Policy & Politics

Text Size - + print article

Retail Agriculture (national policy)

Published May. 30, 2012

Issue: More farmers and ranchers are getting closer to their customers, and finding that they can capture a higher margin when they grow vegetable or meat products with a specific consumer market segment in mind. Whether they sell direct-to-retail or through wholesale channels, if it is sold with special product attributes such as being local, organic, grass-fed, or small farm-raised it may have a higher value. A significant portion of the value is based on retail consumer demand. This sector can be called “Retail Agriculture.” Retail Ag is a type of “value added agriculture” where the value that is added is the two-way information flow between farmer and consumer. In addition to being a significant contributor to net farm income, Retail Agriculture describes the nature of a growing number of Farm Bureau members’ farm operations and offers new business opportunities to young and beginning farmers.

Background: More farmers and ranchers are getting closer to their customers, and finding that they can capture a higher margin when they grow vegetable or meat products with a specific consumer market segment in mind. Whether they sell direct-to-retail or through wholesale channels, if it is sold with special product attributes such as being local, organic, grass-fed, or small farm-raised it may have a higher value. A significant portion of the value is based on retail consumer demand. This sector can be called “Retail Agriculture.” Retail Ag is a type of “value added agriculture” where the value that is added is the two-way information flow between farmer and consumer. In addition to being a significant contributor to net farm income, Retail Agriculture describes the nature of a growing number of Farm Bureau members’ farm operations and offers new business opportunities to young and beginning farmers.



Text Size - + print article