Trees and Vines

California Growers Confront Labor Issues

Labor Issues—Costs and Farmworker Shortages—Challenge Growers

By Brian German, Associate Broadcaster

 

This year, farmers grappled with labor issues such as shortages and increased labor costs. Some growers had more than enough workers available, while others experienced difficulty in meeting their labor needs. Dave Phippen, co-owner of Travaille & Phippen Inc., a vertically integrated company that grows, packs and ships their own almonds, described some of their struggles with labor this year. “We employ a little more than 50 people year-round, but for harvest we ramp up an extra 15-20 people. There was a squeeze on the availability of the labor and a challenge with what we thought was an acceptable rate of pay,” said Phippen.

almond assessment increaseAs minimum wage increases incrementally every year, growers will struggle to keep up with the higher wages. “There was a new reality in the typical forklift driver, people working in receiving, people sampling,” Phippen elaborated. “We’re paying a little bit more for all of those tasks this year, and because there were more employment [opportunities], it was harder to find people who were available and willing to work.” Phippen also noted that employees “were requiring a greater compensation rate than last year for the same job.”

Travaille & Phippen’s operation has had to reevaluate employee compensation. Phippen explained the principle that as minimum wage increases, compensation rates compress, such that a person who was earning $15 used to be $5 above minimum wage, but is now is only $4 above minimum wage,” Phippen said.

The current federal minimum wage, established in 2009, is $7.25 per hour, up from $5.85 just two years prior. Of the top 10 agricultural producing states in the country, only 4 have minimum wage rates higher than the federal level. California and Massachusetts have the highest minimum wage levels of any other states.

Travaille & Phippen was already compensating a great deal of their labor force above minimum wage; however, to stay competitive and retain their workers, they increased their compensation rates, which caused a ripple effect throughout the supply chain. As their labor costs increased, they had to charge growers more for processing. “It had a big impact on them,” said Phippen, “particularly because those growers are receiving less revenue for their crop this year than they did last year. It was quite a squeeze for our growers and we were caught in the middle of that squeeze,” Phippen explained.

almond-tree-shaking-harvestingLabor issues have also been a significant concern for Mark Van Klaveren, a diversified farmer in Madera who grows almonds, watermelons and Thompson seedless grapes. Van Klaveren noted that timing plays a big role in their labor situation. “Since we tend to pick our Thompson seedless late, when there is a lot of sugar, we were able to get plenty of labor because most of the other vineyards were finished. Their farmworkers were looking for someplace to work.”

Van Klaveren reported that labor proved more challenging for their other crops. “I have a steady crew for watermelons, although with the new laws coming into effect, we are going to have to make some changes and mechanize a lot more of that harvest,” Van Klaveren noted.

Labor costs will become further complicated in the years ahead as overtime limitations established in AB 1066 phase in, beginning in 2019, with all agricultural operations expected to be in compliance by 2025. The combination of increased wages and the limitation of hours will change the way many farms operate. Some growers will increase mechanization. Others growers of labor-intensive crops may replace their crops with commodities that require fewer hours to harvest.

Van Klavern noted, “The only options we have are to mechanize or get out—one of the two. We can’t afford to produce at the same prices we’re getting right now with much higher labor costs. Some machinery out there can do what we need to do and we will look real hard to get some of that in our operation,” said Van Klavern.

An economic analysis conducted by the Highland Economics firm, shows AB 1066 having significant consequences for California agriculture. The study found the policy would reduce farm production as well as farmworker income, and the new time constraints on farmworkers would negatively impact California’s overall economy.

Van Klaveren is skeptical the new legislation will create any positive outcomes. “Workers want to put in the hours. They want to work. If we’ve got to pay them higher wages to start with, and then overtime on top of that after eight hours? There are certain jobs that won’t sustain the higher wages,” Van Klavern said.

In addition to increased costs for employers, increased minimum wage negatively affects workers who are trying to get their foot in the door of a farming operation. When the government raises the entry-level wage so high that people really have to produce a lot per hour, Van Klavern clarified, inexperienced applicants will suffer. “If you cannot produce a volume of work that is worth $15 an hour or more, you cannot work because nobody is going to hire you to lose money,” noted Van Klaveren.

