FREE Value-Added Ag Seminars!

You’re invited to a FREE 2-part workshop on value-added ag taught by Clive Kaiser, an Oregon State University Extension agent with many years’ experience working with value-added producers and businesses.

Part 1 - Monday, January 7th from 6 – 8 pm:   “Tools for Building a Value-Added Ag Economy” will present a value-added model for new producers, and to learn where resources are to help you develop your value-added business.

Part 2 – Monday, February 18th from 6 – 8 pm: “Grant Writing 101” will provide information on writing a successful proposal to the USDA for value-added producer grants.

Both workshops will be held at the Columbia REA office in Dayton at 115 E. Main Street.

Class size is limited, so please call the Dayton Chamber of Commerce to reserve your seat at 509-382-4825.

Jennie’s Gems – December 2012

Signing on the Dotted Line

Jennie Dickinson photoBy Jennie Dickinson
Manager, Port of Columbia

Entrepreneurs go through a lot in preparation of starting a new business: market research, business planning, cash flow projections, etc. I’m always impressed by the courage and enthusiasm shown by businesses that are willing to make the commitment to move forward with a new idea.

The Port of Columbia has had the honor of working with many artisan food entrepreneurs over the past couple of years, and we are excited to announce that six businesses have been offered letters of commitment to locate in Blue Mountain Station’s first building, the Artisan Food Center. Now comes the scary part…making the decision to sign on the dotted line.

Today I’d like to tell you about one business that has already done just that: Gypsy Girl Granola has accepted the commitment offer and is ready to locate at the Artisan Food Center!

Gypsy Girl Granola Products

Some of the products Gypsy Girl Granola will be making at Blue Mountain Station

Gypsy Girl Granola creates gluten-free, soy-free, dairy-free vegan granola products that have been sold primarily at regional farmers markets up to this point. The granola has been produced at the Pasco Commercial Kitchen, but owner Suzi Tasker is ready to take the business to the next level and believes Blue Mountain Station will help her business grow. She plans to expand products and grow both the wholesale and retail sectors of her business. Suzi most recently sold products at the Historic Train Depot during Dayton’s Christmas Kickoff event, and her products are currently available at the Village Shoppes in downtown Dayton.

Suzi, her husband Duane, and son Noa moved to Dayton recently and are getting settled into the community. Noa started kindergarten last week, and in the typical close-knit manner of rural communities, I’ve already heard from my own great-nephew Will about his “new friend Noa” from kindergarten that he loves to play with. Gotta love small-town life!

The Port of Columbia and Dayton welcome Suzi, her family, and her business to town. Read more about Gypsy Girl Granola on her Facebook page and in an article featured in the Walla Walla Union Bulletin last weekend.

 

Side Tracks – December

Gary White Photo

The Lowly Chickpea, Not So Lowly Anymore

By Gary A. White (gary@pchelle.com)
President, P’Chelle International

The lowly chickpea has indeed gained, at least in the United States, some notable stature over the last few years. In other parts of the world the chickpea’s roots run deep, originating in the Middle East, the region of the world where chickpeas and its many uses are even today most appreciated, approximately 7,500 years ago. Chickpeas were grown, and became popular, in ancient Egypt, Greece (prior to European Union bailouts) and Rome. An underappreciated fact, and probably for good reason, is the name Cicero (as in great Roman philosopher, statesman, lawyer, orator, political theorist, consul and constitutionalist) means chickpea, stemming from an ancestor who had a companion at the end of his schnoz, which, you guessed it, looked like a chickpea.

Chickpea

I’m just a li’l chickpea.

During the 16th century, Spanish and Portuguese explorers not only shared their world view and concept of fair trade (my glass beads for your gold and silver) with the four corners of the globe, but also chickpeas. The main commercial producers today are India, Pakistan, Turkey, Ethiopia and Mexico. The United States is scratching and scraping to move up in the rankings, trying desperately to crack the top ten. By some accounts the United States ranks number eleven. Unfortunately, nobody cares about number eleven. Iraq ranks number ten, but barely. One would think, as a common courtesy, with all the recent investments made in that country, they would readily, and with a certain enthusiasm, trade places with us.

Chickpeas, also known in the U.S. as garbanzo beans, have struck a commercial nerve because of their many healthy properties. They are low in fat, high in fiber, an excellent source of zinc, folate, phosphorus, protein, copper, Vitamin A and iron. Recent studies give chickpeas high marks for lowering cholesterol. Chickpea flour has found a home in the gluten-free world where it has proven to be a viable substitute for wheat flour. But, its true claim to prosperity in the U.S. has been its willingness to be mashed and mixed with tahini, olive oil, lemon juice, salt and garlic to produce an offspring of noble character – hummus.

