California Ag Network

Category: Ag Economics

  • West Coast Smoke Exposure Task Force Launches Comprehensive Website for Wine Industry

    The West Coast Smoke Exposure Task Force (WCSETF) is excited to announce the launch of its new website – www.wcsetf.org. This user-friendly website is designed to feature comprehensive smoke exposure resources to assist growers, winemakers, and others serving the wine and winegrape sector.

    The website offers a centralized hub of information from WCSETF, universities, government agencies, and industry groups, including:

      • ●  Frequently asked questions
      • ●  Best practices
      • ●  Labs
      • ●  Contracts
      • ●  Crop insurance
      • ●  Wildfire preparedness
      • ●  Informational videos
      • ●  University resources
      • ●  Research
      • ●  News and events

    Posted on the website are updated best practices that include grape sampling protocol for growers as well as micro-fermentation and nano-scale fermentation protocols.

    “The goal with this website is to consolidate and share as much information as possible regarding smoke exposure,” said Natalie Collins, chair of the WCSETF Steering Committee and president of the California Association of Winegrape Growers. “Instead of having to search multiple websites for information, the industry can now use the WCSETF website as a convenient, go-to resource. The site is a work in progress and will continue to be updated with additional content.”

    The WCSETF originated from discussions in early 2019 between grower leaders and industry group representatives from California, Oregon and Washington. Since then, the task force has convened educational webinars – including its annual Smoke Summit – and produced reference materials to assist growers and winemakers with certain challenges associated with smoke-exposed wine grapes. WCSETF Steering Committee members include wine grape industry organizations from California, Oregon and Washington. They work in partnership with scientists from the University of California, Davis, Oregon State University, Washington State University and the USDA’s Agricultural Research Service (ARS). Other task force committees focus on industry specific needs, such as research and communications, and include members in the West Coast wine industry.

    The website is supported by a grant from USDA ARS through the Washington Wine Industry Foundation.

  • AgSafe Unveils Free Social Media Toolkit to Strengthen Ag Employee Relations

    AgSafe is proud to announce the launch of its Social Media Toolkit—a free new resource designed to help agricultural employers strengthen relationships with employees by using effective and consistent communication, both in and out of the field. This valuable resource, funded by the Western Extension Risk Management Education Center in 2023, offers practical tools such as ready-to-use templates and customizable content to help organizations create consistency in how they apply their values both online and offline.

    According to a 2024 SHRM study, 70% of employees leave their organization because of issues with workplace culture, with many feeling their organization does not promote a positive work environment. To tackle this problem, AgSafe is introducing this new resource to help employers strengthen and support their employees. Designed to promote consistent and intentional communication practices across all platforms, the Social Media Toolkit reinforces the importance of employee recognition as well as relationship building to create a stronger workplace culture.

    In agriculture, having good relationships between employers and workers is key to a safe and productive workplace. The Social Media Toolkit highlights how important it is to communicate in many ways, not just in person or through written communication. By using social media in a way that matches the values and practices in the field, employers can increase job satisfaction, build brand loyalty, and stay in line with labor compliance and safety standards.

    The toolkit offers different written and visual examples that companies can use or tweak to fit their organization’s unique voice. This helps save time and keeps the message in line with the company’s promise to value and support its workers.

    Photo Caption: Athena Ushana

    “Good communication is essential for building strong, trust-based relationships with employees. When this communication is also done on social media, newsletters, and other public channels, it strengthens the support and respect employees feel in their daily jobs, making them more engaged and loyal,” said Athena Ushana, Program and Communications Manager at AgSafe.

    “Social media can be leveraged to help communicate a company’s values and their commitment to employee well-being.” added Theresa Kiehn, President and CEO at AgSafe.

    For more information, access the Social Media Toolkit here: https://agsafe.info/relations.

    AgSafe, a 501(C)3 non-profit organization, has been the educational leader in agricultural safety and human resources since 1991. AgSafe has trained over 100,000 employers, supervisors, and farm workers on the most critical issues impacting worker safety, human resources, and pesticide safety. With a “boots on the ground” approach, AgSafe teaches both the “why” and “how” of protecting workers in the field, packing, processing, and food manufacturing facilities. For more information, visit https://agsafe.org.

  • USDA, USTR Seek New Ag Trade Advisory Committee Members

    The U.S. Department of Agriculture and the Office of the U.S. Trade Representative are accepting applications for new members to serve on the agricultural trade advisory committees.