Collectively, farmers are looking at overall labor cost increases between 5 and 15% over the next few years, depending on the crop. Van Klavern expressed a widely-held view that continued government intervention, particularly in the area of wages, is making farming in California unnecessarily difficult. “The whole issue of employment is a private agreement between an employee and employer, as in, ‘I will work for you for so much an hour and try to produce to your expectations.’ In other words, if somebody is willing to work for $8 an hour, why not let them work for $8 an hour? If it is fine with them and fine with the employer, then why not?” said Van Klavern.

The costs of labor and limitations on farmworker hours, combined with the costs of water and increasing environmental regulations, may prove insurmountable for California agriculture. “The economics is all simple, but the government steps in and complicates everything. I guess that leaves it to us to have to figure out how to swerve between all the regulations and stay in business,” noted Van Klavern.

2016-10-07T10:51:51-07:00October 7th, 2016|

CULTIVATING COMMON GROUND: Water Use Efficiency Grants

Water Use Efficiency Grants: Beneficial or Double Jeopardy for California Farming? Or both?

 

By Patrick Cavanaugh, Farm News Director

 

Through a competitive joint pilot grant program, the Agricultural Water Use Efficiency and State Water Efficiency and Enhancement Program, the California Department of Water Resources (DWR) and the California Department of Food and Agriculture (CDFA) jointly intend to demonstrate the potential multiple benefits of conveyance enhancements combined with on-farm agricultural water use efficiency improvements and greenhouse gas reductions.

The grant funding provided in this joint program is intended to address multiple goals including:

  • Water use efficiency, conservation and reduction
  • Greenhouse Gas Emissions Reduction
  • Groundwater Protection, and
  • Sustainability of agricultural operations and food production
Agricultural Water Use Efficiency & State Water Efficiency and Enhancement Program – DWR/CDFA Joint RFP Public Workshops

Agricultural Water Use Efficiency & State Water Efficiency and Enhancement Program – DWR/CDFA Joint RFP Public Workshops

Are these competitive grants promoted by DWR and CDFA providing financial support for further compliance or insulting to farmers who have already met and exceeded these stockpiling regulations? Or both?

I would like to address each goal, one by one.

Water Use Efficiency

I challenge DWR and CDFA to find one California farmer who is using water inefficiently or without regard to conservation. Grant or no grant, many farmers in the state have lost most of their contracted surface water deliveries due to the Endangered Species Act, which serves to save endangered species, an important goal we all share, but does so at any cost.

In addition, DWR is now threatening to take 40 percent of the surface water from the Tuolumne River and other tributaries of the San Joaquin River from February 1 to June 30, every year, to increase flows to the Delta to help save the declining smelt and salmon. This will severely curtail water deliveries to the Modesto Irrigation District (MID) and Turlock Irrigation District (TID)—population centers as well as critical farm areas.

MID TID Joint LogoThis proposal, which disregards legal landowner water rights and human need, would force MID and TID to dedicate 40 percent of surface water flows during the defined time period every year, with no regulatory sunset, for beneficial fish and wildlife uses and salinity control. The proposal disregards other scientifically acknowledged stressors such as predatory nonnative non-native striped bass and largemouth bass, partially treated sewage from Delta cities, and, according to the Bay Delta Fish & Wildlife Office of the U.S. Fish & Wildlife Service Pacific Southwest Region, invasive organisms, exotic species of zooplankton and a voracious plankton-eating clam in the Delta from foreign ships that historically dumped their ballast in San Francisco waters.

While many farmers have fallowed their farmland, other farmers across the state have resorted to reliance on groundwater to keep their permanent crops (trees and vines) alive. The new DWR proposal to divert 40 percent of MID and TID surface water will force hundreds of growers in this region—the only groundwater basin in the Valley that is not yet critically overdrafted—to use more groundwater. 

In a joint statement, MID and TID said, “Our community has never faced a threat of this proportion. MID and TID have continued to fight for the water resource that was entrusted to us 129 years ago.”

The deadline for submitting public comments is September 30, 2016.

Greenhouse Gas Reduction

Have regulators forgotten Assembly Bill (AB) 32, the Global Warming Solutions Act of 2006, that requires the state to reduce its greenhouse gas emissions by 25 percent (back to 1990 levels) by 2050? Ag is already accommodating this regulation.

