Ag processing expansions continuing in Michigan

News

Ag processing expansions continuing in Michigan

A growing emphasis for local foods during the pandemic has led to more value-added companies scouting Michigan for growth opportunities.

Jodi Gruner works with economic development for the Michigan Department of Agriculture and tells Brownfield the state’s access to a diverse selection of crops, water, university support, and location has more businesses considering development.

“I think a lot of people are changing their eating habits, the way that they’re purchasing, and so something that is made here can now be sold on Amazon to people all over the country or all over the world,” she says.

Gruner says infrastructure is usually a leading factor for expansion, starting with broadband, but federal dollars are likely to solve some issues.  She says labor has now become the top concern.

“I think one of the biggest challenges that every single sector across the board will say will hold them back is going to be talent and labor,” she says.

The state is also putting a major focus on expanding meat processing opportunities to address bottlenecks realized during the pandemic, especially with Michigan’s growing dairy industry.

“As we grow our dairy processing sector, we also have to grow our meat processing sectors,” she says.  “We have also been teaming up with USDA as well as Michigan State University to look at funds that are available.”

The USDA currently has more than $55 million in funding for custom exempt processors that are currently in operation which in Michigan can be used to help facilities become federally inspected.  The department also recently awarding nearly $300,000 to meat processing projects.

.