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AGRICULTURE- August 2003
by Claude E. Hammond

Sidebar-
Getting Their Goat
Goats, caviar, catfish, poultry, herbs, vegetables and shiitake mushrooms are among the cash crops of Kentucky's new farm economy

It’s a bright summer morning. Ray Bowman walks out to the field of his Franklin County farm to take a look at his cash crop. For most Kentucky farmers in recent years, the main source of cash was tobacco — but Bowman’s going out to check on his goats.

At Bowman’s Jerusalem Ridge Farm, the name of the game isn’t tobacco. His main cash crop is the Boer goats he and his wife, Stephania, raise. Originating in South Africa, the Boer goat is raised primarily for its meat. Its popularity has been blooming in Kentucky as farmers search for new sources of profits.

“There’s a good ethnic market for Boer goats,” Bowman said. “And with meat consumers now becoming more health conscious, the word is getting out about the high nutritional value and low fat and cholesterol content of goat meat.”

Though Bowman raises horses, cattle, sheep and pastured poultry (another increasingly popular livestock item for the growing market of consumers aversive to ‘factory farms’), the goats are the main emphasis of his agricultural efforts. He has served as state representative for the United States Boer Goat Association, director for the Kentucky Goat Producers Association and is president of the Franklin County Goat Producers Association.

According to Kentucky Secretary of Agriculture Billy Ray Smith, the boom in meat goat production in Kentucky is just one new variance in the surge of agricultural entrepreneurship. “It’s not just tobacco and cattle any longer. They’re still important, but because of the changes in market and new regulations we’re seeing the smallest tobacco crop in more than 120 years.”

Just five years ago, even though the writing was already on the wall regarding Kentucky’s top cash crop of tobacco, most farmers were still holding on to the long-leafed, pink-flowered plant. Now, there seems to be an ever-decreasing number of American smokers and ever-increasing regulations on tobacco use and sales. Even Lexington, once home of the world’s largest tobacco market, now has a ban on smoking in most public buildings, including restaurants and bars.

Tobacco’s decline represents the most dramatic change in Kentucky’s farm economy in more than 70 years, when hemp declined and sheep ceased being profitable, largely due to the predation of stray dogs.

The new farm entrepreneurship can be summarized into three categories: specialized crops, atypical livestock and products that are directly retailed to the public, thus avoiding a middleman and increasing the farmer’s profit margin.

Specialized Crops
Having won the blue ribbon for best tomato at the Kentucky State Fair more than a dozen times, you would think that Bill Best would be content to rest on his laurels. Yet he has become one of the leading advocates for both traditional and innovative Appalachian agriculture. From Best Family Farms near Berea, Best has collected an impressive array of heirloom variety vegetables and seeds.

Having co-founded the Sustainable Mountain Agriculture Center with no less than UK Economic Professor Emeritus and former State Economist Charles Haywood, Best has collected more than 175 varieties of heirloom beans and around 300 varieties of heirloom tomatoes. The participation in various area farmer’s markets by Best and his sons, David and Michael, has built a strong consumer base. Chefs from certain high-end restaurants in Lexington line up at his truck to buy old-fashioned heritage tomato varieties, with names like Russian Oxheart, Willard Wynn, or Mortgage Lifter.

Also in demand are conventional, Portobello, and shiitake mushrooms, which Best and his sons have begun to cultivate. “Here in Kentucky, people are becoming more aware of gourmet items like these,” Best said. “We not only have people wanting the varieties of vegetables grown by their grandparents, but also those with discriminating palates who are discovering custom-grown items not raised on factory farms.”

Atypical livestock
A potential boon to Kentucky agriculture has been the recent discovery that grass-fed beef is much higher in Omega 3 fatty acids than the grain-fed feedlot beef. Omega 3 fatty acids are linked to lower cholesterol and are currently thought to be found mostly in fish oil. However, as the news gets out regarding the healthier nutritient content of grass-fed beef, Kentucky farmers could find themselves at an advantage. The state has more cattle than any other state east of the Mississippi River – virtually all of it grass-fed.

