Economics Archives - Page 55 of 67 - California Agriculture News Today

California Grown gets new chairwoman

By Mike Hornick; The Packer

Cherie Watte, executive director of the California Asparagus Commission, is the new board chairwoman of California Grown, succeeding Kasey Cronquist, chief executive officer of the California Cut Flower Commission.

The Buy California Marketing Agreement manages the California Grown campaign.

Executive committee members on the California Grown board include vice chair Spencer Halsey, associate director of the California Association of Gardens and Nurseries; and secretary treasurer Karla Stockli, chief executive officer of the California Fig Advisory Board.

Before becoming executive director of the California Asparagus Commission, Watte was director of international trade policy at the California Department of Food and Agriculture. She was also appointed manager of the department’s agricultural export program by then-Gov. Pete Wilson.

Prior to her CDFA appointment, Watte was the director of national affairs and research for the California Farm Bureau Federation. Other roles included legislative assistant to congressman Tony Coelho on the U.S. House of Representatives committee on agriculture. She is a former member of the U.S. Department of Agriculture’s agricultural trade advisory committee on fruits and vegetables.

“(Cherie) knows firsthand what it takes to be an active farmer in California, since she is the fourth generation of her family to farm in the Imperial Valley,” Nick Matteis, executive director of California Grown, said in a news release.

“We have a lot going on with consumer promotions and newly formed retail and foodservice partnerships,” Watte said. “Farmers and ranchers in California face many challenges, and this program is a bright spot for them.”

Cronquist guided the campaign through the revamping of its promotions program and membership expansion.

Patrick Cavanaugh2016-05-31T19:33:28-07:00September 2nd, 2014|

Californian kiwifruit industry forecasts good fruit quality

Source: Fresh Fruit Portal

The upcoming season looks as though it should be a relatively positive one for Californian kiwifruit growers, with normal production, good fruit quality, and strong domestic market conditions.

California Kiwifruit Administrative Committee assistant director Nick Matteis said that as of the board’s latest meeting in July, the industry was anticipating a production of around 6.8 – 7 million seven-pound tray equivalents.

“That’s about average, based on producing acreage and what our growers are able to get produced per acre. It’s about a normal size crop, and the distribution of sizes will be pretty normal as well,” Matteis told www.freshfruitportal.com.

“It’s not lopsided towards larger sizes necessarily nor smaller sizes – there should be a good variation in size profile. The quality looks to be good as well, though at this juncture of course we still have a month and a half of growing season left.”

The board of directors will hold another meeting in September to take one last look at the estimates and see if anything dramatic has occurred.

Matteis said although it didn’t sound like growers have had serious problems with the state-wide drought, he could not be sure due to the vast area they covered.

“It’s hard to generalize how people are going to be affected because we have growing regions closer to the northern area and some further to the south with a couple of hundred miles in between,” he said.

“Most folks are pumping groundwater because there’s zero allocation from the state and federal water resources departments.

“So I think everybody’s going to make it just fine this year – I guess I could summate – but there is some pretty significant groundwater pumping that’s going on now to keep flows where they need to be to get to harvest.”

He added demand looked like it would be strong going into the season, with the first harvest expected to take place around six or seven days earlier than last year.

“Probably at the end of September we’ll start seeing some of the first fruit harvested, but the harvest being in full swing is usually around the first or second week of October,” Matteis said.

“The actual harvest will go till the end of November and then the marketing season will run from October all the way to April.”

Generally around 70-75% of the fruit is sold to the North America market, with Canada and Mexico being the two biggest importers.

Patrick Cavanaugh2016-05-31T19:33:28-07:00September 1st, 2014|

Ag Alert update: Milk-pricing bill withdrawn

Source: Ag Alert

California Department of Food and Agriculture Secretary Karen Ross announced Wednesday that milk-pricing legislation will not be pursued during this legislative session.

In a statement, she acknowledged that timing on Assembly Bill 2730 “was not ideal,” but that she was “compelled to see if we could get something done this year.”

“Since the August 13^th Task Force meeting, a tremendous amount of progress has been made, but not enough,” she said.

