Sweetgreen fights for farmers markets: 'No harder business' than farming

Sweetgreen is trying to ensure the survival of farmers markets because of the vital role they play in the community and as a crucial revenue stream for farmers.

Earlier this month, the fast-casual restaurant chain, founded in 2007 by Nicolas Jammet, Nathaniel Ru and Jonathan Neman, announced its support for Food Access LA, a nonprofit that oversees eight Los Angeles farmers markets that were at risk of closing.

In a bid to preserve them, Sweetgreen pledged to cover the nonprofit’s operating costs through 2025, which will help sustain small-scale agriculture and support food and beverage entrepreneurs while enhancing food security in underserved neighborhoods.

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Jammet, who serves as the chief concept officer, emphasized the importance of these markets, telling FOX Business that, for many people, they are often the only places where fresh food is accessible. The markets, now financially supported by Sweetgreen, serve more than 10,000 visitors each week across the Los Angeles area. Some of them feature farmers that Sweetgreen relies on.

"Farmers markets have played a very important role in how we’ve built, developed and discovered our own food ethos," Jammet said. 

In the company's early days, Jammet and his co-founders frequently visited the Dupont Circle Farmers Market in Washington, D.C. It was where they built direct relationships with local producers, which later "formed the foundation of Sweetgreen’s first menu," Jammet said.

The company still buys from the farmers it first built relationships with 15 years ago, Jammet said. 

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"In the midst of inflation, it’s important for consumers and businesses to support small food growers and markets," he added.

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While he frequently hears how tough the restaurant business is, he said "it’s way harder being a farmer."

"There's no business harder. And their margins can be so tight, and a lot of them are living season to season," Jammet said. "Often I think the farmers markets are where farmers actually make most of their margin because they're buying and selling direct to customers. So, it's a really important revenue source for a lot of farmers." 

Jennifer Grissom, executive director of Food Access LA, said these markets make it "possible for farmers to earn up to four times more than they would through traditional grocery settings."