An organization that has capitalized on the increasing demand for healthier meat has been ZH Beef, a company owned by James and Tara Osbourne, whose Zephyr Heights Farm is located near Springfield in Washington County. Third-generation farmers, the Osbournes raise cattle for the production of premium choice USDA-inspected beef. The beef produced by ZH is hand-fed with select feeds that are antibiotic and hormone free.

Western Kentucky farmers with the ability to build ponds have found that catfish can provide a good income. Last November, Kentucky catfish producers made headlines in a deal with the Kroger grocery chain to provide a huge amount of the fish to consumers throughout this state and Tennessee.

The agricultural group that struck the deal was Western Kentucky’s Purchase Area Aquaculture Cooperative (PAAC). The cooperative runs a catfish processing plant in Graves County and sells catfish to the Louisville division of the nation’s largest supermarket chain. Kentucky Department of Agriculture marketing specialists were instrumental in bringing together representatives of the two parties together to work out details of Kroger’s purchase of PAAC catfish.

Kroger started out with an initial order of 12,000 pounds a week and has escalated to 48,000 pounds.

Last summer the cooperative struck gold when it sold its products to a restaurant in southern Illinois, where a travel magazine rated the catfish as the best in the state. The co-op recently started selling to Missouri retailers, including E.W. James and Sons and Food Giant Stores. PAAC catfish is available in supermarkets and restaurants in Western Kentucky, including three Captain D’s restaurants, and in Kentucky state parks.

PAAC has been so successful in marketing its products that the cooperative now seeks more members to produce catfish. Buyers are out there waiting – and more entrepreneurs will no doubt take advantage of the situation and make some money.

Other aquaculture products in Kentucky have been getting national attention. Demand for freshwater shrimp is beginning to grow rapidly and a July article in the New York Times highlighted the growing paddlefish caviar industry in the U.S., due to the activities of Shuckman’s Fish Company and Smokery in Louisville. Run by Lewis Shuckman, the company sells numerous Kentucky aquaculture products, such as paddlefish caviar, smoked Kentucky largemouth bass, smoked trout and other products. Business is apparently pretty good. The company just enlarged its operations to increase production and shipping capacity.

Cooperative agriculture
One of the greatest aids to small farmers in Kentucky has been its cooperatives. The oldest vegetable marketing cooperative in Kentucky is Cumberland Farm Products, Inc., in Russell Springs. During its successful 34-year history, Cumberland Farm Products has had to enlarge its operations twice.

Over the past five years, its successful marketing efforts have generated an average of more than $1.6 million in sales. Four vegetable crops have been the center of Cumberland’s marketing efforts: tomatoes, cabbages, pumpkins and green bell peppers. Of these, the vine-ripened staked tomatoes account for about $740,000 of annual sales for the cooperative.

In Owensboro, the West Kentucky Grower Co-op markets a wide variety of vegetables to the public, including sweet corn, a wide variety of peppers, squash, zucchini, potatoes, broccoli and cucumbers. In particular, the West Kentucky Grower Co-op has had unusual success with its high-quality thick-wall green bell peppers. Following on the heels of the green bell pepper’s success, the co-op now markets jalapenos, Hungarian wax, cubanellos and other varieties.

In Horse Cave, the Green River Produce Marketing Association has built its reputation on honey-sweet cantaloupes, pumpkins, seedless watermelons and cabbage.

Cheerleaders for the farm team
Among the biggest supporters for the new Kentucky farm economy has been the Kentucky Secretary for Agriculture Billy Ray Smith. Promoting Kentucky’s agricultural products far and wide, his job has taken him to China, South Korea and Cuba. Originality has been a great hallmark of Smith’s tenure as ag commissioner. And, like Smith, Kentucky farmers are showing a lot of originality in finding new crops and new methods of marketing their products.

Claude Hammond is a staff writer for The Lane Report
editorial@lanereport.com


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