U.S. Greenhouse Gas Emissions (Source: EPA) https://www.epa.gov/ghgemissions/sources-greenhouse-gas-emissions

U.S. Greenhouse Gas Emissions (Source: EPA)

Now Governor Brown has signed SB-1383, “Short-lived climate pollutants: methane emissions: dairy and livestock: organic waste: landfills” into law that mandates a 25 percent reduction in methane emissions from cow burps, flatulence and manure from all dairy cows and other cattle to achieve the 1990 statewide greenhouse gas emissions level by 2020.

Now CDFA and DWR are asking for grant requests to reduce greenhouse emissions even further. Really?

The deadline for submitting public comments is September 30, 2016.

Groundwater Protection

Ironically, farmers want to reduce their groundwater needs because groundwater has always functioned in the state as a water savings bank for emergency use during droughts and not as a primary source of irrigation. But massive non-drought related federal and state surface water cutbacks have forced farmers to use more groundwater.

Golden State farmers are doing everything possible not to further elevate nitrates in their groundwater. Some nitrate findings left by farmers from generations ago are difficult to clean up.

But the DWR and CFA grant wants California agriculture to do more!

The deadline for submitting public comments is September 30, 2016.

Sustainability of Agricultural Operations and Food Production

Virtually, no one is more sustainable than a multi-generational farmer. Each year, family farmers improve their land in order to produce robust crops, maintain their livelihoods, enrich the soil for the long term, and fortify the health and safety of their agricultural legacy for future generations.

California farmers will continue to do all they can to improve irrigation methods and track their crop protection product use.

And so, I ask again, is this beneficial or double jeopardy for California farming? Or both?

The deadline for submitting public comments is September 30, 2016.

2021-05-12T11:17:12-07:00September 26th, 2016|

Eighteen New California Farm Academy Graduates!

Eighteen New Farmers Graduate from California Farm Academy

 

By Patrick Cavanaugh, Farm News Director

 

The California Farm Academy, a part-time, seven-month, beginning farmer training program run by the Land-Based Learning, graduated 18 new farmers on Sunday, September 18, 2016.

 

With more than 250 hours of classroom and field training behind them, these enterprising graduates were honored by notables such as Karen Ross, secretary, California Department of Food and Agriculture (CDFA); Craig McNamara, president and owner of Sierra Orchards, as well as president of the California State Board of Food and Agriculture; Sri Sethuratnam, director, California Farm Academy (CFA); and Mary Kimball, executive director, Center for Land-Based Learning, based in Winters California.

new farmers graduate from California Farm Academy beginning farmer training program run by the Land-Based Learning.

Eighteen new farmers graduated from California Farm Academy’s beginning farmer training program run by the Center for Land-Based Learning.

 

“The impetus of our program,” said Christine McMorrow, director of development for Land-Based Learning, “is the need for more farmers as the current ones age out. According to the USDA, over 700,000 new farmers will be needed in the next 20 years to replace those who retire.

 

CFA teachers, farmers, academic faculty and staff, and agricultural, natural resource and business professionals, teach CFA students basic production agricultural practices; crop planning; soil science; pest management; organic agriculture; irrigation and water management; marketing; ecology and conservation; obtaining loans, insurance and permits; farm financials; human resource management; risk management; farm safety; regulatory compliance and problem-solving.

 

McMorrow stated, “These folks have been with us since February, following a rigorous application process. A lot of these folks either have land they have dreamed of farming but did not know how to put it into production. Some of them come from farming families, but they wanted to get involved in the family business on their own. They may have been in a different career and now want to do something new or different. Perhaps they haven’t studied agriculture or they have not seen much agriculture other than what their family does, so this is an opportunity for them to learn and to explore a new business idea.

 

“We only take people who are serious about production agriculture. This is not a program for somebody who thinks, ‘I’ve got an acre in my backyard and I really want to grow something.’ While that’s a cool thing to do, the academy is not for those people.”

 

“Our graduating farmers, who range in age from their late 20s to early 50s, each wrote a business plan and presented it to folks within the agriculture industry,” said McMorrow. “They also planted some of their own crops on a farm in Winters.

