Envisioning a Local Food Economy
in The Kansas River Valley
Lawrence, Kansas
2009
Saturday, December 12, 2009

What’s so special about food?
Saturday, December 12, 2009

“I begin with the proposition that
eating is an agricultural act.”
Wendell Berry
Whatever else you do,
if you eat, you are involved in agriculture.
Saturday, December 12, 2009

“The pleasure of good eating is not about fast, convenient, and cheap,
but about memory, romance, and trust. To be successful in today’s
food market requires offering products so good that customers will
say ‘Wow, where did that come from? I want that again’ (memory).
We also need to provide customers with a genuine food story so they
can feel good about eating that good-tasting product. Increasingly,
customers want to know who produced the food; what kind of
environmental stewardship was practiced in growing, processing, and
transporting it; how the animals were treated; and so on (romance).
And customers want to be active participants in the food chain - to be
able to access information and to have a relationship that reaches all
the way back to the farmer (trust).”
Rick Schnieders, president & CEO of SYSCO -
one of the country’s largest food distributors
Saturday, December 12, 2009

Converging reasons for increased demand
for fresh, local, sustainably-produced food
• Profitability & quality
• Saving small family farms & rural
economic development
• Health & nutrition
• Food safety and accountability
• Oil depletion & increasing fuel costs
• Urban land use concerns
• Cuisine & taste
• Environmental stewardship
• Cultural diversity
Saturday, December 12, 2009

2009 Restaurant & Industry Forecast
(survey of chefs and restaurants)
Top 20 Food Trends
1. Locally grown produce 11. Nutrition/health
2. Bite-size/mini desserts 12. Gluten-free/food-allergy
conscious
3. Organic produce
4. Nutritionally balanced 13. Non-traditional fish
children’s dishes 14. Artisanal cheeses
5. New/fabricated cuts of meat 15. Exotic fruit
6. Fruit/vegetable children’s side 16. Custom culinary cocktails
items 17. Micro-vegetable/micro-greens
7. Superfruits 18. Organic wine
8. Small plates/tapas/mezze/dim 19. Dessert flight/combos/
sum platters
9. Micro-distilled/artisanal liquor 20. Free-range poultry/pork
10. Sustainable seafood
Saturday, December 12, 2009

Can local food make money?
Saturday, December 12, 2009

Wal-Mart thinks so.
Wal-Mart spent more that $400 million on locally grown food in 2008.
• Reducing food waste
• Cutting transportation costs
• Customer demand
They intend to increase that amount aggressively year-over-year,
starting with produce (fruit & vegetables)
but including meats and dairy products as soon as possible.
Saturday, December 12, 2009

Idaho's Director of the Department of Agriculture
Celia Gould says one farmer in that state saw a
doubling of his asparagus sales and a 30 percent
increase in organic grape sales over the past two years
due to Wal Mart contracts. Gould says the
revitalization in farming is great for the region's
economy. "We haven't had that kind of demand until
recently," she says.
U.S. News and World Report - July 24th, 2008
Saturday, December 12, 2009

According to a study by
Capgemini, a New York
business consultancy, only 9
percent of shoppers buying
perishable foods are satisfied
with the stores at which they
bought them.
U.S. News and World Report - July 24th, 2008
Saturday, December 12, 2009

The Good News
Small farms are the most productive on earth. A four-acre farm in
the United States nets, on average, $1,400 per acre; a 1,364-
acre farm nets $39 an acre. Big farms have long compensated for
the disequilibrium with sheer quantity. But their economies of scale
come from mass distribution, and with diesel fuel costing more than
$4 per gallon in many locations, it’s no longer efficient to
transport food 1,500 miles from where it’s grown.”
Dan Barber - chef and co-owner of Blue Hill and Blue Hill at Stone Barns
For the New York Times Editorial Board
May 11, 2008
Saturday, December 12, 2009

The Bad News
$1400 x 4 acres = $5600
$39 x 1364 acres = $53,196
But...
actual revenue from small farms in the U.S. ranges from about
$1400/acre up to about $9,000/acre.
Saturday, December 12, 2009

