Nationwide Promotion Will Move Pecans

American Pecan Promotion Going Well

By Patrick Cavanaugh, Farm News Director

The Federal Marketing Order for Pecans was voted on by the nationwide industry one year ago, and already six million dollars of assessments have been raised; an advertising firm has been hired; and the promotion of health, versatility and the heritage of American Pecans to consumers has begun.

California Ag Today spoke to Mike Adams, a central Texas pecan grower and the chairman of the American Pecan Council that oversees the Federal Marketing Order for Pecan, about the order.

“In fact, the USDA/ AMS said that the pecan marketing order was the first in more than 10 years,” he said.

“The referendum for the marketing order was in March of 2016, and again, only growers vote, so when we went to the industry with a referendum, again, in accordance with the law, 77% of our individual growers were in favor, and 88% of the volume of our growers were in favor. We got an overwhelming vote from what had been heretofore a pretty fractured industry, you know, growing pecans across 15 different states,” Adams explained.

“2016 was the first year that the FMO began collecting assessments, and we’re seeing the industry believing in the effort,” Adams said. “The assessments have come in, and we have met our goal in what we thought would come in this first year.”

“This is all brand new. In other words, all the rules are new, the forms are new, the idea is new,” he said. “So instead of being skeptical and holding back, the industry—and I will give credit to the handlers—came through.”

Adams said that growers have been very cooperative, and have met the first year goal so that there is a budget.

“We’ve got a national office. We’ve got a marketing firm engaged and on account, so a number of things are happening this first year, but honestly, much faster than some of us thought it could happen. But without the support of the industry, it couldn’t have been done,” Adams said.

The assessment is three cents per in-shell pound of improved variety pecans, and two cents per in-shell pound of natives. Also, substandard—which is a nut that has commercial value but may not be a number one—is two cents per in-shell pound.

The rule that actually is law now was published in the Federal Register in mid-September 2017.

“I have been so encouraged and gratified that the industry said we believe in what you’re doing, so we’re not going to wait on the law. We’re going to go ahead and assess ourselves last year,” Adams said.

And Adams said that the 2016 assessment sets the industry up for the 2017 crop.

“Quite honestly, because we were very frugal in what we spent this first year … we’ll have some carryover into 2017. It really gives us a springboard or a head start on all the things that the council wants to pursue,” he said.

And part of the money has already been put to good work. A national office has been open in Fort Worth, Texas.

“We’ve got an executive director. Up until that staff came on board, the pecan industry had never had a single entity that went to work every day for the industry. We’ve got regional associations, we’ve got state organizations, but we’ve never had one entity or one staff that works every day for the pecan industry, so we’ve got that now,” Adams explained.

“Weber Shandwick, out of their Chicago office is going to be doing our marketing and public relations for us. In fact, in July they launched a very informative website that focuses on the health aspect of pecan consumption, as well as the American heritage of the pecan. That website is americanpecan.com.”

American Pecan Council Begins with Nominations

NOMINATIONS TO THE AMERICAN PECAN COUNCIL TO BEGIN SOON

UPDATE:  September 1, 2016. The U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) is seeking nominations of 15 growers and shellers (handlers) to serve on the American Pecan Council.  Members of the council will be appointed by the Secretary of Agriculture to administer the federal marketing order with oversight by AMS.

Nomination forms are available on online at https://www.ams.usda.gov/rules-regulations/moa/986-pecans or by contacting AMS at (863) 324-3375.

Completed nomination forms must be received by AMS no later than Sept. 6, 2016.

Forms may be submitted by mail to USDA, AMS, Marketing Order and Agreement Division, 1124 First Street South, Winter Haven, Fla. 33880 or email Jennie.Varela@ams.usda.gov.


The Final Rule for the Federal Marketing Order for Pecans was published in the Federal Register on Thursday, August 4, 2016. Posted by the , the historic event culminated a three year grassroots effort of pecan stakeholders who collaborated with USDA to write and support the order that is now federal law. This action initiates the process of nominating, selecting, and seating of the administrative body of the FMO, the American Pecan Council. A likely schedule over the next few weeks is as follows:

Week of August 8

  • OMB approves Nomination Forms
  • Call for Nomination Press Release; nomination forms mailed to Shellers and Growers, electronic versions available to download

Week of August 22

  • Deadline for Nominations to be returned to USDA

Week of August 29

  • USDA to mail ballots to growers and shellers to vote on Nominees

Week of September 19

  • Deadline for Ballots to be returned to USDA
  • Deadline for background statements (Nominator should seek to gather this document from the Nominees as soon as someone agrees to be nominated.) Only those with completed background statements can be sent forward on the selection order to the Secretary.