Ross did not say whether the department will pursue reform legislation again next year or discuss the future role of the Dairy Task Force.

Watch for further coverage in the Sept. 3 issue of Ag Alert.

Patrick Cavanaugh2016-05-31T19:33:28-07:00September 1st, 2014|

Commentary: Russian ban shows the folly of using food as a weapon

By Stewart Truelsen; AgAlert

We can only guess how the decision was made for Russia to ban food imports from most of the Western world, but perhaps it went something like this: President Vladimir Putin was sitting with some of his old pals from his KGB days. Putin was desperate for a way to retaliate against the West for its economic sanctions leveled against Russia for intervening to help the rebels in Ukraine. He asked for suggestions.

“Why not a boycott of their food?” suggested a former Soviet general, remembering the grain embargoes of the 1980s. “The Americans, they hate food boycotts and embargoes.”

That much is true—American farmers and ranchers hate the use of food as a weapon. In January 1980, President Jimmy Carter announced a U.S. embargo of grain and oilseed shipments to the Soviet Union because of its invasion of Afghanistan. The American Farm Bureau Federation thought it was unwise to single out American farmers by using food as a weapon of foreign policy. If sanctions were needed, AFBF preferred they be across the board, not just on food.

The grain embargo of 1980 proved to be a failure. It stimulated more grain and oilseed production in South America to fill the void left by the U.S. Fifteen months later, when President Reagan ended the Carter embargo, it had cost American farmers around $1 billion in lost export business.

This time, the biggest losers will not be American farmers.

“This is clearly a political move,” said AFBF President Bob Stallman of Putin’s ban on food imports. “It is unfortunate that the biggest losers will be the Russian consumers, who will pay more for their food now as well as in the long run.”

The old Soviet Union was dependent on American grain and oilseeds in the 1970s and ’80s, to make up for harvest shortfalls that were common under the communist system. Beginning in the 2000s, the three major grain-producing regions of the former USSR—Russia, Ukraine and Kazakhstan—became major grain exporters.

In 2013, Russia was the 20th largest market for U.S. agricultural and related product exports, accounting for less than 1 percent of total U.S. agricultural exports. Approximately 55 percent of these export products will be affected by the ban.

(For California, Russia ranked as the 15th largest export market in 2012, with shipments totaling $144.7 million, or about 1 percent of the state’s total agricultural exports. Almond shipments accounted for roughly 70 percent of the Russian purchases, but the Almond Board of California estimated Russia represented only about 3 percent of the export market for California almonds.)

Neither side, therefore, is as dependent on the other as they were in the past. Soviet grain deals once provided a huge stimulus to the American grain market. Nothing like that exists between Russia and the U.S. On the other hand, Europe supplies 40 percent of Russia’s agricultural market and will feel the sanctions more.

The idea to use food as a weapon is a bad one. American farmers could have told Putin that. Whoever suggested it to him should be put on the next train to Siberia. The Russian people have been turned into unwilling locavores, having to rely much more on locally produced food and paying more for it.

Patrick Cavanaugh2016-05-31T19:33:28-07:00August 29th, 2014|

US rice farmers see opportunity in China – from the Los Angeles Times

By David Pierson

Gregg Yielding was given a quixotic task: travel to China and determine if consumers there would be willing to eat American rice.

So he set up tables at some of the most popular supermarkets in southern China, hung American flags and began dishing out steamy samples of rice from Arkansas and California.

“At first they’d say, ‘There’s rice in the U.S.?” said Yielding, head of emerging markets for the U.S. Rice Producers Assn., a Houston-based trade group. “And we’d have to show them a map to explain that it’s grown in California and the South. Then they’d try it, and they would really like it.”

Chinese importers, distributors and grocery chains lined up. Selling U.S. rice to China seemed like a slam-dunk. But eight years after Yielding’s first venture on behalf of the U.S. industry, not a single shipment of American rice has officially made it into Chinese hands.

That won’t happen until the two countries agree on a so-called phytosanitary protocol, which determines the necessary steps U.S. rice exporters must take to mitigate pests such as insects. The disagreement highlights the growing pressure on U.S. agricultural producers to either accommodate China or risk being shut out of the world’s largest emerging consumer market.

