American consumers require food and they want to know where it came from, who made it, and how. They will pay extra if their purchase promotes the local economy, creates jobs, helps safeguard the environment, preserves farmland, protects the groundwater, and supports the humane treatment of animals. Investors in the farming and food enterprises are able to receive good financial returns, create value other stakeholders can use, strengthen local economies, improve environmental resilience, and make a positive impact on the support needed by healthy communities. The potential of agriculture has been recognized by some investors.
Although food processors and farms are not considered trendy for investment purposes they are areas requiring hard work with very little room for error. Quite a few of the traditional family farms and agriculture businesses have already received hits while others have disappeared. According to the USDA farm income is expected to decline for the fourth straight year in 2017. This coincides with the demand for food that is locally grown and healthy. The sale of local foods in the United States went from $5 billion to $12 billion between the years of 2008 and 2014 with projected sales for 2019 at $20 billion. For more information on agricultural statistics please visit http://www.businessinsider.com/the-demand-for-local-food-is-growing-2017-4.
One of the main problems is the infrastructure designed to connect the family farmers with the demand for locally grown products is no longer able to serve the regional markets. The aggregators, distributors, processors, and marketers are simply no longer there. Both urban and rural markets have seen their access to health foods continue to dwindle. The gaps are being placed in the hands of the modern food entrepreneurs who have the commitment and passion necessary to make a difference. What they require is the strategic assistance and financing so they can accelerate their companies growth and achieve success over the long term.