Month of October

  • Selection Press Release for the new Council
  • Conference call with USDA Staff and new Council Members (1/2 day) for FMO Orientation
  • Council meets in person

UPDATES WILL BE POSTED TO THE APB WEBSITE AS THEY BECOME AVAILABLE

FAQ about the Nomination Process:

  1. HPecan Cluster Royalty Farmsow will Nomination Forms be made available? Upon approval by OMB, official forms will be posted on the USDA website, mailed to growers and shellers on current USDA lists, and posted on the American Pecan Board website.
  2. Who can nominate? Any grower within a region can nominate another grower within the same region. Any sheller within a region can nominate another sheller within the same region.
  3. Who is a grower? A person who has produced an average of 50,000 lbs. of inshell pecans over the last four years or who has 30 pecan acres. All production or acreage must be within the 15 state production area (domestically produced).
  4. Who is a sheller? A person (entity) who has shelled at least one million lbs. of domestically produced inshell pecans in the prior fiscal year.
  5. What determines a large grower and small grower? A large grower is defined as having pecan acres equal to or more than 176 acres, and a small grower has less than 176 acres.
  6. What determines a large sheller and a small sheller? A large sheller is defined as having handled 12.5 million lbs. or more of domestically produced inshell pecans in the prior fiscal year, and a small sheller is defined as having handled less than 12.5 million lbs. of domestically produced inshell pecans in the prior fiscal year.
  7. Can a large grower nominate a small grower and can a small grower nominate a large grower for the appropriate seat? Yes
  8. Can a large grower second the nomination of a small grower, and can a small grower second the nomination of a large grower? Yes
  9. Can a large sheller nominate a small sheller and can a small sheller nominate a large sheller for the appropriate seat? Yes
  10. Can a large sheller second the nomination of a small sheller, and can a small sheTree Shaker Royalty Farmsller second the nomination of a large sheller? Yes
  11. If a grower grows pecans in more than one region, in which region can he/she be nominated? In the region in which he/she grows the largest volume of their production.
  12. If a sheller handles pecans in more than one region, in which region can he/she be nominated? In the region in which he/she handled the largest volume of domestically produced inshell pecans within the preceding fiscal year.
  13. Can a vertically integrated pecan operation (grows and shells) be nominated as a grower and a sheller? No, a decision must be made by the person (entity) being nominated whether to be nominated as a grower or a sheller.
  14. Who nominates the candidates for the accumulator and public member seats? Once the 15 member Council is seated, they nominate candidates for the accumulator and public member seats.

(Source: )

Pecan Growers Excited about Federal Marketing Order

Calif. Pecan Growers Gather to Discuss Federal Marketing Order

By Patrick Cavanaugh, Farm News Director

On Wednesday, August 3, nearly 100 people attended the California Pecan Growers Association meeting at Linwood Nursery, the oldest supplier of pecan trees in the world, located in Le Grand in eastern Merced County.

Not all attendees were current pecan growers; many were contemplating planting pecan trees. New interest and excitement in pecan farming surrounds the newly approved (May 2016) and forthcoming Federal Marketing Order For Pecans (FMO) that will assess growers a few cents per pound to increase pecan marketing and awareness in California and other areas of the country.

Pecan growers and others interested in the crop gathered in Le Grand to discuss Federal Marketing Order for Pecans

“We want to model it after the Almond Board of California,” said Mark Hendrixson, president of the California Pecan Growers Association, whose members farm approximately 4,000 acres of the crop throughout the San Joaquin and Sacramento Valleys.

“We had a very a good turnout. Pecans are a growing industry in California; we have great weather for them,” said Hendrixson. “We do things a little bit differently because of our great weather, but we’re able to produce extremely good quality.”

CPGA-Logo“Pecans are extremely healthy,” said Hendrixson. “The research has been out there for quite some time, but the pecan industry has never had a unified marketing voice. Once we develop the Federal Marketing Order, we will be able to spread the message about health and other great benefits that will help drive interest in pecans and pecan consumption, and to deliver quality product to consumers around the world.

Hendrixson expects the Federal Marketing Order For Pecans to be in place very soon. The USDA will officially seat the Board of the American Pecan Council (APC), the new governing board of the FMO, by October 1, 2016 by calling for board member nominations, qualifying the candidates and issuing a ballot for qualified voters to vote on those nominations.

“Once those ballots are approved by the Secretary of Agriculture,” Hendrixson said, “we’ll have an elected Board that can begin to function and actually set the assessment, which in turn will be approved by the USDA going forward.”