USDA Invests $92.2 Million in Grants for Food Producers Affected by COVID-19

WASHINGTON, D.C. — The Department of Agriculture (USDA) this week announced the availability of $92.2 million in competitive grant funding under the 2018 Farm Bill’s Local Agriculture Market Program (LAMP). The LAMP grants announced are funded through the Farmers Market program as part of USDA’s Pandemic Assistance for Producers Initiative. USDA launched this initiative in March to address shortfalls and disparities in how assistance was distributed in previous COVID-19 assistance packages, with a specific focus on strengthening outreach to underserved producers and communities and small and medium agricultural operations. These grants support the development, coordination and expansion of direct producer-to-consumer marketing, local and regional food markets and enterprises and value-added agricultural products.

“We have an opportunity to transform our nation’s food system with a greater focus on resilient, local and regional food systems,” said Agriculture Secretary Tom Vilsack. “These grants will help maximize opportunities for economic growth and ingenuity in local and regional food systems to kickstart this transformation. LAMP grants have a history of generating new income sources for small, beginning, veteran and socially disadvantaged farmers and creating new market opportunities for value-added and niche products.”

USDA said it encourages projects that assist underserved local and regional agricultural businesses, producer networks and associations, and local and tribal government in responding to COVID-19 disruptions and impacts, but that funding is not contingent upon applicants directly addressing these issues.

USDA said it will award $76.9 million ($22.5 million in the 2018 Farm Bill, $47 million provided as emergency funding through the Consolidated Appropriations Act of 2021 and $7.4 in annual appropriations) to FMLFPP. Projects under the Farmers Market Promotion Program support direct-to-consumer markets such as farmers markets and CSAs. Projects under the Local Food Promotion Program supports indirect-to-consumer markets like food hubs and value-added product incubators.