Payments to States and Possessions

What this funds

The Federal-State Marketing Improvement Program is authorized by the Agricultural Marketing Act of 1946 (7U.S.C. 1623(b)). The program provides dollar-for-dollar matching funds to State departments of agriculture, State agricultural experiment stations, and other appropriate State agencies to help explore new market opportunities for U.S. food and agricultural products. FSMIP also encourages research and innovation that improves the efficiency and performance of the agricultural marketing system. In September 2025, AMS supplemented funding to existing 2023 and 2024 recipients by awarding $1 million to 6 projects. In 2025, AMS also managed 19 FSMIP grant agreements, consisting of grants awarded from 2020 to 2024, totaling almost $5 million. Information on the projects funded is available at www.ams.usda.gov/fsmip. The University of Southern Mississippi developed two decision support tools that Mississippi timber market stakeholders can use to assist their decision-making. Specifically, the team developed a programming model and a solution algorithm for timber resource allocation challenges. Sawmills can use this model to optimize their timber purchase decisions by considering several critical factors including, resource availability, transportation cost, and timber competition among sawmills. The model also evaluates whether the timber resource is sustainable in the long term. Also, they developed a simulation model for the timber distribution network in Mississippi that sawmills, logging companies, and trucking firms can use to test numerous what-if scenarios, such as truck waiting times, timber delivery scheduling, timber storage facility use, and stakeholder collaboration on modeling that promotes understanding of the Mississippi timber supply chain. Texas A&M conducted a multi-stage study that identified effective health and taste-based marketing strategies to increase pecan sales. The team developed new promotional auction methods, and collaborated directly with producers. Findings from these experiments informed the pecan industry's current marketing tools and supported the development of a systematic, industry-wide strategy now used to enhance pecan sales and guide promotional In 2025, AMS received 546 applications from the State and territorial departments of agriculture and awarded funds to implement 586 projects amounting to $72.9 million in Farm Bill funding. Information on the amounts awarded and the projects funded is available AMS ensures that recipients fulfill the purpose of the program and abide by Federal assistance regulations and laws by requiring and analyzing financial and performance reports, selecting source documentation for payment requests, and providing technical assistance to grant recipients. In 2025, AMS managed approximately 276 SCBGP grant agreements amounting to more than $388 million implemented over 2,970 subaward projects. Those agreements consisted of grants awarded from 2021 to 2024. In addition, in 2025 AMS closed 111 of these grant agreements. The Rhode Island Department of Environmental Management completed a project in 2025 that connected culinary students with the skills and resources necessary to become local food advocates in their schools and future careers through farmer, chef, and classroom- based trainings. These trainings provided educational experiences that brought more local foods into schools and empowered the next generation with the skills they need to purchase, prepare, and cook specialty crops. Auburn University and Alabama Cooperative Extension System (ACES) partnered with the Alabama Department of Agriculture and Industries, to assess the profitability of specialty crop production in Alabama to demonstrate economic opportunities for producers to adopt or expand local fruits and vegetables by performing analysis of current fruit and vegetable production and marketing. Five specialty crop products were identified for further analysis, including the development of in-depth detailed enterprise budgets, with results disseminated through online materials and producer workshops. By assessing and illustrating the profitable specialty crop production opportunities, producers are better positioned to successfully increase production of local fruits and vegetables in Alabama. The Specialty Crop Multi-State Program (SCMP) was authorized by the Specialty Crop Competitiveness Act of 2004 (7 U.S.C. 1621 note), as amended by the Agriculture Improvement Act of 2018 (Pub. L. No. 115--334). It issues grants to State departments of agriculture and entities in non-participating states to enhance the competitiveness of specialty crops by funding collaborative, multi-state projects that address regional or national-level specialty crop issues. Specialty crops are defined as fruits and vegetables, tree nuts, dried fruits, and nursery crops (including floriculture). SCMP grants are funded from a portion of the SCBGP funds and remain available until expended. In 2023, AMS issued a new Request for Applications, for funds to be awarded in 2024. AMS received 81 applications, and awarded $9M to 11 collaborative, multi-state projects enabling 20 states to enhance the competitiveness of U.S. specialty crops. SCMP strengthens food safety; seeks new ways to address plant pests, disease, and other crop-specific issues; and increases marketing opportunities for specialty crops--fruits, vegetables, tree nuts, and dried fruits to horticulture and nursery crops, including floriculture. Since projects are not awarded every year, and 2021 awards all received a one-time no cost extension for various reasons, the same examples from the previous year's project Selected Examples of recent progress include: One project completed in 2024 was the University of Missouri System's website for the participatory breeding network for chestnuts. The project accomplished its objectives to engage chestnut growers on the value of a coordinated, decentralized initiative for chestnut genetic improvement; secure farmer membership in the network; and develop organizational documentation for the participatory network that is mutually beneficial for both the network and its individuals. Twenty-six participants have joined the breeding Washington State University completed a project in 2024 to develop and evaluate an integrated robotic system that demonstrated the viability of precision pollination of tree fruit crops. The success rate for the integrated robotic system was up 84 percent in pollinating target flowers detected by the vision system. This automatic precision spraying system made for apple chemical thinning will enhance the growers' knowledge of the technology and assist them with future adoption. Opportunities for commercializing this technology are being explored. Anecdotal research shows growers have an interest in adopting the This page was intentionally left blank.

Extracted from Agricultural Marketing Service, p. 80. Verbatim; nothing here is paraphrased.

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