California Ag Network

Category: Ag Economics

  • This Week in Ag – September 16

    California agriculture is seeing developments across several major commodities this week, from strong almond exports and an expanding citrus quarantine to concerns surrounding avocado production in Mexico.

    Here are five stories to know in this week’s edition of This Week in Ag.

    Almond Market Looks Strong Heading Into 2027

    The California almond industry is beginning the new crop year with strong global demand and a tighter supply outlook, according to a recent market update from Blue Diamond Growers.

    August almond shipments totaled 190 million pounds, with exports accounting for 143.2 million pounds. That represents a 31% increase in exports compared with last year.

    India was the standout market, receiving 44.3 million pounds of California almonds in August, up approximately 170% from 16.4 million pounds during the same month last year. Blue Diamond attributed the increase in part to stronger replenishment ahead of India’s festival season and unusually low shipments during August 2025.

    Domestic shipments totaled 46.8 million pounds, down 3.3% year over year.

    On the production side, the 2026 harvest began approximately two weeks earlier than last year. Nonpareil and Independence varieties are largely harvested, with pollinizer varieties following behind.

    Early receipts are also pointing toward lower yields for Nonpareil and Independence compared with 2025. Combined with tighter supplies and continued export demand, Blue Diamond says current fundamentals are supporting a stable-to-firm market outlook.

    HLB Quarantine Expands in Riverside and San Diego Counties

    California is expanding another quarantine boundary for Huanglongbing, or HLB, as efforts continue to limit the spread of the deadly citrus disease.

    Effective Sept. 11, the California Department of Food and Agriculture expanded the HLB quarantine in the Murrieta area of Riverside County and into San Diego County. The expansion includes grids 484, 499 and 510.

    CDFA also expanded Asian Citrus Psyllid Bulk Citrus Regional Quarantine Zone 6 in those areas to reflect the new HLB quarantine boundary.

    HLB, also known as citrus greening disease, poses a significant threat to citrus production. The Asian citrus psyllid can spread the bacterium associated with the disease from infected citrus to healthy plants.

    The quarantine includes regulations governing the movement of certain citrus plants, fruit and other regulated materials in an effort to reduce the risk of further spread.

    California Avocado Commission Responds to Report on Mexico’s Avocado Region

    A Los Angeles Times report detailing violence and intimidation in a major avocado-producing region of Mexico is drawing attention from the California avocado industry.

    The report focuses on families in San Ángel Zurumucapio, Michoacán, where avocado production has provided economic opportunities but growers and residents have also faced extortion, kidnappings and violence.

    The California Avocado Commission cited the report while renewing its call for limits on Mexican avocado imports under the United States-Mexico-Canada Agreement.

    The commission argues that import limits would help protect U.S. avocado growers, the domestic industry and the food supply.

    The proposal represents the California Avocado Commission’s position on trade policy as it continues advocating for domestic avocado producers.

    Colin O’Neil Joins Organic Trade Association Leadership

    The Organic Trade Association has hired Colin O’Neil as senior vice president to lead the organization’s public affairs efforts.

    O’Neil will direct legislative and regulatory work, advocacy and stakeholder engagement for the trade association, which represents organic farmers and businesses throughout North America.

    His responsibilities will include initiatives aimed at reducing barriers to organic adoption, strengthening confidence in the USDA Organic seal and expanding opportunities for organic farmers and businesses.

    The Organic Trade Association says the organic sector is now valued at approximately $76 billion.

    O’Neil will also oversee the association’s political action committee.

    Sun World International Celebrates 50 Years

    Sun World International is celebrating five decades in the fresh produce industry.

    The company marked its 50th anniversary during its 2026 Symposium and Field Days. Founded in 1976 by Howard Marguleas, Carl Maggio and Domenick Bianco, Sun World began as a California produce marketing company.

    Over the following five decades, the company expanded into fruit genetics and licensing, with its work including the commercialization of seedless watermelon, seedless table grapes and lemons.

    Sun World also recognized Board Chairman David Marguleas for 40 years of leadership and contributions to the company.

    As part of the recognition, Sun World established the David Marguleas Endowed Research Fund in support of UC Davis Viticulture & Enology and dedicated the David Marguleas Tasting Room at the Sun World Center for Innovation.

    Stay Connected With California Ag Network

    From strong export demand for California almonds to new challenges and developments affecting citrus, avocados, organics and fresh produce, This Week in Ag brings together five stories shaping the industry each week.

    For more news impacting the California ag industry, follow California Ag Network.

  • USDA Announces $2M to Nut Producers Overcome Trade Barriers

    The U.S. Department of Agriculture’s Foreign Agricultural Service (FAS) announced a $2 million project to support the development of cost-effective tools that help tree nut handlers control pests and maintain product quality while crops are in storage after harvest.