Sustainable, Local Agriculture as Economic Development:
There are Challenges
• Labor requirements
• Capital costs and rate of financial return
• Adding value, access, and “experience” to food production
• Distribution and quality assurance
• Coordinated, sustained marketing
• Availability of quality land and planning conflicts
• Loss of skills and of experienced producers
• Prevailing agricultural model is resistant to scale reduction
• Image of and ignorance regarding food production
Saturday, December 12, 2009

An example of lost/potential revenue: Tourism
Saturday, December 12, 2009

Tourism
connects people to places in which they do not live through
memory, romance, and trust
for the benefit of the people who do live there.
Following figures cited courtesy of:
- Travel Industry Association of America
- Tourism Division-KDOC
- Fermata Inc.
- 2002 - 2006
Saturday, December 12, 2009

Tourism Snapshot
• Shopping and dining are consistently two of the
top three experiences travelers seek out
(worldwide), whatever else may motivate their travel
decisions.
• Whatever else we do when we travel
•
everybody eats
•
everybody shops
And that’s where much of the revenue comes from.
Saturday, December 12, 2009

Industry Distribution of Expenditures
Shopping accounts for the largest share of tourism expenditure
in the state of Kansas. Combined with food and transportation,
these three components represent nearly 75% of visitor expenditures.
Entertainment
17%
Millions Shopping
31%
Entertainment 1,132 Accommodation
11%
Accommodation 771
Transportation 1,225
Food 1,609
Shopping 2,119
Transportation
Total * 6,855 Food 18%
23%
* Tourism expenditures except investment
Numbers may differ due to rounding
Copyright 2006 © Global Insight, Inc. 12
Saturday, December 12, 2009

Industry Structure: Definitions
Tourism
Expenditures
$7.3 billion Kansas
All visitor-related spending
Total Impact Import Leakage Tourism goods &
$5.6 billion $1.7 billion services from
outside the state.
E.G.: KS t-shirts made outside KS.
Economic Value to KS
Industries directly Industries directly
providing goods &
Core Tourism Non-Core Tourism
providing goods &
services to the (Direct) (Indirect) services to core
visitor. $4.2 billion $1.4 billion tourism providers.
E.G.: Restaurants. E.G.: Agriculture.
Copyright 2006 © Global Insight, Inc. 7
Saturday, December 12, 2009

Cultural and Heritage Travel
• 81% of U.S. adults who traveled in 2003 (118 million) were considered
historic/cultural travelers.
• A significant number of “historic/cultural trips” are made by college graduates
(60%) of the Baby Boom generation (40%) with a household income of more
than $75,000 (30%).
• 49% prefer to experience the local culture and support local businesses.
Memory. Romance. Trust.
• These tourists are willing to make additional purchases
- ($202/visitor/trip) mainly for products and services -
but only if these items are made or offered by local businesses using
local materials.
Shopping. Dining.
Saturday, December 12, 2009

How many visitors?
How much revenue?
Saturday, December 12, 2009

• 20,000 new visitors x $138/day x 2.5 days/trip =
$6.9 million new net dollars annually from direct
spending
• Double that (conservatively) for indirect and induced
economic impacts =
$13.8 million annually in economic impact
• 10,000 cultural/heritage travelers x $202/visitor/trip =
$2.02 million in additional revenue
(Shopping. Dining.)
• IF quality, indigenous products and services are
available
(Memory. Romance. Trust.)
• $15,820,000 in new revenue annually
Just from experiential tourism.
Saturday, December 12, 2009