Today, hummus is taking center stage in the form of healthy dips and spreads. In 2010 hummus sales in the United States reached $300 million. Of course, American hummus has been Americanized with such flavors as red pepper, cilantro, artichoke, guacamole, horseradish, cucumber dill and spinach-feta. In 2006, hummus was present in 12% of American households, rising to 17% by 2009. Hummus production in the U.S. is dominated by a handful of players located on the East Coast. The most notable of these is the Sabra Dipping Company, a joint venture between PepsiCo and the Israel-based Strauss Group. The company dominates the category in the U.S. with 56% market share and 13% household penetration.

The table may be turning. Eastern Washington is the leading grower of chickpeas in the United States, ground zero for a chickpea boom. Total cultivated acres have grown from 10,000 in 2000 to 80,000 today. Washington farmers produced approximately 39,800 metric tons of chickpeas in 2011, about 48% of the U.S. crop. Washington’s chickpea crop in 2010 was valued at around $17.3 million. Obviously, Eastern Washington is a major player in the chickpea growing game.

Just as obvious is the incredible hummus opportunity for Dayton (you guessed it) located in Eastern Washington. Take a peek between the wheat fields and you might just catch a glimpse of the ever increasing chickpea fields. Take another peek and you will see 28 acres of prime real estate, located between Highway 12 and the Blue Mountain Railroad, home to Blue Mountain Station, an industrial park dedicated to processed foods and beverages that are good and healthy. Not that Sabra will be begging for mercy from the future artisan hummus processors located in Blue Mountain Station, but those processors will do their fair share in elevating the lowly chickpea to a much higher and exalted status in the world of culinary delights.

 

Blue Notes – December 2012

BMS at the Tilth Producers Conference

Dennis Miller photo
By Dennis Miller (Dennis@Artmil.com),
President/Creative Director, Artmil

Blue Mountain Station had the opportunity to man a booth at the 2012 Tilth Producers of Washington Conference, held this year at Fort Worden State Park in Port Townsend. It was a great site for the conference. I was interested to find out that “An Officer and a Gentleman” had been filmed there. It was refreshing being around so many people involved in the local foods market. Compared to last year at Tilth, there seemed to be much more awareness and interest in what we are doing at Blue Mountain Station. Many are working to build similar value-added industries in their areas, and were much impressed with our vision and progress. I think they were especially impressed that we have land and a first building going up. It puts us ahead of where most of these small farmers are.

I was able to stop by the Port Townsend Food Co-op and visit with their produce buyer. He told me that they would be very interested in stocking products from Blue Mountain Station. I got the feeling from him that many of the co-ops and whole foods markets would be interested in products like ours that can be sourced locally. Gail from GoodFood World (we talked with her last year) also showed renewed interest in Blue Mountain Station. She remembered us and wanted to find out more about us. I am hoping we can get GoodFood World to run an article about Blue Mountain Station.

Dennis at the Tilth Producers Conference.

Although most of the people there were small farmers or interns on small farms, I met many people who were working both to develop farmers and to make their commodities more profitable. As far as this goes, it seemed to me that Blue Mountain Station, specifically our vision of value-added agriculture and a food processing center, was being looked at as a model of what is possible for a new generation of farmers. I met Sarita Schaffer, director of Viva Farms in the Skagit Valley. The Viva Farms Incubator Program was launched in June 2009 to provide new farmers affordable access to education, training, and technical assistance; capital and credit; and land and markets. We appear to be gaining a reputation as innovators in small artisan food production! Programs like Viva Farms and WSU CSANR small foods programs are looking to develop sustainable and organic farmers for the future of Washington. At BMS, we are developing a new model that will localize food processing more, get these products to market, and help farmers and small food processors realize their dream of transforming agriculture and food production for the 21st century. This is a goal well worth pursuing. Sustainable agriculture, non GMO products, traceability of products for the consumer, and organics. All of these are possible within the vision of Blue Mountain Station!

I recently was in Seattle and ate at 360 Local. It reminded me of an episode of Portlandia. On a chalk board, they had written where in Washington their chicken and beef had been sourced. We are going to be able to provide similar traceability for those using BMS products. It is exciting to be a part of this!

