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Combined Summits Complete Reports Summary Report
Combined Summits Complete Reports Summary Report GOVERNOR’S SUMMIT ON PRODUCTION AGRICULTURE August 3, 2011, MSU James B. Henry Center for Executive Development EXECUTIVE SUMMARY The Governor’s Summit on Production Agriculture was designed to expand the partnership of industry, state government, and Michigan State University (MSU) to create a shared vision for research, outreach, and education in support of production agriculture in Michigan. Stakeholder input informed the process of identifying, assessing, and developing strategies to meet the shared vision of the partnership. This dialogue will help ensure that the state’s investment is focused on critical issues that move agriculture forward in Michigan. The Summit was informed by the following goals and issues: Five-year Goals • Increase the economic impact of the food and agriculture industry from $71 to $100 billion • Double agricultural exports • Increase food and agricultural career jobs by 10% • Improve access to healthy foods for Michigan consumers by 20% Key Issues • Identify industry-based opportunities and challenges for production agriculture in Michigan • Develop a framework for communication and collaboration between the industry, government, and MSU • Assure resource allocation addresses key opportunities and challenges • Clarify respective roles of partners • Improve effectiveness of MSU and its partners in meeting the challenges and opportunities of production agriculture Bill Rustem, the Governor’s Director of Strategy, opened the Summit by stressing the need to look to the future and identify strategies for moving agriculture forward. Governor Snyder highlighted the strength of the agricultural economy, but challenged the industry to do even more through innovation and entrepreneurship. He concluded his remarks by asking the attendees to embrace the opportunity and partner together toward a better future. MSU President Lou Anna Simon remarked the University is committed to listening to the industry, creating partnerships to move agriculture forward, and developing its next generation of leaders. Doug Buhler, Interim Dean of the College of Agriculture and Natural Resources, concluded the opening session with an update on production agriculture programs at MSU and an overview of the history and accomplishments of the Animal Industry Initiative and Project GREEEN. Attendees participated in two rounds of breakout sessions. The first round was organized by commodity/industry sectors and identified specific industry needs. Five critical needs were: • Funding for research • Fast, efficient transportation systems • Coordinated, clear, consistent guidance on regulatory compliance • Marketing and promotion of Michigan products • Increased awareness of the value of agriculture Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ Key Strategies The second round of breakout sessions mixed attendees across commodities and industry sectors and focused on identifying research, extension, education, and government strategies to help meet the goals of growing the industry. Coordinating and cooperating with other land grant universities to bring the latest technology and information to Michigan was a highly ranked strategy in both research and extension. Other key themes in research included a mechanism for funding of short-term and emerging issues, and including industry, stakeholders, and government in the development of partnerships to identify funding streams. Collaboration between public, private, and academia to create greater accountability, and being at the cutting edge of technology were key themes for extension. Key strategies in education highlighted educating a skilled workforce from the field to the research laboratory, the recruitment of more talent to agriculture, and better education of the public about food and agriculture. On the government side, the participants focused on the desire for clear and consistent regulatory guidelines and rules, review of antiquated rules and regulations, assignment of single-agency jurisdictions, and improved infrastructure. Moving Forward The Summit concluded with summary remarks from President Simon and Michigan Department of Agriculture and Rural Development (MDARD) Director Keith Creagh. The President reiterated that partnership was a key theme throughout the day and the importance of continuing that focus as we move forward. We need to work together to co-create the future through accountability, benchmarks and outcomes, and alignment with the Governor’s agenda for Michigan. We live in a global marketplace that requires we re-think our approaches and maximize our influence on agriculture and related industries. Director Creagh challenged the group to develop a sense of urgency and determine how to implement the strategies identified during the day. We must work together to develop a comprehensive strategy that includes state government, academia, and industry working together. The Director concluded by pledging that MDARD will work together with the rest of the industry to accomplish a shared vision for research, outreach, and education in support of production agriculture in Michigan. DETAILED SUMMARY Summit Planning Document - Key Points Business Goals The goal of the conference is to strengthen partnerships and collaboration to develop a shared understanding of the opportunities, challenges, and vision for Michigan production agriculture. The Summit is intended to expand the partnership of industry, state government, and Michigan State University (MSU) to create a shared vision for research, outreach (Extension), and education in support of production agriculture in Michigan. It is essential that the principles of shared responsibility be implemented in all programs. Stakeholder input will inform the process of identifying, assessing, and developing strategies to meet the shared vision of the partnership. The dialogue will help ensure that the state’s investment is focused on critical issues that move agriculture in Michigan forward. The partnership will provide support to this shared vision. Measures of Growth • Increase the economic impact of the food and agriculture industry from $71 billion to $100 billion in 5 years 2 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ • • • Double agricultural exports in 5 years Increase food and agricultural career jobs by 10% in 5 years Improve access to healthy foods for Michigan consumers by 20% in 5 years Key Issues 1. Identify industry-based opportunities and challenges for production agriculture in Michigan 2. Develop a framework for communication and collaboration between the industry, government, and MSU 3. Assure resource allocation addresses key opportunities and challenges 4. Clarify respective roles of partners 5. Improve effectiveness of MSU and its partners in meeting the challenges and opportunities of production agriculture Workshop Benefits 1. Improve collaboration between MSU, the Michigan Department of Agriculture and Rural Development (MDARD), and industry in identifying and establishing research, extension, and educational needs for production agriculture 2. Identify ways to develop a body of knowledge to improve the decision-making process for resource allocation 3. Develop a unified message for production agriculture 4. Create an understanding of the broad potential for production agriculture to enhance the economy of Michigan Governor’s Director of Strategy, Bill Rustem – Key Points • • • • Expand partnerships and collaborations between industry, state government, and MSU Create a shared vision for future growth of production agriculture in Michigan Identify solutions for moving agriculture forward Michigan’s vibrant agriculture industry can be an integral part of the state’s recovery The Partnership of MSU, State Government, and Industry: Governor Rick Snyder – Key Points • • • • • • • • • • • • • Production agriculture is fundamental to the future of Michigan Agriculture industry was on the rise while others struggled during difficult economic times Agriculture is a role model for other industries Opportunity exists for production agriculture to do even better Michigan agriculture can play a key role in global economic development Create the public/private partnership to look to the future in agriculture Global opportunities exist if we take advantage – needs are enormous for exports Increase agricultural processing capabilities Michigan is the second most diverse state in the nation in commodity products Increase consumption of Michigan products Governor’s Office will be there to support the industry o First bill signed: MAEAP, in support of those being most thoughtful about best practice o More support for agriculture through the 21st Century Jobs Fund Health and wellness message will include buying fresh Michigan products and availability of more agricultural products in urban areas Infrastructure message will include the bridge to Canada and commercialization development 3 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ • • • • Talent message will focus on workforce for the future = Right people for agriculture industry Foster innovation and entrepreneurship = Build Michigan’s culture for the future Embrace the opportunity and partner together toward a better future Relentless, positive action = Be even more positive about future success MSU Land Grand Mission: MSU President Lou Anna K. Simon – Key Points • • • • • • • • • • • • • • • • • • • • MSU is committed to listening to the industry and creating partnerships to move it forward MSU is dedicated to creating leaders Cutting edge science is at the core of MSU Global networks are part of moving forward Cutting edge science and technology are necessary to move industry forward and remain competitive at a global level Work together on the opportunities and solutions in relentless fashion Capitalize on networks to make Michigan more prosperous and competitive Michigan can become a prosperous global epi-center for a world dominated by the food system Together look at the question of how can be a mass exporter of food Cultivate partnerships with multi-national companies Cultivate intra-state networks to grow Michigan’s prosperity MSU brings some of the world’s greatest scientists to the table Create a broad-based agenda on genetics and biology to assist the commodities Team conversations moving forward – an important milestone in the journey forward Solving the food/fuel product tension for innovation in Michigan Increase production of fruits and vegetables to improve health and nutrition How Michigan can be a part of those innovation strategy opportunities Only thing holding us back is us – our capacity to move forward together Find the avenues of change necessary – take that quantum leap into the future Recognize our assets and how those assets together can make Michigan agriculture stronger Previous Collaborative Initiatives and Update: MSU Interim CANR Dean Doug Buhler – Key Points • • • • • • • • • • • • • • • Build on past partnerships to move into the future Importance of connecting MSU to serve the agriculture industry MSU to reassert itself as a leading global