Value-added processing may be a means to increase farm income and circulate more dollars in local West Virginia communities, according to researchers from the West Virginia University Davis College of Agriculture, Forestry and Consumer Sciences.
A recent poll of West Virginias agricultural extension agents showed that value-added processing plays a role in 89 percent of West Virginia counties. Value-added processing is the changing of raw products in such a way to increase its revenue when sold to consumers. The most common forms of value-added enterprises in West Virginia include beef products marketing, farmersmarkets, and jam and jelly production.
“In addition to generating greater income, circulating community dollars and attracting agri-tourists, farmers can also benefit from an increased knowledge of direct marketing strategies,”said Jennifer Lewis, a Division of Resource Management graduate student in the Davis College.”By actively taking part in economic, marketing and processing decisions, farmers in the state can begin to break away from the detrimental pattern of buying supplies retail and selling product wholesale.”
The report also indicated that a significant number of extension agents would like additional information on value-added processing, and many said they needed more information and training to properly advise farmers on how to get involved. When asked if agents would help farmers with a value-added operation, a resounding 93 percent of agents indicated strong or moderate agreement.
Researchers studied a honeybee cultivation center, the Romney and Leicester long-wool sheep farm, a”pick your own”vegetable and fruit farm, and a direct marketing corporation formed by eight beef farmers in West Virginia to encompass many different sectors of agriculture and methods of processing. The enterprises were studied based on the type of venture, originality, success and adaptability to other areas and farming situations in the state.
Peter Schaeffer, professor of regional economics at the Davis College and director of the Division of Resource Management, said that poor access to customers in West Virginia might hinder full success of value-added commodities.
“Most small-scale value-added food processing items need immediate access to customers. In fact, the personal relationship between buyer and seller is often one of the reasons for the success of such specialty items,”said Schaeffer.”Because so many of our communities are relatively isolated, they have a much harder time at this.”Schaeffer also noted that the Internet can and does help with marketing, but it is not a complete solution to the problem.
The project investigatorsLewis, Schaeffer, Harry Boon Jr. and Robert Daileynote that more detailed information should be gathered by those undertaking a value-added enterprise in order to ensure its success.
“With the knowledge that farmers and extension agents alike are interested in increasing value-added processing, steps should be taken to provide more information and assistance to those contemplating a value-added enterprise,”said Lewis.