California Ag Network

Category: Featured Post

  • Dairy heifer inventories to remain low before rebounding in 2027

    The U.S. dairy herd has reached its largest size in 30 years, but one critical subset of the herd — replacement heifers that represent the next generation of milk cows — remains historically low. The number of heifers available to enter the milking herd has fallen sharply, dropping to the lowest level since 1978. The decline comes as strong financial incentives are prompting dairy farmers to produce calves destined for the beef supply rather than milk production.

    According to a new report from CoBank’s Knowledge Exchange, replacement heifer supplies are projected to shrink even further in 2026 before beginning to rebound in 2027. With replacements in short supply, producers are retaining adult dairy cows that would have typically been culled, contributing to the overall increase in the U.S. dairy herd. At the same time, producers are making more beef-on-dairy calves, further tightening dairy replacement heifer supplies. This has pushed heifer prices into record territory, well over $3,000 per head.

    “On most dairy farms, net margins are currently being driven by the beef check, not the milk check,” said Corey Geiger, lead dairy economist with CoBank. “Five years ago, calf and cull cow sales accounted for 5% of a dairy farm’s bottom line while milk sales represented 95% of their revenue. Today, beef sales account for 12% to 15% of revenue on many farms, with some operations approaching 20% when measured on a per hundredweight basis. That shift is reshaping the U.S. dairy herd, most notably through the decline in replacement heifers.”

    CoBank’s modeling indicates that dairy replacements entering the milking herd between last year and this year are shrinking by a combined 796,000 head, followed by a rebound of 360,200 head in 2027 and 2028. The projections are based on semen sales data from the National Association of Animal Breeders and assume average annual rates of conception, pregnancy loss and other key reproductive measures.

    Strong consumer demand for high‑quality protein has placed dairy farmers in a unique position to capture growing revenue streams from both beef and milk sales. However, the timing of those revenue streams differs significantly. Raising dairy replacements requires a two‑year investment, while selling beef‑on‑dairy cross calves provides immediate income.

    The economic incentive for dairy farmers to produce more calves destined for the beef supply is rooted in the historic contraction in the U.S. beef cattle herd, which currently stands at a 75-year low. Tight beef supplies and strong demand have driven beef cattle prices to record highs, prompting dairy farmers to dramatically increase their use of beef semen. In 2025, 82.7% of all U.S. beef semen units were purchased by dairy operations.

    Dairy farmers are increasingly using gender‑sorted semen, genomics and beef‑on‑dairy strategies to optimize breeding for both production and profitability. Semen purchases have consolidated into two primary categories: gender‑sorted dairy semen for producing replacement heifers and beef semen for producing beef‑on‑dairy calves. From 2020 to 2025, beef‑on‑dairy semen sales rose 62%, and gender‑sorted semen sales increased 53.6%. Meanwhile, conventional dairy semen sales fell 47.4%.

    Abbi Prins, agricultural commodities economist with CoBank, said the surge in beef semen sales to dairy farmers in 2023 will continue to suppress replacement heifer inventories this year due to the three-year biological cycle from conception to first calving.

    “Our modeling shows 438,800 fewer replacement heifers entering dairy herds this year. That trend will begin to reverse in 2027 with 285,400 dairy replacements projected to enter the milking herd. Over time, we expect dairy farmers will continue rebalancing their breeding programs to optimize production for both beef and dairy markets. But dairy will continue to play a significant role in the beef supply for the foreseeable future, as rebuilding the beef cattle herd will take several years.”

    Read the report, Dairy replacements should begin a slow rebuild in 2027 and 2028. — Story contributed by CoBank

  • USDA Invests up to $310 Million in Partnership Projects

    The USDA announced that it is investing up to $310 million to expand producer conservation activities across the nation through the Regional Conservation Partnership Program (RCPP). USDA’s Natural Resources Conservation Service (NRCS) is accepting RCPP project proposals now through Aug. 24 to help farmers, ranchers and forest landowners boost their operations and conserve natural resources.