    Funded under the Assisting Specialty Crop Exports (ASCE) Initiative, this opportunity is part of a broader ASCE suite of investments for specialty crop producers, which include fruits, vegetables, pulses, potatoes and tree nuts. ASCE projects expand market access, advance science-based trade standards and help to keep specialty crop producers globally competitive as they face increasing barriers to trade overseas.

    Awards will be made in Fiscal Year 2027, pending the approval of a Fiscal Year 2027 spend plan.

    More information is available in the Notice of Funding Opportunity: “Assisting Specialty Crop Exports Initiative: Low Oxygen Storage and Packaging Systems for U.S. Tree Nuts with Phytosanitary Traceability” at Grants.gov: https://grants.gov/search-results-detail/363690.

    The deadline for applications is 11:59 p.m. Eastern Daylight Time (EDT) Oct. 26, 2026.

    More information on the ASCE Initiative is available at: https://www.fas.usda.gov/programs/assisting-specialty-crop-exports-asce-initiative. — Story contributed by the USDA Foreign Ag Service

  • USDA Accepting Applications for a Trade Mission to Singapore

    The USDA Foreign Agricultural Service (FAS) announced it is now accepting applications for its upcoming trade mission to Singapore, scheduled for Dec. 7 to 9.

    FAS Agribusiness Trade Missions directly connect American agribusinesses with overseas buyers, expanding market access and boosting exports for U.S. producers. Current and potential U.S. exporters interested in exploring trade opportunities in Singapore, Malaysia and Thailand must submit their application via the official online form by 11:59 p.m. EST, Sept. 8, 2026.

    “Expanding our footprint in Southeast Asia is critical as we work to diversify export opportunities and build new, resilient paths for getting safe, high-quality American agricultural products into more markets,” said Under Secretary for Trade and Foreign Agricultural Affairs Luke J. Lindberg. “Getting producers face-to-face with buyers cultivates long-term trade relationships in vibrant, rapidly developing markets—ensuring our producers have multiple avenues to meet global demand instead of relying on a single buyer.”

    In 2025, U.S. agricultural product exports to Singapore, Malaysia and Thailand reached more than $3 billion in total. This regional total includes $1.3 billion to Thailand and $1 billion to Malaysia. In Singapore, U.S. exports reached $769 million, with consumer-oriented products— such as tree nuts, dairy products, wine and processed foods—making up 65% of that value.

    In addition to brokering business-to-business meetings, FAS staff and regional experts will hold in-depth market briefings and host site visits and networking events to strengthen trade relationships throughout the mission.

    USDA anticipates significant growth opportunities in the region for several product categories, including:

    • Tree nuts
    • Food preparations, such as baking ingredients
    • Seafood
    • Beef
    • Wine and distilled spirits
    • Processed fruits and vegetables
    • Dairy, eggs and egg products
    • Pet food
    • Pulses, such as dry yellow and green split peas

    In 2025, USDA trade missions connected more than 250 U.S. companies with buyers in Hong Kong, Thailand, Peru, Guatemala, the Dominican Republic, Taiwan and Mexico, generating projected 12‑month sales of $125 million.

    Singapore will be USDA’s final Agribusiness Trade Mission for 2026—a year in which USDA sent delegations to Malaysia, Indonesia, Guatemala, El Salvador, the Philippines, Vietnam, Argentina, and Ecuador. USDA will announce 2027 missions soon.

    For information on these and other trade missions, visit https://www.fas.usda.gov/topics/trade-missions.

  • California Walnut Commission Voices Support for 0% EU Tariff

    The California Walnut Commission CWC voiced its support after the European Union reduced the tariff on U.S.-grown tree nuts — including walnuts — to 0%. This lowering of rates became effective as of July 1. In a public statement on the order, the CWC stated:

    “The California Walnut Commission (CWC) welcomes this positive development for the California walnut industry and European customers and consumers.

    “The quota basis tariff reduction provides access to an important market, which is the walnut industry’s largest export market, importing about 30% of global supply. Improved access allows European importers, distributors, retailers and consumers to have access to high-quality California walnuts, while supporting the long-term sustainability of California walnut growers.

    “The news comes at a critical time for California walnut growers, many of whom continue to face rising production costs, increasing supply and a competitive and uncertain global marketplace.

    “The CWC appreciates the efforts of U.S. and European policymakers, trade officials and industry stakeholders whose work contributed to this development.”

    The Almond Board of California also praised this development, saying it “brings welcome certainty after months of escalating trade tensions.”

  • Trump Takes Step to Lower Fertilizer Costs

    President Donald J. Trump signed a proclamation temporarily suspending countervailing duties on certain phosphate fertilizer imports,

    The temporary suspension aims to increase phosphate fertilizer availability, improve competition and help lower one of agriculture’s largest production expenses while supporting a stable and reliable fertilizer supply ahead of future planting seasons.