Follow
the
food$...
Saturday, December 12, 2009

Not Just Tourism
Fresh, quality, healthy local food for
• Schools
• Hospitals
• Nursing homes
• Corporate offices
• Grocery stores
• Restaurants
• Regional delivery and distribution
• Export
• You fill in...
Saturday, December 12, 2009

ur Reach
O ick u
Gu
oking
p the of locall e; and
r g
for
ide lo y-grown
sers p the avo ing herita rs and 009
eu 008-2
Guid er: farm al farme port g the 2 olds in
Food at you o our rich o sup ? durin househ
ocal loc
opies refer-
L e
; a co
wh with
xactly nection teracting users w
n of in
food perience y grow.
with
e
Guid s.
ant t
H
0c ting o
n e
ed up
Local
Fo
ve
any Cwill be pick for every d Guide is a ext to
ow M opies o
“I kee
p it n
x e cal far
m 90,00 , represen olina. The ers tell us
the e oducts th pport lo on ar
seas n North C elf life— us
r su
the p sses that r
weste ith a long
sh
e
busin nce w e book.” ? 1 with
e uted n May -
my phon
eD istrib annually o e is distrib -
Guid is released . The Guid ch distribu
is the ide tion t ea
Whencal Food Guted informa year, so tha .
T he Lo ely upda hout the t all times
let ug da
comp eekly thro lly stocke -
dw t fu ted? 300 lo
ute is kep than
tion spot istribued to more
de D tribut
e Gui dis nd Ing
les
e is thod Guide is
her l Fo Earth
Fare a
W d
oca : res an s stor
es,
The L , including rocery sto n. l food
cat ions endent g t the regio rs, natura s.
dep hou ione esse wel-
• In res throug alth practic nity busin Highway
st o e u C
o res, h her comm ters and N
ookst ot en
• B aries, and ty visitor c
libr rc oun .
ll majo . irport eas o
f
• A e centers egional A ed ar
c om R po pulat /Boone/
heville most ersonville ough-
he As in the
• T tered heville/He locations
nd thr
clus s e .
u tion is ntains (A ludes som wn below
Distrib C mou ut inc Guide, sho
N ), b
the /Sylva ed in the
esville r
Wayn area featu
e is o ut the VA
Guid
ood uced,
cal F d NC Rd.
The Lo hed, pro ASAP, ywood
729 Haille, NC 2880
6
rc y
resea stained b aniza- Ashev 236-1282 rg
nd su pro t org build (828 nnections.o
)
a - o
a non orking t s that Carolina an
d TN SC asapco
w m
tion od syste ivalNof h ther mounta 0
in
o rt
o
cal f the surv
lo rt
the o ithin 1
s. counties w heville,
0
GA
s uppo mily farm of As
fa miles Regio
n
nG rown
ppal achia
The A
www.asapconnections.org
Saturday, December 12, 2009

Not just fresh food
High quality, value-added products
• Specialty foods
• Gifts
• Prepared foods
• Pre-prepared meals
• Agritourism
• Regional/local branded products
• Compost
• E-commerce
• Mail order
• You fill in...
Saturday, December 12, 2009

The Intervale Center, Burlington,VT
www.Intervale.org
• 354 acres of farmland, nursery, compost production, trails, and wildlife corridors
along the Winooski River in Burlington,Vermont.
• Mission: to develop farm-and land-based enterprises that generate economic and
social opportunity while protecting natural resources.
• Goals are to grow viable farms, preserve productive agricultural land, increase
access to local, organic food, compost and other soil amendments, and protect
water quality through organic waste management and stream bank restoration.
• Projects:
Agricultural Development Services - land access and grower training/
consulting
Conservation Nursery - natives trees and shrubs for riparian conservation
Healthy City - youth entrepreneurship farm and food gleaning/distribution
Calkins Farmstead - historic, interpretive farm site
Compost Products - retail compost and soil amendments business
Food Enterprise Center - fresh food production, value-added food processing
Saturday, December 12, 2009

Not just food
Coordinated branding & retail
• Regional art and artists
• Quality local and historic crafts
• Cooking classes
• Guided tours
• Artisan demonstrations
• Hands-on experiences
• Interpreters/guides
• Outdoor recreation
• Entertainment
• Boutique lodging
• Events
• You fill in...(Santa Fe, Napa Valley...)
Saturday, December 12, 2009

Imagine...
Local Retail & Dining Experience
❖ Retail distribution and branding for a wide variety of products
• Kansas River Valley brand on Art, Craft, and Food”
• High-quality, unique, indigenous products
• Local food dining experience(s)
• Mother Earth News flagship store as anchor?
• E-commerce and catalogue opportunities
❖ Tourism, educational, and community experience
✤ Regional Nature, Culture & Heritage
• retail products
• education and information
• participatory, hands-on experiences
❖ Tamarack, WVA as the model
Saturday, December 12, 2009

