Minnesota’s Farm and Food Economy: A Call for Growth and Innovation
MINNEAPOLIS — Minnesota’s farm and food economy has proven resilient, but panelists at a Minneapolis conference on October 27th emphasized the need for growth and adaptation.
"Resilience & Volatility: The Stress Test" Panel Discussion
Blois Olson, CEO and founder of Fluence Media, opened with a stark statement: "If ag is a massive part of our economy and it’s not growing, we’re dying." He highlighted the decline in food processing plants in Minnesota over the past two decades, contrasting it with the growth of larger companies acquiring out-of-state brands.
Darin Broten, executive director of Minnesota AgriGrowth, noted the exception: Riverview Dairy’s new milk processing plant near Morris, the first significant investment in the sector in Minnesota since 1968. However, he pointed out that Minnesota's ranking as a dairy state has slipped from No. 4 to No. 7, surpassed by Texas, Idaho, and South Dakota.
Broten also shared survey results showing that a majority (51%) of Minnesota voters have no connection to the state’s farm and food economy, and a significant portion (24%) believe Minnesota is not a national leader in food and agriculture.
Mike Rohlfsen, co-founder of Agris Academy, agreed that Minnesota’s agricultural sector has "kind of flatlined." He attributed this to a lack of collaboration and investment compared to other ag hubs. "There’s no reason with the resources in the Minneapolis-St. Paul area that St. Louis should be just completely kicking our butt in ag tech. Zero reason."
Rohlfsen foresees growing global competition from South America and Eastern Europe, as well as the need for new uses for corn and soybeans, such as bio-based products. He emphasized the potential for automation and precision tools to make farming more efficient and accessible to more people on fewer acres.
Jennifer Schmitt, a research professor at the University of Minnesota Institute on the Environment, highlighted positive trends like an increase in emerging farmers and cover crop adoption. She also noted the Minnesota Pollution Control Agency’s $200 million investment in climate-smart food systems. Schmitt emphasized the environmental benefits of Minnesota-grown soybeans, which have a smaller footprint than those from Brazil or China.
Olson advocated for large Minnesota companies to encourage foreign partners to invest locally. He also suggested state tax and labor policies that encourage new farm and food businesses. Broten agreed, emphasizing the need for Minnesota to be "more of a partner than a hindrance" to the sector's growth.
According to the Minnesota Department of Agriculture, the state remains a significant player in agriculture, ranking No. 6 in total agricultural production, No. 5 in crop production, and No. 8 in livestock production. It is also the No. 4 exporter of agricultural goods, with over 800 agricultural and food processing companies and a $106 billion economic impact.