Housing Market Recovery Helps Timber Producers

Source: Steve Adler; Ag Alert

Home construction in California is on the upswing as the housing sector slowly recovers from the dramatic downturn of the recession that saw home prices and new construction plummet.

Going hand in hand with the increase in home building is the demand for lumber for framing, moldings, doors, fences and other uses. California timber producers say they welcome the increased demand for lumber, but are held back by the regulatory climate in the state that cuts into their bottom line.

As a result of added costs and restrictions on timber harvest, California forestry owners say they have difficulty competing with their counterparts in Washington, Oregon and British Columbia who work in a more business-friendly climate.

An estimated two-thirds of the building materials utilized in California comes from the Pacific Northwest and Canada’s westernmost province.

“Lumber production in California has dramatically fallen off from where we were a couple decades ago,” said Mark Pawlicki, director of corporate affairs for Sierra Pacific Industries in Anderson. “We are harvesting around 1.4 billion board-feet of timber now in California, and that is less than half of what it used to be. A lot of the fallout has been because of the reduction in sales of timber in national forests. It is a combination of regulations involved and a philosophical change within the U.S. Forest Service that occurred back the 1990s.”

Timber owner Peter Bradford of Booneville, who serves as board liaison to the California Farm Bureau Federation Forestry Advisory Committee, said the high cost of regulations “adds a substantial amount” to the price of California timber.

“We are very over-regulated when compared to Washington, Oregon or British Columbia,” Bradford said. “There is a lot of material that comes in from Oregon and Washington because the cost to get a harvest plan to log the trees is easier and much less costly than it is here. It is time, paperwork and cost here in California.”

Despite these challenges, timber owners in California say they are more optimistic than they were a few years ago, when the market for timber had decreased significantly.

“Prices right now aren’t the greatest, but they are better than they were five years ago. For some of the redwood that we are selling this summer, we’ve been given a price of around $900 for 1,000 board-feet. Back in the heyday of the late 1990s, we were receiving $1,500 for that same amount of lumber,” Bradford said.

Pawlicki noted that lumber is a cyclical market.

“As everyone knows, housing construction has been way off in recent years, but it has been gradually coming back. We have seen improvements in U.S. housing construction and along with it improvements in lumber pricing,” he said.

There are currently about 30 lumber mills in California, a decline of 80 mills since the 1990s.

“With the downturn that we experienced in lumber demand, a lot of sawmills closed in California and we are roughly in balance now with supply and demand,” Pawlicki said. “As demand goes up, we expect to see some pricing increases for lumber—not dramatic, but nevertheless steady. And that helps us to maintain our industry here in California.”

Producing more lumber in California to meet the state’s demand, he said, would require “some significant changes in the regulatory world.”

“Folks are not too inclined to build a new sawmill in this state with the regulatory environment that we have,” he said.

Another concern is the tight labor supply, particularly for employees who are experienced in timber harvest and millwork.

“Labor is a tremendous issue in the timber industry right now, trying to get people who are able to do the work,” Bradford said. “This is frequently something you are born into and you know how to do it.”

The labor shortage is felt most acutely in the mills, according to Pawlicki.

“We are experiencing some difficulty filling jobs, particularly millwrights and technical folks in our mills. These mills now are very technical and computerized systems for sawing lumber. It requires a different skill-set than what was required in the past,” he said.

The California drought creates concerns for foresters for several reasons, including increased fire danger and a slowdown in tree growth that corresponds to the lack of water for the trees’ root systems.

“The drought stresses the trees and we will see some tree die-off. We are concerned that we may lose a lot of trees to drought—and when that happens, insect infestations occur and that kills even more trees, and this creates an increased concern for catastrophic wildfires,” Pawlicki said.

Bradford said wildfire concerns also build because of the problems that small landowners face in trying to harvest their timber.

“The amount of environmental review that they have to go through to get a timber harvest permit and the cost to get that review done, with the market value of timber now, makes it economically undesirable. As a result, some of these properties are being sold for home sites. With this increased population comes an increase in the fire danger,” he said.

Bradford said he has seen a buildup in understory in the forests—shrubs, bushes and grasses—that has created dangerous fire conditions.

“That is the worst part of it. The other thing, of course, is that without the normal amount of rainfall, the trees won’t grow as fast as usual. But that is something that is pretty hard to measure,” he said.

Despite the ongoing challenges facing the timber business, Pawlicki noted some positive signs.