Tamarack, West Virginia
www.tamarackwv.com
• Centralized retail environment featuring the best of West Virginia arts, crafts,
and food along the interstate - includes studios, gallery, performance venue
• Approximately 475,000 annual visitors
• In first 8 years of operation:
• 3.9 million visitors
• $52 million in sales
• $2.7 million in state sales tax collected
• $43.9 million in goods and services purchased from every county in the
state
• Over 2,500 state artisans represented - price pointed $5 - $25,000 per item
• Partnership with The Greenbriar for food service
• Juried selection process becomes artisan development program.
• “Best thing we’ve done for the image of West Virginia.”
Saturday, December 12, 2009

Here? In Kansas?
Saturday, December 12, 2009

How Many People Live in the
Kansas River Valley?
1.06 Million People in 7 counties.
From a presentation by KSU Horticulture professor Rhonda Janke.
Saturday, December 12, 2009

All told, Eastern Kaw River region...
• Loses $28 million raising crops, &
• Buys $95 million of outside inputs
• Buys $2 billion of outside food
Ken Meter, 2008© Ken Meter, 44
Potential wealth lost each year
2005
From a presentation by agricultural economist Ken Meter, Crossroads Institute
Saturday, December 12, 2009

A 1999 KU study found an unmet demand for
Environmentally Identified Products
(organic/natural/local/sustainable food items)
of about $100,000,000 annually in the Kansas River Valley
from Junction City to Kansas City.
• No travel dollars included
• Just the local region
• Just local residents
• Findings were prior to recent explosion in EIP market share and demand
• Lawrence sits between J.C. and K.C. with
• river, highway, rail and air access;
• extraordinary soils and ample water;
• diverse food-producer community;
• expanding local foods awareness and market;
• cultural and hospitality capacity;
• hub of developing FFNHA; and
• outdoor recreation/nature experiences.
Saturday, December 12, 2009

Eating is a cultural experience strongly
tied to other cultural (and economic)
experiences. Experiential
travelers &
Many travelers, residents, and employers engaged
want and will pay for quality, healthy, residents
local food products and services. Quality, local
An attractive,
unique place artisan
Production of that food requires good to live, work & products &
land, skilled producers and play services
entrepreneurs to bring products to (shopping & dining)
market.
Production of quality local food Revenue,
Good land,
provides a unique, valuable, and capital,
skilled
services &
sustainable economic driver IF we producers &
enhanced
protect, develop, and invest in the entrepreneurs
quality of life
fundamental natural and human
resources.
Saturday, December 12, 2009

Examples
Intervale - Vermont
• Mixed-use, entrepreneurial local food and sustainable agriculture project
• www.intervale.org
Tamarack - West Virginia
• Centralized retail environment featuring the best of West Virginia arts, crafts, and food
along the interstate - includes studios, gallery, performance venue.
• www.tamarackwv.com
Various Michigan projects
• Cherry Republic, www.cherryrepublic.com
• www.mlui.org/farms/index.asp
• www.gtrlc.com
Siouxland and Blackhawk County, Iowa
• “Organic Market Project” declaring Woodbury County, IA as the Midwest capital of
organic food production and processing
• www.siouxlandchamber.com/economic_development/organic/index.php
Zingerman's Community of Businesses - Ann Arbor, Michigan
• Mail Order, Delicatessen, Coffee Company, Bakehouse, entrepreneurial Training,
Catering, Creamery, Roadhouse, several mail-order food clubs and occasional culinary
study tours.
• www.zingermans.com
Local Burger - Lawrence, KS
• Garnering national attention for offering local, healthy, fast food and providing a
market for local farmers and ranchers
• www.localburger.com
Saturday, December 12, 2009

Scott Allegrucci
The Far Shore, LLC
allegrooch@mac.com
Original drawings by Lisa Grossman
Saturday, December 12, 2009