 

McMorrow elaborated, “These new farmers have been able to create their own networks, having made contact with more than 40 different folks within the agricultural industry throughout the time they spent with us. These networks include local farmers around Yolo County, Solano County, Sacramento County, and other regions, and will help our graduates realize their dreams.”

 

California Farm Academy (CFA) We grow farmers

“This is the fifth class that has graduated,” explained McMorrow, “and mind you, these folks are doing lots of different things. Some of them already have their own land, some are going to work for someone who has land, some will work other farmers, and some will go into a food-related business.”

 

“Still others will stay and lease small plots of land from us,” McMorrow commented, “to start their own farming business. Beginning farmers face huge barriers to getting started, the biggest of which is access to land, capital and infrastructure. So, to get their farming businesses started, California Farm Academy alumni are eligible to lease land at sites in West Sacramento, Davis and Winters at a very low cost.”


The Center for Land-Based Learning exists to cultivate opportunity.

For the land.

For youth.

For the environment.

For business.

For the economy.

For the future of agriculture.
2021-05-12T11:00:49-07:00September 19th, 2016|

Unique Wines Earn Packaging Design Awards

California Wines Win Packaging Design Awards for Innovation

By Laurie Greene, Editor 

 

Some interesting smaller California wineries won special awards during the third annual Wines & Vines Packaging Conference last month in Yountville, California, but not for the quality of their wine. It was all about what contained the wine—the packaging.

 

Jim Gordon, editor of Wines & Vines magazine that sponsored the awards, said, “One of the most interesting developments these days is the proliferation of different wine packaging types and designs. We decided to get a handle on that by starting the Wines & Vines Packaging Design Awards a couple of years ago.”

 

Out of 135 vintner and supplier entries from North American wineries, five wine packaging designs convinced a panel of five experts that they have what it takes to sway consumers to stop in the wine aisle to give the product a closer look. Packages were judged on their creativity, visual appeal, design functionality, appropriateness for the price segment and the package’s ability to stand out in a crowded marketplace.

 

Each package entered contained wine, was filled between Aug. 1, 2014, and July 31, 2016, and is currently available or was available to the general public between those dates. Submissions included wine boxes, wine bottles, wine bags or cans.

Wines & Vines 2016 Packaging Design Awards Winners (Source: Wines & Vines)

Wines & Vines 2016 Packaging Design Awards Winners (Source: Wines & Vines)

The winners of the 2016 Wines & Vines Packaging Design Awards are:

Supplier Contest

Most Outstanding Package–Supplier 

Stranger & Stranger’s design of Run Riot Pinot Noir

Run Riot, a Treasury Wine Estates brand created by Stranger & Stranger, an international design firm, is a “critter” brand with a purpose and a story about a wild boar that rampages through the vineyard. The wine label includes a fascinating die-cut and graphic.

Most Innovative Package–Supplier 

Quest Industries’ “masked spray” on a bottle of Reed Wine Cellars’ 2011 Lodi Cabernet Sauvignon

The bottle exterior is spray-coated in a unique process on the upper half in dark red.

 

Winery Contest

People’s Choice Most Innovative Package

One87 Wine & Cocktails’ single-serving plastic wine “glass” and “stem”

Designed by OGW/France, this single-serve container is a PET plastic, BPA-free vessel, 100% recyclable with a smooth glass-like rim and a guaranteed shelf life of 12 or more months.

 

Most Innovative Package–Winery

Rubin Wines’ Q&A brand packaging

A traditional bottle as well as a box wine was recognized for its large graphics. Each bottle of this new brand, known as “Q & A,” included sets of questions and answers that differed from bottle to bottle.

 

People’s Choice Most Outstanding Package

Wooden Bottle Wine Co.’s 2009 Pinot Noir

This wine was actually in a lathe wooden bottle designed and patented by owner Marcos Oliver crafted entirely of wood from the Thai rubber trees, lined with an FDA-approved, non-toxic product that protects the wine from wood and oxygen infusion.


Featured Photo: Wooden Bottle Wine Co.’s 2009 Pinot Noir, courtesy of Wines & Vines magazine.