“We are optimistic that the market is going to improve domestically. We are seeing some improvements in operating conditions in California, and we are seeing some improvements in the legislative and regulatory front that have helped us,” he said.

Patrick Cavanaugh2016-05-31T19:35:27-07:00June 9th, 2014|

USDA Announces Programs to Conserve Sensitive Land, Help Beginning Farmers

WASHINGTON, June 4, 2014 – Agriculture Secretary Tom Vilsack today announced that farmers, ranchers and landowners committed to protecting and conserving environmentally sensitive land may now sign up for the Conservation Reserve Program (CRP). The Secretary also announced that retiring farmers enrolled in CRP could receive incentives to transfer a portion of their land to beginning, disadvantaged or veteran farmers through the Transition Incentives Program (TIP).Vilsack continued, “The average age of farmers and ranchers in the United States is 58 years, and twice as many are 65 or older compared to those 45 or younger. The cost of buying land is one of the biggest barriers to many interested in getting started in agriculture. The Transition Incentives Program is very useful as we work to help new farmers and ranchers get started.”

The Conservation Reserve Program provides incentives to producers who utilize conservation methods on environmentally-sensitive lands. For example, farmers are monetarily compensated for establishing long-term vegetative species, such as approved grasses or trees (known as “covers”) to control soil erosion, improve water quality, and enhance wildlife habitat.

CRP consists of a “continuous” and “general” sign-up period. Continuous sign up for the voluntary program starts June 9. Under continuous sign-up authority, eligible land can be enrolled in CRP at any time with contracts of up to 10 to 15 years in duration. In lieu of a general sign-up this year, USDA will allow producers with general CRP contracts expiring this September to have the option of a one-year contract extension. USDA will also implement the 2014 Farm Bill’s requirement that producers enrolled through general sign-up for more than five years can exercise the option to opt-out of the program if certain other conditions are met. In addition, the new grassland provisions, which will allow producers to graze their enrolled land, will enable producers to do so with more flexibility.

The Transition Incentives Program provides two additional years of payments for retired farmers and ranchers who transition expiring CRP acres to socially disadvantaged, military veteran, or beginning producers who return the land to sustainable grazing or crop production. Sign up will also begin June 9. TIP funding was increased by more than 30 percent in the 2014 Farm Bill, providing up to $33 million through 2018.www.fsa.usda.gov.

Both the CRP and TIP were reauthorized by the 2014 Farm Bill. The Farm Bill builds on historic economic gains in rural America over the past five years, while achieving meaningful reform and billions of dollars in savings for taxpayers. Since enactment, USDA has made significant progress to implement each provision of this critical legislation, including providing disaster relief to farmers and ranchers; strengthening risk management tools; expanding access to rural credit; funding critical research; establishing innovative public-private conservation partnerships; developing new markets for rural-made products; and investing in infrastructure, housing and community facilities to help improve quality of life in rural America. For more information, visit www.usda.gov/farmbill.

Cultivating New Farmers and Ranchers- CDFA

Farm demographics continue to change in California. The average age of a farmer is 58 years old, relatively few heirs are willing to take over farms, and fewer people are interested in becoming farmers because of a variety of challenges. This dynamic is made more troublesome by the fact that food demand is expected to double worldwide by the year 2050. As a result, the opportunity and need for California farmers will be significant, and the cultivation of new farmers and ranchers is more important than ever.

Patrick Cavanaugh2016-05-31T19:35:28-07:00June 4th, 2014|

Could CDFA’s ACP Control Policy Devastate Our Citrus Industry Like Florida’s?

Citrus Industry is Fired Up Over Softened ACP Control Policy

By Patrick Cavanaugh

It seems that CDFA officials are giving up on controlling the Asian Citrus Psyllid (ACP) in Central California citrus growing areas! It sure looks like it.

Ever since the May 12 ACP trappings in the Lindsay area of Tulare County, there has been a major back-step in what has been an aggressive mandatory spray program to control any possible live psyllids within an 800-meter radius around the trap.

Now CDFA is suggesting that the spray programs should be voluntary and only 400 feet around the trap find.

According to Joel Nelsen, president of the Exeter-based California Citrus Mutual, “The conversation relative to the change in eradicating or treating for the ACP came about with a discussion between a few members of the scientific community and the department.”

“Frankly, the industry was unaware of this possible change in the program. When it was first released to the AG commissioner, it shocked everybody–is my understanding,” Nelsen said.

