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small businesses

Taking Charge: How Rural Residents Are Switching from Employees to Business Owners

The retirement of the baby boom generation of business proprietors is predicted to result in a major turnover in ownership. Developing an ownership succession plan is especially challenging in rural areas where many small businesses are at risk of closing from the lack of locally available financing to keep them in operation. Rural Development’s Business and Industry (B&I) Guaranteed Loan Program now has new capabilities as of this August that specifically accommodate the needs of financing ownership succession.

B&I guarantee borrowers can now apply to loans for financing the transfer of business ownership within a family, usually involving a sale from parents to children. Prior to recent changes in the rules it was assumed that within families the transfer of ownership was always a seller-financed transaction. Yet, some retiring business owners may need to immediately take the sales revenue out to finance their retirement.

A Tale of a Fish from Two Countries

How can fish in a grocery store be labeled as both “Alaskan” and “Product of China” on the same package?  The answer is that although much of the seafood sold in the United States is labeled with a foreign country of origin, some of that same seafood was actually caught in U.S. waters.

Under the Country of Origin Labeling program regulations – enforced by USDA’s Agricultural Marketing Service – when fish are caught in U.S. waters and then processed in a foreign country that foreign country of processing must appear on the package as the country of origin.  This processing usually takes the form of filleting and packaging the fish into the cuts you see in the grocery store seafood department or frozen food aisle.  However, if the fish was actually caught in Alaskan waters, retailers are also able to promote the Alaskan waters the fish was actually caught in, in addition to the country in which the processing occurred.

Market News Report Aims to Bring Transparency and Pricing Information to Tribes

According to the 2012 Census of Agriculture, there were 71,947 American Indian or Alaska Native farm operators in the United States in 2012, accounting for over $3.2 billion in market value of agricultural products sold.  Tribal Nations were identified as one group that is an underserved segment of agriculture, and USDA Market News is answering the call to provide them with the commodity data they need.    

USDA Market News – part of USDA’s Agricultural Marketing Service (AMS) – assists the agricultural supply chain in adapting their production and marketing strategies to meet changing consumer demands, marketing practices, and technologies.  USDA Market News reports give farmers, producers, and other agricultural businesses the information they need to evaluate market conditions, identify trends, make purchasing decisions, monitor price patterns, evaluate transportation equipment needs, and accurately assess movement. 

Harvest Time: Celebrating Native American Heritage and Traditional Foods in FDPIR

Autumn is a time to reflect on all that we have to be thankful for, as we enjoy the harvest of nature’s bounty during gatherings with family and friends. In Indian Country, culture and tradition are sustained through shared meals with family and the community. Traditional foods are a powerful way for each new generation to connect with and honor its history and its ancestors, and participants in USDA’s Food Distribution Program on Indian Reservations (FDPIR) have access to more traditional foods than ever this year. November, Native American Heritage Month, is an especially fitting time to celebrate the addition to FDPIR of bison, blue cornmeal, wild rice, and wild salmon – foods that not only nourish a body but sustain a culture.

In collaboration with the FDPIR community, USDA’s Agricultural Marketing Service and Food and Nutrition Service have been working to identify culturally relevant foods to procure and offer through FDPIR, a program that provides healthy food and nutrition education to an average of 92,500 income-eligible individuals living on or near reservations across the United States each month. The food package offers more than 100 domestically sourced, nutritious foods, including a variety of meat, poultry, fish, dairy, grains, and fruits and vegetables. In both fiscal year 2015 and 2016, USDA received an additional allocation of $5 million dedicated to traditional and locally-grown foods. This fund, authorized under the 2014 Farm Bill and subject to the availability of appropriations, has allowed the exploration of new culinary opportunities for FDPIR.

USDA Market News - As Diverse as the Agricultural Landscape

As the agricultural landscape evolves to meet consumer demand, USDA Market News works to ensure that emerging sectors have the unbiased, reliable data they need to succeed in the marketplace.

USDA Market News – administered by USDA’s Agricultural Marketing Service (AMS) – provides data that serves as the information lifeline for America’s agricultural economy.  Everyone in the ag supply chain is accustomed to visiting Market News for items like current wholesale and retail prices for beef cuts, but here at AMS we offer so much more.

Working with Livestock Industry to Provide Critical Market Intelligence

The Livestock Mandatory Price Reporting (LMR) Program was created to expand pricing information available to the livestock industry.  The data is collected and distributed by USDA’s Agricultural Marketing Service (AMS) through its USDA Market News division to provide market information for cattle, swine, lamb, and livestock products.

LMR encourages competition in the marketplace by vastly improving price and supply data, bringing transparency, breadth and depth to market reporting.  Through LMR, livestock producers and processors, retail food outlets, restaurants, exporters, and many other stakeholders receive critical market intelligence on a daily basis.  Literally thousands of business transactions every day rest on the outcome of LMR data.

REAP: Working Well in North Carolina

USDA Rural Development’s Rural Energy for America Program, or REAP as we call it, is one of the flagship programs found in the energy title of the Farm Bill. Through REAP, USDA helps rural agricultural producers and small businesses improve their financial bottom line through increased energy efficiency and the development of renewable energy sources.

We wanted to share two great examples of this investment and development in North Carolina. In Mt. Airy, NC, local lenders took advantage of REAP’s loan guarantees to finance O2 Energies and build a solar farm that can provide up to 20% of the power needed by the community.

Hill Farm Buzzing with Pollinator Success

Since it’s National Pollinator Week, it seemed fitting to express my thanks to farmers Scott and Susan Hill - who run the Hill Farm outside Charlottesville, VA.  Earlier, I had the chance to visit their 10-acre property former tobacco farm to see firsthand how hard they are working to grow a variety of produce for the local customers. But there are more little workers helping on the Hill Farm too. Pollinators!

In the United States, about one third of all agricultural output depends on pollinators. Insects and other animal pollinators are vital to the production of healthy crops for food, fibers, edible oils, medicines, and other products. It’s clear that pollinators are important to the Hill Farm for their production of their artisan and specialty varieties of several vegetables, including lettuce, asparagus, tomatoes and even golden beets.  And the first year, the addition of bees increased their tomato production by 25 percent.

Mapping Out Farmers Market Success

Anticipation is building for the opening of seasonal farmers markets in communities across the country—especially in Takoma Park, MD, at the Crossroads Farmers Market.  With over 1,000 visitors each week and vendors offering 131 different fruits and vegetables, market manager Michelle Dudley has a lot of work to do figuring out the perfect placement of farmers and vendors coming to the market starting June 1.

Thanks to USDA’s Agricultural Marketing Service (AMS), she has it all mapped out!

New GroupGAP Certification Brings New Opportunities for the Produce Industry

Excitement is building in the produce industry.  From salad greens to roasted beets to fresh blueberries, local food is showing up on grocery stores shelves, as new features on restaurants menus and on our kids’ school lunch plates.  The increased demand for local food is creating more opportunities for farmers, ranchers and producers. While exploring new ways to meet the demand, the produce industry is also keeping an eye on the U.S. Food and Drug Administration’s Food Safety Modernization Act (FSMA).

To help producers meet the requirements of FSMA, one of the most important services USDA’s Agricultural Marketing Service (AMS) provides is our Good Agricultural Practices (GAP) certification. That’s why we’re launching a new GroupGAP certification program that allows smaller growers and producers to band together to become certified as a group. We are working closely with FDA to align our GAP and GroupGAP programs with FSMA requirements so that as FSMA takes effect, certified growers will know they are meeting the new requirements.