Resources:

2016 Wines & Vines Packaging Design Awards

5 wine packaging designs win awards in Napa

Wine Packaging Design Awards Expand

Wooden and Plastic Wine Packages Win

2016-09-15T05:57:26-07:00September 15th, 2016|

Celebrating California Agriculture . . .

Celebrating California Agriculture . . .  An Ongoing Series

 

By Laurie Greene, Editor

 

Celebrating California agriculture is a refreshing perspective. Peterangelo Vallis, executive director of the Fresno-based San Joaquin Valley Winegrowers Association, has an astute viewpoint on California agriculture. Vallis said, foundationally, consumers loves farmers—unless those consumers have been exposed to oppositional or politicized messagingbut most have not been.

“You go talk to any random person in any city,” said Vallis. “If they’re not politicized, which most people aren’t, they are just trying to live their lives, eat their food and rear their children. And they love farmers because farmers make food,” Vallis said.

blue-diamond-a-can-a-week-is-all-we-ask

(Photo Source: Blue Diamond Growers)

“What have been some of the most effective agricultural campaigns in the country? Wendy’s ‘Where’s the Beef?’ Blue Diamond almonds, ‘A Can A Week, That’s All We Ask.’ These ads humanize who we are talking about.”

“How about the California Dancing Raisins? That was huge,” noted Vallis.  “Everyone in any part of the country remembers those raisins. That’s positive PR. That was positive recognition for Ag. We’ve got to be doing more of that.”

congress-created-dust-bowl Billboard on CA SR 99

Vallis advocates more positive PR, but says we need to take a different approach. “Instead of all these billboards running up and down [State Route] 99 that make us look like vigilantes with pitchforks, we need to take whatever money that took, buy some billboards in L.A. and San Francisco, Washington D.C., and New York with some happy kids, with a bowl full of veggies saying, “Thanks, mom! This was great!”

“This is basic, basic stuff because, realistically, we’re marketing the fact that we need help to make more food,” Vallis noted. “We’re making safe domestic food, but if we don’t engage with the people that are our customers, we’re never going to be able to get our ideas and our needs across, because we’re just not talking to the right audience.”

Statewide Drought Forces Californians To Take Drastic Measures For Water Conversation

“They’re not enough people here in the valley to move the needle. We’ve got to figure out a way to get San Francisco and L.A. appreciating our position, loving what we do, and trusting that we’re doing the very best job possible,” said Vallis.

2016-09-13T14:16:59-07:00September 13th, 2016|

Governor Signs AB 1066 Overtime Bill for Farmworkers

Governor Signs AB 1066 With Good Intentions

By Patrick Cavanaugh, Farm News Director and Laurie Greene, Editor

 

TODAY, Governor Jerry Brown signed AB 1066, the overtime bill for farmworkers, despite pushback from agricultural groups and farmworkers in the state. Ian LeMay, director of member relations & communications of the Fresno-based California Fresh Fruit Association, anticipates that not only will farmers in the state lose, but farmworkers, exports, and possibly consumers will lose as well. 

For years, California farm employees accrued overtime pay only after working a 10-hour day, instead of an 8-hour day, like most other employees in California. AB 1066 changes the overtime rules for farmworkers by gradually lowering overtime thresholds in steps over the next four years so farmworkers will eventually earn overtime after an 8-hour day.

The California farm industry has appreciated the prior overtime policy, according to LeMay, because agriculture is not a typical 52-week type of job. The workload of farming ebbs and flows with the seasons, weather, cultural practices and tasks.Farmworkers

For instance, harvesting of crops such as strawberries, citrus and table grapes, normally occurs during short 2- to 3-week periods in the state and is accompanied by an increase in demand for labor. As one might expect, the need for labor declines during non-harvest and non-planting phases, to the extent that farmworkers may endure periods of no work, and hence, no pay. So farmworkers have appreciated the opportunity to work extra hours and earn overtime during busier phases.

Labor costs for California growers of all fresh fruit, avocados and many vegetable crops will be most affected by this change. “This is going to have a very, very big impact on crops that require a high degree of labor like our stone fruit, table grapes and the rest,” said LeMay, “It’s definitely going to change the way our members have to approach doing business,” he said.

“When you compare it to the other states in the union that we are going to have to compete with,” LeMay elaborated, “when you take into account recent changes in minimum wage, piece-rate compensation, increasing farm regulations and now overtime, it’s going to be very difficult to compete not only in a domestic market, but also internationally. That’s the disappointing part about this.”

