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Value-added agriculture

A concept that has gained currency in the small farm policy debate, in response to the concern that the farm value of the consumer food dollar continues to decrease (which, some small farm advocates contend, is due to the excessive profit-taking by processors and retailers). Value added agriculture might be any means to capture a larger share of the consumer food dollar by farmers. Examples include direct marketing; farmer ownership of processing facilities; and producing farm products with a higher intrinsic value (such as identity-preserved grains, organic produce, free-range chickens; etc.), for which buyers are willing to pay a higher price than for more traditional farm commodities.

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