Source: ATLANTIC CORPORATION submitted to
ASSURING SMALL DAIRY FARM SUSTAINABILITY THROUGH DATA-DRIVEN EDUCATION AND TECHNICAL ASSISTANCE PROGRAMS
Sponsoring Institution
National Institute of Food and Agriculture
Project Status
ACTIVE
Funding Source
Reporting Frequency
Annual
Accession No.
1029665
Grant No.
2023-67023-38983
Cumulative Award Amt.
$550,000.00
Proposal No.
2022-10365
Multistate No.
(N/A)
Project Start Date
Jun 1, 2023
Project End Date
Apr 30, 2026
Grant Year
2023
Program Code
[A1601]- Agriculture Economics and Rural Communities: Small and Medium-Sized Farms
Project Director
Bernier, R.
Recipient Organization
ATLANTIC CORPORATION
44 MAIN ST STE 205
WATERVILLE,ME 04901
Performing Department
(N/A)
Non Technical Summary
Across the U.S., small dairy farms are failing at staggering rates. Current education and extension/outreach programs are focused on large producers and processors, leaving small farmers without tools to help them to adjust their operations, product offerings, and market strategies to capitalize on today's markets. To support creation of new educational and technical assistance programs, the Atlantic Corporation (Atlantic) will conduct a comprehensive B2B survey of small dairy farms, pair the results with other available data, and create an Interactive Data Dashboard capturing farm demographics, how they're operating, whether they're profitable, and their future plans. Analyzed regionally, these data will uncover success factors and help develop strategies that can be incorporated into tailored programming.This application is submitted in response to Program Area 6a Small and Medium-Sized Farms and directly addresses several of the Program Priorities. This project will result in findings on which to base development of education and extension/outreach tailored to small dairy farms, who have been underserved since the recent wave of industry consolidation (Priority Focus b). The survey will capture the impacts of COVID-19 and identify new markets and changing demand (Priority Focus c). The project's resulting tools, including the Interactive Data Dashboard, will assist small dairy farmers in making decisions on production contracts (Priority Focus i). Finally, this project seeks to understand the specific factors that prevent small dairy farms from remaining profitable and sustainable, including social/societal factors such as farm family dynamics and succession (Priority Focus m).
Animal Health Component
(N/A)
Research Effort Categories
Basic
50%
Applied
(N/A)
Developmental
50%
Classification

Knowledge Area (KA)Subject of Investigation (SOI)Field of Science (FOS)Percent
6017310301070%
9017310209030%
Goals / Objectives
U.S. small and medium-sized dairy farms (small farms) are closing at distressing rates due to many challenges, including major market consolidation (supply and distribution), rising inputs (pricing/inflation particularly in the labor sector and physical infrastructure), and shifting consumer trends driven by horizontal integration, pandemic-related behaviors, and major product differentiation/branding (e.g., Regenerative and Real Organic). As the economic backbone of many rural communities, these closures threaten the socioeconomic fabric of rural life and industry consolidation leaves the U.S. supply chain vulnerable to disruption. Although some trends present market opportunities for the small farmer, they can be unpredictable and difficult to analyze and farmers are unsure how to pivot operations to make the most of the opportunity.To better understand this volatile and shifting dairy landscape and help small farms capitalize on new markets, the Atlantic Corporation (Atlantic) proposes to create tools, including an Interactive Data Dashboard and Findings Report, that can be used by small farmers and other stakeholders to identify and develop curricula for education and extension/outreach programs tailored to small dairy farms. These resources will characterize the current state of the industry by leveraging existing research and collecting current data via a comprehensive survey of small dairy farms. The tools, widely shared and publicly available online, will be useful to many stakeholders, including within the Cooperative Extension and broader agricultural education programming communities.Through this project, Atlantic will uncover significant opportunities to better understand and support the long-term sustainability of small dairy farms in the U.S. Atlantic's extensive experience with the dairy industry, (Subsection 2.c) and participation of the National Small-Scale Dairy Development Committee (NSDDC) as an advisory council throughout the project (Subsection 2.b), will ensure that the survey methodology and data analysis truly reflects the current state of small dairy farms. NSDDC's diverse representation, together with Atlantic's broad network of agriculture professionals, will make certain that this project's findings are incorporated into effective educational and technical assistance programs that support small dairy farmers.
Project Methods
The proposed application follows a robust implementation methodology across ten key tasks listed below:Survey design and vettingSurvey programming and implementationData analysis and descriptive statisticsInferential statistics and prescriptive analysisFindings reportInteractive data dashboardBeta testing for key stakeholdersLaunch, outreach, and extensionImpact assessmentProject management

