From October 27, 2022 post.
Today, Congressman Sanford D. Bishop, Jr. (GA-02), Chair of the House Appropriations Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies, and U.S. Department of Agriculture (USDA) Under Secretary for Rural Development, Xochitl Torres Small, announced a $250,000 Value-Added Producer Grant (VAPG) to Pippin Orchards, LLC. This funding will be used for processing and marketing shelled pecans and help the company expand its customer base.
“As the leader of the House Appropriations Subcommittee that funds rural development programs, I know how these grants boost farm income and create jobs in rural America,” said Congressman Bishop. “These value-added products can bring in a higher consumer price than the raw product alone, which helps farmers and ranchers improve their bottom lines. That is why I have led the charge to ensure programs like this are robustly funded. When we help our farmers grow, the economy grows with them.”
“America’s farmers, ranchers and rural business owners are innovative entrepreneurs and we are committed to ensuring they can make the most of their hard work with these grants,” said Under Secretary Xochitl Torres Small. “The Biden-Harris Administration is proud to partner with these Georgia producers to champion their ideas and help them find new and better markets for their products.”
“The trade war with China really hurt the market for our pecans and we knew we had to adjust to find new markets in order to remain successful. The USDA Rural Development’s Value-Added Producer Grant gave us the resources needed to make that shift,” said Shena Pippin, owner of Pippin Orchards LLC. “This investment not only helps us better process our pecans, it gives us the helping hand and capacity to connect us with other businesses and find new customers for our product.”
This grant will help Pippin Orchards reach three new customers via large food retailers, and the company is estimated to see a 20 percent increase in revenue after receiving the grant.
In 2018, a USDA study found that businesses that received support from VAPG were less likely to fail than similar businesses that did not receive support through the program. Furthermore, the report found that VAPG recipients were 89 percent more likely to still be in business two years after the grant than similar, non-granted businesses, and 71 percent more likely to remain in business four years after the grant.
These results show that the VAPG program had a positive impact on the survival of recipient businesses, even 6 years later. Moreover, on average, VAPG recipients were reported to provide more jobs (five to six more employees) for their communities than similar non-recipient businesses.
The Value-Added Producer Grant program was designed to help agricultural producers participate in planning activities — such as developing business plans or feasibility studies — or help cover working capital expenses related to the processing and marketing of agricultural products. The program aims to create new products, expand marketing opportunities, and increase the income of farmers and ranchers.
The program is available to independent producers as well as agricultural producer groups, farmer and rancher cooperatives, and majority-controlled producer-based business ventures. The funds from this program can be used for planning activities, processing costs, marketing and advertising expenses, and some inventory and salary expenses.
Original source can be found here.
