Acadiana Seafood Hub: Grant will stimulate economy, expand Teche-area seafood to 48 states
Published 2:30 am Friday, December 23, 2022
Local fishermen, entrepreneurs and food producers in the seafood business have worked hard to get their fresh catches and unique dishes sold at farmer’s markets and restaurants.
Thanks to the Port of Delcambre acquiring several grants designed to stimulate the local seafood economy with a new “multi-use” seafood hub, they will provide several resources for local food producers to expand their businesses.
The Acadiana regional seafood hub, located in Erath, Louisiana, will serve as a bridge between local fishermen and entrepreneurs in the food industry and the local population, according to Suzanne Dugas, grant administrator for Port of Delcambre.
The facility will serve as a cold storage central hub for Louisiana Direct Seafood, which sends Louisiana seafood caught by local fishermen in the Louisiana Direct network to 48 different states.
The Port of Delcambre slated construction beginning in early 2023, with an opening targeted for 2024.
Certified kitchens available for rent are a primary resource provided by the seafood hub.
According to Dugas, local producers often struggle to find and access certified kitchens to produce goods for a wider market. Although there are other facilities that offer certified kitchens, they mainly offer services to wide-scale operations and are restrictive for local small businesses.
Certified kitchens meet and follow specific requirements necessary for food producers to send their products to commercial markets. Farmers’ markets don’t require certain safety standards or production requirements, but commercial markets do. In order to sell outside of farmers’ markets, businesses must fulfill specific food safety requirements, especially for handling seafood. These kitchens offer a space for producers to fulfill said commercial requirements.
The seafood hub also offers various courses for management, economic growth, and food handling to stimulate the local seafood economy and promote the expansion of local businesses. Additionally, the facility will have a storefront that offers producers a place to promote and sell their products at an “equitable price” for both consumers and producers.
According to the National Food Hub Collaboration, a food hub is a business or organization that serves as the managing center for marketing and distribution of locally sourced food products from local and regional producers to address demand.
“The Local Seafood industry has always relied on word-of-mouth and knowing people. I want to change that,” Dugas said. “We want to help the local seafood industry stay afloat. Seafood is one of Louisiana’s greatest treasures.”
The Port of Delcambre projects the construction to cost about $1.9 million in total. Delcambre Port previously made preliminary projections in 2020, and prices have increased significantly since then, according to Dugas. Therefore, projections may not adequately reflect the actual price.
Most of the funding for the projects comes from various grants allocated to the Port of Delcambre for the construction of the seafood hub. Two of the grants came from the U.S. Department of Agriculture. One grant came from the Rural Innovations Stronger Economy (RISE) and another from the Agricultural Marketing Service Local Food Promotion Program (AMS LFPP).
According to the USDA, The RISE grant program “offers grant assistance to create and augment high-wage jobs, accelerate the formation of new businesses, support industry clusters and maximize the use of local productive assets in eligible low-income rural areas.”
Money from the RISE grant funded the construction of the 4,200-square-foot, physical building and the various facilities housed within it. Money from the AMS LFPP grant funded a feasibility study, a business plan and early marketing materials.
According to Iowa State University, a feasibility study is one that identifies two key aspects of a project proposal: whether the business has the required technology and whether it offers a reasonable risk versus return. The Port of Delcambre presented the feasibility study, business plan and marketing material to local fishermen and food entrepreneurs to promote the idea.
Beyond these grants from the USDA, the Delta Regional Authority provided another grant, which will fund the process of raising the facility, equipment for the building and architectural and engineering fees.
The Port of Delcambre further supplemented each of these three grants.
Planning for the creation of the seafood hub began with a study by Dr. Geoff Stewart M.D. of the University of Louisiana at Lafayette titled, “Community Economic Development in Rural Coastal Acadiana Parishes: An In-Depth Review of the Vermilion, St. Mary, and Iberia Parish Seafood Supply Chain.” It was conducted by the University of Louisiana at Lafayette Business School, Louisiana Sea Grant and the Meridian Institute.
According to Dugas, the Port of Delcambre directly referred to this study when seeking grant approval. They utilized the study as specific reasoning for the seafood facility’s conception and creation.