That might not have mattered a decade ago when U.S. farmers could rely on domestic buyers or traditional foreign markets such as Mexico and Canada. Today, China’s swelling appetite for food is touching agribusiness everywhere and forcing companies to choose whether to adapt.

Those that comply are seeing dividends. American agricultural exports to China rose to a record $25.8 billion last year from $5 billion a decade earlier.

Until a few years ago, no one would have considered exporting much rice to China, the world’s largest producer and consumer of the grain.

Tim Johnson, president and chief executive of the California Rice Commission, called it “the ultimate example of selling ice to the Eskimos.”

But starting in 2012, China went on a spree, scooping up millions of tons of the grain from countries such as Vietnam, Pakistan and India. China is now on pace to import a record 3.4 million tons of rice this year — six times more than it did in 2011, according to the U.S. Department of Agriculture.

Other industries remain shut out. The U.S. beef industry is still trying to overturn a 2003 ban on American cattle over mad cow disease. Starting late last year, nearly a million tons of U.S. corn have been rejected at Chinese ports because of inclusion of an unapproved genetically modified strain. And some American pork imports were halted this month over fears they contained traces of ractopamine.

“Demand is growing so quickly in China for so many food products — and with so many places to get them from — China can pick and choose,” said Jim Harkness, a senior advisor on China for the Institute of Agriculture and Trade Policy in Minneapolis. “From a U.S. perspective, it looks like the Chinese are being picky and erecting non-tariff barriers for political reasons. But I think from the Chinese perspective, the U.S. is an outlier in some cases. Ractopamine is banned in over 100 countries.”

In addition to China, the European Union and Russia also ban the additive. It’s deemed a risk to people with cardiovascular problems.

While other products struggle to win access, the U.S. rice growers are hopeful that officials in Washington and Beijing can come to terms as early as next year. If they do, analysts estimate, U.S. rice exports to China could reach several hundred million dollars a year. That would make China a top buyer of the American grain, on par with Mexico and Japan.

Though it produces only 2% of the world’s rice, the U.S. accounts for nearly 10% of the rice traded globally — enough to make it the fifth-biggest exporter. About half the rice grown in the U.S. ends up abroad. Still, rice consumption in China is so high the country could eat through America’s annual production in 17 days.

California’s Sacramento Valley produces about one-fifth of America’s rice, generally a stickier medium grain that’s popular in north Asia and often is used in sushi. The rest is mostly long grain grown in the southern U.S. in states such as Arkansas, Louisiana, Mississippi and Texas.

The growing Chinese appetite for imported rice may partly reflect surging food demand, analysts said. But it’s mostly driven by arbitrage, as government policies have kept domestic rice prices high to protect Chinese farmers. Rice mills in China decided it was cheaper to buy foreign supplies.

American rice producers can’t meet that sort of mass demand — nor do they want to. Their interest is in selling packaged rice to China to fill a high-end niche. The rice producers association’s survey of Chinese consumers buttressed that idea. Despite the concerns of Chinese regulators, shoppers in China overwhelmingly perceived U.S. rice as a safe alternative in a country hit by myriad food safety scandals.

Josh Sheppard, a fourth-generation rice grower in Biggs, Calif., about 60 miles north of Sacramento, said he’d welcome Chinese buyers because they probably would pay more for his grains than U.S. customers — much the way Japanese buyers currently do. That’s especially important now when drought has cut rice acreage in the state by 25%.

“We don’t want to compete down in the gutter. We consider ourselves a premium product, like a fine wine,” said Sheppard, who heads a rice farming cooperative in Butte County that’s already made plans to export to China.

The cooperative is managed by Stuart Hoetger, co-founder of Stogan Group, an agricultural consulting firm in Chico, Calif. Hoetger has arranged a partnership between the rice growers and Chinese food and agriculture conglomerate Wufeng.

Medium grain rice known as Calrose grown by the cooperative is being shipped in limited quantities to Chinese ports, where Wufeng is redirecting it to customers in small markets such as the Solomon Islands, the idea being Hoetger and his growers will be ready to ship to China shortly after a trade agreement is finalized.

