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The US Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) today announced it has partnered with Minnesota to award $9.5 million through the Resilient Food Systems Infrastructure Program (RFSI) to build resilience across the middle of the supply chain and strengthen local and regional food systems.

Through this program, the Minnesota Department of Agriculture (MDA) will fund 11 Infrastructure Grant projects to support middle of the supply chain infrastructure (Project summaries are listed below).

“Projects funded through the Resilient Food Systems Infrastructure Program are building strength and resilience in Minnesota’s food system, diversifying agricultural markets, creating new revenue streams for small and mid-sized producers, and providing economic opportunities for local communities,” said USDA Marketing and Regulatory Programs Under Secretary Jenny Lester Moffitt. “USDA is grateful for Minnesota’s support strengthening local and regional agricultural supply chains.”

“We thank the USDA for the Resilient Food Systems Infrastructure Program which benefits Minnesota businesses, farmers, and consumers by investing in the middle of the food supply chain in our state,” said Minnesota Agriculture Commissioner Thom Petersen. “These grants highlight the diversity of Minnesota’s food and ag sector, as the funding will benefit a wide range of industries, locations, and sizes of organizations and businesses.”

The Infrastructure Grants are part of a program that will fund projects that expand capacity and infrastructure for the aggregation, processing, manufacturing, storing, transportation, wholesaling, or distribution of locally and regionally produced agricultural products. Funding for the RFSI Program is authorized by President Biden’s American Rescue Plan.

In addition to the grant awards, free technical assistance is available to producers, businesses, cooperatives, and other organizations that are part of the middle of the food supply chain in Minnesota through the RFSI Program. Assistance will be available until Spring 2027.

Technical assistance services are focused on:

• Supply chain coordination
• Food business development
• Market development services for local and regional food products
• Consultation on grant applications and grant administration guidance

For more information, visit the MDA’s RFSI Program webpage.

Project Summaries

Bongards’ Creameries, Bongards, MN -  $1,572,259.50

Bongards' Creameries, a dairy cooperative owned by 176 farmer-producers, will purchase and install a new sliced cheese wrapper and diverter lane at the end of the production line and upgrade the two existing wrappers in its Bongards location. The investments will expand capacity for the manufacturing of Minnesota-made sliced processed cheese by 5.5M pounds per year.

Concept Processing, Melrose, MN - $304,780.84 

Concept Processing will purchase and install automated gallon and 5-gallon bag milk fillers, two refrigerated milk trucks, and equipment for a walk-in cooler. The new equipment will expand Concept Processing’s capacity to efficiently package fluid milk from their seventh-generation dairy farm in Melrose into value-added bagged products, strengthening its ability to supply seven wholesale distributors and grow the farm-to-fork milk program with Minnesota public schools and universities.

Featherstone Farm, Rushford, MN - $250,535.90

Featherstone Farm in Rushford will expand and upgrade its warehouses and walk-in cooler facilities, and make equipment investments in a food safety compliant wash, dry, and pack line for salad crops; returnable plastic containers (RPCs); and a machine to sanitize the RPCs. The upgrades will allow greater aggregation, processing, storing, and distribution of Featherstone Farm’s Minnesota-grown vegetables and crops, as well as products from other Minnesota farms and food producers.

Green Acres Milling, Albert Lea, MN - $1,500,000

Green Acres Milling in Albert Lea will purchase cleaning and kilning equipment systems for a new innovative oat milling facility that will enhance the local food system and support rural development by filling a middle-of-the supply-chain gap for oat processing infrastructure. Green Acres Milling will work with over 100 local farmers within a 120-mile radius known as the "Oat-Shed" to source oats, offering them a reliable market with fair pricing, enabling production of an estimated 364,800 cwt of high-quality oat groats yearly, and meeting growing consumer demand for traceable, non-GMO, and allergen-free oats.

Hmong American Farmers Association, Hastings, MN - $1,680,351.38

The Hmong American Farmers Association will construct a new processing, storage, and kitchen facility for value-added food production on their incubator farm in Hastings. The facility will be enclosed and climate controlled so HAFA’s 104 Hmong farmer-members have access to a facility to process their fresh produce year-round and take advantage of winter sales opportunities.

Hoyo, Minneapolis, MN - $668,034.70

Hoyo will build out the new Hoyo Food Production Facility with the goal of increasing critical employment for Somali immigrants from the local community and meeting the needs for food production from local sources to support community cultural food demands in the middle of a food and employment desert in Minneapolis. Infrastructure improvements and specialized equipment will enable Hoyo to immediately double its production capacity, with long-term potential to increase production capacity by fivefold as sales grow.

Manna Food Cooperative, Detroit Lakes, MN - $304,198.19

Manna Food Cooperative will create and outfit a new commercially licensed processing kitchen, purchase processing equipment, and expand food-grade storage capacity for the benefit of local producers. The processing kitchen at Manna Food Co-op in downtown Detroit Lakes will provide the processing capacity onsite to lightly process and store fruits and vegetables for member suppliers and give them the opportunities to generate value-added products for wholesale buyers, particularly Minnesota schools.

Midwest Processors, Pierz, MN - $530,483.56

Midwest Processors, a family- and farmer-owned processor of sunflowers in Pierz, will purchase milling and screening equipment, install conveyors and temporary storage, and integrate packaging into the production line. The infrastructure investments will allow Midwest Processors to enhance value throughout the supply chain through innovative upcycling of sunflower meal into high-protein meal, establishing access to premium markets for Minnesota producers.

Red Lake Band of Chippewa Indians, Redby, MN - $872,410

The Red Lake Band of Chippewa Indians, through its Department of Agriculture, will expand its existing processing capacities to support new wholesale and retail opportunities of locally grown produce and value-added products. The project includes constructing a new food processing and storage facility adjacent to its greenhouse in Redby, purchasing and installing necessary processing equipment and technologies for the facility, and obtaining food safety consultation and training.

Sno Pac Foods, Caledonia, MN - $1,572,500

Sno Pac Foods Inc., a grower and processor of organic fruits and vegetables in southeastern Minnesota, will construct a new cold storage facility in Caledonia to store their own products, as well as provide additional storage for other agricultural companies. The new storage facility will be constructed on property adjacent to Sno Pac Foods' existing processing plant and office and will be substantially more efficient, saving time, fuel, labor, and leasing expenses, while filling a drastic need in this part of the state for cold storage.

The Food Farm, Wrenshall, MN - $222,006.22

The Food Farm, a diversified organic vegetable farm in Wrenshall, will construct a cooler and pack house addition to its current storage facility; install new equipment to clean, store, and package produce for markets across northeast Minnesota; and purchase a larger delivery vehicle with a liftgate. These improvements will enable the Food Farm to expand markets and offer middle-of-the-supply-chain capacity to other nearby producers so that newer farmers can grow and develop with less risk.

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Media Contact
Allen Sommerfeld, MDA Communications
651-201-6185
Allen.Sommerfeld@state.mn.us