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What Your Farmers Market Dollar Actually Does

Farmers market vendor greeting a customer while selling fresh local produce, including tomatoes, potatoes, strawberries, and squash.

What Your Farmers Market Dollar Actually Does “When I started Good Agriculture, of course I started visiting farmers markets regularly and buying from local farmers. My friends and family started telling me how great my cooking had gotten. I hadn’t gotten any better at cooking—I was just buying great ingredients grown with love.” — Alex Edquist   If you’ve ever spent a Saturday morning at a farmers market, you know the scene: coolers opening and closing, fresh produce arranged neatly on tables, and customers stopping to ask what’s good this week.   What you don’t always see is the work that happened before the market opened.   Long before the first customer arrives, produce has been harvested, washed, packed, loaded into trucks, and carefully arranged on tables. Then comes the drive to the market, the setup, a full day of talking with customers, and finally the trip back home to prepare for the next week.   National Farmers Market Week was a chance to celebrate all of that work and the people behind it. What happens to your food dollar? Many people assume that most of the money they spend on food goes directly to the farmer who grew it. In reality, the journey from farm to table is often much more complicated. Food passes through distributors, processors, transportation companies, retailers, and many others before it reaches consumers.   For years, the USDA’s Economic Research Service has found that farmers typically receive only a fraction of each dollar spent on food. In 2024, it was estimated that farmers received 5.8 cents from every food dollar.   Direct sales change that equation. Whether farmers sell through a farmers market, a farm stand, or a CSA, they can keep a much larger share of what they earn. That money helps pay employees, purchase supplies, repair equipment, invest in the coming season, and support the farm for years to come. Every dollar spent at a farmers market doesn’t just buy food, it directly supports the person who grew it. Why farmers keep showing up Farmers markets aren’t easy. The hours are long, the weather is unpredictable, and every market day represents a big investment of time and energy. Still, many of the farmers we work with continue showing up every week because of the relationships they build there.   Customers become familiar faces, farmers receive feedback directly from the people cooking their food, and children grow up stopping by the same stands each season. That kind of connection is difficult to find at your local grocery store.   Of course, grocery stores play an important role in our food system, and farmers markets aren’t meant to replace them. But there is something special about knowing the person who grew your food, asking questions, and hearing the story behind what you’re buying. A good reason to stop by If you’ve been meaning to visit your local farmers market, it’s a great time to start. . Pick up a loaf of bread, a dozen eggs, or a basket of tomatoes. Strike up a conversation and see what’s in season. You might leave with great ingredients. And if Alex’s experience is any indication, people might even start complimenting your cooking.

Farm Accounting Basics Webinar

Join our Farm Accounting Basics Webinar to learn the fundamentals of bookkeeping and financial management for your farm. Discover practical steps to organize your records, understand your numbers, and build a stronger financial foundation for your operation.