News Release
Release No.STELPRD4010998
ContactDarin Leach515-284-4747
Application Deadline for Value Added Producer Grants is August 29
Des Moines, IA, Jul 01, 2011 --

@@Bill Menner, USDA Rural Development State Director in Iowa, today announced grants are available to assist producers and producer-owned businesses who want to add value to the commodities they produce on their farms.

The deadline for applying for the 2011 Value Added Producer Grant Program administered through USDA Rural Development is August 29.

Value-added products are created when a producer increases the consumer value of an agricultural commodity in the production or processing stage.

Value Added Producer Grants from USDA Rural Development can be used for planning that establishes a viable value-added marketing opportunity, or for working capital to operate a value-added business.

“This grant program can help with the development of local foods systems and can spur the economy by supporting local producers,” Menner said. “I encourage producers interested in starting or expanding their value-added business to give us a call.”

Grants are available to independent producers, agricultural producer groups, farmer or rancher cooperatives, and majority-controlled producer-based business ventures.

Planning grants can be used for feasibility studies, marketing and/or business plans. Grant funds can be used to pay consultants who guide producers through the development processes. The planning activities must be related to the marketing of a value-added product.

Working capital grants can be used to pay the operating expenses of new ventures just starting out.

Since 2001, 130 businesses in Iowa have been awarded more than $21 million in grant funds through this nationally competitive program.

Examples of previous grant recipients in Iowa include wineries, branded meat marketers, as well as pork, specialty soy oil and cheese and milk processors.

Application information, including a link to the eligibility rules and application procedures included in the June 28, 2011 Federal Register can be found at by clicking on Business and Cooperative and then Grant Programs.

Contact USDA Rural Development

USDA Rural Development has 11 offices across the state serving the 1.7 million Iowans living in rural areas and communities. Office locations include a State Office in Des Moines, along with Area Offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly.

USDA Rural Development is an equal opportunity lender with a variety of direct and guaranteed rural credit programs involving single and multi-family housing, community facilities, water and sewer development and business and industry programs.

Further information on this and other programs offered by USDA Rural Development is available by calling (515) 284-4663, by visiting or at any local area office.

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