Transforming Food Systems with New Supply Chain Infrastructure

March 31, 2021

by Brian Snyder – Executive Director, InFACT (snyder.1534@osu.edu)

Last October several of our affiliated faculty took on the task of writing a summary of lessons learned in the era of COVID-19 regarding food supply chains, therein proposing some directions for future policy, research and action. InFACT's challenge for the future will be to support the necessary research, as well as to take action where needed to enhance supply chains in ways that bring more fairness and resilience to the food system in Ohio and beyond. As part of our overall strategic plan, and in combination with our research agenda and the recently announced initiative to open a food systems clinic, InFACT is now gearing up to fulfill the dream of developing innovative financing strategies for new and redeveloped food system infrastructure that will be needed to serve the growing demand for more regionally sourced and sustainably grown food. Reimagined and rejuvenated supply chain infrastructure will be as important to increasing diversified agriculture in Ohio as to supporting health-conscious consumers regardless of socioeconomic status.

Those of us bringing up the backend of the Baby Boom can still remember a time in our country when local agricultural infrastructure could be taken for granted and was not discussed as part of a “food system.” Coming from a small-scale family hog farm in Indiana, I can remember having several options for processing animals within an hour's drive—even within 15 or 20 minutes. There were as many options for selling grain and buying livestock feed within that same perimeter, and areas with sufficient dairy farms could depend on a local creamery as well. Roadside stands and farms featuring u-pick options for fruit, vegetables and berries were ubiquitous. We never imagined these features of the rural landscape, often arrayed near urban centers for obvious reasons, could just disappear, but that's exactly what happened in most places over the past half-century.

It is often said in meetings of farmers and agricultural advocates that “we can't turn the clock back” and do things the way they used to be done. That's mostly true, even if there are some examples to the contrary. Those who live in communities with many Amish farms still understand the immediate value of such infrastructure, and sometimes are suspicious of the economic benefits it seems to bring to those practitioners. But for the most part, the new infrastructure that will attract private investment, stimulate learning for students, and provide fertile opportunities for research will need to be quite different than in the past. At InFACT, we are already working with the Council for Development Finance Agencies (CDFA) to imagine this new model and are beyond the halfway point of our yearlong collaborative study with them. We also are talking with other colleges and universities in Ohio to discuss the possibility of a collaborative effort to build, not only the necessary infrastructure for a “food hub” style project, but also the collective market base to ensure its success. As big as Ohio State is, it is not big enough to do this on our own, and working with other institutions will help achieve the necessary critical mass while decreasing downside risk of a new systemic approach.

Going back to the faculty-driven statement from last fall, there were seven specific recommendations offered. Here are the three that are key to InFACT's infrastructure development plans (footnotes available in the original document):

  • Promote and fund diverse, entrepreneurial food-system enterprises. As food industry consolidation grows and supply chains span national boundaries, supply chain risk proliferates. Promoting more diverse scales of production and enabling farm entrepreneurship in marginalized communities to build local wealth and agency, as well as diverse food sources, can enhance food system resilience.
  • Incent diversity and flexibility around processing and distribution pinch points. Consolidation has created centralized bottlenecks between producers and consumers, increasing supply chain vulnerability and inflexibility. In Ohio, the meat processing sector lacks a diversified infrastructure. The identification of locations for regional food preservation, processing and distribution infrastructure, in addition to options for incentives and development financing of that infrastructure, can reduce risk and increase resiliency.11,12
  • Convene non-profit organizations focused on food access with private sector players; incent cross-sector collaboration.13 Firm nonprofit collaborations14 can successfully establish supply chains for sustainable agricultural products15 and create value for low-income populations.16 Some nonprofits focus on food supply chain resilience. If included as an integral part of the supply chain, nonprofits can utilize their knowledge, capabilities, and network to facilitate distribution to marginalized communities, mobilize local workforce, develop more resilient supply chain practices, and train suppliers and distributors in those practices.

While food supply chains, though severely bent, did not break over the past year, it is clear that much improvement can occur, and that some of the most vulnerable members of our society are the ones who stand to gain the most from our efforts. It would also provide a boon to the future of well-managed farmland and success of agricultural pursuits throughout Ohio. This will not only require a clear plan, which we are in the process of developing, but also the stubbornness to remain focused on such a plan over the long term. Perhaps the one most important thing The Ohio State University can contribute to food systems in Ohio and elsewhere is the necessary support and perseverance to transform supply chains for the betterment of all. That is what InFACT was built to do, and where we are now headed with a clear focus and full head of steam.