knowledge base Cultivate new funding sources Expand role of MSU in developing flexible workforce for the industry Ensure research is connected effectively to the industry Importance of the interrelationship of MSU with MSU Bioreseach and MSU Extension Improve communication of the impacts of MSU’s investments in agriculture Flexibility of Project GREEEN is a model for other partnerships Flexibility of resources is core to moving forward Determine how partnerships will evolve from here Determine how industry can assist MSU in recruiting the broader-based workforce needed Develop key partnerships with other universities Develop technology for the future Develop a shared vision for how we advance production agriculture in Michigan 4 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ Results of Sector Break-out Sessions Participants were registered to the following sectors for the morning sessions: Fruit and Vegetable (Group A) Ornamental/Forestry (Group B) Field Crops (Group C) Meat/Poultry/Equine (Group D) Dairy (Group E) Float 25 19 19 17 12 11 Participants were asked to develop a list of opportunities that could maintain or increase the rate of growth of their agricultural operation/sector and a list of barriers that would interfere with that growth. See Appendix A for detailed results of those sessions. Results of Participants Critical Needs Prioritization = 81 Respondents Participants were asked to develop a list of what their sector group felt they needed to take advantage of opportunities and overcome barriers, and to further identify the top five needs of their industry sector. Rank Need No. Times Selected % of Participants Selecting Need 57 70% 1 Consumer understanding of agriculture - everything about agriculture. The public is getting farther and farther away from agriculture; Improve public understanding of agriculture 2 Well-coordinated PR campaign for MI products - across industry and link to other sectors (i.e. health) 53 65% 3 4 Funding for research Coordinate - Clear - Consistent Guidance On Regulatory Compliance State/Local/Federal 52 45 64% 56% 5 Better coordination of MDOT priorities with agricultural needs (rail and road); faster more efficient transportation 44 54% 6 State Agencies That Support Where Industry Wants To Go - Buy Into Economic Development; Facilitate Success vs. Maintain Agency Budget - Facilitate Success vs. Self-Propagation 42 52% 7 Development of shared databases and coordination between land grants so that user friendly information is available to support and focuses on the farmbased user. If currently available need to know and need to have access to it (broadband). 42 52% 5 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ 8 Research/researchers focusing on specialty crops. Basic research annual more complex research 40 49% 9 Tax Reform That Meets Needs Of Communities - Local, Property Tax, Income Tax, State Sales, Etc. 38 47% 10 11 Labor (general) Talent - veterinary, post-secondary education - increase awareness of educational opportunities for those jobs 35 34 43% 42% 12 13 14 Roads/bridges - fix existing/repair and maintenance Stability in seasonal labor force Broaden MAEAP concept (philosophy) - Service multiple sectors forestry/GAP/fresh market/golf course/turf 33 29 28 41% 36% 35% 15 Center for specialty crops-multi disciplinary. Unit that is mission oriented and serves multiple groups 27 33% 16 17 18 Balance Between Applied And Theoretical Research Broadband - create more opportunities to interact Adequate staff for timely inspections (fresh products, etc.) exports and imports (national and state need) 25 25 24 31% 31% 30% 19 20 21 22 Basic agronomic research Education - plant breeders, ag feeder program from other schools to MSU MSU Focus On Capitalization On Water Economy And Economic Advantage Education campaign K-12 regarding product use (live trees, etc. managed use) 23 21 20 16 28% 26% 25% 20% 23 24 25 Comprehensive drainage plan to improve Michigan agriculture MEDC - creation of dairy specific incentives (Wisconsin model) Someone Needs To Focus On Aquaculture And General Startup Across All Education, Research, Regulation 13 10 6 16% 12% 7% Mixed Breakout Sessions For the afternoon, participants were equally disbursed to five sessions. They were asked to develop several strategies in the categories of Research, Extension, Education, and Government, that if implemented, would help meet the most critical needs of production agriculture. Each group then prioritized their lists and reported on the key strategies identified in their group session. Key themes from the strategy development sessions: Research Strategies – Coordination and collaboration among land grant institutions and funding basic and applied research emerged as key themes among the various research strategies identified by the groups. Examples of strategies related to these themes included: • Coordinate and partner with other universities to specialize and eliminate duplication • Coordination of land grant universities on complementary research and sharing results • Develop a mechanism for short-term funding of short-term needs; for example emerging issues 6 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ • Improve funding mechanisms – include industry, stakeholders, and government in the development of partnerships to identify funding streams Extension Strategies – Improving collaboration/partnerships and delivery/dissemination of information emerged as key themes among the various extension strategies identified by the groups. Examples of strategies related to these themes included: • Improve collaboration between public, private and academia – accountability in delivery • Coordinate and collaborate with other land grant universities • Stay on the cutting edge to deliver and disseminate information to MSU and field - use all methods and partners • Improve access, accuracy, and distribution of information Education Strategies – Agriculture workforce development and consumer education emerged as key themes among the various education strategies identified by the groups. Examples of strategies related to these themes included: • Training the workforce - university network o Certificates, associates, bachelors o Internships • Target recruitment and training into agricultural careers/majors • Consumer education/outreach "Tell the agriculture story" o Schools – curriculum o Social media o Other mediums • Increase consumer education about agriculture Government Strategies – Regulatory review and infrastructure needs emerged as key themes among the various government strategies identified by the groups. Examples of strategies related to these themes included: • Clear and consistent regulatory guidelines and rules; for example, create material as a complete guide of what is needed to start an agri-business • Review within the state of antiquated rules and regulations and assign a single agency jurisdiction • Infrastructure - roads, bridges, energy, drainage, connectivity, etc. • Agriculture industry input re: rails, roads, broadband See Appendix B for detailed results of those sessions. Parking Lot Issues Other issues, 19 in total, were identified and placed in a “Parking Lot” category for future consideration. An overwhelming majority of these issues were related to regulatory reform. MDARD is currently participating with the Office of Regulatory Reinvention in a comprehensive review and revision of current regulations. See Appendix C for a list of the parking lot issues identified. Reaction/Summary Comments: Do we have a framework of shared goals all can support? MSU President Lou Anna K. Simon: • Final report and outcomes from today will be shared with MSU’s Board of Trustees 7 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ • • • • • Partnership was a key theme heard throughout the day, and it’s important to continue that focus Co-create agenda for the future by: o Accountability: Be accountable, drive outcomes, concentrated efforts o Benchmarks and Outcomes: Clarify goals/numbers to reach o Align efforts with Governor’s dashboard Many thoughts today integrated strategies, also need to continue Global marketplace: re-think positive ways and maximize how to better influence agriculture and related industry We need to meet in the future for further discussion MDARD Director Keith Creagh: • How do we implement the strategies identified today? • Need to develop a sense of urgency • Need to develop a comprehensive strategy that includes state government, academia, and industry working together • MDARD pledges to work together to accomplish a shared vision for research, outreach, and education in support of production agriculture in Michigan Next Steps/Wrap Up • Final report will be compiled and shared with Governor Snyder. President Simon will provide to the Board of Trustees. • We continue efforts to reach Michigan’s 5-year goals, including: o Increase Michigan’s agriculture industry from $71 to $100 billion over next 5 years o Double agricultural exports o Increase jobs in agriculture industry o Improve access to healthy foods Summit Participants Allyn Dave Dave Vance John John Carl Ernie Roger Lawrence Bob Monte Elaine Doug Sheila Mark Jim Chuck Keith Anthony Armstrong Bahrman Baird Baker Bakker Bednarski Birchmeier Blackwell Bodtke Boehm Bordner Brown Buhler Burkhardt Burnham Byrum Courtade Creagh MI State Horticultural Society Greenstone Farm Credit Services Michigan Farm Bureau Michigan State University Michigan State University MI Asparagus, Plum & Onion Committees Michigan Farm Bureau Michigan Farm Bureau Chestnut Growers Inc. Michigan Farm Bureau MI Food & Farming Systems Michigan State University MI Milk Producers Association Michigan State University Michigan Agri-Business Association Dairy Farmers of America MDARD 8 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ Doug Denise Dave Mary Dawn Kris Wesley Mark Frank Mark Jennifer Ryan Kali Eric Amy Michael Doug Alan Clark Rick Ian Marsha Robert Gordon Larry Ray Steve Sam George Pete Brad Travis Larry Maury Tom Richard Phil Mike Bob Ben Mike Stephen Clifford Gary Lorrie Gene Carey Ken Jim Ken Darling Donohue Douches Douglass Drake Duflo Edington Elzinga Fear Fellows Fike Findlay Fox Frahm Frankmann Fusilier Gage Garner Gerstacker Gerstenberger Gray Gray Green Guyer Haigh Hammerschmidt Hanson Hines House Ivory Johnson Jones Julian Kaercher Kluck Kobe Korson Kovacic Kran Kudwa Lauwers Lovejoy Meeuwsen Melow Merker Meylan Mitchelson Nobis Nugent Nye MI Apple Committee Michigan State University Sugar Bush Supplies Co. MACMA Falmouth Cooperative Co. Elzinga-Hoeksema Greenhouse Michigan State University Michigan State University Michigan Commission of Agriculture Michigan Farm Bureau Senator Stabenow's Office MI Nursery & Landscape Association Michigan Farm Bureau Michigan State University Michigan Farm Bureau Michigan Sugar Board of Directors Michigan State University MI Christmas Tree Association MI Bean Commission MI Maple Syrup Association Michigan State University Michigan State University MI Pork Producers Association MI Allied Poultry Industry Midwest Nut Produce Council Great Lakes Wood Fiber Greenstone Farm Credit Services Julian Vail, LLC MI Sheep Breeders Association Kluck Nursery, Inc. Michigan State University MI