13.5 Value-Added Processing and Cooperative Enterprises

Producers traditionally look to expand their market share through exports, but they also realize there is an opportunity to increase their markets through value-added processing. Strategies to increase market share through value-added processing include cooperative and other business ventures focused on agricultural processing, farmer-owned cooperatives, and marketing the value of ‘high-end’ crops and livestock. The benefit of cooperatives and other business ventures is the potential for farmers to capture a greater share of the value of their product, while keeping more dollars in their local and regional economies, instead of exporting raw commodities from rural communities. 

NASDA recommends that USDA’s Rural Business-Cooperative Service should give attention and focus to farmer-owned cooperatives to increase the value of farmers’ products in the marketplace. NASDA recommends the Rural Business-Cooperative Service include small farm operations and provide education (technical and business planning) and financial resources to enable these small producers an opportunity to add value to their products and market them to retailers and consumers.

NASDA recognizes the powerful economic contributions of agricultural and other cooperatives in the United States. NASDA also recognizes the significant role and growth opportunities for new cooperative enterprises across a wide variety of sectors, and for new producer ownership models in businesses beyond the farm gate, which can positively affect agricultural and rural communities. 

NASDA supports the preservation of the Capper Volstead Act to ensure the continued ability of farmers and ranchers to form cooperatives and to negotiate for fair business practices. NASDA also strongly supports cooperatives development centers and technical assistance for new cooperative enterprises.  

The National Commission on Small Farms and the Secretary’s Advisory Committee on Small Farms both issued recommendations for USDA consideration. NASDA recognizes both of these reports and supports recommendations that will strengthen the viability of small farmers and ranchers. This includes the establishment of small farm business councils at the state level, which comprises the involvement of state departments of agriculture.


  • Economic Data; Information and Data Collection
    Last updated: February 09, 2012

    Economic Data; Information and Data Collection—Effective agricultural policy should be based on accurate and objective data that describe the structure and operation of agricultural enterprises and measure their economic health. Proper data are needed both to administer programs and measure their performance. Data requirements need to be developed in parallel with policy. There should be better cooperation among USDA agencies on survey information and collection.

    NASDA supports National Agricultural Statistics Service (NASS) initiatives to develop electronic data reporting systems. 

    NASDA also supports strong federal-state partnerships between individual state departments of agriculture and the NASS. NASDA provides a nationwide staff of interviewers who are essential to collection of meaningful agricultural statistics. NASDA strongly endorses NASS efforts to support a highly trained, competitively paid corps of part-time enumerators who collect the data that form the foundation of the NASS census and survey programs.

    NASDA strongly supports providing adequate resources for conducting censuses of agriculture and for additional research to improve response, ease data reporting, and enhance data quality. In particular, NASDA encourages expansion of cost of production data for specialty crops, which are collected as part of the annual NASS Agricultural Resources Management Survey (ARMS).

    NASDA encourages Congress to appropriate the necessary funding to expand pesticide use data collection through statistically valid survey procedures for all pesticide uses supported through the pesticide registration and the FQPA process.

    NASDA recommends that the U.S. Department of Homeland Security’s Customs and Border Protection provide individual states with data on plant, animal and food entries into states to enhance states’ ability to prevent introduction of harmful plant and animal pests and diseases.