“If China asks for something, you do it,” Hoetger said. “You ask any farmer that’s sold to China in the last few years and they’ll tell you they’ve made a lot of money.”

Patrick Cavanaugh2016-05-31T19:33:28-07:00August 29th, 2014|

Drought lessons from a sheep rancher

Source: Brad Hooker, UC Davis

While a severe drought continues to devastate California agriculture, one sheep rancher in Oroville has found a centuries-old solution at the bottom of his wood stove — and researchers at UC Davis are paying attention.

After dumping ash from a weekend cookout in his backyard, Mel Thompson noticed the grass grew a little better. On the advice of Glenn Nader, a UC Cooperative Extension farm advisor based in Yuba City, Thompson took the initiative to research wood ash on his own, going as far as to establish a connection with an Oroville-based energy plant 20 minutes away, which was paying millions to deliver wood ash to the landfill.

Today, the difference in growth from that wood ash can be seen in two adjoining pastures on Thompson’s foothill ranch. One layered in ash three years ago has chest-high grass despite the drought, while the untreated pasture has considerably shorter ground cover.

While the benefits of supplementing crops with ash have long been known, the UC Davis researchers were interested in specifically how it was altering the soil composition to promote plant growth and how it could help other ranchers in this Northern California region.

“It has improved our feed production significantly,” says Thompson. “With that, in conjunction with fencing and the rotational grazing, we seem to be doing OK through this drought period.”

Ken Tate, a plant sciences professor and a Cooperative Extension rangeland watershed specialist, recently surveyed more than 500 ranchers and says Thompson falls into the roughly 5 percent of California ranchers practicing these types of strategies in hopes of gaining more productivity from their land.

“Mel is what we call an early adopter, someone who has a large toolbox and a lot of information that he makes use of,” Tate says. “He’s an innovator and experimenter in the industry.”

Patrick Cavanaugh2016-05-31T19:33:28-07:00August 28th, 2014|

Drought leaves Tulare County homes without water

By Associated Press

Hundreds of rural San Joaquin Valley residents no longer can get drinking water from their home faucets because California’s extreme drought has dried up their individual wells, government officials and community groups said.

The situation has become so dire that the Tulare County Office of Emergency Services had 12-gallon-per person rations of bottled water delivered on Friday in East Porterville, where at least 182 of the 1,400 households have reported having no or not enough water, according to the Porterville Recorder.

Many people in the unincorporated community about 52 miles north of Bakersfield also have been relying on a county-supplied 5,000-gallon water tank filled with non-potable water for bathing and flushing toilets, The Recorder said.

Emergency services manager Andrew Lockman, said the supplies of bottled water distributed by firefighters, the Red Cross and volunteer groups on Friday cost the county $30,000 and were designed to last about three weeks but are only a temporary fix. To get future deliveries, officials are asking low-income residents to apply for aid and for companies to make bottled water donations like the one a local casino made a few weeks ago.

“Right now we’re trying to provide immediate relief,” Lockman said. “This is conceived as an emergency plan right now.”

Officials said the problem is partly due to the shallowness of some residential wells in East Porterville that are replenished by groundwater from the Tule River, the Fresno Bee said. But river flows are way down due to the ongoing drought, leaving some wells dry.

East Porterville resident Angelica Gallegos fought back tears as she described being without water for four months in the home she shares with her husband,, three children and two other adults.

“It’s hard,” she told The Bee. “I can’t shower the children like I used to.”

Farmworker Oliva Sanchez said she still gets a trickle from her tap, but dirt started coming out with the water about a week ago.

“I try to use the least possible. I’ll move if I have to,” she said.

Along with experiencing inconvenience and thirst, some residents have been reluctant to speak up about being waterless because they are afraid their landlords will evict them or social workers will take their children away, The Recorder reported.

“We want to make it abundantly clear we are not going to make this harder for anyone,” Lockman stressed. “These lists aren’t going anywhere. (Child Welfare Services) isn’t getting a list. They (CWS) made it abundantly clear they are not going to remove children because of no water. We just want to help the people.”