Cherry Committee Michigan State University MI Potato & Carrot Industry Comm Michigan State University Zeeland Farm Services, Inc. MBG Marketing College Fields Golf Course MI Milk Producers Association Michigan Cherry Committee Michigan Farm Bureau 9 Summary Report Governor’s Summit on Production Agriculture ________________________________________________________________________ Larry Ralph Tom Jerry Scott Jody Wendy Steve Ed Tonia Ed Michelle Ben Bill Mike Jeff Rick Lou Anna Ajit Bruce Janice Dale Jim Val Mike John Dan Fred John Gordon Kim Tim Scott Wayne Olsen Oomen Oomen Peterson Piggott Pollok-Newsom Powers Pueppke Reed Ritter Robinette Rodgers Russell Rustem Sahr Sandborn Sietsema Simon Srivastava Sutherland Swanson Thorne Turner Vail-Shirey Van Agtmael Vandermolen Vogler Walcott Weller Wenk Wilcox Wilkes Witter Wood Michigan State University Michigan Farm Bureau MI Corn Growers Assoc. Michigan State University Michigan State University Michigan Farm Bureau Michigan State University Russell Farms, Inc. Governor’s Office Michigan Bean Commission Sietsema Farms Michigan State University Michigan Agricultural Commodities Michigan State University Thorne Farms Michigan Floriculture Growers Council MI Equine Partnership Michigan Farm Bureau Harrietta Hills Trout Farm Double Eagle Dairy MDARD Michigan State University Potato Services of Michigan, Inc. Michigan State University Michigan Farm Bureau 10 August 3, 2011 Governor's Summit on Production Agriculture 1 of 16 Appendix A -- Needs, Opportunities, Barriers Sector Groups PM Session Groups Sector Group A = Fruit and Vegetable B = Ornamental and Forestry C = Field Crops D = Meat, Poultry, Equine E = Dairy Participants from morning were equally re-distributed into 5 separate mixed-sector work groups Need Identified Total Votes (from pm session) A Research/researchers focusing on specialty crops. Basic research annual more complex research 15 A Center for specialty crops-multi disciplinary. Unit that is mission oriented and serves multiple groups 14 A A A funding research Labor (general) Consumer understanding of agriculture - everything about agriculture. The public is getting farther and farther away from agriculture Disseminating of information by many ways New variety development Processing wastes research (create value) Mentoring and Internships The technology in enviro weather is so cutting edge how to move that to growers and how do we expand that technology and make it user friendly for growers Increase our exports through year round production Challenge researchers to use industry grants to leverage more dollars Positive image for farming in grade school start the learning of agriculture early - mentorships 13 12 9 2 2 2 A A A A Pairing roles and responsibilities with the amount and type of research Ensuring that the information being disseminated is agriculture Mechanism for reaching out to people (future producers) in non-traditional areas (not currently involved in ag) Utilization of the information having apps and knowing how to use them More $ in the system at all levels pilot studies for waste Consumer understanding of the real cost of food and how much the farmer is actually getting A A A A A B More FFA Trust Need to temper the message masters degrees aren't always needed to be successful People with knowledge of value added (to do value added) Maintain ag education infrastructure with declining enrollment Well coordinated PR campaign for MI products - across industry and link to other sectors (i.e. health) 1 0 0 0 0 11 B Broaden MAEAP concept (philosophy) - Service multiple sectors - forestry/GAP/fresh market/golf course/turf Feedback loop from field to campus and back to field (related to MSU Extension campus, faculty and research) Stability in seasonal labor force Adequate staff for timely inspectors (fresh products, etc.) exports and imports (national and state need) Education campaign K-12 regarding product use (live trees, etc. managed use) Strong MSU Extension (maintain field focus) 8 A A A A A A A A A A A B B B B B 8 8 8 5 4 4 4 2 2 2 2 1 8 8 7 7 6 August 3, 2011 Sector Group Governor's Summit on Production Agriculture Needs (continued) 2 of 16 Count from PM session B B B B B B B B Small scale on farm energy production policy Tech Asst for private lands Harmonize regulatory and other requirements (i.e. GAP) Marketing and Promotion of Industry to recruit students Extension - New Product Research Sustainable certificate for private ownership Positive PR for Forest Products Industry Reclassify or market how we talk about farm labor (perception of associate versus farm laborer) 6 5 5 4 2 2 1 0 B B B B C C 0 0 0 0 13 10 C C C C C C C C Certification of Production Education for K-12 Training and education of employers Technology and natural energy policy Education - plant breeders, ag feeder program from other schools to MSU Better coordination of MDOT priorities with agricultural needs (rail and road); faster more efficient transportation Comprehensive drainage plan to improve Michigan agriculture Improve public understanding of agriculture Basic agronomic research Coordination of land grant science/student sharing Use and study of high technology (GPS, etc.) to improve production Alternative energy sources; buyback, metering Identify and promote healthy aspects of Michigan food/crops Promotion of Michigan safe and healthy foods to in-state and out-of-state markets (quality) C C C C C C D Basic genetic research on all Michigan crops Reduce production costs in Michigan so that we can compete with other states Cheap and stable water for irrigation Broaden organic ag industry in Michigan Faster inspections Improve public understanding of animal agriculture Tax reform that meets needs of communities - local, property tax, income tax, state sales, etc. 2 2 1 0 0 0 10 D State agencies that support where industry wants to go - buy into economic development facilitate success vs. maintain agency budget - facilitate success vs. self preservation; need to move at speed of business. Permitting in Michigan should be competitive?? Permit renewals streamlined and simpler. Rules need to keep up with current practices. Partnership with industries needed to improve function. Coordinate - clear - consistent guidance on regulatory compliance - state/local/federal; science based rules for environmental issues (be cautious of opportunity to pick a science that fits bias) 9 6 6 D D D D Balance between applied and theoretical research Someone needs to focus on aquaculture and general startup across all education, research, regulation Regulatory flexibility; state get out of the way Collaboration between land grant to meet needs - Penn State turkeys - Ohio state - MSU be best at what you do Better transportation - container shipping yard in Michigan vs. Chicago (rail competition) Get ahead of animal welfare agenda Biofuels - acceptance and engineering it. Misinformation needs to be addressed. Small scale processing needed to support direct to market - freezer beef, farm branded products D D More feedstock for soy bean processing & corn More improvements roads - weight limits - different standards in different counties 2 2 D D D D D 10 10 8 6 4 4 2 2 7 5 5 4 4 4 4 August 3, 2011 Sector Group D D D D D D E E E E E E E E E E E E Sector Group A A A A A A A A A A A A A A A A A A A A A A A A A Governor's Summit on Production Agriculture Needs (continued) Coordinate resources (capital) to focus on innovative technologies at a level above the farmer to bring lending and investment - concentrating the resources Infrastructure into rural communities Swine processing facility Real functional service vs. "self" service - cell phones/smart phones MSU Ext. industry specific training - occupational training MSU focus on capitalization on water economy and economic advantage Broadband - create more opportunities to interact MEDC – creation of dairy specific incentives (i.e. Wisconsin model) Roads/bridges - fix existing/repair and maintenance Development of shared databases and coordination between land grants so that user friendly information is available to support and focuses on the farm-based user. If currently available need to know and need to have access to it (broadband). Talent - veterinary, post secondary education - increase awareness of educational opportunities for those jobs Jobs on farm - basic hands on work milkers, common labor, immigration policy Price instability - education on forward management of risk to limit exposure of farmers - more participation Increase technology to do on farm jobs Training/exposure of young people to legislative process and participation in process Coordinate crop science Dedicated staff to market products Export issues - learning process to create long term export relationship - establish level of trust Opportunity Access to water irrigation and processing As health and obesity policy goals increase demand for fruit and veggies Attract non-farm youth to ag science careers Be a world authority/class university for fruit and vegetable research in the northeast Chestnuts use health food large market Chestnut can make multiple value added products Chestnuts crop that can be grown on tree fruit site increasing production Chestnuts low market share upward growth Close to customers for locally grown initiative Consumers want new variety to gain competitive edge Economic modeling and planning for new producers Educating consumers in benefits of chestnuts and other fruits and vegetables Enviro weather system expand the growing and processing vegetables Export opportunities Farm acreage for growing chestnuts Michigan #1 in chestnuts growing a commercial chestnut industry Focus on healthy eating Fully utilize technology Growth in consumers wants for fruit and vegetables Health benefits of cherries Increase markets looking at government and prisons as customer Increased per acre production Interest in small/mid size producers in forming co-ops for marketing, consolidation and product distribution Land area lots of non tilled areas Leasing state and federal lands for maple syrup tapping 3 of 16 Count from PM session 2 1 1 0 0 0 11 8 8 7 6 4 3 2 0 0 0 0 August 3, 2011 Sector Group A A A A A A A A A A A Governor's Summit on Production Agriculture Opportunity (continued) A A A A A B B More exports - Feed the world Opportunities to extend the season to increase year round production Potential to expand the processing industry Raise awareness that MI grows all crops Research and extension expertise across states in region Role of fruits and vegetables on human health Strengthen and expand commodity groups -MSU bio research and extension Totally new way of thinking Training and assistance in grant writing Urban agriculture Value added of business would expand if environmental regulation was more clearly communicated and adhered to Value added products Vertical integration in industry from production to processing to marketing Vibrant leadership in many potato farms across the state we have access to cheap capitol we can grow because of financial support Web based marketing Ample feedstock for energy exists Are the issues of utilizing biomass in heat and electrical production efficiently being evaluated B B B B B B B B Attract young kids at pre-college