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VALUE CHAIN AND MID-SIZED FARMERS by Jeffery Wilkins

October 5, 2017

As mid-sized farming has seen a drastic decline over the past several decades, more local mid-sized farmers have to be creative to maintain sustainability. With increasing support from local towns to create fresh farmers markets for local small town farmers, many of those who would fall in the middle ground of farming, have had nowhere to turn. It is easy for a small farmer to yield their crop and go to the local farmers market on a Saturday and sell their produce while also working other jobs to economically provide for their families. On the other end of the spectrum, we find larger farms that are producing food at an extreme level of efficiency and productivity, resulting in greater opportunities for growth and wealth. The farmer who has to work their farm in the realm of a normal 40-hour job without the opportunity to supplement it with another career is the one who finds him or herself on difficult times. Local markets are supporting the small farmer and larger grocers are supporting the mass production of produce. So where does this leave the farmer who works his or her fields every day but does not have the manufacturing aspect of many large farms? This is where the significance of value chain businesses cooperates and benefits one another.

A great example of this is the Hub City Co-op that is owned by thousands of community members who have invested in this full-service retail grocery store. Along with it being invested in by community members, 35 local vendors offer produce, flowers, beer, wine, dairy, meat, soaps, essential oils, etc. It is the only one of its kind in South Carolina. It is a community of owners who work with the non-profit Rural Development Corporation to provide the opportunity for local mid-sized farmers, such as Thicketty Mountain Farms, to join with other local farmers and businesses to meet the needs of the community while helping to sustain one another’s business ventures through collaborating together. By joining together in a value chain it makes it more affordable for businesses to survive when they join together. The co-op benefits the community by bringing various degrees of retail and grocery needs to the customer while also providing the opportunity for mid-size farmers to be successful. While smaller farms have local farmers markets and larger farms have the benefit of larger grocers, what Spartanburg has accomplished through the co-op will be foundational for future mid-size farmers and is a great example of the value chain.



Comments

  • Will Morin says:

    Jeffery you are so correct in how farmers need support from the larger community. A recent article in the Greenville SC based Upstate Business Journal, Chef Sean Brock from Husk Resturant (Charleston, Nashville, & soon Greenville and Savannah) has changed the way restaurants work with farmers. Instead of the standard mantra of planning a menu then ordering to fit that, he orders first from local farmers and what they have based on the season, then plans his restaurant menu around the farmer’s availability. Due to Chef Brock’s way of helping local farmers, the Charleston based farmers have been able to grow grow and grow not only more produce but their own business as well.
    The new Huck Restaurant here in Greenville is doing the same thing as its Charleston HQ and working directly with local farmers to source 100% of their produce and proteins from around the Greenville area. Husk is even going so far as to buy 100% of all duck and chicken eggs produced by the local Providence Farms. This will have a ripple effect throughout the region and help these, the original “Makers”, the local farmers who provide so much for the local economy, grow!

  • Jessica Walton says:

    While both Jeffery and Will make excellent points, there is another factor, in addition to the value chain, contributing to the decline in sustainability of mid-size farms and that’s the rising age of the average farmer. According to the USDA, the average farmer is 58 years of age. With broader career opportunities, families having less children, and college education being more accessible, fewer young people are choosing careers in agriculture. In addition, for those interested in farming who don’t have a family farm to take over, it is extremely difficult and expensive to get a successful operation off the ground. I believe that is one reason we are seeing an increase in so many smaller farms. Smaller farms offer the opportunity to farm and be a part of the agricultural community, but don’t require as much of a financial or full-time commitment that mid-size and larger farms require. In addition, some aging farmers are downsizing transitioning from mid-size to smaller farming operations.

    While the aforementioned is an issue that needs to be monitored, that doesn’t help those mid-size farmers who are flourishing and have a succession plan. In addition to co-ops and local sourcing mentioned by Jeffery and Will, mid-size farmers could consider diversification. Through crop diversification, farmers are not putting all their eggs in one basket so to speak. For instance if you have grain and cattle you lower your risk, because if there is a drought, you have your cattle to fall back on, and if there is disease you have your grain to fall back on. Another way to diversify is through agritourism. For instance, there is a farm in Virginia which grows crops and hosts special events in the spring and fall. In the fall, they offer activities such as hayrides, pumpkin picking, and a corn maze, earning additional income to supplement operational costs. Farmers have to be willing to make changes, adapt to the market, and embrace technology to sustain. Unfortunately, the way they did business years ago may no longer be the best way today.