Patrick Cavanaugh2016-05-31T19:33:29-07:00August 26th, 2014|

Farm Beat: Farmers can sell near and far

Source: John Holland; The Modesto Bee

At one event next month, food producers can learn about exporting to China, South Korea and Southeast Asia. At another, they can learn about selling to school cafeterias close to home.

A Sept. 10 trade show, A Taste of California, will bring Asian food buyers to Fresno to see what the state has to offer in the way of fruits, vegetables and other goods. The Ceres Chamber of Commerce is a partner in the event and invites producers in Stanislaus County to take part.

On Sept. 19, the third annual Northern California Farm to School Conference will take place at the Stanislaus County Agricultural Center. It will deal with how to get local food onto schoolkids’ plates, along with educational activities related to farming.

The close timing of the events highlights the dual nature of food production in the San Joaquin Valley.

On the one hand, growers and processors serve local markets. This was by necessity in the days before trucking and refrigeration. Now it’s by choice for people who like to eat truly fresh food and to support nearby farmers.

On the other hand, exports play a key role in keeping Valley agriculture thriving. The majority of our almonds and walnuts go to other nations. Industries that mostly sell domestically – dairy, wine, canned tomatoes and others – count on foreign sales to boost their income.

Last week, Stanislaus County reported that its gross farm income hit a record $3.66 billion in 2013. Most of it was from U.S. buyers, but the report also touched on exports. A total of 133 commodities were shipped to 102 countries. Dollar figures were not broken out, but it’s safe to say that plenty of foreign money entered the local economy and sustained many jobs.

The Fresno show offers ways to boost the trade even more. The tickets are pricey, at $250 or $500, but they could be worthwhile if food producers score new markets abroad.

“We are so excited to be a part of this international event,” said Renee Ledbetter, president of the Ceres chamber, in a news release. “We recognize this as a great opportunity not only to help promote Ceres producers and exporters, but to promote food and ag businesses throughout Stanislaus County.”

The organizers said the Asian buyers want to see a variety of products, including dried fruits and nuts, processed produce items, frozen foods, confections, beverages, spices, sauces, jams, breads, grains and pastas.

The delegation will go to similar events next month in Oakland and Los Angeles. They are put on by the California Centers for International Trade Development in collaboration with the state Department of Food and Agriculture.

The farm-to-school event also could open new markets for farmers and processors in the Valley. It is part of one movement that seeks to make school meals healthier and another that aims to connect consumers with farmers and reduce hauling costs.

And there’s an extra treat on the agenda that day – a cooking contest modeled on the “Iron Chef” television show.

Patrick Cavanaugh2016-05-31T19:33:29-07:00August 26th, 2014|

Regulatory Agency and Farmworkers Negotiate Accord

A farmworker advocacy group and the agency that regulates pesticide use in Monterey County today announced the establishment of a farmworker advisory committee to advise the agency and to connect field workers to resources that the agency can use to help them. “The advisory committee gives us direct access to farmworker leaders; to their concerns and to their suggestions,” commented Eric Lauritzen, the Agricultural Commissioner of the County of Monterey.

“This gives us the opportunity to engage in positive, productive conversations that will help us fulfill our obligations to the farmworker community and to the agricultural industry in general.”

Farmworker leaders trained by the Center for Community Advocacy (CCA) will compose the advisory committee.

“CCA strives to develop leadership capacity among farmworkers at the neighborhood level,” explained Juan Uranga, CCA’s executive director and lead attorney. “We use CCA’s housing, health and poder popular programs to spot, recruit and engage neighborhood leaders throughout the Salinas and Pajaro valleys.

These leaders first improve conditions in their housing units and neighborhoods. We then create venues where these neighborhood leaders can use their collective power to strengthen their families and create positive change in their communities.”

Six of these CCA-trained neighborhood leaders will comprise the advisory committee.

“We are excited about creating this opportunity,” said one of the CCA neighborhood leaders. “We are pioneers and we hope we’ll be able to work together to help our brothers and sisters who work in the fields. We had a ‘meet and greet’ session with the Commissioner and his staff and we were impressed by their willingness to work with us.”