to Ag Bioenergy Production (Electric, heat & steam, Transportation fuels, Petro Chemicals Biofuels Can we do a Project Green for forestry? Capital is available for a healthy, growing Ag industry Capitalize on possible industry check off - marketing campaign Carbon sequestration in managed forests Clarify GAP (Good Ag Practices) guidelines. More harmonization of several existing standards B B B B B B B Continue to focus on right product mix. More container production Cooperation with other universities (Purdue, OSU, MSU) Derisking new investment in Agriculture and Natural Resources Development of smart phone delivery of pest models, marketing conditions, etc. Diverse crops grown in Michigan and a hungry world that needs them Emerging biomass energy technologies markets Expand "convenience" opportunities in the market (i.e. table top trees, direct ship to consumers, easier standards) Expand production of evergreens to include greens for decorative purpose Focus on food safety, nutrition and human health from our food supply Green infrastructure programs (Energy Star = Plant Star) Identify 2-3 strategic priorities of common interest and frame/focus efforts and resources across Ag production to these priorities Increase consumer awareness of positive "mental health" benefits of plants/flowers Increase consumer awareness of the environmental benefits of real Christmas trees (replantable) B B B B B B B B B B B B B B B B Increase fruit and veg production Increased demand for renewable (biomass) energy Integration with health organizations and individuals (primary care doctors) for research and education and resources Lower import costs/More efficient practices Many improved plant varieties Need to teach young people value of outside activities New markets for fruit crops and veg crops New product development through cross industry efforts (i.e. biomass) New technologies enable dissemination of information faster New ways to fund Ag research. No more earmarks. 4 of 16 August 3, 2011 Sector Group B B B B B B B B B B B B B Governor's Summit on Production Agriculture Opportunity (continued) C Obesity can be fought on many levels (food, recreation) Organic Production Private landowner assistance Product partnership like McDonalds and eggs Promote alternate agriculture (i.e. hydroponics as clean environment) Promote gardening as exercise/healthy living Promote Michigan grown crops to Michiganders Promote sector as "green" - we always have been green Promote urban gardens and CSA's to increase young plant sales Public demand for locally grown produce Research on new crops (hops, medical plants) Research on newly discovered invasive species and pest resistant Standing Agriculture Think Tank (production agreement, ranking, university, MDA, Ag Commission, Processing) Students interested in Bio Sciences Timber sales on state land is based on previous sales. This doesn't always give a true equation for the next sale. Different concerns for harvest. Use more wood fiber for energy - improve the public perception of wood for energy Wood based biofuels - wood pellets, ethanol A land grant university that has partnerships with USDA and ARS to support the continued growth of the commodities we currently produce. One way to do this in this continued tightening economy is to follow the model of the REACH group. A number of ag processors willing to move forward but restricted Ability to produce more per acre to address food versus fuel debate/concern Access to water for agriculture expansion Agriculture is financially strong and looking somewhere to invest (give a farmer one dollar and he will spend two) Closer collaboration with private industry on agronomic marketing programs and systems Consumer demand for whole grains; world demand for quality grains for human consumption; expanding ethnic trends that Michigan can meet Continued research to improve yield; do wheat & soybeans yield that which has happened in corn? C Creating new chemicals to displace petroleum through grower monies and university research C C C C C C Creating renewable and green products Economy seems to be okay with spending income on food Educate consumers about agriculture and its co-products - what it means to the economy Further product development; creating value added products from commodities Genetic research to create products that are tailored to the world export market Geographical location; located close to a large populous that can use the ag products we produce C C C Great access to water; transportation; aquaculture How to get joint research on projects from MSU, SVSU, U of M, Western, etc. Improve communication between ag groups; we all need to work together for ag to move forward C C C C C C Increase animal numbers which will increase demand for feed Increase in production needed to meet increase in population Increase VALUE of exported ag products from Michigan - not just volume Increase value of exports through value added in Michigan Increasing yields on some land base Land grant leadership is communicating science based information to the public to build support for expanding agriculture Maximize potential crops that produce fuel, help with energy products, eliminate the need of oil and gas; doubling production to feed the growing economy B B B B C C C C C C C C 5 of 16 August 3, 2011 Sector Group Governor's Summit on Production Agriculture Opportunity (continued) C Michigan diverse climate and proximity to population; underutilized land base, especially north C C C C C C C C More white wheat production Nonfood uses - bio replacements for oil based products Obesity in Michigan; crops that encourage healthy lives - dry beans, blueberries; encourage more individuals for agriculture jobs - MSU, Ag tech school for high school Partnerships within industry and with multi-national companies People are and will continue to be hungry Population (customers) - demand Production risks to white wheat growers (unbiased research) Reorganize expertise and other land grants and exploit these areas for Michigan agriculture C C C D D D D D Synergies among crops for research to address common cross- commodity issues Using ag to develop new business on-farm; ethanol production, corn mazes Water, varying soil types, climate - develop new crops/hybrids for them "Michigan" has a reputation as clean/healthy Access and availability of surface and ground water *unique to Michigan Access to renewable fuels Accessing water Ag can also be used for non-production purpose: equine work, pleasure, racing, ag tourism D D D D D D D D D D D D D D D D D D D D D D E E E E E E E E E E E E Age verification Availability of by product feed Better use of deep water ports Climate good for forage growth Contract finishing Deep water ports are available Electronic identification - can provide age and source verification Farmland preservation Healthy diet Identification Improve transportation infrastructure Increased demand for food provides expansion opportunities Increased worldwide demand for protein Increasing demand for aquaculture products domestic global Increasing world wide demand Marketing via internet live animals MI climate is good for forage growth Michigan has safe production and produces healthy foods Michigan raised concept MSU has meat lab infrastructure Renewal energy biomass related Tourism Additional uses of milk (i.e., biochemical) Annual discussion with departments in the animal initiatives to allocate resources Bridge Consumer connections Coordinate crop science to dairy usage Credit availability for dairy farmers Develop centralized commodity warehouses in dairy Develop more positive relationship between producers, processors and MSU Expansion of processing capacity: further processing of milk into value added products Find way to reduce the amount of water being transported in the fluid milk market Increase # of cows and dairy farms in MI - increases production and adds capacity Increase accessibility to MSU extension 6 of 16 August 3, 2011 Sector Group E E E E E E E E E E E E E Sector Group A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A Governor's Summit on Production Agriculture Opportunity (continued) MAEAP friendly business climate Marketing + competition with export markets + growing world markets MI has water, crops and climate to grow the industry More use of MI milk instate (buying local, particularly in MI institutions) Natural resources to grow dairy Need more large animal vets Existing strong partnerships (producers, industry, academia, regulatory) Reconvene animal industry initiative committee to provide ongoing input on needs of animal agriculture Reroute students to agriculture Strong leadership framework that promotes MI milk (well educated dairy industry) Utilize manure more efficiently - move to cash crop Expansion of exports Local and national retail markets Barriers access to irrigated land for expansion of potato production chestnut crop - new crop needs more acreage planted chestnuts - need marketing of value added product chestnuts - people know little about product commodity group funding limits growing need for expanded ABR and Extension funding cost vs. income electronic communication in rural America energy food safety regs should be the same for domestic and imports Gap - mgmt. plans - sustainability - MAEAP invasive species keep business costs competitive with other states and countries. Each agency sees only own costs to ag - all adds up. labor cost and availability lack of funding for research, particularly applied research lack of general labor lack of infrastructure to aggregate fruit and veggies for smaller institutions, hospitals, restaurants, schools, etc. lack of new/beginning farmers due to lack of financing, land and capital lack of public knowledge on products available lack of qualified people lack of understanding of the true costs and benefits of alternative foods lack of understanding of where food come from - consumers expect perfection licensing and regulations loss of faculty /research/Extension positions in production ag maintaining quality (freshness) misconception that fresh is best MRL's need for good employees no formal educational path for small scale producers (small farm programs) other than MSU organic farm. not enough growers serving local markets to meet the increasing demand. old way of thinking - inertia packaging for chestnuts - need correct package for stores pest control for minor uses (chestnuts) processing capacity in Michigan quick to respond - funding to respond quickly 7 of 16 August 3, 2011 Sector Group A A A A A A A A B B B B Governor's Summit on Production Agriculture Barriers (continued) B B B B B B B B B B B B B B B B B B B B B regulation! regulations Research critical to future - need $ to support research dollars standards not based on solid science trans infra - road/bridge weight limits - limited rail weather related variability /uncertainty workforce (lack of agricultural workers) Ability to find or keep quality employees Adequate inspectors for export shipments Adequate work force for harvest and field worker Consumer misunderstanding about how Christmas trees are grown and harvested. "Don't cut down a tree." Difficult to adjust quickly with 3-8 year crop rotations Diminishing