LeMay also explained that over the last 40 years, the California legislature has crafted labor law to create the highest worker standards in the U.S. “California was the only state in the union that had a daily threshold for overtime of [only] 10 hours per day, and we were one of four in the union that had a weekly threshold for overtime of [only] 60 hours. So in terms of ag overtime, California was already the gold standard.”

And, although lawmakers intended AB 1066 to help farmworkers, LeMay noted, “ultimately, the measure will impact farmworkers the most because farmers in the number one Ag state will find a way to keep its bottom line from eroding any further.

“California farmers will need to solve the puzzle of how to achieve the same amount of work in fewer hours per day,” said LeMay. “They will consider hiring double crews, increasing mechanization in packing facilities, orchards and vineyards, and reducing farm acreage to match their workforce. Or, for those commodities that require increased labor, you could see a transition to commodities like nut crops that use less labor.”

LeMay explained that during down periods on the farm, farmworkers generally collect unemployment, which is based on gross annual income. Now, by giving the farmer an incentive to reduce worker hours, farmworkers’ unemployment compensation may decrease as well.

Furthermore, for the consumer who desires fresh local food from small farms, the phase-in schedule AB 1066 provides to smaller companies is actually a competitive disadvantage. “While AB 1066 allows small farmers—those with fewer than 25 employeesmore time to phase in changes,” LeMay asked, “why would a farmworker stay at small farm under the prolonged 60-hour per week overtime threshold rule, when he or she could work at a larger farm under the phased-in 40-hour per week threshold?”

ab-1066-provisions

 

Are consumers willing to pay for increased labor costs on the farm? “As the saying goes,” LeMay quipped, “generally farmers aren’t price makers, they are price takers. Consumers are usually unwilling to pay extra for their produce, so farmers usually have to absorb increased costs.”

“Economically,” LeMay summarized, “the legislature has taken us from high labor standards to economically disadvantaging farmers and farmworkers. Lawmakers are not paying enough attention to keeping California companies viable, sustainable and successful.”

2016-09-12T18:40:13-07:00September 12th, 2016|

Episcopal Priest Becomes Farmer

Following His Heart to a Second Calling, Suburban Detroit Priest Becomes California Farmer

 

By Patrick Cavanaugh, Farm News Director

 

People change careers for a variety of reasons, but Ken Erickson took that notion to an extreme. Erickson, who had grown up in the Detroit suburbs and who was serving as an Episcopal priest in Detroit, received a phone call from relatives who had been farming in Sutter and Colusa Counties for 25 years.

 

“My aunt and uncle asked if I would be interested in coming to California to learn how to farm and help manage their orchards, which included walnuts, pecans, and olives for oil,” said Erickson. “So my family and I eventually made a decision to do just that, and it has been a big adventure for us.”

walnut orchard

 

Currently living in Meridian, Sutter County and working side by side with his cousin, Lars Jerkins, Erickson took stock, “We are enjoying living and working in the country. It’s great to work outside,” he said.

 

People often ask Erickson about the difference between farming and pastoring. “I tell people trees are like people; they need lots of nurture and care, but they don’t talk back,” he quipped.

 

But, of course, giving up his career as an Episcopal priest required a great deal of thought. “It was a hard decision,” Erickson explained. “It was a big change, but we decided to go for it. Here we are and learning from lots of people, especially from my aunt, uncle and cousin. And I have come to respect and appreciate the fact that the farming community is supportive. They want to help in any way. My family and I are here to stay.”

2016-09-06T17:50:08-07:00September 7th, 2016|

Brexit Hurts Wine Exports To U.S.

Brexit-Devalued Pound Hurts Wine Exports To U.S.

 

Jon Moramarco, managing partner of Bonded Winery 166 (BW 166 LLC), is a third-generation wine professional at the company that his grandfather, Giuseppe Moramarco, a tenth-generation wine professional émigré from Italy, acquired BW 166 LLC in Los Angeles from the Jesuits during Prohibition.

