WISCONSIN
2811 Agriculture Drive, PO Box 8911, Madison, WI 53708
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datcp.
THIRD EDITION
Wisconsin Local Food Marketing Guide Publication Number: MK-DM-17 (rev.8/14)
WISCONSIN LOCAL FOOD MARKETING GUIDE
Wisconsin Department of Agriculture, Trade & Consumer Protection
Division of Agricultural Development
Buy Local, Buy Wisconsin
W I SCONSI N
LOCAL FOOD MARKETING GUIDE
A Producer¡¯s Guide to Marketing Locally Grown Food
Third Edition
Introduction
The Wisconsin Local Food Marketing Guide
publication was made possible through the
Wisconsin Department of Agriculture, Trade
and Consumer Protection and the Buy Local,
Buy Wisconsin program, which strives to
increase the sale of Wisconsin food products to
local buyers.
This publication builds upon the research
and efforts of the Minnesota Institute
of Sustainable Agriculture (MISA) and
their publication, Marketing Local Food.
This project¡¯s first installment was also
made possible by the north Central Risk
Management Education Center and continued
through the Buy Local, Buy Wisconsin
program funding.
Copyright 2014, Wisconsin Department of Agriculture, Trade and Consumer Protection, Publication MK-DM-17
The publication is also available online at Search ¡°Local Food Marketing Guide¡±
Additional copies of the publication can be obtained by contacting:
Wisconsin Department of Agriculture, Trade and Consumer Protection- Buy Local, Buy Wisconsin Program
2811 Agriculture Drive, PO Box 8911, Madison, WI 53708-8911
DATCPBLBW@
This information and content is provided for educational purposes only. Reference to any commercial products, trade names
or specific individuals is made with the understanding that no discrimination is intended and no endorsement by the Wisconsin
Department of Agriculture, Trade and Consumer Protection is implied.
Sections on Other Considerations for Setting up a Local Farm Business; Intellectual Property; and Taxation, Insurance, Labor, and
Employment credited to and copyright shared with Rachel Armstrong- Executive Director and Attorney, Farm Commons and A.
Bryan Endres- Professor of Agricultural Law, University of Illinois.
2
WISCONSIN LOCAL FOOD MARKETING GUIDE
INTRODUCTION
PUTTING A FACE AND A PLACE TO FOOD: LOCAL FOOD
BRINGS RESURGENCE OF NEW AGRICULTURALISTS
The Wisconsin Department of Agriculture, Trade and Consumer Protection is proud to present
the third edition of the award-winning Wisconsin Local Food Marketing Guide.
The Wisconsin Local Food Marketing Guide is intended as a resource for farmers and producers.
It will acquaint you with some of the opportunities you can use to market your food products.
You will learn from those who pioneered innovative production and marketing approaches.
Understanding what¡¯s involved in local food marketing will better prepare you for success.
HIGHLIGHTS OF ADDITIONS
Chapter 1:
New business development section
New section on social media and marketing
New section on registration and business contracts
Introduction
The first edition garnered the Wisconsin Library Association Government Roundtable¡¯s
Distinguished Document Award, and was one of twelve documents to receive the American
Library¡¯s Association¡¯s Notable State Government Document award.
Chapter 2:
New information on sales tax and food sampling laws for farmers markets
New section on agritourism trails
Chapter 3:
New information and resources in grocery section
New section on farm to school
Chapter 4:
Updated regulations
From farmers markets to community supported agriculture, from artisan cheeses to branded
meats, Wisconsin¡¯s original entrepreneurs¡ªits farmers¡ªare reinvigorating agriculture in the
state. These progressive farmers are transforming the landscape and culture of agriculture. Their
influence is affecting how food is grown and how new food systems will be built. They are an
important piece of Wisconsin agriculture, complementing the successful commercial agricultural
industries built in Wisconsin.
In the past, more people had a connection to the land as producing food was a necessity of
life. Communities created festivals around the planting and harvesting seasons, beseeching
good crops and bountiful harvests. Their lives and the lives of their neighbors were intimately
connected to the harvest yields produced from their efforts.
In the past century, as rural populations gravitated toward urban centers, many of the
WISCONSIN LOCAL FOOD MARKETING GUIDE
3
connections people traditionally had with the
land became strained and even broken. Today,
the average U.S. citizen is three generations
removed from production agriculture.
Without the direct connection to growing food
themselves, consumers have begun expressing
an interest in knowing where and how their
food is produced and grown. This desire
to make a food connection has linked food
producers and consumers.