    “This significant investment through the Regional Conservation Partnership Program will further enable us to leverage our partnerships as force multipliers in supporting America’s farmers,” said NRCS Chief Colton L. Buckley. “We’re looking forward to seeing the results on the ground while we also work to keep working lands in working hands.”

    The Working Families Tax Cuts Act is delivering the largest long-term investment in NRCS conservation programs in decades, including support for RCPP. It will deliver $425 million in fiscal year 2026 and an increase to $450 million from fiscal year 2027 through fiscal year 2031.   

    RCPP is a partner-driven approach to conservation that funds solutions to natural resource challenges on agricultural land.

    In the past year, NRCS has improved RCPP by streamlining partnership agreement processes and increasing flexibilities to ensure the program works more effectively for conservation partners and America’s farmers and ranchers. Now, 75% of the funding goes directly to the American farmer or is used to cover the cost of conservation practice implementation.

    About the Program

    There are two separate funding opportunities:   

    • RCPP Classic: Projects are implemented using NRCS contracts and easements with producers, landowners and communities in collaboration with project partners.   
    • RCPP Alternative Funding Arrangements (AFA): The lead partner works directly with agricultural producers to support the development of innovative conservation approaches that would not otherwise be available under RCPP Classic.

    NRCS ranks proposals based on how they address the following priorities:

    • Addressing soil health, water quality or wildlife habitat with an aim to improve land health, enhance resource management and promote sustainable agriculture and long-term protection of agricultural, grassland, and forestland viability.
    • Soil health projects using practices that focus on minimizing soil disturbance, maximizing soil cover, increasing natural vitality and maintaining living roots throughout the year.
    • Leveraging precision agriculture technologies to target conservation efforts based on specific field conditions, potentially reducing costs and improving resource efficiency.
    • Focusing on Farmers First projects, especially those that provide technical and financial assistance via contributions for planning and practice designs to support producer contracts.
    • Supporting projects led by Indian tribes.

    More Information

    The $310 million is available for both RCPP Classic and AFA projects, including $30 million set aside for projects with Indian tribes.

    Details about RCPP Classic

    and RCPP AFAs

    are available on Grants.gov.  Project proposals for RCPP are being accepted through Aug. 24 on the RCPP portal

    . For more information about RCPP, visit the RCPP website.

    This investment builds on other recent NRCS investments to engage partners to extend the reach of conservation. In late May, NRCS announced its plans to invest $65 million through Conservation Innovation Grants. 

    For more than 90 years, NRCS has helped farmers, ranchers and forestland owners make investments in their operations and local communities to improve the quality of our air, water, soil, and wildlife habitat.  NRCS uses the latest science and technology to help keep working lands working, boost agricultural economies, and increase the competitiveness of American agriculture. NRCS provides one-on-one, personalized advice and financial assistance and works with producers to help them reach their goals through voluntary, incentive-based conservation programs. For more information, visit nrcs.usda.gov.

  • Hillari Bynum Promoted to Senior Position at DFA of California and Safe Food Alliance

    DFA of California and Safe Food Alliance recently announced the promotion of Hillari Bynum to Senior Director, Growth and Innovation. In this newly expanded leadership role, Hillari will oversee the organization’s growth-focused functions, including business development, marketing, customer experience, technology enablement and innovation initiatives.

    “Hillari has consistently demonstrated the ability to look beyond traditional marketing and identify opportunities to strengthen our organization. From relaunching Safe Food California to leading technology initiatives, she has helped modernize how we serve our members and customers,” said Brendan O’Donnell, President and CEO of DFA of California and Safe Food Alliance.

    Reflecting on her new role, Hillari shared, “By combining three teams into one cohesive organization with two clear mandates, we’re creating a stronger, more aligned team that can move faster, innovate more effectively, and deliver greater value to our customers and
    members.”

    — Story contributed by the DFA of California and Safe Food Alliance

  • Raisin Marketing Boost

    The Raisin Administrative Committee is eager to push California-grown raisins. They are hoping to get a windfall of $7.6 million left over from the California Raisin Marketing Board to aid their efforts. Raisin Administrative Committee President Jeff Smutny spoke with Matthew Malcolm from California Ag Network about the Committee’s plans and efforts. Watch this quick video and learn more in American Vineyard Magazine.

