USDA announced $196 million in loans and grants to strengthen domestic food systems, and the new White House Council on Supply Chain Resilience, which includes Agriculture Secretary Tom Vilsack, held its first meeting Monday.
“These investments—which build on prior investments in diversified food processing, resilient agricultural markets and fertilizer production—expand farmer income opportunities, create economic opportunities for people and businesses in rural areas and lower food costs,” according to a White House fact sheet.
The White House said the council will advance President Joe Biden's "long-term, government-wide strategy to build enduring supply chain resilience."
"Before the pandemic, supply chains weren't something most Americans thought about or talked about. But today, after years of delay in parts and products, everyone knows why supply chains are so important," Biden said at the White House Monday.
The launch of the council comes as Biden's re-election campaign continues to be dogged by public concerns about inflation, even as consumer prices have started to moderate.
USDA is providing funding to 185 entities in five different programs, including the Value Added Producer Grants Program and Rural Economic Development Loan and Grant Program.
Additional funds were authorized for the Business and Industry Loan Guarantees as authorized by the Consolidated Farm and Rural Development Act and the Food Supply Chain Guaranteed Loan Program through American Rescue Plan Act funds.
USDA is facilitating $165 million in loans to go with with $31.7 million in grants.
A $15 million food supply chain guaranteed loan to Centrillium Protein in Oklahoma will allow the company to purchase equipment for a meat processing plant to produce lean finely textured beef, rendered tallow and trim prime meats to supply restaurants and retailers.Cut through the clutter! We deliver the news you need to stay informed about farm, food and rural issues. Sign up for a FREE month of Agri-Pulse here.
In Vermont, a $1.2 million loan guarantee will facilitate permanent financing of a 788KW solar array farm that will produce enough energy to power the equivalent of 88 homes.
Nebraska Vegetable & Protein LLC received a $250,000 value-added producer grant to provide working capital for the processing of direct-to-consumer fish emulsion fertilizer. The project is expected to increase revenue for the producer by over $1 million and increase their customer base by 30,000 customers.
In a statement, Vilsack said the assistance for “agricultural producers and rural entrepreneurs will create better economic opportunities that spur competition and bolster food supply chains across the country. This will result in more affordable prices and choices for consumers, as well as more opportunities and revenue for farmers.”
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