USDA and Ohio bequeath farmers $12.4 million to improve food supply chain

Corn stalks on a Minnesota farm

Small and medium-size farming enterprises in Ohio will receive $12.4 million from  U.S. Department of Agriculture (USDA) and Ohio’s government. The amount will go into the state’s food supply chain.

Announcing this program on January 2, 2024, Ohio Department of Agriculture’s Director, Brian Baldridge cited an intention to invest in producers.

At the same time, Ohio’s Resilient Food Systems Infrastructure Program (RFSI) will  offer grants to farmers for infrastructural needs. Applications for the grants run up to mid-March, 2024.

Baldrige said that small-scale farmers who supply the state with food can apply to develop their farms and small ranches. 

The RSFI program also targets applicants from left out communities, elderly producers and financially struggling farmers.

Processing plants in the state of Ohio can also access the grant to expand their supply chain goals. Most beneficiaries will come from the state’s famous soy and corn processing belt such as those that make corn ethanol.

This program comes amid efforts by the Biden administration to reach out funding to rural America through USDA branches. Some of the recipients of this funding, so far, include an organic flower farm in Montana

Grants for 90% of U.S. Farms

Occasional grants for small farms by the government aims to benefit the majority of farmers in the country. This is especially relevant as 90% of all farms in the United States are in the small size range. 

According to the National Institute of Food and Agriculture (NIFA), a small farm normally has a gross revenue of under $250,000. It also has at least one family operating it with the support of a few workers.

Granting programs including Ohio’s RFSI and USDA’s Farm Service Agency (FSA) farm loans keep farms operating amid an ageing population. Statistics show that the current median age for farmers in the country is 63. This indicates the need for financial aid to help pay for extra worker support on these farms.

Like RFSI, NIFA ensures equitable distribution of farm loans. It does this by establishing such facts as the size of the farm or ranch, which make it eligible for the grant.

Thus, the decision by the Ohio government and USDA to support food supply chains echoes many such programs in the U.S.