Farmers in western Massachusetts told Federal Reserve Bank of Boston President and CEO Susan M. Collins on March 6 that it is becoming harder to find workers and to pass their businesses on to the next generation.
This issue matters because agriculture plays a key role in local economies, but many small farms are struggling with labor shortages, high costs, and succession challenges. The Federal Reserve Bank of Boston supports community revitalization through economic research and outreach efforts, according to the official website.
Peter Melnik, whose family has operated Bar-Way Farm in Deerfield since 1919, said innovation is essential for survival. “You have to be economically sustainable, environmentally sustainable … (and) socially sustainable,” Melnik told Collins during her visit. He explained that his farm has diversified by running an anaerobic digester that produces electricity from food waste and manure, as well as starting a compost business serving about 3,000 customers. “It really comes down to economics. You know, I pay my health insurance … (and it costs about) $2,000 a month,” he said. “That’s just one expense. You have to generate real money.”
Gideon Porth of Atlas Farms described difficulties hiring local seasonal staff last year and said his farm relies heavily on H-2A visa workers from abroad. “We couldn’t get enough people. It’s been (trending) in that direction … but it’s tangible now,” Porth said. He noted that providing housing for these workers is expensive but called the program a lifeline: “I don’t think we could have operated without that.”
Joe Czajkowski, who grows fruits and vegetables in Hadley, pointed out high operating costs such as weekly food safety tests costing $1,100. He said many U.S. farms may not be able to refinance this year due to losses: “It’s kind of cutting the bottom rungs off the ladder for people who want to start,” Czajkowski said. “And there is a need, because (about) half of the farms don’t have continuity in the next generation.”
Benneth Phelps of The Carrot Project discussed efforts by the Agricultural Viability Alliance to help experienced farmers transfer ownership and support young people entering farming: “It’s another side of our work that we really appreciate … helping people figure out how we can create those viable small businesses,” Phelps said.
Collins also visited ISO New England in Holyoke and spoke at Springfield Regional Chamber’s “Outlook 2026” event before meeting with local economic development leaders and nonprofit representatives about agricultural economies.
The Federal Reserve Bank of Boston operates as part of the U.S. Federal Reserve System according to its official website and works across all six New England states. The bank fosters economic stability through monetary policy formulation by monitoring local conditions and supports growth nationwide through banking oversight and community initiatives according to its official website.
Susan Collins has led the Federal Reserve Bank of Boston as President and CEO since July 2022 according to its official website.