The Committee will advise the Commissioner’s Office on policies and practices as they impact field workers in Monterey County. The advisory committee and the Agricultural Commissioner’s Office will strive to improve protocols that protect farmworkers from pesticide exposure and other protocols within the Commissioner’s jurisdiction that protect the health and safety of farmworkers.

The partnership will also help disseminate information about resources and programs that the Commissioner’s Office can make available to the farmworker community.

The advisory committee comes after negotiations that led to a Statement of Purpose between CCA and the Agricultural Commissioner’s Office.

The Statement describes the following functions for the committee:

To meet at regular intervals with the Commissioner and his/her staff to exchange information and ideas that will improve the safety of farmworkers.
To help disseminate safety information from the Commissioner’s Office to the farmworker community, as the need arises
To host annual community dialogues where farmworkers and the Commissioner’s Office meet to discuss the Commissioner’s jurisdiction over agricultural lands in Monterey County.
To promote a more sustainable agricultural economy in Monterey County by protecting its most critical resource: farmworkers.

Discussions about forming the committee began several years ago when the Agricultural Commissioner’s Office and Poder Popular, then a program of the Community Foundation for Monterey County and since a CCA program, hosted a community forum.

Working through a rocky start, both the Commissioner’s Office and CCA saw the incredible potential in developing a working relationship. The two agencies had never worked together. Each had questions about the other’s willingness to work cooperatively.

The two agencies developed their relationship by working together on several projects including the AgKnowledge Program hosted by the Grower-Shipper Foundation and a series of small forums between the Commissioner’s Office and CCA-trained leaders. Now, both the Agricultural Commissioner’s office and CCA look forward to this joint effort.

Patrick Cavanaugh2016-05-31T19:33:29-07:00August 25th, 2014|

USDA Reopens Chinese Market Access for California Citrus

Source: CDFA

Agriculture Secretary Tom Vilsack announced that California citrus farmers will be able to resume exports to China this season. California citrus exports are valued at $30 million annually.

“Resuming trade before the start of the 2014 citrus shipping season is the result of a lot of effort by a number of USDA employees, who worked very closely with their foreign counterparts to resolve China’s concerns,” said Vilsack. “Their extra effort means California citrus growers can once again ship to this important market.”

A series of scientific exchanges between the USDA’s Animal and Plant Health Inspection Service (APHIS) and China’s General Administration of Quality Supervision, Inspection, and Quarantine (AQSIQ) resulted in an agreement for California citrus to again be exported to China. APHIS and USDA’s Foreign Agricultural Service worked closely with the U.S. citrus industry to ensure the successful outcome.

In April 2013, California-origin citrus was suspended from entering the Chinese market due to interceptions of brown rot (Phytophthora syringae), a soil fungus that affects stored fruit. Over the next year, USDA worked with China to address China’s plant health concerns and reopen the market for California citrus exports.

Noting the importance of the Chinese market for U.S. citrus producers, Secretary Vilsack raised the issue with Chinese officials during the U.S.-China Joint Commission on Commerce and Trade in December 2013. In April 2014, APHIS and AQSIQ officials met to discuss a proposed work plan that included protocols to effectively reduce the pest risk on citrus product shipped to China. As a result of these discussions, U.S. and China officials finalized an agreement to resume exports on Aug. 3, 2014.

The Obama Administration, with Secretary Vilsack’s leadership, has significantly expanded export opportunities and reduced barriers to trade, helping to push agricultural exports to record levels. U.S. agriculture is experiencing its best period in history thanks to the productivity, resiliency, and resourcefulness of our producers and agribusinesses.

Today, net farm income is at record levels while debt has been halved since the 1980s. Overall, American agriculture supports one in 12 jobs in the United States and provides American consumers with 83 percent of the food we consume, while maintaining affordability and choice. Strong agricultural exports contribute to a positive U.S. trade balance, create jobs, boost economic growth and support President Obama’s National Export Initiative goal of doubling all U.S. exports by the end of 2014.

Patrick Cavanaugh2016-05-31T19:33:30-07:00August 22nd, 2014|