About Amy Stratton
 Amy Stratton is the Institute for Agriculture and Trade Policy's Rural Communities Organizer. She works to find viable solutions to economic and environmental challenges rural communities face. "In the Field" is Amy's blog from her travels throughout the Midwest.
For more, visit IATP Rural Communities.
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The other day, I met Jim. He was a participant in a focus group in Madelia, Minnesota on the Madelia Model, and shared his vision for the community he has called home through the decades. Last month I described how the Madelia Model, is a new concept that creates a competitive advantage for rural communities through eco-industrial businesses and rewewable energy.
Back in the 1960's and early 70's, Jim owned one of three hardware stores in Madelia. He sold tools to area farmers, and had the market cornered on household appliances. His store sold and serviced appliances, a niche that no one else was filling at the time. Sadly, Jim watched as farmers were being forced off their farms during this era. His customers, friends and neighbors could no longer pay their bills, and left Jim with store debt in the hundreds of thousands.
One day in the 1970's, Jim changed careers, as he puts it. He just closed the doors to the hardware store, never to reopen. I don't think Jim's story is unique; it happened all across rural areas as small family farmers left, so did the businesses that supported them.
Today, in Madelia you can find one hardware store, down the block to where Jim's store once held tools and appliances, and the shelves in Jim's old hardware store are now stuffed with trinkets and dollar store deals. Madelia has not closed up, but it has changed. And now, people like Jim are looking to the future, and planning for a successful, sustainable community. The citizens of Madelia are participating in focus groups where they create community principles. These principles will be the voice of the community and will be used to attract new businesses and industries that fulfill the community's vision.
It seems a lot of people are interested in making biodiesel for personal vehicle use, farm use and at the commerical level. Well, here at IATP, we too couldn't wait to try it. Getting started involved lots of information gathering, and some information overload. There's just so many options to choose from. So when Sundays Energy offered their assistance, we clamored on board.
 Taking their advice, we decided to fashion our own biodiesel processor. The project began at Sundays Energy office on an 80 degree day (yes, it's Minnesota and sometimes it's 80 and then snowing all in the same week,or even the same day) where we all pitched in to retrofit the equipment.
When  we got as far as we could that day, Kai Curry gave us the biodiesel making process overview. We weren't quite ready to begin brewing, and some of the crew met last week to connect the parts at our office. So now, the equipment is ready and in position. If you'd like to join us in the brewing process, Sundays Energy is hosting a training session at our office in Minneapolis on April 21 and 22. You can register here.
"Immigrants far outpaced native-born American's in entrepreneurial activity last year..." reported the Kauffman Foundation. Immigrants are revitalizing rural main streets, providing cultural goods and services and improving their quality of life. But for some, it is not easy to secure business financing. And those who follow Islamic Law must not collect nor pay interest.
Fortunately, the City of Minnepolis recognized the need for small interest-free business loans. Working with organizations such as the African Development Center, who originally started the interest-free finanicing program, the city started a new project to meet that need. A Star Tribune article Small businesses to get help from new loan plan tells more about the program for business financing.
In order to avoid interest on business loans, rural Somali immigrant business owners have had to raise money locally from their community members, and others have created businesses with so many business partners providing funds that decisions could not be made effectively. I imagine a Midwest regional (or larger-scale) interest-free loan program, similar to that of the City of Minneapolis and the African Development Center, could help many immigrants in our rural communities develop their businesses and revitalize rural main streets.
Futher Information on micro lending
Microlending's macro effect
More about micro lending
Further information on Islamic banking
Not long ago, a New York Times article caught my attention. It was about Kiva, an organization that connects lenders with entrepreneurs in the developing world. From their web site, it appears many entreprenuers work in agriculture or agriculture related businesses.
Basically, you visit Kiva's web site and view the profiles of people in developing countries who are seeking financing for their business. Then, you can become a lender yourself by providing funds to a specific entrepreneur. Once the loan is paid back, you decide if you wish to help another person, or withdraw. Oh, and did I mention that you get project updates from the entrepreneur posted at Kiva's web site too?
