The United States Department of Agriculture (USDA) has unveiled plans to distribute $40.5 million in grant awards aimed at bolstering the processing of domestic organic products. This strategic investment is expected to elevate the production levels of over 27,000 producers and provide benefits to more than 31.8 million American consumers.
The grants will be allocated through the second round of the Organic Market Development Grant Program, a scheme designed to fortify the infrastructure of organic markets and enhance processing capacity. According to a press release by the USDA, a total of 60 grants will be disseminated through this program, providing assistance to producers in meeting the escalating demand for organic commodities. This investment signifies an expansion on the $75 million that was awarded through the same program in May 2023. "This round of awards through the Organic Market Development Grant program will address critical needs within the nation’s growing organic industry – funding projects that further our goals of creating and expanding markets for producers," Moffitt, Under Secretary at USDA stated. "The program is a key component of USDA’s Organic Transition Initiative and will increase value-added agricultural opportunities for organic producers in rural America."
In addition to being part of the USDA's Organic Transition Initiative, this grant program aims to stimulate organic product development and diversification from producers nationwide. The Organic Transition Initiative (OTI), a $300 million agency, is primarily focused on supporting producers during their transition period into the organic market. To bolster its efforts, OTI is enhancing its internal organic expertise by creating positions for organic experts at each of its regional technology support centers.
Agriculture Deputy Secretary Torres Small emphasized on the importance of supporting farmers who choose to go organic. "Farmers who choose to grow Organic often access new, more and better markets," Torres Small said. "At USDA, we are committed to making it easier for farmers who make that choice through programs like the Organic Market Development Grant Program, which supports farmers and increases access to fresh, healthy foods. Today's announcement is just one of the many ways President Biden is investing in rural people and a more resilient food system."
