Virginia’s Vision for CEA: A Conversation with Secretary of Agriculture Matthew Lohr on Growing a Sustainable Future
To set the stage for the upcoming CEA Summit East in Danville, we talked with Matthew Lohr, Virginia’s Secretary of Agriculture and Forestry, to explore how the Commonwealth is fostering innovation and growth in the controlled environment agriculture (CEA) sector. From innovative workforce development programs to forward-thinking policies, Secretary Lohr shares insights into the state’s strategic initiatives under Governor Glenn Youngkin’s administration. With a commitment to both traditional agriculture and CEA, he discusses the synergies between these sectors and the exciting opportunities ahead for the Commonwealth’s agricultural future.
Virginia has positioned itself as a leader in controlled environment agriculture (CEA). What key factors do you believe have contributed to this success, and how do you see the state continuing to support the growth of this industry?
Over the last decade, Virginia has been actively engaged in controlled environment agriculture (CEA), but it was our current governor Glenn Youngkin who elevated CEA as a top priority of the administration. Our mid Atlantic location is key, giving us the ability to reach two thirds of the U.S. population within a two-day drive.
As agriculture constantly evolves, the innovative technologies of CEA engage a new generation of farmers and agriculturalists. Virginia has embraced this evolution and has seen tremendous growth by capitalizing on a broad based, bipartisan support from both local and state officials. We have championed successful changes in tax policy the last two years that have attracted CEA companies. Virginia is also uniquely investing in financial incentive programs from TWO state agencies; the Virginia Economic Development Partnership (VEDP) and Virginia Department of Agriculture and Consumer Services (VDACS). We provide top-notch industry driven research led by the CEA Innovation Center in Danville. Finally, Virginia is deeply engaged with middle school, secondary and post-secondary levels of education to develop broad based, technical curriculums focused on CEA and other agricultural technologies.
With your background in both traditional farming and CEA, how do you view the role of indoor agriculture in the broader agricultural landscape of Virginia? What synergies do you see between these two sectors?
As a 5th generation poultry and livestock farmer, I have been very engaged in traditional agriculture my entire life. Here in Virginia, agriculture is our largest industry and represents an annual economic impact of over $82 billion. I see the CEA industry not as competing with our traditional farms but as supplementing our growth and success. The vast majority of all leafy greens and vegetables are grown on the west coast and in the deep south, not in Virginia. CEA opens the door for a whole new generation of people interested in growing food to get involved. Especially in non-traditional urban growing areas across the state.
Indoor farming relies on less land, water and growing inputs, while reducing labor and foodborne illnesses. In some instances, CEA research is actually helping outdoor farms develop crop varieties that are more productive, efficient and resistant to disease and pests.
Workforce development is crucial for the success of the CEA industry. What steps is Virginia taking to ensure a skilled and ready workforce to meet the demands of this rapidly growing sector?
Virginia has pioneered several programs that create an early interest in indoor farming and agriculture technology as early as middle school. GO TEC: The Great Opportunities in Technology and Engineering Careers (GO TEC™) initiative developed a unique, five-week CEA module that allows middle school students to experience a full plant growth cycle. This program introduces students to critical sectors like electrical engineering, quality control, automation, and manufacturing engineering. GO TEC has been very successful across 40 middle schools and there are plans to expand this program into high schools.
Virginia community colleges are developing courses and associate degrees based on Ag Tech. These courses allow students the flexibility to gain broad science and mechanical skill sets. Virginia Western Community College in Roanoke is working with stakeholders to create an ATE (Advanced Technological Education) program. With an emphasis on two-year colleges, the ATE program focuses on the education of technicians for the high-technology fields that drive our nation’s economy. Reynolds Community College also offers an associates degree in applied science in Horticulture Technology and a certificate in Sustainable Agriculture. In addition, Virginia Tech has partnered with the Institute for Advanced Learning and Research (IALR) to research and develop educational programming to further advance CEA operations. Sweet Briar College near Amherst is creating an integrated curriculum across several majors that allows students to get hands-on CEA experience in their on-campus greenhouse. These exciting programs are both creating an awareness of indoor farming while developing the necessary skills for success in tomorrow’s agricultural industry.