  • Plant California Alliance Rebrands as California Association of Nurseries

    The Board of Directors of the California nursery industry organization formerly known as Plant California Alliance (PCA) recently announced the organization has officially changed its name to the California Association of Nurseries (CAN).

    “California Association of Nurseries is instantly recognizable and clearly communicates who we are and what we do,” said John Keller, Chairman of CAN. “Over the years, we found ourselves continually explaining the Plant California Alliance name, and the acronym ‘PCA’ created confusion within the agricultural community due to its other industry meanings. Returning to California Association of Nurseries brings clarity, continuity, and renewed purpose.”

    Although CAN is a century-old organization, the issues have grown in number and complexity.

    “CAN is playing an active role in California’s multifaceted plastics regulation, working with the state and regional water boards to protect the interests of the nursery industry and has a leadership role in advocating in the State Capitol,” Emily Rooney, Executive Director of CAN said. “It is more important now than ever that the nursery sector is engaged in our statewide policy process.”

    CAN also hired a part-time contractor, Lydia Nattey, to assist with program and grant execution. With more than a decade of combined experience leading workforce development initiatives, grant programs and public affairs efforts, Nattey brings a background in managing initiatives that support industry growth and community impact.

    The California Association of Nurseries traces its roots back to June 1911, when the organization was founded to address pressing issues facing the nursery industry, including fruit tree nursery stock standards, nursery stock cleanliness, quarantines and inspections.  Today, the California nursery industry is the largest in the nation and together with floriculture accounts for 7.5 percent of the state’s farm sales.

    In 1919, CAN became a founding member of Agricultural Council of California (Ag Council) to strengthen the industry’s advocacy efforts and statewide influence. More than a century later, the organization’s transition to Ag Council management in 2025 represents a “full-circle moment” that further reinforces its mission and leadership within California agriculture.

    While the industry’s challenges continue to evolve, CAN’s mission remains unchanged: advocating for and supporting California nurseries and growers through industry leadership, representation, and member engagement.

    Keller said, “As in 1911, today’s nursery industry needs a strong and unified voice. That is exactly what CAN provides.”

  • A Rare Legacy Property on Shaver Lake’s Coveted “Point”

    —Sponsored Content—

    For generations, Central California agricultural families have shared a familiar tradition: escaping the Valley heat for weekends in the mountains or along the coast. For many, those memories are rooted at Shaver Lake — where cool pine air, boating, and evenings on the deck become part of a family’s legacy.

    What has become increasingly rare, however, is true lakefront ownership.

    Properties directly on the water at Shaver Lake seldom become available, particularly on the prestigious Point, where premier homes command prices of more than $5 million. Today, one of the area’s most remarkable offerings is available through Granville Homes — a custom-built waterfront residence listed at $4.1 million that combines luxury mountain living with exceptional construction quality and generational durability.

    Positioned directly on the lake with panoramic water views, the three-story residence was thoughtfully designed to maximize both scenery and gathering spaces. Every level opens to expansive full-view decks, creating seamless indoor-outdoor living and allowing the home to fully embrace its mountain-lake setting.

    Inside, the residence balances refined comfort with practical livability. Large gathering areas, multiple fireplaces, spa-inspired bathrooms, and generous entertaining spaces make the property equally suited for intimate weekends or large multi-generational family gatherings.

    That focus on construction quality reflects the philosophy that has long defined Granville Homes. While widely recognized throughout the Central Valley for luxury communities and high-performance homes, the company approached this Shaver Lake property with a level of craftsmanship designed specifically for mountain conditions, seasonal weather changes, and long-term ownership.

    The result is a property intended not simply as a vacation home, but as a true legacy estate.

    Beyond the home itself, the lifestyle surrounding Shaver Lake continues to attract buyers seeking both recreation and accessibility. Owners enjoy immediate access to boating, fishing, hiking, mountain biking, skiing, and year-round alpine beauty. Huntington Lake and China Peak Mountain Resort are nearby, making the property unusually accessible for a destination home of this caliber.

