Ohio Mill Faces Uncertain Future Due to Funding Cuts for Local Food Programs
Over the past two years, Shagbark Seed and Mill, located in Athens, Ohio, has made significant contributions to local food security by supplying thousands of pounds of local and organic products, including black beans, popcorn, bean salsa, and whole grain chips, to regional food banks. This initiative was largely made possible through the federally-funded Local Food Purchase Assistance program, designed to connect local food producers with communities in need.
Recent developments, however, indicate a troubling shift for Shagbark and similar enterprises, as local farmers brace for potential disruptions. The Department of Government Efficiency announced plans to end the Local Food Purchase Assistance program on June 30, 2023—contrary to initial expectations that it would continue through 2027. This ultimatum has left small producers and food banks grappling with uncertain futures, particularly as Shagbark’s sales to food banks made up an estimated 60% of the company’s total revenue.
Michelle Ajamian, the owner of Shagbark Seed and Mill, voiced her concerns about the impact of these impending cuts on both her business and the broader agricultural community. “There is no customer that’s going to walk in the door and buy that kind of volume,” she stated, highlighting the challenges small businesses face in sourcing alternate revenues to replace lost income from the program’s cessation.
Joree Novotny, executive director of the Ohio Association of Food Banks, emphasized the interconnectedness of food security and agricultural resiliency. “Ohio’s food banks know that food security depends not only on households and communities being able to afford and access nourishing food, but also on the resiliency of the farmers and agribusinesses that grow and produce that food,” she explained.
Ajamian, who has managed the mill for the last 15 years, also expressed the direct consequences of the program’s abrupt termination, noting the necessity to reduce staff and operational hours. “A fabulous guy who worked for us two days a week building pallets is no longer working with us,” she lamented.
Faced with dwindling prospects, Ajamian is actively seeking new business avenues, particularly targeting educational institutions. “The idea of being able to send a pallet of 25-pound bags of beans to a school is easier than assuming that those little bags of beans are going to fly off the shelf at various stores,” she stated.
Both Ajamian and Novotny advocate for the reinstatement of local food assistance programs. They argue that without adequate notice or resources to adapt, small producers face insurmountable obstacles in shifting their business models to remain viable. “You don’t pull the plug without enough notice for people to regroup and pivot,” Ajamian insisted.
The Local Food Purchase Assistance Program has been characterized as a “win-win” for not only local economies, but also for national food security, as it ensures a steady supply of nutritious goods to vulnerable populations. As Congress navigates its budget reconciliation processes, Novotny warns that attempts to undermine SNAP and related initiatives threaten the future of farm policies crucial for producers, food banks, and families across Ohio.
Ajamian’s sentiments resonate with a broader concern about the societal implications of food insecurity. “People shouldn’t have to risk their lives to get a meal,” she remarked, advocating for a collective effort to prioritize the wellbeing of communities. As local producers and food banks await a decisive resolution to the funding dilemmas, the future of Ohio’s food security hangs in the balance.