funding for research Do we have the infrastructure to maintain the new biomass industry in supply (timber) Easy measurement of forest carbon From the banking system to weather down times and to expand Glut of low priced trees on market from over-producing areas/non-professional growers Handing & transportation of biomass How can Michigan better assure a reliable supply of seasonal workers? How can we improve the management of our forest resources? Identifying the "??" energy crops Immigration issues Increasing mortality, invasives disease Input costs Invasive pets and lack of reimbursement for government and ordered plant destruction for greenhouse plants Is forestry part of agriculture? Labor Labor regulation and supply housing for labor Labor regulation and supply housing for labor Lack of assistance to private forest landowners Lack of awareness in beginning and small farmer of capital availability Lack of broad forest resource management strategy Lack of clear priorities on what needs to be done: can't do everything Lack of collaboration of forest resource stakeholders Lack of faculty at MSU to push Floriculture research & teaching Lack of good high speed internet everywhere is needed Lack of marketing strategies, Michigan forest products Lack of public understanding/education of forest management practices Lack of real-time regional data on wood fiber / forest inventories Lack of resource management/availability in non-industrial private landowner sector Landowner willingness Marluts for trading carbon credits Minimum wage levels forced budgets to eliminate some jobs Organic Education Pets - insects, disease, invasive plant issues Physical labor sometimes viewed as "for others" Labor force has dwindled for difficult /hard jobs B B Pressure to sustain current structure/systems while implementing change efforts Recreation dollars for families scarce. Need positive input to promote healthy activities (i.e. golf) B B Reduce challenges associated with invasive/exotic pests Student councilors in high school steering kids to non agriculture fields B B B B B B B B B B B B B B 8 of 16 August 3, 2011 Sector Group B B B B B B C C C C C C C C C C C C C C C C C C C C C C C C C C C C C D D D D D D D D D D D D D D D Governor's Summit on Production Agriculture Barriers (continued) Sustainability of quality feedstocks Tax Incentives Taxes on alternative energy The market goes abroad to meet MI's wants and needs Water & Water quality issues Younger generation perception of industry as hard work, low pay, etc. Acreage expansion, especially northern areas and formerly conservation or open space Ag skilled workforce Average age of farmers - 55 plus; not many young minds, just experience farmers Basic infrastructure; roads, electric capacity, etc. Commercialization dollars for new products/ideas; scale-up, test markets Competition for land use by crops/owner Consumer appreciation/understanding of renewables, green products Consumer understanding of their food supply Consumers lack of confidence in "sound science"; we need to get comfortable now to accept what is coming in the future Continuing funding or ways to refine the funding going forward CRP and WRP planting restrictions Elevator; more processors of all products and animal processors Funding for research - public and private In scale-up, you need larger markets for cost of production efficiencies so it's cheaper for consumer Infrastructure - roads, rail, drainage; need to improve Infrastructure to get the products to the markets or people Infrastructure to move increasing crop size Infrastructure, rail, broadband, roads, utilities Keeping land in agriculture; not going through development and housing. We do not make land every day. We put parking lots on them. Limited markets because of (USDA allocations) trade agreements Market access for new products; market competition, power of current players MSU - lack of focus; try to be all things to all people Need curriculum to educate workforce to meet industry needs for technology/science/business grads Need for faster inspection of crops/products for sale/export People, employees, labor, talent Public knowledge about agriculture Public perception of new technology (GMOs) being bad The reduced farm gate value to the producer. Today's processed goods reduce the amount that the producer gets from the food dollar. Transportation infrastructure Ag should not be policing immigration Animal diseases hinder ability to market Animal welfare discussion is being led by non-producers Conflict between "organic" and "production" agriculture Conflict between short and long term goals Desire to do what's right long term Farms not seen as businesses Financing state and federal (exception is GreenStone) Lack of available financing Lack of available workforce Lack of consistent goals - industry, regulatory, university Lack of desire to use available tools Lack of imagination Lack of infrastructure - rail lines, high speed internet Lack of legitimacy 9 of 16 August 3, 2011 Sector Group Governor's Summit on Production Agriculture Barriers (continued) D D D D D D D D D D D E E E E Lack of legitimacy for some Michigan products - aquaculture, horse slaughter Lack of major producers in some categories - pork, cattle feedlots Lack of processing facilities in Michigan Lack of training and education - on-hand occupational training Lack of understanding regarding agriculture industry Michigan is a corn deficient state Organic vs. non-organic mixed message Risk of wildlife diseases Uneducated population with regard to food production Zero academic resources Zoning Access to capital Animal care issues Awareness of agriculture career opportunities Challenge matching high growth pattern in industry over the past 10 years (in the future 10 years) E E E E Disease management with wildlife (i.e., bovine TB) Diversity in farm size and approach reduces ability for industry to work together Economic incentives to match other states Federal and state (i.e., water) regulatory constraints that provide challenges in dairy industry growth E E E E E E E E E E E Immigration policies Infrastructure development: roads and equipment dealers, broadband Labor - need for both technical skills and general laborers Manure use and litigation Misconception of milk as a fattening product Need for large animal veterinarians Perception of stricter environmental regulations for ag operations outside the state Population growing in distant areas - milk is costly to transport Price uncertainty Proactive approaches to animal care and adoption Workforce: high school and college applied skill sets 10 of 16 August 3, 2011 Governor's Summit on Production Agriculture Appendix B -- Strategies from PM Session PM Session Group Education 1 1 1 All Disciplines Represented i.e. PHD agronomy mgt. Change Majors (names) that excite students Collaborating with industry (meats lab-product development and food safety (an economic driver) 1 1 1 1 1 1 1 1 Industry (that need to be educated within the industry (continuing Ed)) Internships K-12 teacher education on ag (add to #9) Opportunities and needs for industry Participation - feeder programs that are ag related, credit programs that transfer for community colleges, Ag Tech (more relative than ever) Partner programs with other universities (guest study programs) Promote career needs in ag - Look forward to industry needs Public education - How food is produced - partner with industry i.e. MFB/green stone/MDA 1 1 1 2 Push education to community colleges Re focus Vo Ag at the K-12 level Strengthen agri-science curriculum for instructors Ag public relations campaign (food safety, environment, economy, resource stewardship) 2 Consumer - integrate more info regarding modern ag and environmental education into curriculums 2 2 2 2 2 2 2 2 3 3 Invest in broadband or other high speed communication technology Maintain land grant and mission and philosophy Promote Ag Education in all schools Pursue federal grants Support and encourage internship Support scholarship Talent / Labor - target recruiting and training University / state leadership on balanced curriculum Change consumer preference for Michigan products - ag-backed P.R. (kids and adults) Elementary curriculum for understanding production agriculture's role in the food system; ag in the classroom type program - training for teachers Get "non-farm" kids into farming - agriculture (grades 7-12) using broadband to train Higher education curricula relevant to industry needs; engage stakeholders in curriculum process input (kids and adults) Industry outreach about job opportunities; recruitment (kids and adults) Offer "continuing", specialized education/exchange programs for professional farmers Offer more rural off-site/satellite locations (e.g. Saginaw Valley, community colleges) Re-introduce ag-bioscience and food science based in field experience Rework the training and evaluation for high school counselors to remove bias against agriculture 3 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 Consumer education about ag Educating consumers Education (K12) reform FFA needs some emphasis in production ag Get individuals involved with ag - internships, ag in classroom, etc. Getting broadband accessibility Include ag/forestry/resource curriculum K12 Meeting the labor needs through education collaboration - counselor involvement at high school admissions - college level Post high school beginning farmer programs - mentoring - small farm training - develop alternate model for researchers to support ag research (non-tenure stream researchers) 11 of 16 August 3, 2011 Session Group Governor's Summit on Production Agriculture Education (continued) 4 5 Recruiting of students "Ag Tech" program for food processing and grower industry (2 yr. tech training - vocational training). 5 Better define and align curriculum between community colleges and state U's for easier transfers. 5 5 Education on the food system Include "global" education opportunities in "AG" curriculums - promote future networking and business relationships. Increased agricultural commodity risk based education to provide employees who are aware of risk management with futures on markets. Link sciences to Ag sciences in high school Partner with other U's and colleges to provide better educational opportunities. Private sector to strengthen and add more internship opportunities w/ universities and colleges. 