What specific initiatives or policies are currently in place, or being developed, to attract and support CEA companies in Virginia? How does the state balance fostering innovation while ensuring sustainable practices?
Over the last few years, the Youngkin administration has worked to advance several legislative policies that support the CEA industry. In 2023 a bill was passed that allows Virginia to provide a sales and use tax exemption to businesses investing in new CEA infrastructure, including greenhouses, hydroponic systems, and other growing equipment. These credits help offset the initial capital investment and encourage companies to adopt CEA technologies. Another bill that passed in 2024 classifies indoor agriculture/CEA equipment as “farm equipment,” allowing it to be exempted from personal property taxes in localities that provide such exemptions. In the 2025 legislative session, we will be exploring legislation that addresses energy usage and efficiencies within the CEA industry.
The area of research is another area that attracts CEA companies. Innovative research led by the CEA Innovation Center develops strategic partnerships with both industry and academia. The Center conducts research and develops educational programs that promote and advance the CEA sector in the U.S. and abroad. The Center also features various hydroponic and soilless systems including indoor growth rooms, greenhouses, growth chambers, and vertical growing racks. High-tech engineering fuels innovative research and demonstration crops. Robotic imaging, analytical chemistry, and biotechnology are also highlighted. In addition to research, the CEA Innovation Center’s scientists design and provide educational activities to train employees, farmers, and companies on controlled environment technologies and crop production.
Looking ahead, what do you see as the biggest challenges and opportunities for the CEA industry in Virginia, and how is your office preparing to address or capitalize on them?
The biggest challenges I see facing CEA growth in Virginia are energy usage, site development and access to capital. There are many growing demands on our energy grid that Governor Youngkin is addressing through an “All of the Above” energy plan that focuses on reliability, innovation and environmental stewardship. Shovel ready sites for large scale projects are another top priority for the administration. We have made major investments in these sites that will be necessary for future growth. Finally access to capital is a major challenge for large scale projects. As the economy has softened and inflation has increased, access to capital has become more difficult.
Despite the challenges, there are still many exciting opportunities still ahead for Virginia CEA. We are continuing to develop the infrastructure framework that will sustain a growing industry. More investments in research and state incentives will attract even more of these indoor farms of all sizes. There are opportunities on the horizon that may include partnering indoor farms with data centers that would create amazing synergies with heat, carbon and fertilizers. There will also be even more opportunities to build on our solid educational system across multiple educational levels. It is an exciting time for CEA in Virginia, but I envision an even brighter future ahead.
For farmers. By farmers. That’s how 
This was mainly to help us grow a team, open two new offices (Hello Austin!) and to market ourselves in the industry. We are also aware that large farming projects can take months to get going, so we also have some operating capital to ensure we are able to grow for years to come.
Kentucky is my home state and I do love it. But, it also makes sense strategically to build an AgTech hub in Central Appalachia for a few reasons:
Change begins with education. We recognized the need for a consumer movement to encourage folks to learn where their food comes from and understand that their purchases matter. The Fight the Food Fight campaign is a call to action that asks consumers to join us in creating a more resilient food system designed for the long-term wellbeing of people and planet by supporting products that promote sustainable farm operations and good, living-wage jobs in agriculture.
As we work to build a hub of sustainable agriculture in Central Appalachia, we know we need to create an AgTech ecosystem with good education at all levels. That’s why we are investing in the next generation of farmers and futurists by supporting high school AgTech education. We have launched seven container farms since the start of our program, with a goal to have 20 across Central Appalachia to serve as a model across the U.S.
These free-standing training facilities are made from shipping containers retrofitted with the latest sustainable agriculture technology, including energy-efficient LED grow lights and a closed-loop irrigation system that teaches students how to use up to 90% less water and grow up to 30 times more food in the same amount of space compared to traditional open-field agriculture. One container farm classroom can produce the equivalent of three to five acres of traditional agriculture, and the technology in each unit is a good example of what AppHarvest employees use every day on a larger scale.