While not specifically targeted to rural communities, it's a unique economic tool for all people in developing countries to reach economic Independence.
These days everyone is looking for a third crop; another option to add to a corn and soybean rotation. In Wisconsin, growers are adding winter wheat to their rotation. This article, Wisconsin/Winter Wheat Making Big Gains in Dairyland, outlines how producers are incorporting this crop into their farming operations. It adds economic value and improves soil! Sounds like another great option for sustainable crop production.
I forewarned you that I would have more to say about Willmar. The citizens of Willmar have spent a great deal of time and resources planning for their future, and then setting their plan to action. Willmar Area Multicultural Marketplace (WAMM) is one of those plans for success.
Kathy Schwantes, Assistant Director of the Kandiyohi County and City of Willmar Economic Development Commission, excitedly explained the WAMM project to me at her office downtown. A WAMM Committee formed in 2003 to develop this concept into a reality. The Mid-Minnesota Development Commission conducted a survey of residents for WAMM and found the following.
- 90% of respondents would frequent a multicultural marketplace
- 43.5% of respondents would like to open a business in Willmar
- 51.3% of respondents would like to start a business in a multicultural marketplace
Based on these survey results, the success of the Farmer's Market, which is entering its third year of operation in 2007, and support from the community the WAMM Committee moved forward with the project. Several volunteers, Kandiyohi County and City of Willmar Economic Development, Willmar Design Center, West Central Integration Collaborative and other organizations are now working to secure a building and financing.
WAMM, when fully implemented, will include about 25 businesses housed in a downtown building that is owned and governed by a board of WAMM business owners. The project keeps dollars local, attracts customers and tourists, creates employment opportunities, diversifies the local economy, provides an outlet for locally produced ethnic products and connects the diverse populations in Willmar. Kathy even thought this could be a place for high school Spanish classes to come and visit on a field trip.
WAMM will be the first of its kind in a rural area. I can't wait to start shopping there!
More about the Willmar Area Multicultural Marketplace:
Market project enlists minority support
Multicultural market: Study finds if could be successful in Willmar
If the first cup of fair trade coffee didn't open your eyes, the economic analysis by Ken Meter at the Crossroads Resource Center sure did. Farmers in 12 West Central Minnesota Counties lose $153 million in production costs annually, while West Central consumers are purchasing over $250 million of food from outside the region, according to Meter. He was the first of many excellent presenters at Congressman Collin Peterson's "The Home Grown Economy" conference at Morris, Minnesota.
Woodbury County, Iowa, like the West Central Minnesota region, also sends money out of the region for food purchases, while their farmers take annual losses. The county Economic Development Director Rob Marquesse, is working with the community to keep the dollars local. During his presentation he explained their policies that contribute to building the local economy. They include a local food purchase policy that makes it mandatory for the local government to purchase food from local farmers and a tax rebate policy for land that is converted to organic production.
Dr. Robert King, of the University of Minnesota Department of Applied Economics, shared a study that he, and many partnering universities, are conducting to learn about consumer's attitude toward local foods. Early results show the following.
- Quality and Freshness is the top reason people buy local
- Local is defined differently by people ranging from narrow to broad
- Web sites are a great source of information for young people
- Signs at the market are also a great way to provide information about local food
Fred Kirschenmann, Distinguished Fellow at the Leopold Center for Sustainable Agriculture, closed the day with his presentation on market opportunities. Consumers want to make food purchases that connect with their values. Farmers have an opportunity to differentate themselves by selling not only quality food products, but to add value through trust and personal relationships.
Sandwiched in between the above presentations were panels with farmers, local food cooperatives, numerous organization exhibits and a delicious local food lunch. The day concluded with local wine and cheese sampling.
Here's more information on local food from organizations represented at the conference.
North Central SARE
Pride of the Prairie
Minnesota Institute for Sustainable Agriculture
Regional Sustainable Development Partnerships
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