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Sustainable agriculture and food
systems research and outreach from
the University of WisconsinAugust 2013
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On-going food systems projects Production innovation
Grass-based animal husbandry
Organic production research
New cropshazelnuts, aronia
Terroir
Driftless region food and farming
Chicago as a market for regional foodraw milk cheese, perennial fruits andveggies, wine, culinary tourism
Great Lakes Farm-to-School Chicago school district support
Link to other school districts in the region and nationally
Harvest Medley project
Regional food transportation Wisconsin Food Hub
Food systems planning
Supply chain logistics and transportation infrastructure
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The 4-state Driftless region
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Networking Across the Supply Chain
February 20-21, 2013
La Crosse, Wisconsin
Transportation Services DivisionAgricultural Marketing Service
U.S. Department of Agriculture
This Project is supported by Cooperative Agreement No. 12-25-
A-5639 between the Agricultural Marketing Service/USDA and
the Center for Integrated Agriculture at the University of
Wisconsin-Madison.
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Market outlook
Kymm Mutch, Regional Learning Lab, School FoodFOCUS, Milwaukee
Don Stanwick, Chartwells-Thompson Hospitality,
Compass Group, Chicago
Brad Smith, Peoples Coop, LaCrosse
Brandon Scholz, Wisconsin Grocers Association
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Connecting supply and demand
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Supply perspective
6/2/2014Footer Text 11
Wisconsin Meadows Grass-fed Beef
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Participant feedback n=42
2/3 made more than 5 new connections 70% made new contacts useful to their businesses
88% made connections useful for local foods development
79% learned useful innovations for transportation and
logistics
92% were interested in attending similar events
Comments:
Many respondents interested in more networking time Key issues were finding existing capacity, software for regional
routes, green transportation options, multi-modal
opportunities
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Definition of consumer interest
Consumers are interested in: Local
Sustainable
Authentic
Innovative Organic
Healthy
Safe
Proximity is a proxy for some or all of these attributes Consumers first notice local fruits and vegetables as an
indicator of store quality
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Wholesale market differentiation
Which products and price points are appropriate forwhich markets?
As the supply chain lengthens, it is a challenge to keep the
farm story firmly attached to the product.
There is a tension between consumer values and supply
chain efficiencies.
Available software for warehousing and logistics proving
inadequate for regional distribution efforts.
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Wholesale Market Segmentation
wholesale buyer type
Red = institutional market Green = grocery Blue = restaurant
Meal serviceMegabox
Fast food
Private cafeteria
Gourmet retail
White table cloth restaurants
Grow your own
reso
urces
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Maintaining product identity throughout longer
supply chains
QR codes
Knowledgeable product representatives
Jepsen Family, Grass Run Farms
Rufus Hauke, Keewaydin Organics
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Supply chain scale and ownership
Independently-owned supply chain businesses betterpositioned to develop logistical relationships with regional
producers than are vertically integrated companies.
Each wholesale market segment has different scalerequirements.
Impact of trucking regulations on metro marketsHours
of Service.
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First and last mile issues
Aggregation at first mile Product aggregation must be both at sufficient quantities and
meet quality standards to survive wholesaling.
Easiest to start with products that are already regional
commodities, then build capacity for other products.
Dis-aggregation at last mile
Key to improve urban congestion
Pushback from independents on establishing distribution hubs Multi-model innovations
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Logistics as a lynch pin for regional
infrastructure development
Product movement through the supply chain is dependenton good business relations.
Can I trust you to do as you said?
Are you loyal?
Will you give me good information?
Good business relationships supersede other systemefficiencies.
Regional supply chains require more complexrelationships to function than do mega-chains.
Opportunities to develop regional relationships arelacking.
Logistics drive infrastructure needs.
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Logistical challenges in regions with high
distributional capital
Twin Cities have a strong distributional tie to the Driftlessregion, while Chicagoland does not.
Chicagoland is one of four national logistical hubs for
grocery and highly reliant on existing production regionsand supply chains.
As food production varies in response to extreme
weather, larger distributional hubs are most vulnerable todisruption.
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Implications
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MWPVL International. http://www.mwpvl.com/html/grocery_distribution_network.html
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Power dynamic City dwellers are the market.
Rural landscapes and communities produce food.
Is the relationship equitable?
Kenneth Lynch (2005) Introduction & Chapter One: Understanding the rural-urban interface from Rural-Urban
Interaction in the Developing World Richard Blaustein (2008)
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