Artisan Food Center & Landscaping

Here’s the latest architect’s rendering of the Artisan Food Center and Landscaping at Blue Mountain Station (click image for full view):

 

Jennie’s Gems, October 2012

Landscaping is Just the Beginning!

Jennie Dickinson photoBy Jennie Dickinson
Manager, Port of Columbia

Progress is visible at the Blue Mountain Station site as preliminary landscaping is currently under construction. Native plants and grasses, evergreens, boulders, and river rock will wind their way through the landscape when the project is complete. Landmark Landscape & Design, LLC, of Kennewick, WA, was the lowest qualified bidder and is constructing the landscape project. Check out the Blue Mountain Station Facebook page at https://www.facebook.com/bluemountainstation to see pictures of the project.

Meanwhile, the Port of Columbia office in Dayton has been a flurry of activity as many artisan food processors have been meeting with Port staff and architect to discuss locating in the first building. Many meetings have been held to talk about the layout of the processing spaces, delivery needs, waste stream production, and the possibility of shared facilities. We have an exciting mix of industries we’re working with that will make this first building a great place to work and visit. We still have a couple of spaces for lease, so don’t wait to contact us if you’re interested. The building is filling up fast!

Interest in the Commercial Kitchen is strong as well, and several community members have expressed interest in the formation of a Food Co-op or Food Hub that could operate in the small retail area of the building adjacent to the kitchen. The Port is interested in hearing from others that would like to participate in a discussion about this idea. Contact Jennie at 509-382-2577 or jennie@portofcolumbia.org .

Finally, the series of business trainings I mentioned in an earlier newsletter are beginning this month. The first class, which is “Starting a Business in Washington,” will be held Wednesday, October 17th, and the second class, “Shoe Box Accounting,” will be held Thursday, October 25th. Visit the Dayton Chamber of Commerce website at www.historicdayton.com for details on times, location, etc. Classes will continue through the spring of 2013. Two classes specific to value-added agriculture are scheduled for January. We’ll let you know the details in the next newsletter!

 

Side Tracks, October 2012

Gary White Photo

Thumbing Through the Pages

By Gary A. White (gary@pchelle.com)
President, P’Chelle International

There are a number of signs indicating the arrival of autumn. First of all is the calendar. Hard to argue with that one. Then, of course, in my neck of the woods, there are the flocks of geese flying south (wish I could join them), frost on the pumpkin (in my case, on the still surviving dandelions), football (now we’re talking) and time to thumb through a plethora on trade magazines to see what is going on in the food and beverage world.

Obesity seems to be a “large” subject, maybe too large. Those of us that have the privilege of living in the United States are blessed with an abundance of delicious, available and inexpensive food. Maybe we are too blessed. A recent article in Food Business News (September, 2012) projects that at current trajectories, by 2030, 13 states may have adult obesity rates above 60%, 39 states may have rates above 50% and all 50 states may have rates above 44%. As a comparison, in 2011 the rate of adult obesity exceeded 25% in 39 states. In 1991 no state had an obesity rate of more than 20%. In 1980, the national average was 15%. Looking at the problem in terms of medical costs, by 2030 those costs associated with treating preventable obesity-related diseases are estimated to increase by $48 billion to $66 billion per year in the United States. The loss in economic productivity may be between $390 billion and $580 billion. It sounds like a few fewer fries and a few more carrot sticks might be a good idea.

On a lighter note, Prepared Foods (September, 2012) reports that Pepsi has introduced a new beverage flavor in Japan…..Salty Watermelon, a carbonated beverage with a slight taste of salt and watermelon flavor. And guess what…….no seeds! The launch of Salty Watermelon follows the successful launch of Ice Cucumber. Hmmm, I see a trend. Still in the Land of the Rising Sun, Takara Shuzo’s TaKaRa Beauty Sparkling Peach Flavoured Alcoholic Drink is a low-alcohol beverage with collagen that targets women in their 20s and 30s. If they would introduce a similar product targeted to men slightly older (ok, a lot older), I might be coerced to visit Japan.

