SBIR-STTR Award

Traditional Herbal Products: New Suppliers From Indian Country
Award last edited on: 2/27/2002

Sponsored Program
SBIR
Awarding Agency
USDA
Total Award Amount
$357,855
Award Phase
2
Solicitation Topic Code
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Principal Investigator
Guillermo S Quiroga

Company Information

Native American Botanics Corporation

4721 West Calle Torim
Tucson, AZ 85746
Location: Single
Congr. District: 03
County: 

Phase I

Contract Number: 00-33610-8868
Start Date: 00/00/00    Completed: 00/00/00
Phase I year
2000
Phase I Amount
$61,855
This research proposal outlines a practical approach to dealing with some of the largest obstacles to economic and social development in rural American Indian reservations and communities. Native American Botanics Corporation will examine the feasibility of developing a systematic franchise-like program for installing energy and water efficient greenhouses on various rural American Indian reservations and communities to develop a network of entrepreneur/suppliers for the herbal dietary supplement market. These small production units could then provide home-based supplemental income and employment opportunities to individuals and rural families. At the same time, the Indian growers enjoy an opportunity to return to traditional activities that include communal work, traditional medicines, and agricultural enterprises. Rekindling traditional practices will lead to strengthening tribal institutions and the social fabric that add value to being Indian in Indian country. Furthermore, this research project will investigate inroads to a fast growing and emerging herbal dietary supplement industry by linking existing tribal resources with those of a private corporation that uses the latest marketing and production technologies.

Anticipated Results/Potential Commercial Applications of Research:
Native American Botanics Corporation (NAB) proposes to establish the feasibility of a community development plan that promotes wellness for individuals and rural tribal economies. NAB anticipates that its program will create new jobs providing supplemental income while educating tribal members on new horticultural techniques. The results of the research will provide avenues to extend rather than deplete tribal resources while investing private capital onto Indian reservations. Furthermore, the research will help link tribes into a new and emerging market. At the same time, NAB will map out other strategies to increase production efficiencies by spreading production to other geographic regions.

Phase II

Contract Number: 2002-33610-12393
Start Date: 00/00/00    Completed: 00/00/00
Phase II year
2002
Phase II Amount
$296,000
The primary objective of this USDA SBIR Phase II research grant is to develop and support successful Indian entrepreneurs while developing new supply sources for raw material and new product development for the company. This research grant will demonstrate how a private marketing and agricultural based company can contribute to increasing private entrepreneurship among tribal farmers using innovative agricultural, cooperative, educational, and economic development technologies to create new economies, and sources of revenue to rural Native American reservations and communities. The resulting farming organization will integrate raw material production and 1st stage processing from Tribal member farmers organized into a farming cooperative model known as New Generation Cooperatives (NGC). In order to achieve the overall objective, five technical objectives will be accomplished in planned sequence so that the results will witness a replicable business entity, ready to start business. Objective # 1 will involve organizing and assisting the Cherokee Farmer Steering Council (SC) in research and development of an agricultural cooperative business plan in order to develop capacity for participation in the Natural Products industry as suppliers of traditional value-added herbal products. Objective # 2 will include the organization and development of an innovative herbal farming collaboration based on the existing model known as New Generation Cooperatives (NGC). The New Generation cooperative is an new innovation that has proven successful for small farmers to compete by pooling resources, combining investment equity, effectively using market information, and moving their products past the farm gate closer to the end consumer by adding value to the products through 1st and 2nd level processing. This will be the major and most resource-consuming objective. Objective # 3 will include the implementation and refinement of a new training and preparation curriculum for the Cherokee Nation's existing Individual Development Account (IDA) Small Business Program with components that include agricultural cooperatives and new horticultural technologies. The IDA program holds much promise in developing necessary skills, business and finance literacy, asset saving, and related education for new entrepreneurs preparing to launch or participate in small businesses and the NGC. Objective # 4 will involve the implementing the Cherokee Farmers' NGC business plan. This objective will take place in the second year after completion of the Cherokee Farmer Cooperative's Business Plan. Objective # 5 will conclude the research of this Phase II grant where the PI and consultants will have assisted the Cherokee farmers in research and development of value-added herbal infusion (tea) processing capacity enabling the cooperative to begin farming and plan for processing a line of distinct product offerings in the form of herbal infusions and teas.