“And as a result, last Friday afternoon, the executive committee members from our pest and disease management committee had a very direct conversation with senior leadership of the CDFA. I understand that the conversation was extremely candid, somewhat emotional; if the industry to is going to be supporting a program to the tune of 15 million dollars, they want a say in how the program is run. And evidently, the Department of Agriculture is making some subjective decisions that we don’t believe are appropriate.”

“From my perspective, there were mistakes made at the onset of this program that we had to learn from; and if we don’t take seriously—psyllid control, psyllid control, psyllid control!—we’re going to end up in the same type of quandary that our colleagues in Florida, Texas, Mexico and even Brazil are in.

Too many psyllids, an endemic population, some of which will contract citrus greening disease and eventually contaminate citrus trees, could devastate central California’s $2 Billion industry. “If we even allow one psyllid to continue to foster a population, then we have failed at our effort. And so from the perspective of Citrus Mutual, we are in an eradication mode,” Nelsen said.

“We are in a position in which we can find isolated psyllids and treat, and we are in position where continuous trapping and tapping (with bats and trays in searching for psyllids) and intensive trapping is not finding an endemic population. So for the department to argue that the population is endemic, its a ‘what if’ scenario that we don’t think is appropriate.”

Nelsen said that the pushback by his pest and disease management committee might have made a difference. “I haven’t received anything, but I think that conversation last Friday afternoon yielded some intended results. There’s a reconsideration, and I give a lot of credit to the industry members who stood up the department; but until it happens, its not real,” he said.

Patrick Cavanaugh2021-05-12T11:06:01-07:00June 3rd, 2014|

Governor Brown Issues Proclamation Declaring Real California Milk Month

Source: CDFA

Governor Edmund G. Brown Jr. issued a proclamation declaring June 2014 as “Real California Milk Month” in the State of California.

The text of the proclamation is below:

PROCLAMATION

California prides itself on its vibrant agricultural sector, of which the dairy industry forms a key part. Our dairy farms contribute in innumerable ways to the state’s economic prosperity.

California’s dairy farmers’ hard work has made them leaders in the field. Their leadership has resulted in the annual production of over 40 billion pounds of milk, accounting for about twenty-one percent of the nation’s entire supply.

The landscape, economy, health, and nutrition of California would not be the same without our dairy farms. I urge all Californians to take time to appreciate the privilege of living in one of the world’s great dairy-producing regions, and to support our industry by buying milk and other dairy products from our Golden State.

NOW THEREFORE I, EDMUND G. BROWN JR., Governor of the State of California, do hereby proclaim June 2014, as “Real California Milk Month.”

IN WITNESS WHEREOF I have hereunto set my hand and caused the Great Seal of the State of California to be affixed this 29th day of May 2014.

Patrick Cavanaugh2016-05-31T19:35:29-07:00June 3rd, 2014|

Clean Water Act: Farm Bureau Takes Its Case to Head of EPA

Source: Christine Souza; Ag Alert

As momentum builds encouraging federal agencies to abandon a proposal to expand their enforcement authority under the Clean Water Act, California Farm Bureau Federation leaders met with the head of the U.S. Environmental Protection Agency, urging her to see firsthand the impact the proposal would have on family farmers and ranchers.

During an annual federal policy trip to Washington, D.C., last week, a Farm Bureau delegation met with EPA Administrator Gina McCarthy, whose agency—along with the U.S. Army Corps of Engineers—proposed the rule changes last month.

The proposal would expand the definition of the term “waters of the United States” under the Clean Water Act, potentially allowing EPA and the Corps to regulate virtually every area of ground that gets wet or has flow during rainfall.

The change would expand regulatory authority to many land features including puddles, ponds, ditches, temporary and small wetlands, giving the agencies the power to regulate and potentially prohibit land-use and farming practices in or near them.

During her meeting with the Farm Bureau delegation, McCarthy said she is interested in understanding the concerns of agriculture and that she would like to maintain an open dialogue with those who would be affected by the proposed rule.

CFBF President Paul Wenger suggested to McCarthy that EPA officials take time to tour California farms and ranches, perhaps tying in the visits with a planned EPA outreach meeting on the proposed rule, tentatively scheduled for mid-July in Berkeley.

“We think it’s critical that people from the EPA see for themselves how this rule could hamstring routine farming and ranching activities,” Wenger said after the meeting. “We appreciate Administrator McCarthy taking the time to visit with us in Washington to hear directly from people who would be affected by the rule, and having EPA officials visit farms and ranches would provide them with information that no amount of written or verbal comments could provide.”

