Current News-New Opportunities Open Up for Missouri Family Farmers

The Missouri Farmers Union organized in 1999 when a dedicated group of family farmers and rural residents set out to reverse the trends and conditions that were decimating their communities. Near historic low commodity prices, inadequate market choices, limited access to credit, and diminishing rural employment opportunities prompted this group to band together to protect and enhance their economic interests as well as quality of life for not just themselves but for the next generations as well. From its early days, Missouri Farmers Union has worked hard legislatively to restore profit opportunities to farmers and open, fair competition to the market place.

Missouri Farmers Union realized early on that one way for family farmers to gain a larger share of the food dollar was to become involved in value-added activities. In 1999, Missouri Farmers Union supported and worked toward the passage of Missouri House Bill 888 that provided significant incentives to farmers to form new generation value-added cooperatives. With the National Farmers Union’s rich history and technical assistance in co-op development supporting us, Missouri Farmers Union began facilitating these community-based projects relating to pork, beef, dairy, vegetables, and distribution.

In 2000, Missouri Farmers Union was awarded Sustainable Agriculture Research and Education (S.A.R.E.) funding to develop a distribution system for sustainably produced, family farm food. In April 2001, USDA Rural Development announced that the Missouri Farmers Union would be one of twenty cooperative development centers in the nation to receive funding for its operation.

The Missouri Farmers Union Family Farm Opportunity Center, the official name for Missouri Farmers Union community and cooperative development organization, has a general goal of developing cooperative activity which sustains and enhances rural communities. “The Center accomplishes this by developing farmer-controlled, value-added projects that result in fair returns for farmers, good jobs for workers, and an improved quality of life for rural citizens,” states Missouri Farmers Union President Russ Kremer.

The Opportunity Center is a “one stop shop” for cooperative development as its staff provides expertise in organization, facilitation, feasibility analysis, business planning, market development, and accessing capital. In addition to Jefferson City’s office staff of Russ Kremer, Jill Lucht, and Jodie Dudenhoeffer, who work on various stage of coop development, Kyle Vickers and Greg Stratman provide technical services in the field.

The Missouri Farmers Opportunity Center has worked on a variety of projects. The center has successfully organized Ozark Mountain Pork Cooperative which produces, processes and markets natural pork products; Gateway Beef Cooperative that will soon be processing and marketing premium beef to restaurants throughout the country; and SEMO Organic Vegetable Coalition, a group of growers in the Bootheel region who have joined forces to market and process niche organic and natural vegetables and products.

The center also is facilitating a group of dairy farmers in southwestern Missouri who have completed a feasibility analysis of micro processing dairy products like cheeses, ice cream, yogurts, and bottled milk. The Opportunity Center has just completed a feasibility study for Central Missouri Meat Producers and Processors which hopes to develop an alternative rendering and recycling system for livestock mortalities and slaughter house offal. Other ongoing projects assisted by Missouri Farmers Union Center include identity preserved grain processing, sheep and goat production and marketing, organic fertilizer, farmers credit union, bio fuels, agri-parks, distribution co-ops and community stores.

The Missouri Farmers Union Center targets the following activities:

Assistance to young, beginning and underserved farmers. The Center has provided linkages for these people to established farmers and community-based businesses. The Center also facilitates access to low-interest financing and provided educational opportunities and support networks for young, beginning and minority farmers.

Sustainable Livestock Production and Marketing. According to University of Maine analysis, from 1910 to 1990 agriculture inputs’ share of the food dollar (fertilizer, fuel chemicals, etc.) doubled from 12% to 24%. At the same time, the farmers’ share of the food dollar dropped from 44% to 12%. In order to capture a greater share of food dollar, farmers must become engaged in valued-added and sustainable activities. Sustainable production not only reduces input expenses for farmers but is a means of providing consumers the safe, wholesome food they desire and protects our natural resources.

Marketing and Distribution. A value-added cooperative can operate the most efficient processing plant in the world, but without a viable, effective marketing and distribution strategy, the business has little chance of surviving. Marketing and distribution is quite challenging in an era when our world food system is largely consolidated and concentrated. Barriers to market entry include the requirements of slotting fees, rigid contracts, supply volumes, and product liability. Marketing and distribution is perhaps the most important hurdle a cooperative must successfully overcome.

Communication, outreach and education on cooperative development. Communicating the possibilities and new opportunities is essential for community development.

If you are your group has a unique value added idea that that needs assistance, or community development feel free to contact us. The Family Farm Center is located within the Missouri Farmers Union office and can be reached by calling (573) 659-4787 or emailing jlucht@missourifarmersunion.org.