5 5 5 5 5 5 5 PM Session Group 1 1 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 3 3 3 Provide school counselors with resources and opportunities to learn about industry careers and ways to get there Statewide program to inform and educate the general population about AG and the importance it has in economy and healthy lifestyle Universal broadband access, allow for rural schools and student to access AG specific educational opportunities Extension Charge fees for training programs (combine w/ #5) Cutting edge delivery Extension = outreach Extension schools (e.g. 3 day IPM courses) Grower training program at practical level vs. 30,000 feet (combine with #5) Identify areas of applied research that need attention - report back (partner with industry to ID needs) Recognize reality industry is providing a lot of this today (i.e. agronomy) Remote training programs (webinar)(employee professional development) Stay on cutting edge to deliver information to MSU and field - technology - use all methods and partners Target services to demand Team approach to extension program (e.g. fruit teams, AOE teams), collaboration integration with the field when plant pest disease and economics come together Technology Enviro weather to make decisions in the field IPM app on smart phone in real time Be a competitive employer Coordinate information among land grants and within Michigan Explore opportunities to bridge divide between 4H program and recruits into Ag jobs Focus on needs not wants MSU Prioritize and consolidate - fill voids Reassess mission and fill voids (seminars not individual and Is Extension for Ag?) Reconnect with local government & growers Seek alternative funding (public/private partnerships) Use technology for more efficient delivery system - Extension Apps Be great at some things and share better with other colleges and universities Build a framework for rapid response - issues/problems (broadband and other technology development) Build a talent pool with highly qualified individuals/teams - cooperation between stakeholders and MSUE to identify qualified individuals or build teams; industry consider partial funding of positions 12 of 16 August 3, 2011 Session Group 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 4 4 4 4 5 5 5 5 5 5 5 5 5 5 PM Session Group Governor's Summit on Production Agriculture Extension (continued) Decouple county funding from the system. Government/industry/MSU redevelop plan on rural enhancement/development to give more stable funding base Information delivery system with high quality useful information for economic development (food/family nutrition and education needs) and commercial production ag and feedback to extension regarding needs in a county - include 4H (broadband and other technology development) More specialized extension educators with access and connections to researchers nationally and industry leaders Strengthen the production ag focus - relates to talent pool mentioned above; making priorities within MSUE to narrow focus Use crop production services model with internships with businesses and educators Women's network with specialized information Cleaning house Coordinate development/research/information > bioenergy crop development Coordinate dissemination of information to regional centers by commodity to transfer cutting edge technology to end user Ensure targeted to audience Expand to currently unserved industries (underserved) and mechanism to ensure Expand/enhance public advocacy of modern BMPs Google on agriculture E-Extension model (shared research) improve information access electronic Improve access to information - e-extension, Google, etc. - accuracy and distribution - unbiased commodity based - end user - bio-energy Improve collaboration - public/private - prioritize - accountability in delivery - public advocacy information More accountability to users of extension and needs to respond to needs of ag More collaboration with public/private entities Need to ensure that appropriate information is generated and disseminated Two-way communication between industry-Extension-campus Better use of technology for dissemination of information Consumer education - farm to fork Continue to develop partnerships and relationships with other Land Grant Universities to improve the efficiency and quality of information development and delivery Develop an information clearing house for on-line access. Extensions further promote so market knows it's available Expand information base for emerging/specialty products to promote growth Promote MI products Provide BMPs for all sectors of agriculture Regional sharing of resources/staff between Land Grant universities - access to info Regulatory issues: go between to the farmer and help educate the regulators Take on responsibility for "routine" applied research to free up PhD for higher level research (to balance applied and basic) Research 1 Coordination of land grants for complimentary research (where appropriate) and sharing results 1 1 1 1 1 1 1 1 Develop funding mechanism for emerging issues short term funding for short term needs Drive basic research to practical application (same as #3) Flexible cutting edge and current / focused - processing varietal pest and disease3 Global research sharing (same as #2) Industry partnerships (dollars, farmers and on farm) Maintain outlying research stations Position researchers for national/regional/federal funding and public funding Specialty crop research a priority 13 of 16 August 3, 2011 Session Group 2 2 2 2 2 2 2 2 2 2 3 3 3 3 3 3 Governor's Summit on Production Agriculture Research (continued) Annual survey of research needs to ensure that research being done is needed (grant chasers need not apply) Are you doing for the money or the "true" research Coordinate / collaborate needs with other universities Coordinate and share expertise across land grants Cross commodities review of research needs (short - long-term) Explore different models Hire fundamental expertise that cuts across commodities Land grants need to identify strengths/weaknesses (i.e. duplication) Look to expand animal ag initiative to more annual and short-term research (i.e. Project Green) New approach to funding sources (i.e. possible checkoff) Applied research needs similar priority to basic research Enhance research partnerships among MSU/producers/processors Flexibility - funding, skillsets Focus on areas where MSU can be the knowledge leader but also on areas where MSU can contract/obtain information from regional universities Linkage improvement between extension and research direction MSU enable cross-disciplinary research teams 3 Need for improved funding mechanism for applied research - form industry/stakeholder/government/MSU groups to identify potential for the development of partnerships and funding streams; develop a mechanism and protocol for funding projects 3 Research Michigan's place (role) in the global economy. How to create policy to grow agriculture. 3 4 4 4 Responsive to industry change. Needs assessment with industry Balanced research investment portfolio to meet short, medium, long term needs Communicate research results Connect long term basic research to ag - understanding the payoff might not be immediate 4 4 4 4 4 4 4 4 4 4 4 4 4 Data on energy feedstock - availability, cost, energy value Economic impact of research to industry Economic research to understand MI products current status od consumption, exports, etc. benchmarks - MI products used by MI residents Establish links between states research capacity to reduce costs and multiply benefits Expand green model to ensure research benefits production ag Expand public research - landowners MI ??? Flip chart: Improve agronomic research and advance genetic research Link research with return on investment Multi-state collaboration for major research Producer driven Research in year round growth strategies Transparent research supporting public, landowner, production ag vs. multinational corporations 4 5 5 Unbiased research Coordinate crop research with animal agriculture Coordinate with other universities - don't duplicate research done elsewhere. Partner! Specialize! 5 5 5 5 Focus on specialty crops Funding for research at university level Funding source with ability to respond to changing industry needs/emergencies MI taking more aggressive role in defining federal funding for ag research (Iowa, Nebraska) 5 MSU needs to be more entrepreneur focused instead of self serving to promote more cutting edge discoveries here. Relevant research Specialty crop block grant for unique MI ag needs 5 5 14 of 16 August 3, 2011 PM Session Group 1 1 1 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 3 3 3 3 3 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 Governor's Summit on Production Agriculture Government Ag worker program Cheerleader for Michigan products clear consistent regulatory guidelines (takes too long to implement) This benefits taxpayers/consumers Communication on issues critical to farmers Education/tours/on farm Frame the research needs and why it is important to the state Government as a facilitator of economic activity (jobs) not detriment improve the business climate for everyone Increased dollars for ag bio research and extension budget Infrastructure - Roads, bridges, energy, drainage, rail Overall impact of ag vs. manufacturing Packet of everything you need to start a processing plant - permits/how to list/hiring/etc. (combine with # 4) Philosophy of "Get government out of the way" Vision within the departments to move the economy forward Biannual review for consistency of state and federal regulations and enforcement. MDARD takes leadership for this. Third party involvement in evaluation Coordination of stakeholders through an annual summit . Includes state agencies, university and industry reps (specific theme/focus for smaller groups/interest) Educate MEDC about agriculture opportunities - Apportion fund and/or develop agriculture specific criteria Final Comment: No regulation is worse then over regulation. All people are not "saints." Permit by rule, common law (compliance vs. enforcement and coordination of overlap regulation by agencies) Coordinate and prioritize across all layers (local, state, and federal) of government agriculture production policy Create a level playing field for international trade Create awareness and assistance for grant/loan opportunities Create labor laws and regulations that promote production agriculture Develop a single point of contact for production agriculture - commodity specific - at MDARD that coordinates with all state agencies Enforce current laws Government develop understanding and knowledge of production agriculture; Pure Michigan, promote agriculture Government enable growth of agricultural processing Government streamline of taxation Improvement of infrastructure - transportation, utilities, biofuels/biomass, funding of research/extension Simplify regulations and laws for production agriculture Ag promotion - pure Michigan Business climate that promotes growth Comprehensive drainage plan Enough personnel for export inspections Export opportunities Government to address seasonal labor issues Greater expansion of Pure Michigan to promote Ag and PR campaigns to raise consumer awareness Innovative public and private partnerships and collaboration - MDARD/MEDC Level, technology neutral "domestic" energy production Makeup expanded to other sectors Michigan product sourcing at all level of government More collaboration in government depts. regarding ag econ dev. (MDARD - MEDC) Policy on labor, infrastructure, energy, exports, drainage - review policy and remove barriers - keep impact costs low Preview/evaluate policy and regulatory barriers to export Prioritization of infrastructure to address ag needs Stability in regulations Tax reform that doesn't inhibit production expansion, i.e. improved production facilities 15 of 16 August 3, 2011 Session Group 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 5 Governor's Summit on Production Agriculture Government (continued) Access to labor: programs to