Tuesday, March 1, 2011

The Allen Plan and Ways Forward

Will Allen's Plan: Providing food, jobs  

Until very recently, the typical strategy for a local faction of the alternative agriculture movement included farmers markets, subscription plans, institutional purchasing and distributorships.  This approach appealed to high end buyers, supported small family farms, and focused almost myopically on market-based solutions to the small farm crisis.  However, this path can go only so far as the high capital turnover times in agriculture, stemming from high production times, make agriculture a poor investment.  

Consider an investor looking at an investment in steel production or in agriculture.  Since turnover times are much shorter in steel production than in agriculture, it makes good sense for the investor to invest in steel. Investors are more likely to invest in steel than agriculture because it takes longer to make a tomato than to make steel. This is why American agriculture is subsidized to the tune of 16 billion dollars a year, subsidies which allow large farmers to market at below the cost of production and make farming a lucrative investment. With the current structure of subsidies, the small family farm and urban agriculture will never be a good investment because of the natural limitations to agricultural production and the lack of government support for these enterprises.


While national level subsidies are unlikely to change in the near future, subsidies for local agriculture can be developed by state and local governments. In fact, fiscal sustainability and growth for urban and local agriculture hinges on the ability to leverage support from governments. 

I want to next outline a simple, but effective policies and arguments to push local governments towards subsidies for local and urban agriculture.

  • Argument: The region has a legacy of agricultural production, and that legacy should be protected by the government.  
Policy tools: land trusts, tax abatement, agricultural zoning
  • Argument: Local agriculture produces jobs and economic development (see Allen Plan).  
Policy tools: direct payment, land trusts, tax abatement, agricultural job training programs, increased availability of public land for agricultural production, "sin" taxes on high fructose corn syrup and other bad foods earmarked for ag. 
  •  Argument: Local agriculture relieves food insecurity through economic development and providing access to healthy food.  (The single most important item for addressing food insecurity is economic development.  People have little to eat because they are poor and eat bad food because it is cheap).  
Policy tools: direct payment, land trusts, tax abatements, agricultural job training programs, subsidized farmers markets (municipality pays farmers to provide fruits and vegetables at a discounted price), institutional purchasing, increased availability of public land for agricultural production, "sin" taxes on high fructose corn syrup and other bad foods with proceeds earmarked for ag.

While this is not an exhaustive list, the strategy is markedly different from previous strategies in that it focuses heavily on government-subsidized economic development and relief of food insecurity. 

It also operates on the assumption that food is urbanizing quickly, a reflection of urbanization processes across the globe, and attempts to develop a strategy appropriate for that urbanization.  Even many farmers who may consider themselves rural are in fact in metropolitan areas, and, clearly, they are utilizing urban markets.  

Ultimately, the goal is to eliminate the food system that produces, primarily, hunger, food insecurity, and bad food, and replace it with an urban-based food system that distributes good food fairly and sustainably.

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