Ag Ventures Alliance promotes value-added projects

Farmers and agribusiness people in north central Iowa are addressing the need for new agriculture-related businesses and market opportunities. They have formed Ag Ventures Alliance, a development organization with a specific mission: to start value-added businesses and spin them off as separate legal entities.

Don Hofstrand, an Iowa State University Extension farm management field specialist, is an active member of the Alliance and has been a part of the effort since the beginning. "This is not a typical thing for Extension to be involved with," he commented. "We have gone beyond the advisory capacity and become much more involved with the day-to-day operation of the organization."

Started a little more than two years ago, Ag Ventures Alliance now boasts of approximately 900 members -- all people interested in facilitating the development of value-added business ventures in Iowa. In terms of membership, more than half of Iowa's counties are represented and the hope is to become a statewide organization.

Ag Ventures Alliance held informational meetings, like this one in Clear Lake, so producers looking for ways to add value to their crops could learn about the group's projects.

"Our goal is to get Iowa farmers more vertically-integrated and involved in ownership farther down the line," said Al McGregor, a Charles City farmer and member of both the Ag Ventures Alliance executive committee and board of directors. "We see this organization as a source for ideas, input, leadership and possibly even money for new value-added projects and businesses throughout Iowa."

Already, the Alliance can point to two major projects: the Golden Oval Eggs facility in Thompson and the Midwest Grain Processors ethanol plant in Lakota. In addition, work currently is under way on some soybean-related projects, as well as a dairy operation in west central Iowa.

Set up as a cooperative, Ag Ventures Alliance is a farmer-led organization. Members pay a one-time fee of $250 to join. Similar entities exist in other states, but this type of organization is rather unique in the Midwest, according to Hofstrand.

"The on-going advantage of being a member is that you will get an opportunity to participate in some things you might not otherwise get to," McGregor said. "Plus, it offers a great way for small farmers to get their foot in the door on some promising value-added projects around the state."

For more information, visit the Alliance's web site (http://www.agventuresalliance.com).

More Extension Connection stories

* Many voices make a difference in Ottumwa

* Job shop personnel want specific education
* Tobacco dollars are working in Iowa

* Manufacturing's ISO 9000 and agriculture meet in Iowa

* Iowa State University Learning Connection opens in Des Moines

* Me and My Dad: Web site encourages dads and kids to bond
* Grant to improve mental health services

* Did you know Extension did that?

...and justice for all. The Iowa Cooperative Extension Service's programs and policies are consistent with pertinent federal and state laws and regulations on nondiscrimination regarding race, color, national origin, religion, sex, age, and disability.

• Visit the ISU Extension homepage
• Send a message:

Stanley R. Johnson, Vice Provost for ISU Extension, vpforext@iastate.edu

Mark Settle, Managing Editor, msettle@iastate.edu

• Questions or comments about this site? Contact Laura Sternweis, Editor, lsternwe@iastate.edu
• Last update: March 27, 2001