Adding Value to the Sustainable

FarmLearnings from a SARE Appalachia Initiative

Grant 2007

The Need• Commodity agricultural production demands high efficiency and high volume.

• Family living costs continue to increase.• Farmers must grow their business to provide the necessary return to owner’s labor and management.

• Value added processing and marketing offers an option for growers with limited acreage to grow their business.

The Problem• Value added production/processing provides the opportunity for increased income and profit.

• Farmers are reluctant to invest, due to uncertainty about their ability to sell a value-added product.

• Farmers never know if they can sell the product, because they don’t have one to sell.

The Grant was the Solution

• $25,000 Grant awarded in Spring 2007• 9 farmers received $1,200 towards the cost of processing - $300 for jars and $900 for labor to grow the crop.

• Additional funds used to provide marketing assistance, education, and product ideas from chefs.

The Players• Collaborative for 21st Century Appalachia

• Gourmet Central, Romney, WV• 6 farmers in WV• 3 farmers in PA• Brian Kelly, Penn State Extension

Products Made• Somerset Sweet Onion and Garlic Jelly• Dilly Beans• Bloody Mary Mix• Spaghetti Sauce – two kinds• Blackberry Jelly• Jonagold Chunky Applesauce• Hot Sauce• Pumpkin Syrup

Results• Unsold tomatoes were transformed from “pig feed” into spaghetti sauce and production was sold in a month.

• Un-harvested sweet onions were “rescued” and processed!

• High school boy, with help from his Grandmother, created Pumpkin Syrup

By the NumbersCrop Value Product Quantity Cost Selling

$

Tomatoes $4.00 Spaghetti Sauce

169 qt. $2.86 $6.00

Tomatoes & Peppers

$175 Hot Sauce

160 $3.46 $4.00

Tomatoes $300 Bloody Mary Mix

250 (25 oz)

$4.60 $8.00

Apples $125 Chunky Applesauce

437 qt. $2.30 $4.95

Green Beans

$101 Dilly Beans

125 $3.26 $6.00

Pumpkin $150 Pumpkin Syrup

293 $2.86 $4.00

Calvin – Bigg Rigg’s• Original product a Vodka Sauce

• Over $5 production costs. Retail $8.

• Pasta Sauce • $.50 Tomatoes + $3.50 processing cost = $8 Retail Price

Calvin’s Bank Account!

Laurel Vista Farm

Sell Everything

• Current market means grading for sale.

• So, they have a lot of “less than first”

• What do we do with the extras?• Value-Added Processing uses the good, but not perfect.

For example…

Key Learnings• Use over production or second quality• Growers with an established market• Price as a premium product; it is!• Make a unique or specialty product!• Product tastings and recipe ideas• 7 of the 9 invested their own money in 2008 in Value Added Processing

Questions?Brian KellyExtension EducatorPenn State Extension, Blair County

301 Valley View Blvd., “E” Wing

Altoona, PA 16602bmk12@psu.edu814-940-5989