Food hubs

Food hubs are a suggested strategy to improve local and regional food systems, facilitate fruit and vegetable purchases by schools, hospitals, and small stores, and increase access to fresh fruits, vegetables, and other healthy foods in communities with low incomes^{5, 6, 7, 8, 9}. Food hubs are also a suggested strategy to improve rural economies and increase the economic viability of small- to mid-size farms^{3, 6, 8}. However, additional evidence is needed to confirm effects.

Food hubs are associated with increased sales opportunities for farmers, increased access to fresh fruits and vegetables for consumers, and increased use of local foods by schools, businesses, and restaurants^{9, 10}. According to farmer surveys in rural Vermont, food hubs provide a small but important sales opportunity for producers¹¹. By providing a single reliable point of purchase for high quality produce, food hubs can lower the cost of fresh fruits and vegetables for consumers and institutions such as schools, hospitals, and convenience stores⁵. Food hubs provide a valuable link between local food production and mainstream markets and offer an alternative to the industrial food system for consumers⁴.

Available evidence suggests many food hubs attempt to improve equity in access to healthy foods for communities with low incomes; such efforts are especially common among non-profit, recently established food hubs. For food hubs to succeed in these efforts, they require financial stability for the food hub, fair prices for producers, and affordable products for consumers; in the short-term such efforts can be supported through public subsidies¹².

Food hubs may increase access to fresh produce and seasonal, locally grown foods, which may reduce emissions from fossil fuels used to produce, process, and transport food^{13, 14, 15}. Food hub participation may also reduce the energy intensity of an individual’s diet if more plant-based foods are consumed in place of animal products¹³. 

Food hubs that scale up distribution from direct marketing efforts appear to be more successful than those that scale down from mainstream distribution, and those that prioritize social and environmental goals appear more effective than those that focus primarily on economic goals¹⁶. Food hubs that educate and build strong relationships between their consumers, producers, and staff, and use market analysis, business planning, and business best practices appear to have more sustainable program models and business structures than food hubs that do not^{17, 18}. Case studies suggest successful food hubs have a strong business plan, a solid financial foundation including capital and infrastructure, a skilled and knowledgeable staff, an awareness of their niche in the local food system, partnerships throughout the food system, an understanding of the market and their customers, and a reliable, consistent supply of quality products¹⁹.

Interviews exploring consumer preferences for potential food hubs suggest participants look for availability of whole foods, especially fruits and vegetables; quality, cleanliness, and affordability; programming that builds community; as well as accommodations and cultural accessibility. Food hubs planning to serve communities with low incomes and limited access to fresh produce need to understand potential customer preferences for produce, affordability, and shopping environment to be successful²⁰.

The costs of new infrastructure for cold storage, processing, marketing, and distributing and the need to secure a sizeable number of suppliers and buyers can be challenges to starting a new hub⁶. Case studies identify six key challenges for operating a food hub, including balancing supply and demand, maintaining standards for product quality and food safety, aggregating produce quantities at competitive prices, monitoring consumer preferences, accessing infrastructure, and maintaining business stability²¹. Case studies of closed food hubs suggest that issues with internal management and board governance are the most significant factors that influence a food hub’s success or failure¹⁹.

As of 2018, the Centers for Disease Control and Prevention (CDC) reports 212 food hubs, 32 state-level food policy councils, and 234 active local food policy councils across the U.S.⁵, for example, Appalachian Harvest in rural Virginia; Good Natured Family Farm regional food hub in Kansas City, Kansas; and Market Mobile regional food hub in Rhode Island and Massachusetts²². The ReFresh Project in New Orleans is an example of an innovative food hub that collaborates with community development organizations, public health organizations, financial institutions, and private enterprise²³. The U.S. Department of Agriculture (USDA) interviewed 11 food hubs across the country to develop a report on lessons learned for operating successful food hubs, which includes individual profiles and highlights similarities and differences between food hubs in California, Idaho, Indiana, Massachusetts, New Mexico, New York, North Carolina, Tennessee, Virginia, and Wisconsin²⁴. The Michigan Food Hub Learning and Innovation Network facilitates communication, information sharing, and profitable collaboration between 11 active food hubs in Michigan²⁵.

USDA’s Rural Business Development Grants offer federal funding for community economic development projects such as food hubs²⁶. The Cumberland Farmers’ Market in Tracy City, Tennessee is an example of a community that used a rural development grant to establish a food hub²⁷.

The USDA also launched the Local Food System Response to COVID Resource Hub, a searchable database for local food hubs, businesses, and producers to share knowledge and resources to address obstacles and find successful marketing and production strategies and innovations for local and regional markets in response to the COVID-19 pandemic²⁸. Many food hubs, such as the Local Food Hub in Charlottesville, Virginia, are using their role in the local food supply chain to help get food to children and older adults while schools and community gathering locations are closed and working to support farmers and producers that have lost significant sales to restaurants, schools, and universities that are either closed or have significantly reduced capacity and demand during the pandemic²⁹.