Marketing Services Branch Program (MSB)

Conducting and sponsoring research, training, technical assistance, and demonstration projects on agricultural marketing issues, and providing recommendations for the development of agricultural marketing facilities

The purpose of the Marketing Services Branch (MSB) Program of the USDA is to help U.S. agricultural producers take advantage of existing and emerging marketing opportunities, promote improvements in farm-based income, and facilitate the efficient and economical distribution of U.S. farm products in domestic and international markets.

The program disseminates research information and data and provides technical assistance, training, and facility design recommendations to enable producers, distributors, and marketers of agricultural products and other parties involved in implementing agricultural marketing ventures to develop appropriate and effective business strategies.

MSB uses staff agricultural marketing specialists, economists, engineers, and architects to develop and carry out research and technical assistance projects that seek to resolve current barriers to producer participation in the agricultural marketing system. They also identify alternative channels of distribution that promise to enhance the economic viability of small-to-medium- sized farm and ranch operations.

To facilitate collaborative research and technical assistance on targeted agricultural marketing issues, MSB devotes a limited amount of program funds each year to the development of cooperative agreements with eligible institutions. These cooperative agreements are typically initiated with state, local and tribal government agencies, land-grant universities, or other nonprofit organizations.

Specifically, the MSB program:

Conducts applied economic research and analysis of marketing problems and issues associated with the domestic and international distribution of agricultural commodities. Particular issues are selected for intensive study based on their potential to provide relevant and applicable marketing strategies/solutions to a broad farm constituency and for their ability to improve the economic competitiveness of small farm/ranch operations by enabling them to take advantage of emerging consumer and demographic trends.
Analyzes the feasibility of planned renovation/ construction projects at wholesale, collection, and farmers market facilities by developing conceptual designs of facilities, estimating cost of renovation/construction, and assessing expected levels of market patronage.
Prepares research manuscripts, handbooks, videos, and reference materials to document study findings and provide informational resources to research customers. Resources on agricultural market research and development are disseminated through public presentations by MSB staff members at industry, producer, and academic conferences and by maintaining an on-line information clearinghouse.

Project Examples

The program assisted the Vermont Department of Agriculture and the Center for Rural Studies with structural and architectural designs for the Burlington Farmers Market and with the development of a business plan.
Technical support was provided to the Alabama Department of Agriculture and Industries to assess the feasibility of developing packing and shipping facilities throughout the state and of expanding existing facilities in Montgomery, AL.
A collaborative research project was conducted with Texas A&M University to study meat procurement practices in the commercial food service sector and to identify opportunities for small-scale meat processing firms to become suppliers to restaurants and other commercial food service facilities.
A collaborative research project was developed in conjunction with Wallowa County, OR, to investigate demand for certified weed-free hay and straw products among specific local and regional market segments (such as public land custodians) to help hay and straw producers capture greater value from the sale of their commodities.

Information Available
A description of program activities, links to publications, and other available resources can be accessed via the Internet at www.ams.usda.gov/tmd/MSB/index.htm. Please contact the national program office to receive print copies of desired publications.

Application and Financial Information
MSB provides funds to research and technical assistance partners through a cooperative agreement by which all money passes from the USDA to a state department of agriculture, local or tribal governments, land-grant educational institution, or nonprofit organization. MSB contributes an average of $30,000 to each cooperative agreement for collaborative research or technical assistance activities.

Eligibility, Uses, and Restrictions
Cooperative agreements to carry out collaborative research or technical assistance activities can only be made with state, tribal and local government agencies, land-grant universities or nonprofit organizations. Individuals are not eligible for assistance.

Proposed projects are selected for funding on the basis of their ability to generate information that can be expected to be of widespread educational benefit to the agricultural community and help small- to medium-sized farm and ranch operations improve their economic competitiveness.

Research and technical assistance information obtained through MSB-funded projects are available to members of the public upon request.

All cooperative research and technical assistance projects funded by the MSB program must address issues related to the handling, distribution, transport, or marketing of U.S.-origin agricultural products.

In cases where cooperative agreements are awarded to state cooperative institutions, program funds may not be expended to cover indirect costs that are common to two or more of a grantee's projects or operations, such as space occupancy, personnel administration, and other overhead activities.

When cooperative agreements are awarded to nonprofit institutions that are not state cooperative institutions, the negotiated indirect cost rate may not exceed 10 percent of the total direct cost of the agreement.

Program funds also cannot be used to pay to construct buildings or buy property, machinery, equipment, or other capital expenditures. With prior budgetary approval from MSB, the cost of renting equipment may be charged against program funds in cases where equipment must be acquired to carry out the planned scope of work.

Contact
Errol Bragg, Associate Deputy Administrator
National Program Office
Marketing Services Branch, Transportation and
Marketing Programs
Agricultural Marketing Service, USDA
Room 2642 South Building
1400 Independence Avenue, SW
Washington, DC 20250
Phone: (202) 720-8317; Fax: (202) 690-0031

Internet
www.ams.usda.gov/tmd/MSB/index.htm
www.ams.usda.gov/directmarketing/
www.ams.usda.gov/farmersmarkets/

Last Updated January 24, 2005