U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced that USDA has made available $200 million to strengthen the food supply chain and create opportunities for small businesses and entrepreneurs in rural communities.
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Today’s funding opportunity is one of many ways USDA is transforming the nation’s food system through a more equitable, diverse and resilient meat and poultry supply chain.
“For too long, farmers and ranchers have seen the value and the opportunities they work so hard to create move away from the rural communities where they live and operate,†Vilsack said.
“Under the leadership of President Biden and Vice President Harris, USDA is committed to making investments that promote competition—helping support economic systems where the wealth created in rural areas stays in rural areas—and strengthening rules and enforcement against anticompetitive practices. The funding we’re announcing today ultimately will help us give farmers and ranchers a fair shake, strengthen supply chains, and make food prices fairer.â€
USDA Rural Development is making $200 million available through the Meat and Poultry Intermediary Lending Program (MPILP). USDA will provide grants of up to $15 million to nonprofit lenders, including private nonprofits, cooperatives, public agencies and tribal entities.
These intermediaries will use this funding to establish a revolving loan fund (RLF) to finance a variety of activities related to meat and poultry processing. For example, businesses may use the loans to acquire land, build or expand facilities and modernize equipment.
When loans are repaid, intermediaries can make additional loans to support activities throughout the middle of the food supply chain. This funding can help businesses aggregate, process, manufacture, store, transport, wholesale and distribute food.
Applications for the first round of funding must be received by 11:59 p.m. Eastern time on July 25, 2022, through www.Grants.gov. ■