC., in Lawrence, Kan., received a $160,000 working capital grant to expand the company’s distribution of lamb to new markets.

  • Hildebrand Farms, in Junction City, Kan., received a $92,992 working capital grant to expand the sale of processed milk into western and southeast Kansas.

  • Fresh Farm HQ Coop Association, in Lawrence, Kan., received a $244,943 working capital grant to finance business start-up costs for a Regional Food Hub to serve northeast Kansas, northwest Missouri, and the Kansas City metropolitan area. 

  • Rowe Ridge Vineyard & Winery Grant, in Kansas City, Kan., received a $8,032 working capital grant to develop new wine blends and increase the marketing presence of the company’s wines.

  • Sappa Valley Poultry LLC, in Oberlin, Kan., received a $49,663 working capital grant to expand the market of the company’s locally-produced, non-genetically modified organism (GMO), free-range chickens.

  • Schenker Family Farms, in McCune, Kan., received a $32,000 planning grant to conduct a feasibility study on establishing a poultry processing facility.

  • Sramek Family Farm, in Atwood, Kan., received a $49,750 working capital grant to expand processing and distribution of eggs produced by free-range chickens.

  • Tail Run Winery LLC, in Edgerton, Kan., received a $20,000 working capital grant to increase production of its wines by 50 percent, and to expand both its retail and wholesale markets.Know Your Farmer, Know Your Food initiative, which coordinates the Department’s work to develop local and regional food systems. Secretary Vilsack describes the cultivation of local and regional food systems as one of the four pillars of rural economic development that impacts farm family income and strengthens local economies. Under Secretary Vilsack, USDA has supported providing consumers a stronger connection to their food with more than $1 billion in investments to over 40,000 local and regional food businesses and infrastructure projects since between 2009. Industry data estimates that U.S. local food sales totaled at least $12 billion in 2014, up from $5 billion in 2008.


USDA, through its Rural Development mission area, administers and manages housing, business and community infrastructure programs through a national network of state and local offices. Rural Development has an active portfolio of more than $213 billion in loans and loan guarantees. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America.