    For many Central Valley ag families, that accessibility matters. The ability to leave the office or orchard on a Friday afternoon and be on the lake before sunset is part of what has made Shaver Lake such an enduring tradition among California agriculturalists.

    And unlike many luxury destinations that require extensive travel, Shaver Lake remains remarkably close to home.

    For a closer look at the property, nearby recreation, community events, and regional drive times, visit the dedicated property website at: https://44687Lakeview.com

    The property is offered by Granville Homes DRE#01258537.

  • Blue Diamond Releases Early June Crop Report

    California’s Central Valley experienced variable weather conditions during May, with wide temperature swings serving as the norm for the period, punctuated by a few days of rain.

    Daily maximum temperatures ranged from the lower 60’s to nearly 100 degrees during the month, while minimum temperatures exhibited more stability, ranging from the lower 40’s on the chilliest mornings to mid-50’s under “balmier” conditions. Brisk winds also blew through the orchards on several days during the month, with sustained speeds at double digit levels and gusts reaching over 20 mph. While skies were clear and dry on the majority of days, late season storms in the opening and closing days of the period brought measurable rain to much of the Central Valley. Rainfall totals were generally limited to a few hundredths of an inch. However, the final storm of the month proved more vigorous. While most areas reported receiving from .25 to .60 inch of rain, a particularly strong cell passing over Yolo County dropped over an inch of rain near the community of Davis.

    May 2026 continued the pattern of late-spring storm systems that began in April. Grower activities were largely focused on vegetation management, fertilization, and irrigation, which was offset by adequate rainfall in some cases. While the wet conditions have increased concerns for fungal infections on the foliage and developing nuts, most growers feel that they have adequate protection provided by previous treatments. The rain events have limited the expansion of web-spinning mites and observers are reporting that the orchards are in generally good condition in all areas of the valley. Areas with the strongest winds experienced some blown-over trees, broken branches, and nut loss. However, losses have been minimal.

    Kernels in all varieties became fully solidified during the month, providing the first confirmation of the crop maturity since the completion of the bloom. There is now strong solidarity that the crop is running approximately 10 days ahead of “normal” in all areas. While June temperatures can influence exact timing, many believe the hull split will follow the current advanced timing, with the split in advanced examples of early maturing varieties expected during the week of June 21.

    As May concludes, many growers were winding down applications of fertilizer materials, and mowing vegetation in the orchard middles to manage the orchard floor in advance of the upcoming harvest. Growers whose orchards have high populations of almond feeding ants have begun the earliest treatments using bait formulations to target them. Some of these materials require several weeks to effectively reduce the ant populations and need to be applied as much as eight weeks prior to harvest.

    Growers and their pest control advisers, (PCAs), have been monitoring orchards for signs of leaffooted plant bugs and stink bugs. Brown spot, the damage resulting from the feeding of these insects on the developing nuts has been increasing for several years. Pheromones have been developed and are being tested in orchards to combat leaffooted plant bugs as PCAs work with university researchers to develop protocols for implementation. Growers have treated increasing populations of these insects where warranted.

    Growers have also begun preparations for hull split treatments to control navel orangeworm (NOW). In anticipation of the advanced timing this year, growers are shifting their attention to spotting the discoloration and splitting of blank nuts at the top of the orchard canopy and along the tree rows at the edge of the orchards. These blanks (nuts that formed a hull and shell but were not fertilized during the bloom and have no kernel) split approximately ten days ahead of the sound nuts that contain almond kernels. These serve as a signal of the approaching hull split. By monitoring the split of blank nuts, growers and their pest control advisers can fine tune treatment timing during the split to optimize control.

    Low and minimal care orchards, as well as abandoned plantings, are present in all areas. Pest management programs have grown complicated for many growers managing plantings near abandoned/low care orchards due to adult NOW moths moving into their orchards to lay eggs on the splitting hulls. Orchard sanitation (the reduction of NOW residing within the orchards) is the foundation of NOW management. NOW adults migrating from nearby sources have created significant financial hardship and mounting frustration for growers in recent years. — Story contributed by Blue Diamond Growers

  • CAWG Foundation Awards $39,000 in Scholarships to Children of California Vineyard Employees

    The California Association of Winegrape Growers (CAWG) Foundation is proud to announce the awarding of $39,000 in college scholarships to eight outstanding students whose parent or legal guardian is employed by a California winegrape grower.

