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The Importance of Farmers Markets Economically and for Communities
Opinion
By Lee Elliott New Boston SIDC/CDC Executive Director on April 23, 2025
The Importance of Farmers Markets Economically and for Communities

The New Boston Farmers Market will begin on May 6th. It is every Tuesday from 3 PM until 7 PM. We All love farmers markets. The following will share the importance of farmers markets for communities and local economies: Farmers markets offer numerous benefits to local economies and communities. They provide a central hub for community gathering, support local and small farms, increase access to fresh food, and boost the local economy by attracting shoppers to nearby businesses. Additionally, they foster a sense of community and offer educational opportunities like cooking demonstrations and gardening tips.

Farmers markets directly support local farmers and businesses by providing a market for their products and attracting customers to the surrounding area. Farmers markets generate jobs for farmers, vendors, and staff, and create indirect jobs in related sectors. By keeping money circulating within the community, farmers markets help stimulate local economic activity. There is more on the economic impact of farmers market later! Farmers markets provide access to fresh, nutritious foods, especially in areas where grocery stores may be limited. Farmers markets offer a social space for people to gather, connect, and learn about local food systems.

By supporting local farmers, farmers markets help reduce food miles and promote sustainable agricultural practices. Farmers markets often offer educational opportunities, such as cooking demonstrations, gardening tips, and information about local food systems. Americans have long known that farmers markets offer shoppers food that’s unrivaled taste and freshness, however, a growing body of research points to the economic benefits of farm-direct marketing. One recent study discovered that, “for every dollar of sales, direct marketers are generating twice as much economic activity within the region, as compared to producers who are not involved in direct marketing.” The study reveals that for every $1 million in revenue, direct-market farms create almost thirty-two local jobs whereas larger wholesale growers create only 10.5.

While direct-market farmers rely on their neighbors— to grow their businesses, they return the favor. The report’s author attributes the outside impact that these farmers exert on local economies to the fact that they source locally. Of the direct-marketing farmers surveyed, 89 percent buy their supplies (“inputs” in farm-speak) from local businesses. By contrast, larger wholesale farms purchased only 45 percent of their inputs from their neighbors. Because direct-marketing farmers are much more likely to patronize local feed stores, farm equipment dealers, and mills, the dollars that you spend at the farmers market stay in your community longer—they may even wind up back in your pocket!

Florida households spent an estimated $1.8 billion at farmers’ markets, roadside stands, and U-pick farms. In Iowa and Oklahoma, every dollar spent at farmers markets led to an additional $0.58 – $1.36 in sales at other nearby businesses. Farmers markets create between 257 and 361 full-time jobs and generate up to $13 million in South Carolina alone, according to one recent estimate. According to the US Census of Agriculture, 144,530 farms sold $1.3 billion in fresh edible agricultural products directly to consumers. Forty-one percent of shoppers at Portland (Oregon) Farmers Markets said that their main reason for shopping at these markets was to support the local economy.

Farmers markets spur spending at neighboring businesses. A 2010 study of the Easton Farmers Market in Pennsylvania found that 70% of farmers market customers are also shopping at downtown businesses, spending up to an extra $26,000 each week. At the Crescent City Farmers Market in New Orleans, 32% of Market shoppers spend money at nearby businesses, resulting in $3.2 million in projected gross receipts and an annual contribution of $151,621 to local sales tax revenue.

So, the next time you shop at the New Boston farmers market, remember not only are you appeasing your taste buds, but you are giving your community a little economic boost. One dollar at a time. As Always, remember to Shop New Boston 1st!

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