| U S D A / R u r a l D e v e l o p m e n t |
| WASHINGTON, D.C. 20250-0705 |
News Release |
Contact: Kevin Herglotz, (202) 720-4623
kevin.herglotz@usda.gov
Tim McNeilly, (202) 690-0498
tmcneill@rdmail.rural.usda.gov
USDA ANNOUNCES NEARLY $10 MILLION IN VALUE ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS
WASHINGTON, June 25, 2001--The U.S. Department of Agriculture today announced the approval of 28 value-added agricultural product market development grants totaling nearly $10 million. The grants will foster the development of new products and markets for agriculturally based products.
"Today we see an increase in value-added products in the marketplace that are derived from raw agriculture commodities," said USDA Secretary Ann M. Veneman. "These projects will help support the continued development of innovative products that are helping find alternative energy sources and bringing higher value for agriculture commodities."
Nearly $2.5 million of the grants will focus on renewable energy resources in support of the President's energy strategy (See PR# 0108.01). Approved grant proposals will focus on developing, refining and producing new products derived from such products as timber, soybean, wheat, rice, corn, dairy, and meat products. Examples include a proposal in Michigan to construct a soybean oil refinery capable of converting raw soybean oil into food and bio-based fuel grade oil; efforts in North Dakota to develop a marketing and sales strategy for fiberboard products made of wheat straw; and in California where grant funds will be used for market development of a new wild rice product.
The following is a complete list of approved project dollars by state. A complete list of the selected grant recipients can be found at the USDA Rural Development web site at: http://www.rurdev.usda.gov/rd/newsroom/2001/vadgrecips.html.
| California - $405,625 | Michigan - $192,000 | North Dakota - $1,498,700 |
| Colorado - $162,290 | Minnesota - $1,000,000 | Oklahoma - $195,000 |
| Illinois - $500,000 | Missouri - $131,870 | South Dakota - $401,704 |
| Iowa - $1,821,800 | New Jersey - $75,000 | Virginia - $454,880 |
| Kansas - $499,997 | New York - $1,250 | Washington - $500,000 |
| Massachusetts - $500,000 | North Carolina - $467,405 | Wisconsin - $830,090 |
Authorized as part of the Agricultural Risk Protection Act of 2000 (P.L. 106-224), the Value-Added Agricultural Product Market Development Grants program was established to encourage independent producers of agricultural commodities, and products of agricultural commodities, to further refine such products to increase their value to the end user of the product.
Additional program funding and grant application procedures can be obtained by visiting the USDA Rural Development web site at http://www.rurdev.usda.gov/rbs/coops/vadg.htm.
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