Low-income communities have lower access to supermarkets and grocery stores, lower levels of employment, less access to parks and greenspace, lower levels of social capital, and more concerns about crime and safety. However, when food dollars are spent within the local community, the positive economic and social impacts can be significant. For example, in several ‘farm-to-fork’ initiatives across the U.S., farmers, food processors, and policy makers are encouraging households to redirect dollars to buy local food, creating thousands of new jobs and bringing billions of additional dollars flowing into the local economies.

Food and food-related businesses offer a promising opportunity to reinvest in and reinvigorate local economies and communities. Some nonprofit organizations are using food to bring neighbors together, to improve vacant lots, or simply to celebrate community and culture. Others are supporting food-related businesses such as restaurants, retailers, and farms that can create local jobs, green blighted areas, offer opportunities for job training, and inspire other local business owners and entrepreneurs. Research suggests that food-related businesses often work as anchor institutions, attracting additional investment and increasing property values, in addition to spurring positive community activity and engagement.

Promising approaches that support local economies and foster community engagement exist at the local, regional, and national levels. In this section, we offer one case example of a promising approach, along with descriptions of other promising approaches for food donors focused on supporting more vibrant communities.

WHAT IS IT? Food hubs are a relatively new strategy that market and move items from local and regional producers into schools, universities, hospitals, supermarkets, and other large businesses. A food hub is a nonprofit or for-profit enterprise that aggregates, distributes, and markets locally grown or produced food products to reach wholesale, retail, and institutional demand. In 2011, the USDA estimated 170 food hubs were in operation. Though still a very small part of the agricultural industry, food hubs are growing in popularity, and have shown success in urban and rural communities.

RATIONALE Many small to mid-sized farms are unable to subsist on directto-consumer markets; they also lack the capacity and know-how to reach wholesale, retail, and institutional demand. By aggregating and connecting these farmers to institutional buyers, food hubs create a more efficient market. According to the USDA, food hubs create jobs, help farmers and producers take home higher profits, generate business taxes, and help to grow and sustain local farms. In addition, by marketing to potential consumers, food hubs increase demand and grow the market. Early case studies suggest that by joining a food hub, farmers and producers can increase sales 25 to 50 percent. Furthermore, by strengthening the connection between local consumers and local producers and providing healthier food options to underserved communities, food hubs address health impacts, environmental impacts (e.g., reduced emissions from transportation), and equity issues as well.

EXAMPLE Common Market (Philadelphia, PA); FoodHub (Western US, expanding nationally); Red Tomato (Plainville, MA).

THINGS TO CONSIDER Since food hubs can be for-profit or nonprofit ventures, they offer a wide array of investment opportunities from in-kind donations to grants to loans. Food hubs are a prime target for socially responsible lenders interested in bolstering local food systems.

PROMISING APPROACH

Support job training programs through community kitchens

RELATED IMPACTS

• Health & Hunger: Reduce Hunger, Improve Health
• Environment: Reduce Waste, Contaminants & Emissions, Use Resources Sustainably
• Vibrant Communities: Foster Community Engagement, Support Local Economies

Build the capacity of new and existing food-related businesses and local farms

• Vibrant Communities: Foster Community Engagement, Support Local Economies

Invest in food hubs as a means to improve connections among local producers, consumers, and institutions

• Health & Hunger: Reduce Hunger, Improve Health
• Rights & Equity: Improve Worker Conditions, Improve Access to Food
• Environment: Reduce Waste, Contaminants & Emissions, Use Resources Sustainably
• Vibrant Communities: Foster Community Engagement, Support Local Economies

PROMISING APPROACH

Engage diverse community members and stakeholders to support local farms and to develop a local, integrated food system

RELATED IMPACTS

• Health & Hunger: Reduce Hunger, Improve Health
• Rights & Equity: Improve Worker Conditions, Improve Access to Food
• Environment: Reduce Waste, Contaminants & Emissions, Use Resources Sustainably
• Vibrant Communities: Foster Community Engagement, Support Local Economies

Engage diverse community members and stakeholders to promote healthy eating and active living, particularly within low-income, low-access communities

• Health & Hunger: Reduce Hunger, Improve Health
• Rights & Equity: Improve Worker Conditions, Improve Access to Food
• Vibrant Communities: Foster Community Engagement, Support Local Economies

Improve land use, safety, and other community assets through regional and national-scale partnerships and collaborations

• Health & Hunger: Reduce Hunger, Improve Health
• Environment: Reduce Waste, Contaminants & Emissions, Use Resources Sustainably
• Vibrant Communities: Foster Community Engagement, Support Local Economies