Direct-to-Consumer Farm Sales Reach $10.7 Billion in 2020
In 2020, U.S. farms sold almost $10.7 billion of food commodities directly to consumer outlets and supply chains. That figure from the USDA includes restaurants, grocery stores, regional distributors and local institutions. The figure is nearly $2.8 billion, or 35% more than sold in 2019.
From 2019 to 2020, sales at farmers markets and restaurants and grocery stores increased by 11% and 13%, respectively, whereas sales at farm stores, community-supported agriculture, and other direct-to-consumer channels increased by 79%. Meanwhile, sales to regional distributors increased by 73%. However, sales to local institutions declined by 86% in 2020 relative to 2019, likely because of closures or restricted operations related to the COVID-19 pandemic.
Overall, in 2020, 73% of total direct sales occurred through intermediary supply chains, while the remaining 27% were direct-to-consumer outlets. USDA adds that about 7% of America’s two million farms sold commodities through direct-to-consumer outlets.
If you have a story idea for the PNW Ag Network, call (509) 547-1618, or e-mail email@example.com