"I worked to create this program last year because it's vitally important that we help independent grain and livestock producers find real solutions to problems created by the loss of competition in agricultural markets. This new market-development program is about finding and fostering new value-added business opportunities for the family farmer."
The grants awarded today to Iowa enterprises were distributed as follows:
Nationwide, 28 grants were awarded totaling $10 million.
Last year, Grassley introduced the bill that established today's Value-Added Development Grant Program. He said it was designed to encourage business ventures that capture a greater share of the consumer's food dollar for farmers. The Grassley proposal was adopted as part of the crop insurance reform legislation approved by Congress last year.
In March of this year, the Agriculture Department announced that $20 million was available for competitive grants to help independent producers pursue value-added ventures. The first of two competitions for matching grant awards up to $500,000 was completed April 23. This first competition drew 211 applicants seeking over $56 million in grant awards. Applications for the second competition are due on June 27.
"The program clearly responds to a need in our agricultural community," Grassley said. "Based on the strong reception, I hope to extend the program another year and increase the amount of money available to farmers."