USDA Cuts Funding to Southwest Regional Food Business Center, Incapacitating Small and Mid-Size Food and Farm Businesses in Arizona
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Jeff Davidson
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USDA Cuts Funding to Southwest Regional Food Business Center, Incapacitating Small and Mid-Size Food and Farm Businesses in Arizona
Local agriculture impacts will be felt by tens of thousands, leading to loss of jobs and a strain on local, healthy food systems
PHOENIX (July 18, 2025) — This week, the U.S. Secretary of Agriculture Brooke L. Rollins announced the termination of 12 Regional Food Business Centers (RFBC), crippling small and mid-sized farmers across the country. As part of the national initiative, the Southwest Regional Food Business Center (SWRFBC) was created to accelerate a resilient, diverse and competitive local and regional food system by improving opportunities for small and mid-size food and farm businesses across a four-state region of Arizona, California, Nevada and Utah.
“This move systematically impedes local agriculture from growing, eliminating diversity in produce and eradicating hundreds of jobs in the southwest," said Kimber Lanning, founder and CEO of Local First Arizona, the organization leading the Center’s work in partnership with the Arizona State Department of Agriculture and the University of Arizona Cooperative Extension. “We have spent the last three years developing and activating the Southwest Regional Food Business Center to help deliver technical assistance, marketing and capital to strengthen small and mid-size farms and connect them to markets - now all that work is being stamped out.”
The RFBC program was created as a result of the devastating impact of the COVID pandemic on America’s food system. Crops were spoiling, farmers were euthanizing animals as processing plants became overwhelmed, grocery stores shelves were bare and restaurants were going out of business. A localized food system – where food is grown, distributed and eaten within a more concentrated vicinity – is less susceptible to national supply chain disruptions.
“Our team has supported nearly 2,000 farm and food businesses in just two years, and we were ready to deliver 100 grants totaling $4.2 million. Now, only a fraction—around $1 million—will reach the hands of producers,” said Tracy Celio, Program Manager at the Southwest Regional Food Business Center.
Although the current administration’s latest bill will allocate an additional $66 billion for agriculture-facing programs, it will focus on large-scale production of soy, wheat and corn, which are mostly used in processed foods. With the funding cuts, local farmers growing fruits and vegetables will no longer be able to support the infrastructure to enable a local, healthy food system.
“Eliminating the food business centers is on top of a long list of policies and funding cuts that will make our local food systems less resilient, strip away support for local farming communities and ultimately leave farmers and ranchers more vulnerable to future market disruptions,” said Ginger Sykes Torres, Vice President of Resiliency Programs at Local First Arizona. “When less food is grown and sold locally, it becomes more difficult for communities to access healthy, affordable food to feed themselves and their families.”
With agriculture and agribusinesses contributing nearly $31 billion to the state's economy (Arizona Farm Bureau), Local First is committed to supporting small-to-medium-size farmers, ranchers and agricultural producers in our state. Sign up for Local First Arizona’s curated newsletters and receive monthly updates on the latest news, events and opportunities regarding Agribusiness and Food. To learn more about the Southwest Regional Food Business Center, visit swfoodbiz.org.
About Local First Arizona
Established in 2003, Local First Arizona is a non-profit organization fiercely dedicated to driving inclusive community and economic development throughout Arizona. We have created a movement that champions a thriving and diverse economy, fostering community support and an unwavering sense of local pride and purpose in every Arizonan. Our work shapes the future of Arizona by advocating that every individual and community deserves the opportunity to thrive, and that entrepreneurship is at the core of any lasting economy. In rural, Tribal, suburban and urban communities across our great state, Local First is delivering resources to ensure a future focused on economic opportunity for all. Because our state is our story, follow Local First Arizona on Instagram, LinkedIn, Facebook, YouTube or subscribe to the newsletter to receive regular updates on programs.
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