What Do You Need to Know to Get Started

If you are a farmer/producer who would like to develop or expand a value-added agriculture product or activity, here’s what you need to consider:

1. Zoning. Is my farm zoned to allow for the new venture or expansion?
   1. Will I be processing on-farm, and need to build a processing facility?
   2. How is agriculture or farming defined… does the county definition include processing activities? Does the definition include agri-tourism activities?
   3. Is my county supportive of farmer’s rights to expand business to keep farming? (i.e. Right to Farm)

 

2. Land Preservation. Is my farm on land that falls under a conservation or agricultural easement? Which preservation agency oversees the easement?
   1. Depending on the language used in the easement, new value-added activities may need to be addressed with the preservation agency or arbitrator of the easement. (Some language prohibits “commercial activity” which can be interpreted as restrictive of new value-added activities)
   2. Can the language be altered, if so, what does that process look like?

 

3. Water. Am I using public water or am I on a private well?
   1. Depending on the level of processing to be conducted, water may need to be tested and approved by the local health department.
   2. Depending on the activity, wastewater discharge may also be an issue.

 

4. Permits or Licenses. Do I need a permit or license from either my county health department or the state health department to make my product? Do I need a permit or license to sell my product?
   1. You may qualify for an “On Farm Processing License” depending on the product and how much you intend to sell. The Maryland Department of Health handles these licenses.
      1. If you want to make an Acidified food, you will need to also take a course from a Better Process School (you can find classes through the Grocery Manufacturers Association, info also available through SMADC’s Guide to Acidified Foods)
   2. If you do not qualify for the above license (because your product is considered “potentially hazardous” or you want to sell more broadly), you may need a Food Service Facility License from your county health department.
   3. Wholesale vs. Retail – where and how do you want to sell your product?
      1. Retail = direct sales to customers through either farmers market, on-farm stand, your own retail store front (typically on-farm), or online
      2. Wholesale = sales to another party/location that will sell your product
      3. The state will always be the certifying agency for wholesale. Most retail goes through county agencies, but sometimes the state (depending on the product).
   4. Alcoholic products – you will need a federal license, and also licenses from the state for beer, wine or spirit products (plus a federal permit, and potentially a county-issued license, depending on planned activities). If you’re not located on a farm, you may also need a county license.
      1. For alcohol-based businesses, we recommend contacting your state guilds: the Brewers Association of Maryland, the Maryland Distillers Guild, or the Maryland Wineries Association.