 

Moramarco explained the effects of Brexit on wine imports to the U.S. “The UK pound has dropped in value versus almost every currency,” he began. “The UK will not want to raise their price in British pounds, so it will probably drive them to become interested in any exports to the UK from the U.S. They will want to have a lower price in U.S. dollars, which will be tough for producers to do in the U.S.”

shutterstock_87596773 wine bottles

Continuing, “Now those [EU] European wine exporters are going to say, ‘Well, I don’t want to sell at that price to the UK. I’m gonna go try and sell more in the U.S.'” noted Moramarco. “So we will see more imports coming into the U.S. from Europe.”

 

“So you kind of have a double whammy for wine,” Moramarco concluded, “because they’ve kind of lost the margin in one of their key markets.” He anticipated “difficulty in exports with people wanting to drop price,” as well as a greater “increase in people wanting to import into the U.S.”

2016-08-31T13:10:33-07:00September 1st, 2016|

Tulare County Ag is Down But Strong

Tulare County Annual Crop Report is Down But Still Strong

 

By Patrick Cavanaugh, Farm News Director

 

The numbers are in for the 2015 Tulare County Annual Crop and Livestock Report.  Marilyn Kinoshita, Agricultural Commissioner/Sealer of Tulare County, reported, “We had an overall value of $6.9 billion, compared to last year, which was more than $8 billion,” which means the County led the nation in total crop value and dairy production, despite a decrease of nearly 14% in one year.

Tulare County’s top ten crops [crop value] in 2015 were:

  1. Milk
  2. Cattle & Calves
  3. Oranges- Navels & Valencias
  4. Grapes
  5. Almonds Meats & Hulls
  6. Tangerines – Fresh
  7. Corn – Grain & Silage
  8. Silage – Small Grain
  9. Pistachio Nuts
  10. Walnuts

Kinoshita explained, “Dairy is our number one industry here. Our milk production was off a little bit. We have fewer dairies in business now because of the low milk prices. Anytime your fresh market milk is off, that’s going to affect our overall value. A good 2/3 of that billion-dollar decrease came from the dairy industry. The price was low the entire year, as opposed to the year before.”

Marilyn Kinoshita, agricultural commissioner, Tulare County

Marilyn Kinoshita, Tulare County Ag Commissioner

 

Thus far, the reported 2015 county crop reports in the Central Valley are down this year. “Fresno County, for instance, was down 6.5% off its record $7 billion in 2014,” Kinoshita said.

 

“It has a lot to do with low water deliveries in Fresno and Tulare Counties,” she continued. “The smaller the water deliveries, the more efficient those growers have to be with that water. Anytime you’re pumping water out of the ground, it’s terribly expensive,” she noted.

 

“Some of our growers have had to decide, ‘All right, I’ve got this much water; I’m going to keep those blocks alive and I’m going to push an older block that isn’t producing as well.’ The returns aren’t as good as some of the newer plantings,” said Kinoshita.

 

Despite all of that, Kinoshita said agriculture does sit at the head of the table in Tulare County. “Yes, and we need a successful Ag industry to thrive here,” she said.

 

To view a video of the interview, click HERE.

 

Tricia Stever Blattler, executive director of the Tulare County Farm Bureau, noted the crop report demonstrates the strength of the agricultural industry. “I think every year when this crop report comes out, it is always a testament to the resiliency of this industry. This industry takes hard knocks, gets knocked down, then steps right back up to the plate and keeps swinging,” Blattler said. “The agricultural sector has a lot of outside challenges that impact the number that we see reported every year.”

 

Tricia Stever Blattler

Tricia Stever Blattler, executive director , Tulare County Farm Bureau

Blattler acknowledged the crop value numbers do not reflect net revenue for growers. “It’s always really important for our listeners to know that the crop value is a gross revenue number. When our Ag Commissioner steps to the microphone and speaks to our Board of Supervisors about this report each year, she’s reflecting values that are attributed to all of the gross revenue, and it’s not only the field value,” Blattler said.

 

“That gross number reported each year also represents our packing houses, our milk processing facilities—the creameries, the butter plants—the packing shedsall those other parts of our industry that [create] value in our industry,” said Blattler.

 

Blattler noted up or down, it’s all about the resiliency of farmers. “The industry has its years that are really blockbuster and it has its years when it falls back and we see a reduction acreage. We see reductions in surface water deliveries. The drought is still certainly playing a significant role in the numbers we’re seeing,” she explained.