welcome seasonal labor, coordinate labor regulations with state in lead vs. federal, Ag input/representation in infrastructure spending priorities/rail, bridge, broadband Aquaculture development zones: permit packaging, 21st Century Jobs Fund, production encouragement Comprehensive access to year round labor Consistent science based regulations Consistent tax policy Development of comprehensive drainage plan and consider federal farm program funding opportunities Education of township assessors Eliminate pariah status for aquaculture Enhance implementation of integrating production ag into MEDC programs to encourage more private investment Environmental regulations should be no more restrictive than feds or bordering states. Also common interpretation among state agencies. Food for labor as part of our assistance programs Preserve/expand Project GREEEN to address research Pure MI - include ag promotion ("safe and nutritious!!") Stop out of control government Work on aligning our inspection and food safety regs with our export country partners Appendix C -- Parking Lot A/1 B/2 B/2 B/2 No Parking Lot Items Compliance w/state, federal, international rules/regulations Financial stress on MSU Extension Lack of regulatory oversight to enforce polices in place - bad actors give industry bad image B/2 B/2 B/2 Permit by right Permit by rule Regulatory issues being forced by federal regulation and the state's interpretation may be more strict B/2 C/3 D/4 D/4 D/4 D/4 D/4 D/4 E/5 Trucking regulations No Parking Lot Items changing environment i.e. need a level of consistent/uniformity MDEQ permit process MEDC lack of understanding ag importance of economic impact and growth MPSC and utility companies (net metering, etc.) No policing by age on guest worker or immigrants; more availability of workers Regulatory change net metering rules Meeting demands of consumers/special interests primarily through regulatory framework (regulatory burden, time) Regulatory: Grow industry # of cows, #s - state vs. fed, rules - DE clean water permit beyond MPS permit E/5 16 of 16 MICHIGAN FOOD PROCESSORS SUMMIT REPORTS FROM BREAKOUT GROUPS The 2011 Michigan Food Processors Summit was held on April 27, 2011. Its purpose was to bring together Michigan food processors and regulatory and economic development leaders to address challenges and discuss opportunities to support the continued growth of the industry in Michigan. Two hundred and four individuals representing food processors, economic development agencies, government agencies, institutions of higher education, industry service providers, and the media were in attendance. The agenda for the Summit is attached as Attachment A. The Summit was planned by representatives from the following agencies: • Michigan State University Product Center • Michigan Department of Agriculture and Rural Development • Michigan Economic Development Corporation • The Right Place • USDA Rural Development • Agriculture Leaders of Michigan Financial and in-kind support for the Summit was provided by the following companies and agencies: • Varnum Law • Michigan Farm Bureau • Michigan Ag Council • Agricultural Leaders of Michigan, which includes: o Greenstone Farm Credit Services o Michigan Agri-Business Association o Michigan Milk Producers Association o Michigan Allied Poultry Industries, Inc. o Michigan Pork Producers Association o Potato Growers of Michigan, Inc. • Michigan Sugar • Michigan State University Extension • Hudsonville Creamery and Ice Cream Company • Yoplait, Division of General Mills Table of Contents Executive Summary..................................................................................... 2 Detailed results of breakout sessions ......................................................... 4 Grain/baking/cereals ...................................................................... 4 Dairy ................................................................................................ 5 Meat ................................................................................................ 6 Fruits/vegetables ............................................................................ 6 Recommendations ...................................................................................... 8 2011 Summit agenda .............................................................. Attachment A 2 EXECUTIVE SUMMARY The program included an update on the 2012 Farm Bill by the office of Senator Stabenow. Two panels of representatives from key State and Federal agencies (MDARD, DEQ, DNR, MEDC and USDA-RD) provided a synopsis of what is new and different in their agency, especially with the new State administration. They then responded to questions from the audience. After discussion by Department and Agency leaders about strategies for growth in the food processing industry, the participants self-selected to attend a breakout group representing a major sector of the Michigan food processing industry. Those groups and the number of people attending each group were: GROUP NUMBER ATTENDING Grain/baking/cereal 23 Dairy 24 Meat 33 Fruit/vegetables 64 Each group was led by a trained facilitator and a recorder. The facilitators and recorders were asked to help each group identify the opportunities and barriers for expansion, then create a list of action items that Departments and Agencies might use to expand the Michigan food processor industry. The groups focused on what to do. Future implementation is left to appropriate State agencies and industry groups that have the resources and authority to execute. For some issues, the members of the groups suggested specifics as to how, who and when the actions should be taken. Those specifics are noted where applicable. The following are issues and actions that were prevalent in all or most of the breakout sessions. 1. Marketing/Promotion a. Increase the involvement of Pure Michigan is promoting Michigan’s food processing industry – especially local and niche products (grass fed, organic, etc.) b. Develop a Pure Michigan label for Michigan made products c. Develop directory of Michigan processors 2. Infrastructure a. Processors should be included in MDOT’s revisions of the State Rail Plan b. Address lack of broadband availability in rural areas c. Control costs of electricity and size lines to future needs d. Improve utilization of deep water sea ports e. Coordinate processing plant locations with production areas 3. Labor a. Need more trained workers b. Programs that have worked i. Texas A&M, North Dakota State for meat ii. MSU Biosystems and Ag Engineering program 4. Education a. Assure adequate funding for higher education b. Include more ag/food processing in K-12 curriculum 3 5. Regulatory issues a. Need to coordinate and simplify b. More business input into policy development and interpretation of laws to create regulations 6. Food Safety a. Need more communication about changes in food code b. Coordination of current inspection programs Evaluation forms were provided to all participants. All participants who completed an evaluation form found the Summit to be beneficial and would attend future summits. Networking opportunities and the presence of high level administration representatives with good discussion were noted as positive aspects of the Summit. Most participants prefer an annual summit located in the mid-Michigan area. Suggested topics for future summits included marketing and promotion (especially more information about Pure Michigan), regulatory issues (cost, compliance issues, standardization), training/education/ certification, and municipalities/processors relationships. Based on input from the industry groups the planning committee formulated recommendations for review and refinement. Those recommendations focused on: • Promotion and marketing - Michigan’s diverse fresh and processed agricultural products could benefit from generic promotion similar to Jersey Fresh, Colorado Proud, or Kentucky Proud. • Infrastructure - Improvements are needed in our transportation system to move products within the State as well as out of the State. The lack of access to broadband internet services in rural areas is a detriment to expanding some food processing businesses. • Workforce development - The industry needs employees with specific skills related to food processing. Many of these positions do not require an advanced degree or even a four-year degree. In some cases the curriculum for training the employees already exists within Universities or community colleges. It appears there is a breakdown in communications between processors and educators about the needs of the industry, as well as in communicating opportunities to students who are potential employees about the opportunities that exist if they take classes to give them expertise in food processing. • Regulations - Industry input into the development of regulations is needed, along with the elimination of duplicative and conflicting regulations. Investigate the creation of an advisory committee to work with multiple departments/agencies to resolve these issues. • Statewide agri-business advisory committee - Develop specific regional agribusiness/food processing business retention/ expansion/attraction plans and provide funding to assist their development. 4 DETAILED RESULTS OF BREAKOUT SESSIONS The following summarizes the action items for each breakout group. Following the individual group reports is a summary that lists the overall themes from the individual groups. Grain/baking/cereal 1. Infrastructure a. Railroads i. Have Ag./Processors (Through MABA, MDA, USDA) at the table in MDOT’s current re-vamping of State Rail Plan ii. Freight policies should be included in new Farm Bill b. Electric power i. Size transmission lines to handle future, as well as current needs ii. Lowers costs to stimulate expansion c. Broadband – promote in rural areas, equal to urban 2. Capital – Need central “clearing-house” for communication of grant announcements and lending/equity sources 3. Health a. Hold off on new labeling regulation, especially country of origin. b. Industry needs to do its own research/development of new products/markets c. Industry firms need to invest in R & D for new products to meet consumers’ needs d. Need funding to Universities for related research and food testing e. State needs to ensure that Universities are adequately funded to respond when project funds from industry are available. 