Progress 06/01/23 to 05/31/24

Outputs
Target Audience:Our target audience includes: • U.S. Small dairy farms • Dairy product value-added producers • Dairy stakeholders throughout the U.S. • Consumers of dairy products Changes/Problems:Changes to the Scope of Work There were no changes to the scope of work, although some slight modifications to the proposed strategy which includes: 1) increase of recruitment criteria from $350,000 in annual revenue to $1M in annual revenue; 2) geographic focus of respondents on the top dairy producing states vs the proposed economic census; and 3) triple the amount of survey drafts and soft-launches to ensure a more robust survey design, given the magnitude of the project and importance of the data. There was an anticipated delay in the collection of all 200 responses, but even though our forecasted delay was exceed given the target date was 6/30/2024, but we do not expect to have all 200 responses collected by that time. It has been extremely challenging to get small farms (under $1M in revenue) to participate in the detailed survey assessment and this has required multiple attempts using different methods of solicitation. While we expect the delay for this task not to exceed 60 days, the overall project timeline is not anticipated to be altered, as we will speed up deliverables associated with tasks 3 and 4 (data analysis and statistics). Changes to the Project Budget The company did not make any changes to the budget but has not drawn down all of the forecasted funds. Survey stipends for farms completing the survey will be paid upon completion of the task which has not yet occurred. This has left $29,800 in unspent funds carried forward into the second period of performance. *A detailed technical report was also submitted to the Awards Management Division and National Program Leader on 6/13/2024 via email. What opportunities for training and professional development has the project provided?This work will occur at the end of period of performance 2 and all of period of performance 3. How have the results been disseminated to communities of interest?This work will occur in Q3 of period of performance 2 and all of period of performance 3. What do you plan to do during the next reporting period to accomplish the goals? Nothing Reported

Impacts
What was accomplished under these goals? Task 1: Consumer survey design We designed a B2B survey in collaboration with Dr. Qiujie Zheng (University of Maine) and Ms. Robyn Dumont (University of Southern Maine). In addition, we sought input from our lead advisors at Cornell PRO-DAIRY and the National Small-scale Dairy Development Committee (NSDDC) to ensure we were including questions most important to America's small farms. The B2B survey assessed the following themes related to the factors influencing the success of small and medium sized farms U.S. dairy farms: Income Equipment & Infrastructure Improvement Financing Market Opportunities Product Makeup and Profiling Regulatory Hurdles (State & Federal) Current Sales & Distribution Channels Consumer Perceptions We completed 17 different drafts of the survey and 3 separate soft launches, which was significantly more than proposed in our application. This increased the amount of time spent on task 1 from 3-months to 9-months (4/1/23 to 12/1/23). Upon completion of our survey design (see Appendix A), we submitted it for review to Solutions IRB in September 2023, which resulted in an exemption letter provided to the USDA Grants Management office for final approval. From September 2023 through March 2024, we completed an initial launch campaign (described in task 2). Task 2: Consumer survey implementation The most time-consuming portion of the year 1 period of performance was allocated to survey implementation and solicitation. Unlike a panel used for B2C surveys, we had to research, review, and hand select farms from various contacts to include in the survey which matched our vetting criteria. Atlantic programmed the survey using Qualtrics software. We co-hosted and executed the survey with support from the Survey Research Center at the University of Southern Maine's Catherine Cutler Institute. Survey participants were recruited through various channels include the U.S. Farm Database, Extension office contact lists in the top dairy producing states, non-profit dairy organizations and milk producer commissions, and by utilizing in-house contacts at Atlantic. Our original intention was to solicit farms with $350,000 in annual dairy revenue; however, outreach to these farms proved to be more challenging and, after a two-month outreach campaign, we decided to open the recruitment to farms with $1M or less in dairy revenue. Our target sample was 200 respondents (n=200) and as of 5/31/2024 we had a commitment for close to 50 completed surveys by 6/18/24. We anticipated the remaining 150 surveys to be completed between June 15, 2024 and July 15, 2024, which we will report on in the next reporting cycle. The targeted sample size was chosen to generate point estimates and associated confidence intervals that are significant at the 95% level and will allow us to capture views of current U.S. dairy farms, their operational and financial approaches, and the factors impacting sustainability. Our survey implementation followed a pre-designed and proven project life cycle that includes soft launch, full launch, monitoring and quota management, and data cleansing. Quota management and data cleaning eliminated many of the completed surveys from farms attempting to complete the survey that did not make it through the filtering questions. While the complete survey total appears low, this is common in necessary in this type of study to ensure quality data is captured and used in the research. By collaborating with multiple extension offices across the U.S we are mimicking a multi-sourcing panel recruitment model, which maximizes reach and capacity, and improves consistency. We initially proposed mimicking the number of respondents in each of the nine U.S. economic regions, we learned through the initial outreach campaign and meetings with Cornell PRO-DAIRY and other advisors that focusing on top day producing states would be more fruitful and generate a more meaningful data set. Participants have been compensated for participation in the study with a stipend of $150. This work began with soft launches in September 2023 through March 2024, where the team was able to solicit responses, clean data, and revise the survey based on knowledge gained. The final official launch occurred on April 1, 2024. Potential respondents have access to completing the survey online, by phone, or via hard copy mail.

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