 

With regard to surface water, Tulare County is in a bit of a unique position. “As an Eastside county, some of our water deliveries are not as subject to the situation that the Westside is in. In the same sense, we have some significant cutbacks that have been attributed to the San Joaquin River’s restoration and the biological opinions in the Delta—all have had an impact on the Central San Joaquin Valley [water] deliveries regardless of whether you’re Eastside or Westside.

 

“Also, as the exchange contractors either take greater deliveries of water or give up water, that also impacts the amount available to Eastside growers here in Tulare County,” she said.

 

In summary, 2015 Tulare Crop Report covers more than 120 different commodities, 45 of which have a gross value in excess of $1 million. Although individual commodities may experience difficulties from year to year, Tulare County continues to produce high quality crops that provide food and fiber to more than 90 countries worldwide.


Featured photo: Tulare County 2015 Crop Report

2021-05-12T11:17:12-07:00August 31st, 2016|

Overtime Bill AB 1066 Heads to Governor’s Desk

California Assembly Sends AB 1066 Overtime Bill to Governor

By Patrick Cavanaugh Farm News Director

 

The California Assembly voted 44 to 32, yesterday, August 29, in favor of a bill that would make California the first in the country to give farmworkers overtime pay after working 8 hours per day or 40 hours per week instead of current law that mandates agriculture workers earn overtime after 10 hours per day or 60 hours per week.

 

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Because farmworkers are unable to work some days due to weather or harvest schedules, they have historically preferred to work as many hours as possible on any given day. Now farmers may be forced to restrict employees from working more than 8 hours per day to avoid the costly overtime payroll, which would severely hurt their financial bottom line.

 

The bill, which has already cleared the State Senate, now moves on to Governor Jerry Brown, who has until September 31st to sign or veto the bill.

 

George Radanovich, president of the Fresno-based California Fresh Fruit Association (CFFA) that represents many farmers who rely on hand labor, stated, “It’s a clear example of people who live on black top and cement and who never talk to people in the vineyards or in the fields. They think they are helping the farmworker, and they are not. They’re making it harder for the farmworker and for the farmer,” said Radanovich.

 

Roger Isom, president of the Western Agricultural Processors Association (WAPA) and the California Cotton Ginners and Growers Association (CCGGA), said AB 1066 just places additional burdens on the farmer. “When you combine this Ag overtime legislation with the minimum wage increase and all of the other labor issues—the workers comp costs that are imposed on growers—it makes us noncompetitive,” Isom said. “On top of that you add the regulatory costs from the different issues like the truck rule; we can’t compete.”

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“There isn’t anybody out there who wouldn’t want to pay the workers more than what they’re getting today, or even that overtime,” said Isom. “But consider that California is one of only 5 states that even pays overtime, and none of them pay it after only 10 hours. We already had the most stringent overtime regulations for farmworkers in the country before it was ever adopted. Now, we’ve made it worse; we are going to have the highest minimum wage of any farm state out there, so how do we compete?”

 

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Isom commented, “This last week, U.S. Secretary of Agriculture Tom Vilsack was actually calling Assembly members in the State, urging them to support this bill. We were outraged,” Isom said. “When he was Governor of the State of Iowa, his own state had the lowest Ag wages and has no Ag overtime. The majority of our states, 45 states, have no overtime. You could work 16 hours, 20 hours, and not be paid any overtime.”

 

Isom noted that supporters of AB 1066 are very shortsighted. He predicts the law will only reduce the number of available working hours available for farm employees and thus decrease their earnings. Isom hopes Governor Brown will see this bill as an added negative impact tied to the recently passed increases to California’s minimum wage.

 

Agriculture leaders are calling for all concerned to put pressure on Governor Brown to veto AB 1066 by Emailing or phoning constantly.

Governor Jerry Brown
c/o State Capitol, Suite 1173
Sacramento, CA 95814

Phone: (916) 445-2841
Fax: (916) 558-3160

email: governor@governor.ca.gov


(Featured photo: Roger Isom, president of Western Ag Processors Association and the California Cotton Ginners Association)

2016-09-04T20:42:57-07:00August 30th, 2016|
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