Aimee Meidinger, operations manager of Brokaw Nursery in Ventura, said the expanded definition of waters of the U.S. “could affect our ability and decisions to farm on my family’s avocado orchard. The definition of navigable waters is being changed to encompass almost all areas where water settles, regardless if they are seasonally wet or not.”

Farmers in California are very proactive in working with the current Clean Water Act regulations, Meidinger said, through use of irrigated-lands groups, surface and groundwater monitoring, pesticide use reporting and continuing education.

“We are good stewards of the land,” Meidinger said. “This proposal cannot be a one-size-fits-all national policy.”

Patrick Cavanaugh2016-05-31T19:35:29-07:00May 31st, 2014|

USDA Launches New “Healthy Eating on a Budget” Section of ChooseMyPlate.gov Site

Source: CDFA

The U.S. Department of Agriculture has unveiled Healthy Eating on a Budget – the newest addition to ChooseMyPlate.gov. Consumers continue to want more information about how to make better eating decisions with limited resources.

To meet this need, the USDA’s Center for Nutrition Policy and Promotion (CNPP) developed the new resource to include easy-to-use and insightful information about planning meals, shopping smart in the grocery store, and preparing foods that save money and time in the kitchen.

“Although healthy foods aren’t always more expensive, many low-income people face time and resource challenges when it comes to putting healthy food on the table,” said Agriculture Secretary Tom Vilsack. “Promoting nutritious food choices can have a positive impact on improving the health and diet quality of Americans. USDA offers a broad spectrum of strategies to empower low-income families to purchase healthier foods.”

Consumers who visit the Healthy Eating on a Budget section of ChooseMyPlate.gov will learn ways to plan, purchase, and prepare healthy meals. The new web pages provide families with tips and strategies to help save money and plan a healthier diet.

The new section includes the latest addition to the MyPlate 10 Tips Nutrition Education Series, Save More at the Grocery Store which emphasizes simple-to-use tips to help consumers make decisions as they walk down a supermarket aisle. Dozens of additional strategies are featured in the new section including using unit pricing, reading food labels to compare items, and checking sales on store brands.

“This resource not only demonstrates that it is possible to eat healthfully on a budget, but it shows how,” said CNPP Deputy Director Jackie Haven. “These new pages complement our existing resources on ChooseMyPlate.gov, allowing consumers to figure out how to improve their nutrition, and how to make it affordable.”

Healthy Eating on a Budget supports other initiatives in progress at USDA to encourage healthy eating among more Americans.

With so many food options available, it is often difficult for consumers to determine the best foods to put on their plates when the budget is tight. Healthy Eating on a Budget provides practical information to help more Americans understand their options and supports USDA initiatives to help families make healthy eating a priority in their daily lives.

Patrick Cavanaugh2016-05-31T19:35:29-07:00May 30th, 2014|

Golden Rice Refusal Kills Millions

Source: Don Curlee, Hanford Sentinel

A University of California report has exposed the injustice that prohibits a genetically engineered additive to rice. Without it, the death of millions of children has occurred, notably in Africa and India.

The researcher opinion lays the blame for the international prohibition of producing golden rice through genetic engineering on powerful forces that hide behind environmentalism.

California, one of the world’s major rice producers, is ready to supply the vitamin enriched product, especially for export.

The UC report appears in the current issue of the university’s respected Update, a bi-monthly publication compiled by the Agriculture and Natural Resources Department. The authors are Justus Wesseler, professor for Agriculture and Food Economics at Technical University, Munich; Scott Kaplan, research assistant at Energy Biosciences Institute at UC Berkeley, and David Zilberman, professor in the Agricultural and Research Economics department at UC Berkeley.

The GE process for folding vitamin A into rice, transforming it to golden rice, has been well understood since 2000, but efforts to gain approval have been opposed by powerful regulators, particularly in India and Bangladesh.

Both countries are known for the staggering incidence of disease, disabilities and lagging development resulting from a lack of vitamin A in the diets of their citizens.

The authors of the UC report point out that the creation of golden rice could have saved millions of lives and avoided blindness, vulnerability to childhood infections, anemia and poor growth in millions since the engineering process for adding the vitamin was discovered in 1999.

The researchers recall that the nearly worldwide objection to creating golden rice was led by Greenpeace. It was perhaps the most notorious radical environmentalist group at the turn of the century, characterized by a series of risky, but widely reported escapades aimed at derailing broadly-accepted programs and activities that were in the news.

The movement’s objections were always based on what it perceived as dangers to the environment.

