morning session w leslie

Presenter: Leslie Schallerleslies@acenetworks.org

Local Food Assessment & Economic Development

Why People Want LocalFood quality

Greater food safety and traceability

Reducing one’s food footprint

Creating and retaining businesses and livelihoods

Greater social cohesion and sense of community

• Buy Local, Buy Fresh ---- Branding• Local is the new organic• Exponential growth of farmers

markets• Celebrating Rural & Regional Flavor• Country is re-examining our values• Foodies and ‘locavores’ spread the

word• $$$ for infrastructure on the way --

USDA

Favorable Trends

Local food opportunities

Demand and supply for local food has grown in recent years despite the recession

In 2011, over 85% of consumers reported that they choose a grocery store on whether or not they stock local food

In 2011 there were over 7,000 farmers markets compared to 340 in 1970 & more than 4,000 CSAs

The USDA estimates local food sales to reach $7 billion in 2012

Shorten the supply chain – from farm

Shorten the supply chain – to the fresh plate

What is the recipe for local food system

economic impact?

Food Brand StrategyBrand strategy interdependent with business

development services and food sector incubation

Brands are market driven by supply chain demand & consumer education

Brands rooted in local value chain model as theory of change

Brands provide perceived value for entrepreneurs to participate in training & evaluation

Creating local foods earning opportunities for farmers, food producers, food markets, food events and local food enterprises

within a 30 mile radius of Athens, Ohio

The Mission of The 30 Mile Meal Project

Recognizable identity within the regionEffective marketing tools that drive

collaboration & new partnershipsCreated buzz in the region as food economy

strategyOpportunity for peer networks & licensing of

brand strategyMultiple public & private funding streams to

prototype 30 Mile Meal efforts

Replicating the 30 Mile Meal

Our first 30 Mile Meal Pioneers:Licking County, Ohio

Huntington, West VirginiaYoungstown, Ohio

What We’ve

Learned

Financial Support Capacity

Membership Fees

Underwriting CampaignsSponsorships

Donations

Merchandise Sales

Value Chain Services

In-kind from Stakeholders

Four Principles of Wealth Creation

1. Focus on place2. Incentivize collaboration3. Create multiple forms of wealth4. Emphasize local ownership

Traditional Supply Chain

Production Processing Distribution Marketing Consumption

Traditional Supply Chains: push supply to the next node in the chain

Mapping the Local Food Value Chain

Stages of Development of Local Food Value

Chains• Social• Individual• Intellectu

alEmerging

• Built • Political• Financial

MatureNatural

Local food impacts headlines

Athens Farmers Market: 40 years strong, over 100 vendors & estimated $3million in sales in 2011

ACEnet Food Ventures Center: 16 years of operation, over 260 food enterprises served & $28 million in aggregate tenant/user sales

30 Mile Meal brand: over 130 stakeholders committed to growing, producing, sourcing and marketing local foods

A Mature Local Food System Sustainable and diversified

agriculture Farmers and food producers are

using multiple market channels Production can go to scale – all

formsConsumer demand has been

cultivated (consumer education, innovative market branding and partnerships, and access)

Collaborating for mutual benefit

The wealth creation approach is not about charity but about meeting market needs. Making economic connections in ways that create mutual benefit

It emphasizes the values that areas naturally share with external markets. These might be clean water, healthy food, vibrant families, healthy soil, reduced energy use, etc.

Creating economic connections based on shared values leads naturally to mutual benefit. Value chains can create win-win situations for everyone along the chain

The focus of this approach is on how people in low-wealth places can benefit from the wealth they help to create

• Area farmers• Farmers

producing value-added

• Small food producers

• Local processors

• Dairy processors

• Meat processors

Food Produce

rs & Processo

rs

• Farmers markets

• Farm stands, pick your own farms

• CSA’s, good food box programs, e-commerce subscription

Direct Sales

• Produce auctions

• Farm market retailers

• Food hubs• Regional

produce distributors

Aggregators,

Distributors &

Brokers

• Restaurant associations

• Educational programs

• Grocery store chains & associations

• Retail associations,

• Farm to School buyers

Wholesale

Buyers

Retail Market Partnerships

Larger Market Partners

• Chamber of Commerce, Civic groups

• Healthcare initiatives

• Farm group associations

• Food bloggers• Farm to School

parents & advocates

• Slow food chapters, dining clubs

• Heritage & Tourism groups

• Farm Organizations: OEFFA, IFO, Farm Bureau

• Economic Development

Consumers

& Non-profit

partners

• Traditional print newspapers

• TV affiliates• Local radio

stations• Educators –

Journalism, Media or Vis-Comm Schools

• Food blogs• Food facebook

pages, tumblr, twitters, etc.

Media

Local Media Spreads the Word

• Local banks• CDFI’s• Venture Capital

funds• Financial

planners• Insurance

vendors

Banks, Finance Institutio

ns

Emphasizing investment for long-term gain

Much of traditional development focuses on short-term consumption: how much money people have to buy things today

A focus exclusively on consumption cannot build a sustainable system

Continual reinvestment in assets is necessary to produce tomorrow’s income

Mapping Our Local Assets Each of communities have unique assets Assets vary between emerging &

established food economies Often assessment starts with

stakeholders in the inner circle of the value chain

Support stakeholders of equal importance to the viability of the brand program