Dawn Thilmany, Colorado State University

Young food entrepreneurs are changing the face of rural America

Visit just about any downtown on a weekend and you will likely happen upon a farmers market. Or, you might grab lunch from a food truck outside a local brewpub or winery. Very likely, there is a community-shared kitchen or food entrepreneur incubator initiative behind the scenes to support this growing foodie ecosystem. As rural America gains younger residents, and grows more diverse and increasingly digitally connected, these dynamics are driving a renaissance in craft foods. One food entrepreneur incubator, Hope & Main Kitchen, operates out of a school that sat vacant for over 10 years in the small Rhode Island town of Warren. Its business incubation program, with over 300 graduates to date, gives food and beverage entrepreneurs a way to test, scale and develop their products before investing in their own facilities. Its markets also give entrepreneurs a place to test their products on the public and buyers for stores, while providing the community with local goods. Food has been central to culture, community and social connections for millennia. But food channels, social media food influencers and craft brews have paved the way for a renaissance of regional beverage and food industry startups across America. In my work in agriculture economics, I see connections between this boom in food and agriculture innovation and the inflow of young residents who are helping revitalize rural America and reinvigorate its Main Streets.

Why entrepreneurs are embracing rural life

An analysis of 2023 U.S. Census Bureau data found that more people have been moving to small towns and rural counties in recent years, and that the bulk of that population growth is driven by 25- to 44-year-olds. This represents a stark contrast to the 2000s, when 90% of the growth for younger demographics was concentrated in the largest metro areas. The COVID-19 pandemic and the shift to remote work options it created, along with rising housing prices, were catalysts for the change, but other interesting dynamics may also be at play. One is social connectedness. Sociologists have long believed that the community fabric of rural America contributes to economic efficiency, productive business activity, growth of communities and population health. Maps show that rural areas of the U.S. with higher social capital – those with strong networks and relationships among residents – are some of the strongest draws for younger households today. Another important dynamic for both rural communities and their new young residents is entrepreneurship, including food entrepreneurship. Rural food startups may be leveraging the social capital aligned with the legacy of agriculture in rural America, resulting in a renewed interest in craft and local foods. This includes a renaissance in foods made with local ingredients or linked to regional cultures and tastes. According to data from the National Agricultural Statistics Service, U.S. local sales of edible farm products increased 33% from 2017 to 2022, reaching $14.2 billion.

The new ‘AgriCulture’

A 2020 study I was involved in, led by agriculture economist Sarah Low, found a positive relationship between the availability of farm-based local and organic foods and complementary food startups. The study termed this new dynamic “AgriCulture.” We found a tendency for these dynamics to occur in areas with higher natural amenities, such as hiking trails and streams, along with transportation and broadband infrastructure attractive to digital natives. The same dynamic drawing young people to the outdoors offers digital natives a way to experience far-reaching regions of the country and, in some cases, move there. A thriving food and beverage scene can be a pull for those who want to live in a vibrant community, or the new settlers and their diverse tastes may be what get food entrepreneurs started. Many urban necessities, such as shopping, can be done online, but eating and food shopping are local daily necessities.

Governments can help rural food havens thrive

When my colleagues and I talk to community leaders interested in attracting new industries and young families, or who seek to build community through revitalized downtowns and public spaces, the topic of food commonly arises. We encourage them to think about ways they can help draw food entrepreneurs: Can they increase local growers’ and producers’ access to food markets? Would creating shared kitchens help support food trucks and small businesses? Does their area have a local advantage, such as a seashore, hiking trails or cultural heritage, that they can market in connection with local food?

Several federal, state and local economic development programs are framing strategies to bolster any momentum occurring at the crossroads of rural, social connections, resiliency, food and entrepreneurship. For example, a recent study from a collaboration of shared kitchen experts found that there were over 600 shared-use food facilities across the U.S. in 2020, and over 20% were in rural areas. In a survey of owners, the report found that 50% of respondents identified assisting early-growth businesses as their primary goal. The USDA Regional Food Business Centers, one of which I am fortunate to co-lead, have been bolstering the networking and technical assistance to support these types of rural food economy efforts. Many rural counties are still facing shrinking workforces, commonly because of lagging legacy industries with declining employment, such as mining. However, recent data and studies suggest that in rural areas with strong social capital, community support and outdoor opportunities, younger populations are growing, and their food interests are helping boost rural economies. Dawn Thilmany, Professor of Agricultural Economics, Colorado State University This article is republished from The Conversation under a Creative Commons license. Read the original article.