Introduction
Local food production is a groundswell
sweeping across the state¡¯s countryside and
inside urban areas, creating opportunities
for Wisconsin farmers. New customers are
streaming to farmers markets, seeking not only
farm-fresh produce but also a connection to
the land on which it is grown. Studies have
shown that consumers are increasingly looking
for food diversity, freshness, and ties to food
producers.1
Consumers are rediscovering the bounty
grown in Wisconsin. From garden vegetables
to fruit trees; from honey and maple syrup
to meat products; from restaurant creations
sourcing local foods to simple, home-cooked
meals, a new food landscape is appearing on
Wisconsin¡¯s tables. As Wisconsin witnesses
and participates in this expansion of local
food production, a resurgence of textures and
flavors is surfacing to benefit both producers
and consumers.
The timing has never been better to enter the
local food production systems in Wisconsin.
Increased consumer demand, interest
in preparing healthy meals, information
availability, and expertise willingly shared with
new producers have changed the dynamics so
that small- and large-scale farmers, alike, can
thrive in the marketplace.
Recent polls and studies reveal the local food
trend. Nearly everyone, from local consumers
to large chain stores, is taking part at some
level. A 2008 survey found that 82 percent of
American consumers had purchased local food,
while only seven percent had not.2 According
to an analysis conducted by the U.S.
Food Marketing Institute. 2009. U.S. Grocery Shopper
Trends, Food Marketing Institute: Arlington, VA.
2
Onozaka, Y., Nurse, G., and D. Thilmany McFadden.
2010. ¡°Local Food Consumers: How Motivations and
Perceptions Translate to Buying Behavior.¡± Choices,
Vol. 25.
1
4
WISCONSIN LOCAL FOOD MARKETING GUIDE
Department of Agriculture, many large retail
chains have made efforts to locally source their
products.3
This expanding demand has shown itself in
both direct and indirect markets. Between
2009 and 2010, the number of farmers markets
in the United States grew by 16 percent,
to 6,132 from 5,274.4 The 2007 Census of
Agriculture found that Wisconsin is home to
437 farms that market their products through
Community Supported Agriculture, ranking
seventh out of all fifty states. Restaurants
are also a large purchaser of local food: the
National Restaurant Association¡¯s 2008 ¡°fine
dining¡± operator survey found that 89 percent
of operators offered locally grown or locally
made items, and 90 percent believed local food
would become more popular in the future.
The range of local agricultural products
available has expanded as farmers have
responded to the public¡¯s interest in the food
appearing on their plates. As consumers¡¯ desire
to reconnect to their food drives their buying
choices, farmers are presented not only with
new opportunities to meet that demand, but
also an opportunity to tell the stories of their
farms, lifestyles, and philosophies.
These expanding markets provide excellent
potential for new and existing producers.
The scope of Wisconsin¡¯s production diversity
covers many areas, and each new producer
brings a unique set of skills and perspective to
the table.
Martinez, S. et al. 2010. ¡°Local Food Systems: Concepts, Impacts, and Issues.¡± U.S. Department of Agriculture Economic Research Report 97.
4
U.S. Department of Agriculture. 2010. ¡°USDA Announces that National Farmers Market Directory Totals
6,132 Farmers Markets In 2010.¡± News Release 0390.10.
3
Table of Contents
WISCONSIN LOCAL FOOD MARKETING GUIDE
Introduction
Chapter 1.........................................................................................................................7
Gathering Information................................................................................................... 7
Business Decisions and Planning................................................................................... 9
Other Considerations for Setting Up a Local Farm Business .................................... 15
Farm Registration Requirements................................................................................. 18
Environmental Issues.................................................................................................... 20
Setting Prices for Various Markets............................................................................... 23
Business Development.................................................................................................. 26
Adding Value To Your Products................................................................................... 35
Chapter 2....................................................................................................................... 42
Farmers Markets............................................................................................................ 42
Community Supported Agriculture ............................................................................ 47
Agritourism.................................................................................................................... 53
On-Farm Stores and Pick Your Own............................................................................ 58
Chapter 3....................................................................................................................... 62
Selling To Intermediate Buyers.................................................................................... 62
Restaurants and Grocery Stores................................................................................... 68
Institutional Food Service............................................................................................. 71
Distributors.................................................................................................................... 75
Chapter 4.................................................................................................................................. 78
Regulations.................................................................................................................... 78
Licensing, Labeling, and Regulation Requirements................................................... 79
State Requirements By Product and Market.......................................................... 83-96
What Is GAP/GHP?....................................................................................................... 97
Taxation, Insurance, Labor and Employement........................................................... 99
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