Dr. Patrick Moore, Chair and Spokesperson, “Allow Golden Rice Society”.

A 2012 Greenpeace publication states, “If introduced on a large scale, golden rice can exacerbate malnutrition and ultimately undermine food security.” Authors of the UC report elaborate by saying that Greenpeace fears that golden rice may accelerate the adoption in developing countries of other GE crops perceived by Greenpeace and others to be very dangerous.

The report also refers to the 180-degree turnabout by former Greenpeace leader and co-founder Patrick Moore, who now promotes a group called “Allow Golden Rice Society.” He has recognized that the poor have paid the majority of the price of the fight against GE technologies. Dr. Moore published a book in 2011 called, “Confessions of a Greenpeace Dropout: The Making of a Sensible Environmentalist”.

The UC report says that a large and growing body of literature indicates that GE varieties have produced a significant amount of real benefit throughout the world.

Publication of the report seems to be an invitation to everyday environmentalists, often fans of radicals and extremists like Greenpeace, to back off a bit and realize the harm and human suffering that have resulted from blocking the humanitarian approval of golden rice.

“Even though GE has been introduced in few crops, its impact on agricultural production is immense because it has increased productivity substantially,” the UC report states. “Furthermore, its impact on productivity has been higher in developing versus developed countries … (but) … its potential has not been realized.”

The UC paper suggests that policies regulating GE technologies need to be reassessed. Perhaps that reassessment needs to begin with a bunch of hangers-on environmentalists in your community and mine who haven’t yet determined that many environmentalist beliefs and policies have nothing to do with human welfare.

Patrick Cavanaugh2016-05-31T19:35:30-07:00May 23rd, 2014|

Lodi 10th Annual Zinfest a Celebration of Community

A message from Karen Ross; California Agriculture Secretary

I recently was invited to Lodi to join that region’s Winegrape Commission in celebrating the 10th annual “Zinfest.” It’s a great example of food and wine events that create local economic activity and foster direct communication between consumers and farmers.

Zinfest is very well done – a testament to the visionary leaders who created the Lodi Winegrape Commission, and to the outstanding farm families that have forged partnerships with the local community to make it known that Lodi is a premium grape-growing and wine-making region.

I’d like to thank the commission for its kind invitation and I hope I get to celebrate many more Zinfests!

Patrick Cavanaugh2016-05-31T19:35:30-07:00May 23rd, 2014|

Stopgap Efforts Aim to Ease Water Shortages

Source: Kate Campbell; Ag Alert

Farmers and water agencies throughout California are turning to the “Three Ts”—water transfers, trades and treated wastewater—as they try to fill some of the supply gaps caused by drought and resulting water shortages.

In farming communities around the state, neighbors are helping each other, for example by running pipes from more productive wells to a neighbor’s farm.

Late-season rains improved the possibility for water transfers among water districts. More regions are delving into making treated municipal wastewater available for irrigation.

“It’s definitely an ‘all-hands-on-deck’ approach to an emergency situation,” California Farm Bureau Federation Water Resources Director Danny Merkley said. “Some of these stopgap efforts may help farmers prevent orchards or vineyards from dying. We have been encouraging state regulators to remove bureaucratic barriers to short-term water supply plans, while keeping ourselves focused on the continuing need for long-term water storage projects.”

In one new initiative, the Sonoma County city of Healdsburg has moved ahead with plans to make 1 million gallons a day of treated wastewater available for vineyard irrigation and construction uses.

Efforts to make the water available began in mid-February, and the first deliveries through two 6,600-foot pipelines began last week. A new, purple hydrant outside the city treatment facility offers free water to farmers who sign up to take supplies by tank truck.

The city estimates the current supply will augment irrigation for about 25,000 acres of vineyards.

Healdsburg Mayor Jim Wood told people gathered to celebrate the treatment plant’s first transfers to tank trucks that gaining the necessary permits for the project “turned out to be a lot harder than we thought.” Wood said officials worked hard to finalize the project “in an amazingly short amount of time.”

The chair of the State Water Resources Control Board, Felicia Marcus, praised the Healdsburg project as an example of local leadership backed up by the work of the regional water board.

“To make recycled water more readily and easily available for other appropriate agricultural and outdoor uses, the state board has proposed a general permit to allow recycled water projects to opt into, or enroll, in a pre-permit program,” Marcus said, adding that the new permit program is scheduled for adoption in the first week of June.

