| By Sharron S. Quisenberry Dean and Director, College of
Agriculture/Montana Agricultural Experiment Station
While politicians and business magazines rave about the best American
economy in years, many agricultural producers are struggling to stay
afloat. The wealth of the dot-com era has simply not trickled down to
Montana farm and ranch families.
Producers in our state still offer some of the best grain and livestock
commodities in the world, but many are finding their livelihoods
jeopardized by low or fluctuating prices coupled with growing costs for
equipment, fuel and shipping. Some producers have hit on a solution:
value-added products and new products developed for niche and specialty
markets. Recently, agricultural leaders from across the state met in
Bozeman to discuss ideas for adding value to agricultural products and
developing a Montana agricultural product base to enhance economic
development in the state.
A comparison of cash receipts from 1998 generated by agriculture,
non-resident travel and tourism, wood and wood products, mining, and
petroleum show that agriculture generates 41 percent of the total receipts
from these basic industries in Montana. It is essential, therefore, that
we find innovative ways to enhance the involvement of the agricultural
industry in strengthening the states economy. About 85 percent of our
high quality agricultural products are exported out of state as raw
product. In fact, Montana raw products are sought out across the world for
consumer products such as Asian noodles and bread.
Our challenge is to add value to these and other raw agricultural
products in the state, develop products from Montanas plants and
animals, and enhance our market share through integrated marketing
strategies in order to stimulate and enhance Montanas economy.
This value added focus will help Montana produce consumer products made
from our quality raw product, and thus, enhance their profits and
strengthen the states economy. Some businesses are already doing this
very successfully, such as, Wheat Montana in Three Forks, Cream of the
West in Billings, and several micro-breweries and beef alliances across
the state.
We need to attract more food processing plants to the state that will
process and add value to our beef, wheat, potatoes and other agricultural
products. We can also target niche markets for our agricultural products.
For example, we can provide Montana-grown prime beef to elite
restaurants or conservation beef to niche markets at premium prices.
Alternative crops, such as mint and herbs, will also lend themselves to
niche marketing and product development.
By expanding and revitalizing the agricultural industry in Montana, we
can develop consumer products, provide in-state manufacturing of food and
other products, and create jobs. Food products are not the only possible
options for adding value to agricultural products. By expanding our
agricultural production beyond food to biobased products, we can
capitalize on recent research to develop and grow plants that produce
fuels, fibers, plastics, vitamins, vaccines, pharmaceuticals, and other
products. An example of a product that you are most familiar with is
ethanol.
Several elements are essential to obtaining this sustainable economy
for Montana. Collaborative partnerships are the key to facilitating
economic development through value- added agriculture. It is important
that producers, commodity groups, the university, state and federal
agencies, and others across the state work together to achieve an
economically sustainable future for Montana.
We also must look beyond the state to other established programs and
centers for assistance and ideas. Other vital elements to the success of
strengthening Montanas economy through a revitalized agricultural
industry are research and education. Research provides the foundation for
this new focus. Research will develop new varieties and breeds of animals
to meet industry and consumer demands and find ways to accomplish a
value-added goal.
Education builds on the foundation by preparing a skilled workforce and
future leaders in the agricultural industry. We are also educating
producers on new and better production practices and initiating research
that will find solutions to new and old problems.
Montana State University is reviewing the feasibility of a biobased
food science and technology program that would provide new educational and
research opportunities to assist Montana producers and entrepreneurs
develop projects across the state that will add value to agricultural
products. This would be a unique approach from a regional perspective.
This future for Montana and its agricultural industry is possible through
vision and leadership of people across the state.
If you are interested in attending forthcoming workshops or receiving
information about value-added products and processes, please contact Lisa
Duffey at (406) 994-4323. |