For Kyle and Morgan Lammers of Hartington, Nebraska, the Value-Added Producer Grant (VAPG) program has become an important asset to growing their direct-to-consumer beef business, KL Beef Co. Administered by the U.S. Department of Agriculture Rural Development, VAPG helps agricultural producers strengthen their operations by turning commodities into higher-value products.
The roots of KL Beef go back to the Lammers family’s dairy herd, when Kyle purchased a few of his father’s heifers after college. By 2015, he was farming full-time, raising cattle, corn, soybeans, and alfalfa. A few years later, he saw an opportunity to diversify the farm income by finishing beef cattle and selling the meat directly to consumers.
“KL Beef started as a way to generate more income out of the cattle operations,” Kyle said. “We get it processed at a federally inspected facility, bring it back in a freezer trailer, box, and ship directly to customers.”
When COVID-19 disrupted food supply chains, demand for local beef surged. While the Lammers had a small base of customers in Omaha before 2020, the beef production side of the operation quickly grew and became a large portion of their sales. A simple website and Facebook page helped them spread the word, and business took off. However, they felt like more could be done to expand the business.
A silage customer first told Kyle about the VAPG program. He began the application shortly thereafter but found himself swamped with work through 2021. Eventually, he and Morgan committed to finishing the process, recognizing how valuable the grant could be for their marketing and sales goals.
“The hardest thing to figure out as a small family operation, when you are farming and spending most of your hours working on the farm, is how to do the other things the operation needs to be successful, like marketing,” Kyle said.
Fortunately, the Lammers’ application paid off, and they received a VAPG award in 2024. For Morgan, the grant has made a noticeable difference in their ability to improve shipping.
“We are in the process of ordering new boxes that are custom-sized with fitted insulation, so they’re sealed better, easier to handle, and will include a custom design for a more professional look,” she said.
In addition to shipping upgrades, the Lammers have used the grant to hire a marketing company. Social media management, search engine optimization, and a video showcasing their family, faith, and operation will help KL Beef connect with new customers.
“Even though marketing is a necessity, it was hard for me to want to spend the money there,” Kyle said. “This grant made it easier to take that step. The marketing company has helped us reach people we hadn’t connected with before.”
Looking back, Kyle shares that the application process itself proved valuable.
“It taught us a lot about our customer base and where we wanted to grow,” he said. “There were so many good conversations as we put together a formal business plan.”
“We’re thankful to continue growing and providing a good Nebraska-raised steak to anyone who’s interested,” Morgan added, noting the experience has shaped the vision for their future.
The couple encourages other producers to consider the program and is grateful for the incredible support of their Rural Development staff.
“Our advice is: do it! Take the time and work on the application,” Kyle said. “It’s worth it.”
The next round of applications is expected to open in 2026. Early preparation and planning are key to success, so producers interested in the VAPG program are encouraged to contact their local USDA Rural Development office for information and assistance with the process. A list of local office locations can be found here.
Photo credit: Kyle Lammers and KL Beef Co.
