The Challenge of Economic Sustainability: Why Most Urban Farms Rely on Grants
While urban agriculture is gaining immense popularity and is at the forefront of ecological sustainability, it has yet to achieve a level of economic sustainability that would make it a mainstream and viable market proposition. Most urban farms still heavily rely on volunteer labor and grant funding, and they often operate on a donation-based model rather than as profit centers. This is a serious problem because it prevents them from fulfilling their aspiration to make a meaningful impact on food insecurity.
Scale Aggregation: A New Approach to Urban Farming
To address this issue, some food and urban farm entrepreneurs are testing a new concept:
scale aggregation. This land management technique consolidates numerous smaller urban farms into citywide networks to generate a viable economic return. According to Brahm Ahmadi, a food security expert from Oakland, this approach is necessary because urban farms currently only close a small fraction of the food spending gap in food-insecure neighborhoods.
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Case Study: Big City Farms—A Triple Bottom Line Business
Big City Farms in Baltimore, Maryland, is a prime example of a business using this model. It is an urban agricultural business that aims to grow into a large network of for-profit, organic urban farms. The company operates as a “triple bottom line” corporation, pursuing social and environmental goals in addition to profit.
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Its pilot farm, built on a contaminated “brownfield” site, consists of six large plastic hoop houses that grow leafy greens sold to local restaurants, markets, and individuals. By using imported organic soil, the farm is able to operate on top of the existing pavement.
Creating Green Jobs and Fresh Food: The Benefits of a For-Profit Urban Farm Model
Big City Farms provides more than just a business model; it offers a comprehensive support system for its members. The company sells plant plugs, compost, and growing medium, and provides training in construction and farm operation. It also handles critical business aspects like collection, processing, and distribution of crops, as well as legal issues, marketing, and sales. This support reduces the business risks for its farmers.
The social and environmental benefits are significant. Big City Farms estimates that the city has over 1,000 acres of underutilized land with limited development potential, and each acre could provide 10 jobs if farmed using their system. The company’s produce is grown and distributed locally, drastically reducing the fossil fuels used in the food supply chain.
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