Deb Yocum (402) 223-3125

# USDA Rural Development Provides Rural Producers

# With Value-Added Grants to Assist in New Markets for Ag Products

**Lincoln, Neb., December 12, 2005-**USDA Rural Development's Scot
Blehm, state director for Nebraska, presented Spring Valley Farm and
Greenglade Specialty Goat Milk Products with symbolic value-added
producer grant (VAPG) checks today. The monies will help these producers
to expand the customer base for their commodities through a value-added
activity that allows them to retain a greater profit in the marketplace.

"Value-added grants help to find alternative uses for agriculture
products and locate new marketplaces in which to sell those products,"
stated Blehm. "Spring Valley Farm and Greenglade Specialty Goat Milk
Products' proposed value-added ventures, if proven feasible, will
provide for new sources of revenue to the area. These projects will keep
more of the commodities' profits at home benefiting the local rural
economy."

Spring Valley Farm of Lincoln plans to utilize their value-added grant
of \$29,700 to conduct a feasibility study to determine the local market
and overall profitability potential for their possible freeze-dried
flowers and food products. If feasible, both business and marketing
plans will be completed. Spring Valley Farm's finished products would be
marketed through venues such as local farmers' markets and distributors.
Long term, access to year-round outlets for freeze-dried seasonal
Nebraska grown flowers, produce and other alternative crops for human
consumption would be sought.

"Spring Valley Farm is making consumer products that use Nebraska grown
produce which will help all Nebraskans," stated Thomas Masters of Spring
Valley Farm. "Freeze-drying has become affordable for the manufacturing
of finished food products. The process enhances the flavor of fruits and
vegetables making products more appetizing due to the minimal processing
involved (no high heat or steam cooking). Freeze-dried fruits and
vegetables packaged as healthy snack foods can be sold in vending
machines to the general public, especially children.  Freeze drying also
reduces the weight of the produce by 75 percent lessening freight costs
of the finished product resulting in an increased profit margin."

Greenglade Specialty Goat Milk Products of Martell plans to utilize
their value-added grant of \$18,500 to determine the feasibility of
establishing a value-added on farm goat cheese and dairy product
processing facility. The legal structure of Greenglade will be
developed, market research, business analysis and financial assessment
of the venture will be completed. If the project proves feasible, a
business operations and marketing plan for the proposed dairy facility
will follow.

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Statewide, value-added grants in Fiscal Year 2005 totaling \$1,113,540
assisted 16 producers in value-added ventures. The 2002 Farm Bill made
available monies for value-added projects. Since the beginning of the
VAPG program, Nebraska has received over \$7.7 million assisting in 54
value-added ventures.

For additional information contact Deb Yocum, 201 N. 25 Street Beatrice,
Neb. 69310, debra.yocum@ne.usda.gov, (402) 223-3125, (402) 437-5093
(TDY). Visit http://www.rurdev.usda.gov/ne/.

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"USDA Rural Development is an Equal Opportunity provider, employer and
lender." To file a complaint of discrimination write to USDA, Director,
Office of Civil Rights, 1400 Independence Avenue, S.W., Washington D.C.
20250-9410 or call (800) 795-3272 (voice), or (202) 720-6382 (TDD).