Natural Foods Merchandiser (October, 2012) ponders the future of organic. Some interesting facts:

  • Organic sales topped $31 billion in 2011
  • Because of high demand and limited supply, retailers are forced to import organic products
  • A recent Stanford study claiming there is no nutritional edge in organic food failed to realize that organic means more about what’s not on the food – pesticides – than what’s in it
  • Organic yield of the U.S. soybean crop in 2008 amounted to 0.09%
  • U.S. organic retail food sales accounted for 4% of the total
  • Organic fruits, vegetables and grains contain 29.3% more magnesium than conventional products
  • Because of organic techniques, 7,000 pounds of carbon dioxide emissions were eliminated

Another sure sign of autumn is the annual PLMA (Private Label Manufacturers Association) Private Label Trade Show, November 11 – 13, 2012 in Chicago. I will be walking the show on Monday, November 12th and Tuesday, November 13th looking for co-packers interested in a West Coast location, specifically in Blue Mountain Station (www.bluemountainstation.com).

If interested in getting together, please contact me at 509-539-3575 or gary@pchelle.com.

Blue Notes – October 2012

The Latest Developments.

Dennis Miller photo
By Dennis Miller (Dennis@Artmil.com),
President/Creative Director, Artmil

There has been much activity around Blue Mountain Station in the last month. If you’ve been to our Facebook site, you can see that the landscaping is in the process of being completed. This newsletter has a landscape drawing of the site which locates the first building, “The Artisan Food Center.” Construction on that building, which will house a number of small food processors and a commercial kitchen, is set to begin early next year.

When talking with possible tenants for Blue Mountain Station, a common question is, “Are any processors located in Blue Mountain Station?” To this point the answer has been, “Not yet.” All of that is about to change, as there are many tenants lining up to be a part of “The Artisan Food Center.” Space is limited in this first building and it is filling up quickly. Once it’s built, we are hoping that it will already be full and that we’ll be looking to put up another. If you are interested but have been waiting to see if this project is really going to make it, contact us now while there is still room available.

A commercial kitchen and a small store to sell locally grown and processed food has been part of the planning for this first building. Interest in forming a Food Co-op or Food Hub at Blue Mountain Station has been discussed. With this in mind, some of us attended the 2012 “Farm to Table” event in Richland, sponsored by the Richland Food Hub. The keynote speakers were Sheri & Daniel Salatin of Polyface Farm. Their farm is featured in Michael Pollan’s book, The Omnivore’s Dilemma, and services more than 3,000 families, 10 retail outlets, and 50 restaurants through on-farm sales and metropolitan buying clubs. This is a great example of value-added agriculture—farmers increasing revenue on what they are already producing.

Our hope is that Dayton can join with the Richland Food Hub and the local foods movement in this area. Blue Mountain Station’s involvement in the growing local foods movement is strategically important for the community of Dayton and the farm community surrounding it. There is a large market in our area for locally grown and processed food, and we plan to help food processors located in BMS to market to our region.

Tilth Producers of Washington’s 38th Annual Conference is going to be held November 9th–11th at Fort Worden State Park in Port Townsend, Washington. Blue Mountain Station will have a booth at the conference and will continue networking with this group of Washington farmers and processors. If you are at the conference, please stop by our booth and we’ll talk about Blue Mountain Station and how we can work together.

If you have any questions about the project and how you can be a part of this agriculture and tourism center being built in Dayton Washington, please give me a call at 509-551-1913 or email me at dennis@artmil.com.

 

Jennie’s Gems – August 2012

Building #1 and Counting

Jennie Dickinson photoBy Jennie Dickinson
Manager, Port of Columbia

Design of the first building at Blue Mountain Station is in full swing. An application for site plan approval will be submitted to the county planning department in early September, and a building permit will be applied for by the end of the calendar year.

The railroad theme of the food park will be evident in the look of the first building, which is being constructed to Leadership in Energy and Environmental Design (LEED) standards. Here are some details on the building so far:

  • The building is currently about 7,000 square feet. It may grow in size as the final budget is worked out. The building is designed for easy future expansion to the west.
  • Solar panels will be located on the roof, and a rainwater collection system is being explored.
  • A large overhanging porch will surround three sides of the building, and the profile will be reminiscent of a railroad depot.
  • Planter boxes with an efficient watering system will be located in the front of the building to grow herbs and other food items for use by tenants.
  • Public restroom will be available during business hours.
  • An 1,100 square foot rental kitchen is included in the design. This certified kitchen can be used by tenants in the building; by small food processors who want to use a certified kitchen for limited processing; caterers; residents of the region interested in testing food products; and more!
  • 1,100 square feet is already committed for lease by processing tenants.
  • About 4,000 square feet is  still available for lease.
  • A small accessory use retail area is included in the design. Products made on site and in the rental kitchen and grown on the site can be sold here. We are interested in hearing other ideas for this space. More local foods? Natural foods? Bulk foods? What does the community want to see here?