    Current USDA analysis indicates American farmers could save approximately $1.82 billion annually through lower phosphate fertilizer costs as additional supplies enter the U.S. market. The action is expected to reduce phosphate fertilizer prices by approximately 22%, benefiting more than 100,000 farms across 97 million planted acres nationwide.

    “As we have worked to implement America First fertilizer actions—from waiving the Jones Act to implementing more flexible Hours of Service waivers—we have focused on finding short-term solutions while delivering long-term stability for our nation’s farmers,” said U.S. Secretary of Ag Brooke L. Rollins. “Today’s announcement will bring immediate relief to producers who rely on these critical inputs with an estimated 22 percent reduction in phosphate fertilizer prices, and $1.82 billion in annual savings for producers. President Trump will always put farmers first, and he will continue to fight for those that feed, fuel, and clothe our nation.”

    The Administration has designated phosphate and potash as critical minerals, signed a USDA-Department of Justice Memorandum of Understanding to address anti-competitive practices affecting agricultural inputs, worked with federal partners to accelerate major domestic fertilizer manufacturing projects and recently established a dedicated USDA Agricultural Economist position focused on fertilizer markets and agricultural inputs.

    In addition to providing immediate relief through increased fertilizer availability, USDA looks to continue support long-term domestic fertilizer production by advancing major manufacturing projects across the country that will strengthen supply chains, create rural jobs and reduce America’s reliance on foreign fertilizer sources.

    “President Trump’s action today will provide immediate relief as well as a stable source of supply for American producers as they enter fall application season,” said Deputy Secretary Stephen Alexander Vaden. “The Department will continue to support initiatives to secure American farmers’ access to fertilizer, including by increasing domestic production capacity.”

    — Story contributed by the U.S. Department of Ag

  • USDA Accepting Applications for Agribusiness Trade Mission to Ghana

    The USDA Foreign Agricultural Service (FAS) is now accepting applications for its Agribusiness Trade Mission to Accra, Ghana, from Sept. 22-25,.

    USDA’s agribusiness trade missions directly connect U.S. exporters with buyers in fast-growing overseas markets, boosting income for American farmers, ranchers, and producers, supporting and creating jobs, and fueling rural economies nationwide. Current and potential exporters interested in expanding their reach into Ghana, Côte d’Ivoire, and other West African countries must register by July 1, 2026.

    “This mission to Ghana is a chance to introduce buyers from across West Africa to the highest-quality goods America’s farmers, ranchers and producers have to offer” said USDA Under Secretary for Trade and Foreign Agricultural Affairs Luke J. Lindberg. “Expanding our export footprint here brings America’s bounty to new markets and brings new sales back to rural America, building strong farms and communities for generations to come.”

    In Ghana alone, there’s a growing market for U.S. agricultural and related products, with exports reaching $175 million in 2025. Poultry and prepared foods make up most of this trade, but USDA anticipates strong growth potential across West African countries for a variety of commodities, including:

    • Poultry, beef and animal genetics
    • Grains, soybeans and animal feed
    • Dairy products and milk powders
    • Healthy food preparations and ingredients
    • Wine and distilled spirits
    • Seafood and forestry products

    During the trade mission, U.S. participants will engage in targeted, one-on-one business meetings with qualified buyers from across the region. Staff from FAS and regional market experts will also provide in-depth market briefings, site visits and networking events to help American businesses successfully navigate the West African market.

    To apply by the July 1, 2026, deadline visit the Ghana Agribusiness Trade Mission webpage.

    For more information on USDA trade missions, visit https://www.fas.usda.gov/topics/trade-missions. — Story contributed by the USDA Foreign Ag Service

  • Valadao Welcomes Brooke Rollins to Bakersfield

    Rep. David Valadao (R-CA) hosted USDA Sec. Brooke Rollins last Friday at Allied Potato for a roundtable discussion on the challenges facing Central Valley growers, ranchers and producers.

    The event brought together agricultural leaders from across the region to discuss key industry priorities and celebrate the USDA’s finalizing of the Specialty Crops Farmers program. This will provide $1.6 billion in payments to eligible specialty crop producers to help offset rising input costs and market disruptions — $625 million more than previously announced.

    Prior to the roundtable, Valadao and Rollins toured Allied Potato, where the visited the fields and observed the processing and packaging operations. Attendees included representatives from the California Farm Bureau, Western Growers, Wonderful Citrus, California Dairies Inc., Milk Producer’s Council, California Citrus Mutual, Grimmway Farms, Western Tree Nut Association, Blue Diamond Almonds, California Fresh Fruit Association, California Farmworker Foundation, Family Tree Farms, Monte Vista Farming Company, and Cauzza Growers.

