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New Issue Papers: Exploring Environmental Markets

All of us rely on nature’s benefits during our daily routines, but few stop to think about how we can sustain those benefits over time. Luckily, there are economists, resource managers, and policymakers working on tools to help manage resources—and environmental markets are one of those tools. Environmental markets allow people who use ecosystem services to pay those who provide environmental benefits. In some cases, the environmental stewards who can provide benefits (like clean water, air and habitats) are farmers. While there is promise in environmental markets, there are a lot of kinks to work out.

Two new issue papers by the World Resources Institute, take a deep dive into the mechanics of water quality trading and other environmental markets by exploring options for market development.  The papers were produced with support from the USDA Office of Environmental Markets, and were released earlier this month.

Farm Service Agency Resuming Payments to Millions of Farmers & Ranchers

Within a week after the government opened from a 16-day shutdown in October, Farm Service Agency employees were able to quickly issue payments to more than 1 million farmers and ranchers.

Secretary Vilsack said that he was “proud of the commitment by USDA employees” to ensure these conservation and safety net funds reached America’s farmers and ranchers. “USDA assures rural America that it remains a priority, and these actions by FSA staff serve as yet another reminder that America needs passage of a new Food, Farm and Jobs Bill as soon as possible to continue support of producers.”

Food Hubs - Building Businesses and Sustaining Communities

Food is a great equalizer.  Whether sharing it with loved ones around our holiday table or worrying about how we’re going to fit lunch in to our busy work days--food is something we all have in common.  But we don’t always think about the path it takes to get to our plates or even the store shelves.  And while there are many different ways it gets to us, we’re seeing food hubs play an increasingly important role for everyone along the way--farmer to corner store, chef to school lunch.

Food hubs are innovative business models emerging more and more across the country. They bring farmers and suppliers together, with 81 percent of food hubs focusing on increasing opportunities for local farms and allowing smaller producers to pool their products and fulfill larger contracts. Ninety-one percent of food hubs are near cities, connecting rural farmers to larger suburban and urban communities.  Oftentimes, farmers who work with food hubs offer a wider variety of products and are able to continue selling their goods later into the growing season.  That translated into an average of over $3.7 million in sales in the last year.  And USDA’s efforts have helped expand the number of regional food hubs operating around the country.  There are over 230, a 65 percent increase since 2009.

USDA Announces Farm to School Grant Awards

I just spent the morning calling people who had applied to receive a USDA Farm to School grant. They were fun calls to make as I was letting this year’s awardees know their project had been selected for funding.

Today USDA announced awards for 71 projects spanning 42 states and the District of Columbia that support USDA’s efforts to connect school cafeterias with local farmers and ranchers through its Farm to School program.

USDA Farm to School grants help schools respond to the growing demand for locally sourced foods and increase market opportunities for producers and food businesses, including food processors, manufacturers, and distributors. Grants will also be used to support agriculture and nutrition education efforts such as school gardens, field trips to local farms, and cooking classes. Selected projects will serve more than 13,000 schools and 2.8 million students, nearly 45 percent of whom live in rural communities. Projects are diverse:

Cover Crops Improve Soil & Provide Food for Cattle

The Bremmer family has raised cattle and grown crops in northwestern Illinois for more than a century. Over time, they’ve found ways to improve their operation -- the latest improvement is the use of cover crops.

Brothers Ross and Chad Bremmer, fourth-generation farmers, are already seeing the benefits of cover crops -- healthy food for their cattle, less erosion and an increase in the soil’s water-storage capacity.

The brothers worked with USDA’s Natural Resources Conservation Service to find the best cover crops for their land. They were looking for a cover crop that helped the soil while providing good sustenance for their cattle.

Secretary's Column: All Americans Benefit from Local and Regional Markets

One very important reason for Congress to expedite work toward a new Food, Farm and Jobs Bill is to continue today’s rapid growth in local and regional marketing opportunities for American agriculture.

From local farmers markets to regional food hubs, these new opportunities benefit a wide range of Americans from all walks of life.

They benefit farmers and ranchers who are looking to start selling locally or scale up to regional sales. Farmers markets and regional food hubs have a particularly positive impact for small and limited-resource producers. Sales of local foods are growing rapidly, creating a multibillion-dollar market opportunity for producers.

Drought Stricken Areas to Benefit from USDA, NOAA-Led Initiative

While addressing the effects of the 2012 drought, USDA, the National Oceanic and Atmospheric Administration (NOAA) and other federal partners are preparing proactively for the next one.

As part of President Obama’s Climate Action Plan, the Obama Administration today announced an interagency National Drought Resilience Partnership to help communities better prepare for future droughts and reduce the impact of drought events on livelihoods and the economy.

Spearheaded by USDA and NOAA, members of the National Drought Resilience Partnership will coordinate the delivery of Federal Government policies, programs, information and tools designed to help communities plan for and respond to drought. Other partners in this effort include the Department of the Interior, the Assistant Secretary of the Army for Civil Works, the Federal Emergency Management Agency, the Environmental Protection Agency and the U.S. Department of Energy.

Absence Makes the Market Grow Fonder

At some point in our lives, we all wonder what it would be like if we didn’t exist.  How would things be different?  Last month, American farmers and businesses experienced what it was like to live without USDA Market News.  While the markets continued to operate, we received several phone calls and heard stories of how so many small and mid-sized producers struggled without the valuable information we provide.

In the 100-year history of Market News, this was only the second time that the data reports were not available.  The 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.  The information, gathered by the Agricultural Marketing Service (AMS) and provided for free,  captures data for everything from cotton, fruits, vegetables and specialty crops, livestock, meats, poultry, eggs, grain and hay, to milk and dairy, and tobacco.

Providing Opportunity Yields Long-Term Insight

Growing up on a family farm in New Mexico, I experienced the joys of producing your own food and sharing it with others. For many, the opportunity to own a farm or work in the agriculture industry is a dream come true, one that they can achieve if given the right opportunity.

In my position here at USDA, I take great pride in the work we do to help producers like Oscar Vizcarra—who now has almost 5,000 people come to apple picking and other events at his farm on a regular basis—realize their dreams.  One of the ways that we will create similar opportunities for the entire agriculture industry is by passing common sense immigration reform, and addressing critical labor issues that are needed to help the industry continue to thrive.

Native American Heritage Month - A Time for USDA to Consult with Tribes and Learn from Them

Late last month it was my privilege to join representatives from multiple USDA agencies at Wisconsin’s Mole Lake Indian Reservation to discuss ways to work together, across agency lines, to provide needed services to Tribes.  Thanks to funding support through the American Recovery and Reinvestment Act and other USDA programs, the Obama Administration has boosted federal support for Tribes, but now we are working to step up our effort even more, to work as one to support projects and initiatives that the Tribes have told us they support and need.  As we observe  Native American Heritage Month, it is important to note that this effort is consistent with Secretary Vilsack’s “One USDA” policy.  The intention is to have “one USDA speaking with one voice.”

Because we are such a large department, sometimes those seeking services just don’t know where to start.  At USDA we are moving to unify our brand identity and broaden our outreach.  We know that when a member of a Tribe approaches a USDA representative, they don’t want a process.  They want an answer, and we should be giving them answers from all of our agencies. That was the message I shared with my USDA colleagues at Mole Lake.