4. Promotion a. Highlight both products and diversity b. Role for MEDC/Pure Michigan campaign c. Industry responsibility also d. Ensure food and ag. is promoted in Pure Michigan campaign e. Use up “Select Michigan” and “Made in Michigan” promotional materials 5. Processor ID/Database a. Provide a directory of food processors, by area and by product b. Stimulate communication, collaboration and trust among processors c. Encourage grain millers and processors to work together 6. Regulation a. Simplify i. Labor/Housing ii. Immigration iii. Wetlands – LOCAL permitting/review/input b. Streamline and eliminate duplication. Overall feeling was there are multiple agencies that regulate the processors in the grain sector and some of the regulations appear to be similar 7. Food Safety 5 a. Do not add more regulation b. Not a need for a State food regulation, on top of Federal c. Require or encourage 3rd party certification that is buyer and consumer driven, not government regulation d. Streamline emergency response procedures with planned/drilled chain-of-custody investigations, using latest trace-back technologies, from farm-to-plate Dairy 1. Environmental issues such as farms are land locked, run-off, regulatory concerns a. Establish advisory committee/council of small and large processors and producers to gain a voice with DEQ to discuss regulatory issues. This would perhaps be coordinated by MDARD and/or through processors and industry trade associations i. Encourage a business-friendly approach to enforcement (solutions based rather than punitive) ii. Find a rational, practical approach to rigid rules iii. Make laws specific (e.g., for water quality—i.e., what is the expectation?) Get interpretation of laws so they are specific to the industry and not so general and open to misinterpretation. iv. Involve industry stakeholders in the regulatory and administrative find process v. Get more involved; develop relationships with policy makers. vi. Get voices heard; give input b. Use food processors and industry trade associations on state and national levels to advocate with DEQ 2. Increased input costs such as energy, land, feed a. Work to change/revise PA 295 standards (Clean, Renewable and Efficient Energy Act) b. Trade associations should advocate for new grants and loans for energy sustainability systems c. Continue (on individual business level) to conduct energy audits to improve energy efficiency of operations 3. Take advantage of consumer trends (e.g., organic, natural, grass-fed) a. Conduct a study to determine feasibility for producers and processors to convert operations to niche markets. Example: Explore opportunities for open range, grass-fed cows for organic ice cream niche market on larger scale. b. Industry leaders should educate consumers about what these terms mean 4. Marketing a. Use Pure Michigan campaign to promote Michigan agriculture and dairy products to consumers on national level i. Brand it ii. Educate people on the quality—i.e., Michigan has stringent milk processing standards iii. Market business to business (grocery chains) b. Use Pure Michigan campaign to attract food processors to the state i. Made in Michigan as a preferred choice—develop an MEDC ad partnership (e.g., have Yoplait put the Michigan logo on its container) 6 ii. Food processing clusters draw other business (Processing Renaissance Zones) c. Encourage Pure Michigan campaign to include agritourism/agriculture focus in their tourism promotions d. Develop social media as a marketing strategy 5. Other to dos for opportunities: a. Be accurate in advertising (so consumers know what they are getting) b. Find out what Pure Michigan label means/what defines it and how to access/use it c. Explore opportunities for open range, grass-fed cows for organic ice cream niche market on larger scale (discussion led to feasibility study suggestion – see 3.a above) Meat 1. Consolidate animals from several farms to attain sufficient numbers for slaughter facilities either in-state or out-of-state 2. Address a state inspection service that could be funded by some combination of state and industry funding 3. Implement short and intermediate term planning for regional meat processing facilities a. The industry should plan for the future to place MI in a positive competitive position b. Discussion included unknowns of feed prices, regulation etc. but they agreed that planning would help even if it needed to be adjusted due to unforeseen market conditions c. The industry would be responsible for this with facilitation by MSUE or MDARD 4. Address regulatory requirements, including changes in the food code. The industry is asking MDA to provide communication on implementation of the new food code (they said that the new code is written, just not implemented yet) to processors. Specifically they asked for info on how to meet the code or get variances. 5. Create a certificate program to train workers for employment in meat processing facilities, possibly with collaboration between Michigan State University’s Meat Lab and Michigan Works. Examples of successful programs exist at Texas A&M and NDSU. 6. Develop a public relations program to deliver one combined positive message to promote the strengths of this sector. The general idea was for industry members to not market their product by degrading other market segments. i.e. grass fed or organic meat industry does not need to point out problems with conventional meat but focus on benefits and characteristics of their own product. They mentioned the same for local, large vs. small processor etc. Fruits/vegetables 1. Educate Policy Makers on the impact of new policies regarding agriculture. There are many conflicting policies and statutes that are confusing for ag producers and processors. a. Role for MDARD b. General website with links to MDARD and other regulatory agencies i. Some comments about difficulty with current website and lack of ability to follow links and find specific information on regulatory compliance 2. There should be an effectively coordinated food safety/food quality certification program for entry level production workers – producer driven to develop critical components of the program. (may be similar to Serve Safe program) 7 a. Agency to do this was not specified by the group but MSU Extension currently conducts a Serv-Safe program for foodservice workers 3. Producers and processors are held to multiple GAP standards which results in expense and confusion. Private sector requirements are not equivalent to government requirements for environmental or safety standards. a. The State could be a partner in assisting producers in compliance with a number of environmental and food safety standards. b. Educate producers on the need to comply with new regulations concerning market accessibility, etc. e.g. GAP certification = USDA market access 4. Lack of available money for affordable and adequate wastewater treatment options a. Make funds available b. Educate processors on existing available best technology. 5. Attract additional MARKETS for Michigan grown products. Broader markets may lie outside of the state of Michigan. 6. There should be better access to existing kitchen incubators and commercial kitchens a. Explore possibilities of using school commercial kitchens as community kitchen incubators. b. Create a directory of licensed kitchens willing to allow start up small processors to rent facilities to product products 7. Effectively advertise assistance available for creating financial and other business development documents, (SBTDC, MSU Product Center, others?) a. Editor’s comment – seems like this has already been accomplished with the MDARD Growing Michigan’s Future guide 8. “Back to Basics” for agriculture education in K-12 education a. Emphasize all impacts of MI agriculture on our state – however, there may be an overall lack of agriculture educators in the state. b. Role for Department of Education 9. Support boilerplate language for the State of Michigan (specifically in the Corrections Appropriation Bill) to BUY LOCAL 10. The industry should promote internships within food processing facilities a. Develop a clearinghouse type listing for other universities and students to search. b. Reference was made to MSU Biosystems Engineering program 11. MDA/USDA procurement process should be updated due to the nutrition qualities of processed foods that equal nutrition quality of fresh foods. The procurement process discriminates against processed foods. 12. Improve the accessibility of processing facilities to handle MI products – build processing facilities closer to actual production areas. 13. Better utilize deep water ports to ship products. However the group did not specify current barriers, just that this has enormous potential. 14. The State should take the lead in promoting urban food production and processing ventures, considering the availability of underutilized resources. 8 RECOMMENDATIONS 1. Promotion and Marketing Michigan’s diverse fresh and processed agricultural products could benefit from generic promotion similar to Jersey Fresh, Colorado Proud, or Kentucky Proud. a. Role for Pure Michigan in food processing b. Highlight diversity of Michigan agriculture c. Capitalize on Buy Local trend d. Market business to business 2. Infrastructure Improvements are needed in our transportation system to move products within the State as well as out of the State. The lack of access to broadband internet services in rural areas is a detriment to expanding some food processing businesses. a. Transportation i. Roads ii. Rail iii. Deep water seaport iv. Airports b. Broadband in rural areas c. Utilities 3. Workforce development The industry needs employees with specific skills related to food processing. Many of these positions do not require an advanced degree or even a four-year degree. In some cases the curriculum for training the employees already exists within Universities or community colleges. It appears there is a breakdown in communications between processors and educators about the needs of the industry, as well as in communicating opportunities to students who are potential employees about the opportunities that exist if they take classes to give them expertise in food processing. a. Training b. Certification c. Education 4. Regulations Industry input into the development of regulations is needed, along with the elimination of duplicative and conflicting regulations. Investigate the creation of an advisory committee to work with multiple departments/agencies to resolve these issues. a. Clearing house b. “Pilot” or “demo” projects where reduced regulations can be monitored for positive or negative effect without a change in the law. c. Support and participate in the Governor’s rules and regulations revision committee. 5. Statewide agri-business advisory committee a. Develop specific regional agribusiness/food processing business retention/ expansion/attraction plans and provide funding to assist their development. b. Include economic development organizations for participation. 9 c. Invite leaders from agribusiness, economic development, and governmental agencies to participate. Participation should be on an invitation only basis, not general industry/agency. 6. Agribusiness database a. One common, sortable database that includes food processors, resource providers, input suppliers, equipment manufacturers and others related to food processing sector. b. MDARD, the MSU Product Center and the MEDC have had some preliminary conversations about building a database using Salesforce, a cloud-based CRM tool used by the MEDC as a foundation. c. There is a need for a capabilities database to support in-state business- to-business transactions. MDARD has initiated a self-populating agri-food database on its Web site. d. Further discussion is needed on the audience, contents and format. We must ensure that it is updated with the latest information and avoid duplication with existing information. e. Maintain and expand database to link promotion and market strategy development. Attachment A