This project assessed marketing risk and
financial risk for MN vegetable producers who were attempting to diversify
their marketing mix. Ryan Pesch from University of Minnesota Extension
conducted one-on-one interviews with 17 vegetable farmers to collect their
financial data and develop financial benchmark reports for market vegetable farms
in Minnesota. Vegetable farm financial data has been historically difficult to
obtain in Minnesota because the farms tend to be small and part-time. These benchmarks
are a valuable contribution to improved vegetable farm financial data in
Minnesota.
This project took place within the context
of a larger project to develop and test a farmers’ market-based model for
aggregated sales of farmers’ products. That project ended 2020 with 7 markets
involved. Farmer financial data collected in this project as well as farmers’
market data collected from the larger project will inform other markets and
vendors considering similar enterprises. The gross margin calculator we developed
will enable farmers to test scenarios to increase their margins from farmers’ market
and hub participation. More details about the performance of hubs and vendors
is available in “Farmers’ Market Hubs Sales Summary, 2018-2020,” which is available
for download on the farmers’ market hub project web page: https://www.farmersmarkethub.org/what-we-learned/