MANITOWOC, WI — The U.S. Department of Agriculture (USDA) has unveiled a substantial investment plan aimed at bolstering the domestic agricultural sector through enhanced fertilizer production and expanded meat processing capacity. During a recent visit to Dramm Corp., Deputy Secretary Xochitl Torres Small highlighted these initiatives as part of the Biden-Harris Administration’s effort to strengthen American farms and businesses, thereby promoting competitive markets and reducing costs for consumers.
Central to these efforts is the allocation of over $120 million through the Fertilizer Production Expansion Program (FPEP), funded by the Commodity Credit Corporation. This program supports independent businesses in modernizing equipment, adopting new technologies, and expanding production facilities. These enhancements are expected to lower fertilizer costs for farmers and contribute to the overall sustainability of agricultural practices.
A case in point is Dramm Corp., which received a $776,000 grant to enhance production capabilities while minimizing environmental impact. By utilizing fish offal from commercial and sport fishing, Dramm creates liquid fish fertilizers suitable for various farming practices, simultaneously reducing landfill waste and protecting waterways.
Among the significant beneficiaries of the FPEP grants is Betley Farms LLC in Wisconsin, awarded $3.5 million to implement a nutrient concentration system. This technology processes agricultural waste into high-value liquid fertilizers, with an annual production target of 39 million gallons and the creation of nine new jobs. Similarly, LSB Industries LLC in Arkansas is set to increase its urea and ammonium nitrate production capacity significantly, supported by a $77 million grant. This expansion will facilitate a reach to approximately 450,000 producers across four states and generate 20 full-time positions.
Furthermore, Agtegra Cooperative in South Dakota will receive $3 million to construct a new manufacturing building and install substantial storage tanks, effectively doubling its fertilizer output to over 53,000 tons annually.
Complementing these developments, the USDA has also announced $20.2 million in awards to 26 projects through the Local Meat Capacity (Local MCap) grant program. This initiative aims to enhance meat and poultry processing capabilities, thus fostering job creation and providing producers with more pathways to market, ultimately benefiting local economies.
These strategic investments are integral to President Biden’s Investing in America agenda, which seeks to nurture economic growth from the grassroots level, ensuring that rural and agricultural communities are pivotal contributors to national prosperity. By strengthening domestic supply chains, these initiatives promise to lower input costs for farmers, enhance product accessibility, and support employment in rural areas.
Deputy Secretary Torres Small underscored the dual advantages of these programs: “By investing in our domestic supply chains, we are reducing costs and increasing options for our farmers,” she stated, emphasizing the administration’s commitment to revitalizing rural America through targeted economic strategies.
To date, the USDA has committed over $368 million to 67 projects through the FPEP, reinforcing its dedication to enhancing domestic fertilizer production and agricultural resilience across the United States. These measures represent a significant step forward in supporting the agricultural sector’s sustainability and economic vitality.
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