    “These scholarships represent our commitment to supporting the families whose hard work is essential to the success of California’s winegrape industry,” said Craig Ledbetter of Vino Farms, chair of the CAWG Foundation Board of Directors. “We continue to be impressed by the determination, leadership, and academic achievements of our scholarship recipients. Their accomplishments reflect a bright future for their communities and our industry.”

    The CAWG Foundation Board of Directors selects scholarship recipients based on academic achievement, leadership, community involvement, financial need, and a personal essay outlining each student’s educational goals and aspirations.

    Since launching the scholarship program in 1998, the CAWG Foundation has awarded $719,500 to help students

    pursue higher education. The program is funded through the generous support of CAWG members and the

    broader California wine community.

    This year, the Foundation awarded four scholarships to students attending University of California and California State University campuses, three scholarships to students enrolled at California community colleges, and one $1,000 Robert Miller Memorial Scholarship. Established by the Miller family, the Robert Miller Memorial Scholarship supports Central Coast students studying Viticulture or Enology at either Allan Hancock College or California Polytechnic State University, San Luis Obispo.

    Four-Year University Scholarship Recipients ($2,000)

    Alejandro Jarquin, Santa Rosa, Santa Rosa High School

    Tania Navarrete Rios, Napa, Napa High School

    Hector Rendon, San Miguel, Paso Robles High School

    Luis Ruelas Ramirez, Placerville, El Dorado High School

    Two-Year Community College Scholarship Recipients ($2,000)

    Jimena Espinoza Ceja, Santa Rosa, Elsie Allen High School

    Cristal Gonzalez Abundis, Riverdale, Riverdale High School

    Giselle Torres Gonzalez, Lakeport, Clear Lake High School

    Robert Miller Memorial Scholarship Recipient ($1,000)

    Logan Rose, Lodi, Cal Poly, San Luis Obispo

    — Story contributed by the California Association of Winegrape Growers

  • Market Growing for Organic Pistachios

    The conversion to organic can take three to four years for pistachio growers, but it has significant potential as the market grows. Leading these efforts is Setton Farms, the largest producer of organic pistachios in America. Setton COO Mia Cohen recently spoke with Matthew Malcolm from California Ag Network to discuss the recent trends in marketing and the industry. Watch this quick video and read more in Pacific Nut Producer Magazine.

  • New Study to Support Water Quality Protection in the Smith River Plain

    The California Department of Pesticide Regulation (DPR) is announcing a new, multi‑year scientific study to better understand how copper concentrations in tributaries of the Smith River Plain may be affecting local fish species and the broader aquatic ecosystem. The study will provide new data to support the North Coast Regional Water Quality Control Board’s (North Coast Water Board’s) ongoing oversight and water quality protection efforts in the Smith River watershed.

    Beginning this year, DPR will fund a two-year toxicity study led by researchers at Cal Poly Humboldt, using field collected water and laboratory testing to assess potential effects on fish health and behavior, and on sensitive invertebrate species.

    This study responds to questions raised by community members, Tribal representatives and other interested groups about pesticide runoff in the Smith River Plain, where copper fungicides are widely used in lily bulb production. The work will generate additional data needed to better understand copper bioavailability, or how much copper organisms can absorb and how quickly it may have an effect.

    The results of this study will support the North Coast Water Board’s ongoing water quality protection efforts in the Smith River Plain, including development and implementation of waste discharge requirements for lily bulb farming operations (a.k.a. Lily Bulb Order

    (external link)

    ). The study represents a collaboration between the Water Boards and DPR on continued work across both departments to protect the environment and engage with local communities and Tribes.

    The study will initiate in 2026 and is anticipated to conclude in 2028.

    More information on the Smith River Watershed is available on the North Coast Water Board’s website

    (external link)

    . — Story contributed by the California Department of Pesticide Regulation