Agribusiness, co-ops awarded $28 million in USDA grants

Rural Cooperatives, Jan-Feb, 2004

SDA Rural Development in December awarded $28.7 million to promote development of value-added products made from U.S. agricultural commodities, which USDA hopes will spur economic growth in 40 states. Cooperatives received 79 of the 184 grants.

"These grants will foster the development of value-added projects to help create the opportunity for economic development and job creation in rural areas," Agriculture Secretary Ann Veneman said. "The Bush Administration is committed to providing the necessary tools to help rural businesses create jobs and improve the quality of life for their communities."

Authorized as part of the 2002 Farm Bill, the Value-Added Producer Grants provide an opportunity to refine agricultural commodities and products to increase their value in the marketplace.

Applications selected for funding range from Planters Cotton Oil Mill Inc. in Arkansas, which will receive $497,000 to develop a feasibility analysis and business plan for marketing and manufacturing oilseed products (neutralized dried soap stock), to Massachusetts Woodlands Cooperative LLC, which will receive $499,253 to expand markets that focus on forest stewardship, green certified materials and other value-added forest products.

In support of President Bush's 2001 energy plan, 29 applications focusing on bio-mass and renewable energy were selected to receive $4.3 million in grant funds. For example, the Central Illinois Energy Cooperative will use $250,000 as working capital to operate its 30-million gallon per year ethanol processing and cogeneration facility.

Funding of selected applicants will be contingent upon meeting the conditions of the grant agreement. Following is a list only of cooperatives that received grants. A complete list of the grant recipients can be found at the USDA Rural Development Web site at: http://www.rurdev.usda.gov.

Co-op recipients of USDA Value-Added Producer Grants

Recipient                                               Grant Amount

Ag Processing, Inc., MN                                    $ 198,500
Ag Ventures Alliance, IA                                   $  12,500
AgraMarke Quality Grains, Inc., MO                         $ 235,950
Agriculture Marketing Institute, Inc., KY                  $  79,900
Agri-Mark, Inc., VT                                        $ 175,000
Amalgamated Sugar Company, ID                              $  91,200
Aurora Cooperative, NE                                     $ 309,600
Beef Marketing Group Cooperative, Inc., KS                 $  37,500
Blue Diamond Growers, CA                                   $ 329,938
Blue Sun Producers, Inc., CO                               $ 450,000
Cal/West Seeds, CA                                         $ 100,030
Calcot, Ltd., CA                                           $ 337,400
California Canning Peach Association, CA                   $  39,962
California Olive Growers, CA                               $ 500,000
CEA Farm Cooperative Steering Committee, TX                $  40,000
Central IL Energy Cooperative, IL                          $ 250,000
Citrus World Inc., FL                                      $ 293,000
Columbia County Farm Bureau, Inc., WA                      $  50,000
Dairy Farmers of America, CA                               $ 150,000
Diamond Walnut Growers, CA                                 $ 500,000
East Central Ag Products, Inc., MO                         $ 500,000
Farmer Direct Foods, Inc., KS                              $ 349,033
Farmers Co-op Oil Company, NE                              $ 120,000
Farmers Union Marketing &
  Processing Assoc., MN                                    $ 500,000
Garden State Ethanol, Inc., NJ                             $  75,000
Great Lakes Pork Cooperative, IN                           $ 280,000
Hallock Cooperative Elevator Company, MN                   $  50,000
Hawaii Cattle Producers Cooperative
  Association, HI                                          $ 319,960
Home Grown Wisconsin Cooperative, WI                       $  20,000
Hopkinsville Elevator Co., Inc., KY                        $  87,500
Kearney Area Ag Producers Alliance, NE                     $ 162,000
Kentucky Produce and Aquaculture
  Alliance, Inc., KY                                       $  35,000
Living Forest Cooperative, WI                              $  39,500
Michigan Edible Bean Cooperative, MI                       $ 247,175
Michigan Sugar Company, MI                                 $  74,120
Michigan Turkey Producers Cooperative, MI                  $  55,574
Mid-Iowa Cooperative, IA                                   $ 450,000
Midwest Grain Processors, IA                               $ 150,000
Mountain States Lamb Cooperative, WY                       $ 200,000
National Trail Biodiesel Coop., IL                         $  33,000
NC Farm Bureau Foundation for Agriculture
  in the Classroom, NC                                     $  53,700
Nebraska Turkey Growers Cooperative, NE                    $ 120,000
Norpac Foods, Inc., OR                                     $  55,676
Ohio Premium Pine Cooperative, OH                          $  78,950
Olive Growers Council, CA                                  $ 148,250
Organic Essentials, Inc., TX                               $ 450,000
Ozark Mountain Pork Cooperative, MO                        $ 420,000
Palouse Grain Growers, Inc., WA                            $  24,955
Planters Cotton Oil Mill, Inc., AR                         $ 497,000
Planter's Grain Cooperative, TX                            $ 349,240
Premium Ag Products, LLC, MO                               $ 349,990
ProFac, NY                                                 $ 180,000
Progressive Producers Nonstock
  Cooperative, NE                                          $ 450,000
Purchase Area Aquaculture Cooperative, Inc., KY            $ 139,700
Santa Fe Family Farmers Cooperative, NM                    $  51,510
Schoharie Co. Coop. Dairies, Inc., NY                      $  15,000
Seafood Producers Cooperative, WA                          $  48,000
Sequim Growers Cooperative, WA                             $  85,084
Siskiyou Sustainable Cooperative, OR                       $  18,875
Southeast Nebraska Alternative Crops Association,
  Nonstock Cooperative, Inc., NE                           $  96,355
Soyex Cooperative, IA                                      $ 149,000
Stateline Bean Producers Cooperative, NE                   $ 500,000
Sunrise County Wild Blueberry
  Association, Inc., ME                                    $   5,000
Sunsweet Growers, CA                                       $ 500,000
Texas Aquaculture Cooperative, TX                          $ 245,000
Texas Hair Sheep Producers Coalition, TX                   $ 145,194
TOPC Texas, LLC, TX                                        $ 249,500
TransCon Ag, Inc., MO                                      $ 332,119
Two Rivers Grape and Wine Cooperative, IA                  $ 150,000
United Cooperative Farmers, Inc., MA                       $ 248,250
United Farmers Cooperative, NE                             $ 367,500
Upstate Farms, NY                                          $  20,000
Ursa Farmers Co-op, IL                                     $  30,000
Valley Fig Growers, CA                                     $  34,409
West Bend Elevator, IA                                     $  30,500
West Central Cooperative, IA                               $ 140,000
Western United Dairymen, CA                                $ 299,871