Cardinia Food Hub feasibility study Local food for local people: opportunities and challenges Simon McPherson Urban Agriculture Forum, Melbourne, 23 February 2018

New Urban Agenda (2016) We share a vision of cities for all, referring to the equal use and enjoyment of cities and human settlements, seeking to promote inclusivity and ensure that all inhabitants… are able to inhabit and produce just, safe, healthy, accessible, affordable, resilient and sustainable cities and human settlements to foster prosperity and quality of life for all. Leave no one behind. Ensure sustainable and inclusive urban economies. Ensure environmental sustainability by promoting clean energy and sustainable use of land and resources in urban development.

New Urban Agenda (2016) We commit ourselves to working towards an urban paradigm shift: Readdress the way we plan, finance, develop, govern and manage cities Adopt sustainable, people-centred, age- and gender-responsive and integrated approaches to urban and territorial development. We urge all national, subnational and local governments, as well as all relevant stakeholders, in line with national policies and legislation, to revitalise, strengthen and create partnerships, enhancing coordination and cooperation to effectively implement the New Urban Agenda and realise our shared vision.

Context Cardinia: Expansive geographic area, growing population. Supermarkets dominate food retail and distribution. Produce price squeeze. Household income and financial stress, time constraints. 6:1 fast food to fresh food outlets. Substantial food growing and production in Cardinia. Land pressure from development, land speculation. South East Food Hub pilot was not viable, discontinued.

Objectives (primary) Support local growers in Cardinia, and surrounding areas; Increase community access to good, fresh food; Influence the food system in Cardinia toward a more equitable, sustainable model; Establish a demonstration project for potential replication elsewhere; Operate as a self-sustaining business or charity/non-profit; Work with and support existing and future local food initiatives in Cardinia and surrounds.

Objectives (secondary) Increase food literacy and better eating habits through community education; Increase home cooking skills and frequency of home-based meal sharing; Establish or reinforce community focal points/hubs and support social interaction; Encourage and facilitate urban agriculture in Cardinia; Create local business and/or employment and skills training opportunities; Reduce food waste through processing, education and management; Support employment and local prosperity through business incubation.

Challenges to achieving the Objectives Be competitive with the price points of the supermarkets: Some people will pay (more) for quality, freshness, providence? Food Hub can’t compete with supermarkets… Risk of exacerbating inequality / focussing on affluent areas; Avoid detrimental competition (supermarkets, existing grocers, existing food enterprises). Provide a level of convenience for households; Provide a good range of produce; Create enjoyment, through social interaction, events, attractions; Communications and promotion: value of local spend.

Functions of the Food Hub Food aggregation / storage Food production / growing Packing / packaging Retail: direct / (mobile) market Retail: box distribution Wholesale: hospitality, aged care, schools, Council facilities… Education / training Business support / incubation Programmes and Events.

Locations: aggregation point Truck access, forklifts Cool storage Sorting, packing, processing Commercial kitchen? Text

Locations: shopfront Main street location(s) Community access, convenience Retail Café? Text

Locations: mobile market Widening access and distribution Walkability, local access in dispersed region Accessing retirement homes, community centres, Council facilities, sporting events etc. Text

Locations: co-location and sharing facilities Community centres Community houses Charities Text

New opportunities, new habits

Revenue sources Food/Produce: Household boxes, wholesale, market (mobile), kitchen value add (meals) Training: Courses, classes, events Venues: Coolroom sharing, kitchen hire Production: Agriculture, farm boxes Finance: Grants, Membership fees, Subscription fees, Business loans.

Costs Staff: Full time and part time: admin, processing, events, comms, retail… Produce: Home boxes, wholesale, market, kitchen value-add Training: Teaching staff and materials Venues: Rent, maintenance, kitchen, coolroom, farm boxes Transport: Freight, logistics, materials/packaging Professional services: Legal, accounting, marketing, communications, website, software

Establishment requirements Food sources: Identification of local growers, stock, varieties, amounts available; Identification of need for additional stock, such as interstate-grown produce, to expand the offer. Distribution method(s): Setting retail/wholesale pricing; Gaining traction and reach; Delivery/distribution methods and costs; Wholesale customers, on-site retail or market function potential. Promotion, communications: Getting the community aware and involved.

Innovation and economic development Urban / Indoor agriculture: “Business in a Box” Farming training Urban agriculture development: trials, training Schools programs Shared distribution: “Uber” system aligning truck capacity with logistics need. Business incubation: Commercial kitchen: shared facilities

Getting started: Feasibility: Preliminary evaluation indicates sustainable/profitable business model, with increasing surplus Years 2-5. Business Case to demonstrate a “bankable” sustainable initiative, with social benefit. Grant or capital investment likely to be required. Scale: “Full service” from outset vs. Small/incremental: Size of capital investment vs. taking big leaps later. Potential networks with other emerging Food Hubs, for greater impact. Partnership: Council may assist/contribute: rates assistance, marketing, in-kind, networks, patronage. Potential EOI process for operator/partner.

Networks: scale and impact

Simon McPherson Email: simon.mcpherson@globalsouth.net.au Mobile: +61 (0)448 201 344 au.linkedin.com/in/simonjmcpherson @SimonMcPherson_