U.S. Department of Agriculture to Fund $300 Million in Grants to Boost Exports

U.S. Department of Agriculture to Fund $300 Million in Grants to Boost Exports

May 21, 2024 Off By Author

The U.S. Department of Agriculture (USDA) announced on Tuesday a substantial funding initiative amounting to $300 million, aimed at more than 60 groups seeking to diversify American agricultural exports.

“USDA is pleased to be able to provide the startup capital to tap into these opportunities,” Agriculture Secretary Tom Vilsack said during a call with reporters on Monday night, previewing the announcement.

A total of 66 organizations will receive funding under the new Regional Agricultural Promotion Program (RAPP). The USDA launched the $1.4 billion program in October to develop new export markets for U.S. food and agricultural products, extending beyond traditional partnerships with Canada, Mexico, the European Union, and China.

“What this program really provides is an opportunity for us not only to expand geographically the opportunities for trade but also the products that can be made available,” Vilsack stated. “It’s a tremendous opportunity for us to diversify in a variety of different ways to grow market opportunity.”

The program focuses on tapping U.S. exports into new markets in regions such as South and Southeast Asia, Latin America, the Middle East, and Africa.

“When you have the major markets, as we’ve had, where 60% to 65% of what we export goes into four or five markets, that can create a sense of complacency,” Vilsack added.

Vilsack emphasized the importance of this funding in building wealth in rural areas of the United States. “We want to make sure our foreign-market development programs and agricultural trade in general work for the full spectrum of American agricultural producers, regardless of their size, their location, their product, or target market,” he said. “By investing in exports, we’re investing in the future of American agriculture and rural communities.”

Michigan Democratic Senator Debbie Stabenow, chair of the Senate Committee on Agriculture, joined the call with reporters. She stressed the crucial role of USDA investments in exports for the growth of American agriculture.

“The bottom line is [to] create new revenue for the folks that have the riskiest business in the world,” Stabenow remarked. “This is a really important way to support them.”

Grant Recipients and Their Projects

According to a list provided by the USDA, some of the grant recipients include:

  • Hazelnut Marketing Board (Oregon and Washington): Receives $455,000 for market research and trade missions in Africa.
  • U.S. Dairy Export Council (Virginia): Allocated $10 million to expand its presence in Africa by studying and developing dairy import regulations.
  • U.S. Meat Export Federation (Colorado): Awarded $21 million to expand its export efforts to new markets in Africa and invest in the convenience-store industry in South Korea, Central America, and Colombia.
  • Brewers Association (Colorado): Receives $2 million to engage in the craft beer scene in Southeast Asia by participating in regional trade shows and bringing buyers to U.S. trade events.
  • Cranberry Institute (Massachusetts): Allocated $1 million for trade education seminars and other events to identify opportunities in India, Brazil, Colombia, and Southeast Asia.