Farmers can expand production, adopt regenerative practices and secure interested buyers, but without nearby facilities to clean, store, aggregate and process their crops, getting products to market can remain difficult. This gap in the middle of the agricultural supply chain is becoming a constraint on regional food systems, including the expansion of regenerative and organic production.

The shortage is particularly visible in specialty grains. An August 2023 report, The State of Mobile Grain Processing in the Upper Midwest, identified only six mobile grain-cleaning operations across Michigan, Wisconsin, Illinois and Ohio: three in Wisconsin and one in each of the other states. Researchers found that most commercial grain storage and cleaning facilities in the region are designed for large volumes of corn and soybeans, while options for cleaning smaller quantities of specialty grains remain limited. Farmers cited cleaning access, processing costs, distance, wait times and scheduling as barriers to meeting potential buyer demand.

A 2024 study published in Agronomy Journal reached similar conclusions for organic small-grain production in the Upper Midwest and Northeast. Food-grade grains require more than basic harvesting capacity. Producers need cleaning equipment, segregated storage, elevators and mills capable of maintaining identity-preserved organic batches. Larger facilities may impose minimum purchase quantities that smaller farms cannot meet, while traveling long distances to specialized mills can make production uneconomical. The researchers identified partnerships among farmers, processors, researchers and end users as essential to developing regional grain markets.

The infrastructure gap also affects the broader organic supply chain. USDA’s 2025 Organic Situation Report found that domestic demand exceeds supply for certain commodities, including soybeans and soybean meal, prompting imports from Argentina, Turkey and India, respectively. The report also noted that U.S. organic acreage has declined in recent years despite continued market demand. Organic retail sales grew at an inflation-adjusted annual rate of more than 7% from 2012 to 2023.

USDA has acknowledged the processing and distribution challenge through its Organic Market Development Grant program. By August 2024, the agency had awarded $85 million across 106 projects in 36 states and Washington, D.C., to strengthen markets and supply-chain capacity.

Sources:

Stedden, Claire G., Erin M. Silva, Matthew R. Ryan, Ellen B. Mallory, Heather Darby, Julie C. Dawson, Alyssa Hartman, and Mark E. Sorrells. 2024. “Organic Small Grain Production in the Upper Midwest and Northeast: Challenges and Lessons Learned.” Agronomy Journal 116(6):2735–2753. DOI: 10.1002/agj2.21658.

Artisan Grain Collaborative. 2023. The State of Mobile Grain Processing in the Upper Midwest. August 2023.

Raszap Skorbiansky, Sharon. 2025. Organic Situation Report, 2025 Edition. USDA Economic Research Service, Economic Information Bulletin No. 281. DOI: 10.32747/2025.9015813.ers.

Sustainable Food Lab. 2025. Scale Lab Summative Report: Globally Applicable Lessons from More Than 20 Food and Beverage Companies for Scaling Regenerative Agriculture.