There currently are about 250 water recycling plants operating statewide, with more planned for the future. About half of all treated wastewater produced in the state is used for irrigating crops, with additional projects in the planning stages.

“Water recycling will certainly be part of the solution for California’s long-term water problems, but farmers who use recycled water should not forfeit their existing, long-term water rights,” Farm Bureau’s Merkley said, “and the state’s water portfolio must also include a commitment to build new storage facilities, both above and below ground, to add the flexibility our current water system lacks.”

Water transfers can add short-term flexibility to the system, he added, noting that some transfers appear to be underway this spring to bring partial supplies to certain water-short farming regions.

“People are doing the best they can with the limited water supplies this year, but it won’t be enough for many farmers and rural communities that will still face crop failures, job losses and severe economic hardship,” Merkley said. “This is going to be a tough year for many people in many parts of California. We hope we can avoid such severe water shortages in the future by investing now in new storage plus recycling, desalination and other strategies to move our water system into the 21st century.”

Patrick Cavanaugh2016-05-31T19:35:31-07:00May 22nd, 2014|

New Pilot Program Offers Coverage for Fruits and Vegetables, Organic and Diversified Farms

Agriculture Secretary Tom Vilsack today announced a new risk management option that will be available for fruit and vegetable growers and producers with diversified farms.

The policy, called Whole-Farm Revenue Protection, will provide flexible coverage options for specialty crop, organic and diversified crop producers. The program will be implemented in counties across the country and will expand in availability over the next several years.

Whole-Farm insurance allows farmers to insure all crops on their farm at once, rather than insuring commodity by commodity.

Traditionally, many fruit and vegetable crops have not had crop insurance programs designed for them—making it less attractive for a farmer that primarily planted a commodity crop like wheat or corn to use another part of his or her land for growing fruits and vegetables or other specialty crops.

This allows farmers greater flexibility to make planting decisions on their land.

“Crop insurance has been the linchpin of the farm safety net for years and continues to grow as the single most important factor in protecting producers of all sizes from the effects of unpredictable weather,” said Vilsack.

“Providing farmers the option to insure their whole farm at once gives farmers more flexibility, promotes crop diversity, and helps support the production of healthy fruits and vegetables. More flexibility also empowers farmers and ranchers to make a broader range of decisions with their land, helping them succeed and strengthening our agriculture economy.”

The 2014 Farm Bill requires a whole-farm crop insurance policy option, and paves the way for the Risk Management Agency (RMA) to make it broadly available to specialty crop, organic, and diversified growers.

The Federal Crop Insurance Corporation Board of Directors (FCIC Board) approved the Whole-Farm Revenue Protection pilot policy for RMA to offer it through the federal crop insurance program in 2015.

USDA has taken many steps to provide effective insurance coverage for diversified, organic and specialty crops. The whole-farm crop insurance policy provides flexibility to meet the needs of specialty crop growers, organic producers and those with diversified farms, and who have farm production and revenue history, including five years of historic farm tax records. This policy is also part of USDA’s commitment to small and mid-sized producers managing diversified operations.

USDA has been strengthening crop insurance by providing more risk management options for farmers and ranchers.

The policy offers coverage levels from 50 to 85 percent; recognizes farm diversification through qualification for the highest coverage levels along with premium rate discounts for multiple crop diversification.

The Market Readiness Feature, as outlined in the Farm Bill, simplifies insurance coverage for producers under the Whole-Farm Revenue Protection pilot policy by allowing the costs such as washing, trimming, and packaging to be left in the insured revenue instead of having to adjust those amounts out of the insured amount.

The new Whole-Farm Revenue Protection policy combines Adjusted Gross Revenue (AGR) and AGR-Lite along with several improvements to target diversified farms and farms selling two to five commodities, including specialty crops to wholesale markets.

The new policy is also designed to meet the risk management needs of diversified crop or livestock producers including those growing specialty crops and/or selling to local and regional markets, farm identity preserved markets, or direct markets.

As part of the pilot, Whole-Farm Revenue Protection will be available where AGR and AGR-Lite are currently offered, and will expand to other counties as data are available for underwriting and actuarial ratemaking.

RMA will release information on the policy later this summer when it becomes available. This information will be announced on the RMA website at www.rma.usda.gov.

According to the CDFA, California’s agricultural abundance includes more than 400 commodities. The state produces nearly half of US-grown fruits, nuts and vegetables. Across the nation, US consumers regularly purchase several crops produced solely in California.

Patrick Cavanaugh2016-05-31T19:35:31-07:00May 21st, 2014|