Distribution Models

One of the most important things for farmers to consider is their distribution model. Who is going to eat your vegetables, beef, pork, chickens, mushrooms, strawberries, preserves, yoghurt, etc etc.

Some Distribution Models:
Consumer Supported Agriculture (CSA) - Community Supported Agriculture (CSA) has become a popular way for consumers to buy local, seasonal food direct from a farmer. The consumer pays the farmer at the beginning of the season and then receives a basket of food once a week throughout the growing season. The farmer has the security of knowing who his customers are before the crops are planted, and the consumer is assured of getting fresh local food through the season, weather permitting. At the core of the CSA model is the relationship between the farmer and each customer, and the "story" behind the farm. At Whole Circle Farm, for example, virtually all the 200 CSA customers know Abhi, the garden manager. And many are aware of the ebb and flow of the farm either through our newsletters or, through conversations with Abhi, Johann, Maggie, or the farm interns.

As part of their relationship with the farm it's important that CSA customers understand the complexities of growing food. They'll be more understanding if there is a bad crop or, if the carrots are not perfect shaped or have a little dirt on them. It would help if prospective customers are screened before being accepted. They'll want ever more to be your customer when they find out that joining the CSA is not simply a matter of mailing a check.

Advantages: Get paid in advance, demand is guaranteed, so you know how much to grow. customers share in the bounty, and accept if there is a less bountiful season.

Disadvantages: Lots of responsibility. Consistent hard work every week during the CSA schedule. Problematic if the soil is susceptible to compaction say, when it rains, and harvest has to be done in time for the CSA delivery. It's best to avoid trudging through wet fields.

Farmgate - Farms situated on a busy road can do well through selling at an on-farm store. Ideally the store would have a weigh and pay honour system, where customers leave their money in a jar.

Advantages: Low maintenance and labour cost. A great way for customers to get familiar with your farm.

Disadvantages: People coming to your farm means you need parking, and have to be mindful of kids running around.

Farmers' Markets - They're great, if you can find a good one. The problem is that there are more farmers than there are farmers' markets. Good farmers' markets have a waiting list of vegetable and other produce vendors. I'd not want to start a farm based solely on the assumption that I'll sell my produce at a farmers' market.

Advantages: Can be great source of income. Inspiring to see people excited about your food.
Opportunity to see what other vendors are selling.

Disadvantages: Getting up early on a weekend. Long drive. Weather dependent. Unsold food may spoil.

Wholesale - This seems to be potentially the most price sensitive model. it includes selling to retail stores and large supermarkets with organic produce departments. Based on feedback from some farmers I've talked to, some of them with hundreds of acres in production, and some of whome are growers, distributors and wholesalers of organic produce, the purchasing departments of the major supermarkets are focussed mainly on price.
Whatever claims they make about supporting Ontario or Canadian local agriculture are not necessarily confirmed by their purchasing departments. Protective Covenants.

Advantages: Can sell large volumes.

Disadvantages: Fickle, manipulative buyers. Might require large storage facility. Possibly low price per item. No chance for face-to-face contact with end consumers.

Some combination of all these models is possible. And there are many other scenarios which build on these models, such as farmer coops which combine produce into one CSA product.