Mid- Hudson — Capital Region Local Food Distribution Hub Network
Summarized From Hudson Valley AgriBusiness Development Corp CFA Application
Location:
Distribution facilities will be located in Sullivan and Columbia Counties. The facilities will serve businesses throughout the Hudson Valley, Capital Region, and New York City metro areas.
Lead Agency:
Hudson Valley AgriBusiness Development Corp (HVADC).
Partners:
Ginsberg’s Foods, Sullivan County IDA, American Farmland Trust Farm to Institution Program, Cornell Cooperative Extension.
Description:A major factor that now limits New York farmers from taking advantage of growing opportunities to supply consumers that are demanding local food is a distribution system that is unable to efficiently distribute smaller volume shipments from local producers. Ginsberg’s Foods, Sullivan County IDA, and HVADC are seeking CFA support to develop a network of “hyper local distribution nodes” that supplement the well-established regional food transportation and distribution infrastructure in the area. this network is being established to meet the need for less than trailer load freight service to enable transactions between farmers and wholesalers within their local areas while also opening up farmers and food processors to larger New York City, Hudson Valley, and Northeastern markets. Facilities that will function as distribution nodes will be located in Hudson, Columbia County and Sullivan County in close proximity to key transportation hubs.
The project leverages significant commitments that have been secured in advance of State funding. Both a $220,000 USDA Rural Business Enterprise Grant and $90,000 USDA Rural Business Opportunity Grant have been awarded for this project. In addition, the Sullivan County IDA has identified possible sites within Sullivan County and committed over $250,000 in matching funds for the project. Ginsberg’s Foods is investing $11.3 million in the expansion of its existing distribution facilities, which will allow them to provide 10,000 sf of space for the Hudson location. Ginsberg’s is also willing to fund staffing and operating expenses at the Hudson location and would do the same for the Sullivan County site.
Goals Met:
This project addresses a number of regional goals including improving the efficiency of the regional food distribution network, investing in infrastructure to increase the value of local food transactions, and taking advantage of opportunities to see locally grown food to downstate customers.
Impact:
The Local Distribution Hub network will serve farmers, processors, and aggregators in the Capital and Mid-Hudson Regions, New York City, and beyond. It will benefit 100+ farmers including those served by project supporters, Rondout Valley Growers, Hudson Valley Harvest, Farm to Table Co-packers, Winter Sun Farms, and Northeast Livestock Processing. By year 3 of operations, the project is expected to create 16 direct jobs at the hub facilities. Establishing two distribution facilities is expected to generate a total of 25 construction jobs and the project is projected to crate or retain a total of 60 farm jobs and 20 food processing jobs across the Mid-Hudson and Capital Regions. In addition to the significant economic benefits associated with this project, it will also mean that New York consumers will have greater access to healthy, nutritious foods grown by New York farmers.
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