    “Agriculture drives the Central Valley’s economy, and I was honored to welcome USDA Secretary Brooke Rollins to Bakersfield for a discussion with local agricultural leaders today,” Valadao said “For years, I’ve worked closely with producers across the Valley to address the challenges they face—rising input costs, workforce shortages, burdensome regulations, and the need for a stronger specialty crop safety net—and this conversation reinforced the importance of continued collaboration. As the sole dairy farmer in Congress, I understand these issues firsthand, which is why I was proud to join the Secretary as she announced USDA finalized $1.6 billion in assistance for specialty crop growers to help offset high costs and market disruptions. I appreciate her engagement with our local leaders, and I look forward to continuing to work with USDA on commonsense policies that support Central Valley agriculture and give producers the certainty they need to plan for the future.”

    “Thank you Congressman Valadao, a leader on the House Commitee on Agriculture, for hosting an incredible roundtable today at Allied Potato here in your beautiful Bakersfield, California. Your extraordinary farmers, ranchers, and dairymen exemplify what it means to feed the country and the world,” Rollins said. “Everyday, the Trump Administration is putting Farmers First. As we announced after the roundtable, we are committed to ensuring the economic strength of our specialty crop operations as  we continue opening  new markets abroad and strengthening demand domestically for American produce. Congressman Valadao was critical to helping pass the Working Families Tax Cut Act, which is already helping over 63,000 California farms sell more agriculture products than any other state, protecting 2 million family farms from the death tax, increasing reference prices for the first time in more than a decade, and making the largest investment in rural America in history. And we are just getting started.”

  • Innovations Enable Fluid Milk Exports

    While California is celebrated for its cheese, demand is high for fluid milk exports. Dairies are updating their technology to give milk a longer shelf life and with it, producers can more easily get in on the export market. Matthew Malcolm from California Ag Network spoke with Glenn Millar from the California Milk Advisory Board to talk about these developments and how dairy producers can expand their presence in the international market. Watch this quick video and learn more in California Dairy Magazine.

  • USDA Releases 2026 Almond Harvest Forecast

    The 2026 California Almond Forecast, published by the U.S. Department of Agriculture’s National Agricultural Statistics Service (NASS), estimates that the crop harvested in 2026 will come in at 2.7 billion pounds, down 1% from the previous year. Forecasted yield is 1,940 pounds per acre, unchanged from the previous season.

    “According to the polled growers, the industry is expecting a modestly smaller crop in 2026 compared to last year. This is an early estimate, and we will see how the crop progresses over the coming months,” said Almond Board of California (ABC) President and CEO, Clarice Turner. “While this may signal tighter supply, California remains the world’s leading almond supplier, and ABC is focused on expanding global demand. Despite higher costs, regulatory pressures, and supply chain challenges, California almond farmers continue to deliver a reliable, high-quality crop.”

    As of December 2025, the ABC Board of Directors voted to cease funding for the USDA National Agricultural Statistics Service Objective Measurement Report, making a change in California almond crop estimates going forward.

    This Subjective Forecast will be the only report from NASS for the coming crop year. The estimate is based on opinions from a survey of around 500 growers conducted from April 21 to May 6. The sample of growers was selected at random and were grouped by size of operation to ensure all growers were proportionally represented. Respondents had the option to report their data by mail, phone or online.

    This Subjective Forecast comes two weeks after Land IQ’s 2026 Standing Acreage Initial Estimate found that bearing almond acreage in California decreased by 15,227 acres from the previous year to 1,385,870 million bearing acres.

    NASS conducts the annual Subjective Forecast to provide the California almond industry with the data needed to make informed business decisions.

    — Story Contributed by the Almond Board of California

  • USDA Announces May Lending Rates

    The U.S. Department of Agriculture (USDA) announced loan interest rates for May 2026, effective May 1. USDA Farm Service Agency (FSA) loans provide access to capital to help producers start or expand their farming operations, purchase equipment and storage structures or meet cash flow needs.             

    Operating, Ownership and Emergency Loans      
    FSA offers farm operating, ownership and emergency loans with favorable interest rates and terms to help eligible agricultural producers obtain financing needed to start, expand or maintain a family agricultural operation.

    Interest rates for Operating and Ownership loans for May 2026 are as follows:

    FSA also offers guaranteed loans through commercial lenders at rates set by those lenders. To access an interactive online, step-by-step guide through the farm loan process, visit the Loan Assistance Tool on farmers.gov.

    Commodity and Storage Facility Loans
    Additionally, FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment and loans that provide interim financing to help producers meet cash flow needs without having to sell their commodities when market prices are low.  Funds for these loans are provided through the Commodity Credit Corporation (CCC) and are administered by FSA.

    To learn more about FSA programs, producers can contact their local USDA Service Center. Additionally, producers can use online tools, such as the Loan Assistance Tool and Debt Consolidation Tool to explore loan options. — Story contributed by the USDA Farm Service Agency