LEED certification is obtained by “earning” points through building standards, building location and orientation, amenities, efficiencies, etc., and one of the most challenging, yet enjoyable, aspects of attempting to earn points is through the reuse of existing materials. I suspect I’ll be on a large-scale scavenger hunt over the next few weeks!

The port has held design meetings with two tenants that have already committed to locating in our first building. One of the benefits of committing early is the opportunity to design your own business space. These tenants have met with the building architect multiple times and have given us very important feedback. If you are interested in locating in the building and have not yet contacted me, please do so ASAP so you can be included in the process. I can be reached at 509-382-2577 or jennie@portofcolumbia.org .

The flour mill concept is still being fleshed out. Research into size, scale, volume, and demand continues. I am grateful to our executive committee for their continued work and enthusiasm on Blue Mountain Station. Big ideas are sometimes scary, but I have a strong support group in this committee that I appreciate very much.

Meanwhile, the Request for Quotes for preliminary landscaping at the site was advertised in regional newspapers over the past couple of weeks. Bids are due September 5th. If you know a landscape firm interested in submitting a price quote, have them visit the port’s website at www.portofcolumbia.org for a description of the project and instructions on how to participate in the bidding process.

 

Side Tracks – August 2012

Gary White Photo

Creating A New Business Model

By Gary A. White (gary@pchelle.com)
President, P’Chelle International

In this article I am going to explore two proven business concepts and a third that combines those concepts in creating a new and exciting business model.

Industrial Clusters

Since Michael E. Porter published his classic book, The Competitive Advantage of Nations in 1990 the concept of clusters has become the subject of much debate within the business and economic development communities. Porter defines clusters as groups of interconnected firms, suppliers, related industries, and institutions that arise in particular locations. Porter uses the carpet producers in Dalton, Georgia; mobile home producers in Elkhart, Indiana and minicomputer companies in Boston, Massachusetts as examples. These are all Industrial Clusters focused on manufacturing. Clusters evolve. Detroit, Michigan was unquestionably the automotive cluster of the known world. Today, much of that industry has migrated to clusters in the Southeastern United States and Mexico. Napa Valley, California is the home to a significant wine cluster, but is being attacked by “guerrilla clusters” in the Willamette Valley in Oregon and the Walla Walla Valley in Washington.

Industrial Tourism

Another successful economic development tool is Industrial Tourism. Seeing products being manufactured has proven to be a successful recreational activity as well as an effective brand and income development tool for participating manufacturers. Companies that have fine tuned Industrial Tourism include: Bob’s Red Mill in Milwaukee, Oregon, Jelly Belly Candy Company in Fairfield, California and Pleasant Prairie, Wisconsin, Liberty Orchards (home of Aplets and Cotlets) in Cashmere, Washington, and the Tillamook Cheese Factory of Tillamook, Oregon. Visit their websites. Better yet, visit their facilities and learn firsthand what a powerful tool Industrial Tourism can be in generating sales and building a brand.

Industrial Theme Parks

No, I am not talking about Disneyland, Knott’s Berry Farm or Dollywood, although there are similarities. The idea behind an Industrial Theme Park is to locate an Industrial Cluster in one physical location incorporating Industrial Tourism to build the brands of each of the individual tenants occupying the park. There are similarities to shopping centers (an anchor tenant is helpful, traffic flows must be considered, data capture for follow-up marketing is mandatory) and franchises (in business for yourself, but not by yourself). If one manufacturing company, like those listed above, can create a successful Industrial Tourism business, think of the unlimited possibilities of multiplying that one success story by 15 to 20 companies, all in the same industry, all located in the same Industrial Theme Park. If you have even a basic understanding of marketing, you quickly realize the phenomenal opportunity such a facility provides participating companies, especially those new-to-market.

The best, and only, example of an Industrial Theme Park I am aware of is Blue Mountain Station, Dayton, Washington (www.bluemountainstation.com). The theme of Blue Mountain Station is “natural and organic food and beverage products”. Incredible progress is being made as people realize Blue Mountain Station’s potential and want to “climb on board”. Blueprints are currently being developed for the first building, to be built in late Spring or early Summer 2013. Several tenants have made commitments. Creating a new business model is very exciting. Working with creative entrepreneurs in making their dreams come true by implementing that new business model is even more exciting! Contact me at 509-539-3575 or gary@pchelle.com if you would like to learn more about Blue Mountain Station or would just like to “kick around” some of the topics mentioned in this article.