    The Agricultural Policy Advisory Committee is comprised of senior representatives from across the U.S. agricultural community who advise USDA and USTR on overall trade policy matters, while members of the six Agricultural Technical Advisory Committees provide technical advice and guidance from the perspective of their specific product sectors:

    • Animals and animal products
    • Fruits and vegetables
    • Grains, feed, oilseeds and planting seeds
    • Processed foods
    • Sweeteners and sweetener products
    • Tobacco, cotton, peanuts and hemp

    Committee members appointed from this round of nominations will serve four-year terms beginning in Jan. 2025. To be considered for committee membership, applicants must have expertise in U.S. agriculture and experience in international trade. They must be U.S. citizens, qualify for a security clearance and be willing to serve without compensation for time, travel or expenses. The committees hold frequent video or teleconference calls and generally meet in Washington, D.C., twice a year.

    Applications must be received by 5 p.m., EDT, on Friday, Sept. 20, 2024. Any applications received after the deadline will be considered for future appointments, as appropriate. For complete application instructions and information about the committees, please visit: https://fas.usda.gov/topics/trade-advisory-committees.

  • Expanding Innovative Domestic Fertilizer Production

    U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced that USDA is partnering with American business owners to expand innovative domestic fertilizer production, creating jobs in rural communities and strengthening local economies. The Department is awarding $35 million for seven projects in seven states through the Fertilizer Production Expansion Program (FPEP), which is funded by the Commodity Credit Corporation. This program provides grants to independent business owners to help them modernize equipment, adopt new technologies, build production plants and more. This funding advances President Biden’s Investing in America agenda to grow the nation’s economy from the middle out and bottom up.

    “The Biden Administration continues to make innovative investments that bolster rural communities and support farmers, ranchers and small business owners,” Secretary Vilsack said. “The investments announced today will increase domestic fertilizer production and strengthen our supply chain, while creating good-paying jobs to benefit all Americans.”

    To date, USDA has invested $286.6 million in 64 projects across 32 states through FPEP. These projects have created 768 new jobs in communities across the country and will increase domestic fertilizer production by over 5.6 million tons.

    These investments will boost domestic fertilizer production and lower costs for U.S. farmers. For example:

    • Dramm Corp. in Wisconsin will use a $776,000 grant to increase their production capacity and expand their network of customers and farmers while reducing their carbon footprint and increasing employee safety. Using fish offal collected from commercial and sport fishermen, Dramm produces a liquid fish fertilizer suitable for organic and traditional farming while keeping millions of pounds of waste out of landfills and fresh waterways.
    • In Virginia, AdvanSix, an ammonium sulfate producer, will expand a facility with an almost $12 million grant. The company currently provides 31,400 ag producers with ammonium sulfate on the East Coast and in the Midwest. Through this project, AdvanSix will expand their operational capacity by 195,000 tons per year, increasing total production to more than 36,000 producers.

    USDA is also making awards to facilities in California, Iowa, New York, Oregon and Tennessee.

    President Biden and USDA created FPEP to combat issues facing American farmers due to rising fertilizer prices, which more than doubled between 2021 and 2022 due to a variety of factors such as war in Ukraine and a lack of competition in the fertilizer industry. The Administration committed up to $900 million through the Commodity Credit Corporation for FPEP. Funding supports long-term investments that will strengthen supply chains, create new economic opportunities for American businesses, and support climate-smart innovation.

    FPEP is part of a broader effort to help producers boost production and address global food insecurity. It is also one of many ways the Administration is promoting fair competition, innovation and resiliency across food and agriculture while combating the climate crisis.

    USDA Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, tribal and high-poverty areas. Visit the Rural Data Gateway to learn how and where these investments are impacting rural America. To learn more, visit www.usda.gov. To subscribe to USDA Rural Development updates, visit the GovDelivery subscriber page.

  • A New Day for Farm Financing

    Around 40 years ago, a rancher and his family took in a fall day watching an admittedly motley herd of cows get on a truck, never to return to the ranch.  There are countless stories like this that exist as a result of the Farm Financial Crisis of the 80s. In that era, the federal government took a much different approach to distressed borrowers than we have in the last few years. The Inflation Reduction Act gave USDA’s Farm Service Agency (FSA) the tools we needed to help keep producers operating while folks all across the agency are working to improve our ability to better serve producers—producers just like that rancher from 40 years ago.

    One of that rancher’s kids was me. Today, that kid has the privilege to share the culmination of several years of work, and countless years of staff experience in helping producers. The Enhancing Program Access and Delivery for Farm Loans Rule is the centerpiece of many agriculture financing improvements we’re working on at FSA.

    This rule helps producers currently in our portfolio and improves opportunities for those seeking new loans by ensuring that our tools are deployed in a manner best suited to promote producer profitability and resilience. This rule establishes some of the most significant changes in the last 40 years.

    As a child of the Farm Financial Crisis and having spent my previous professional life in various roles of farm advocacy, I’d heard countless stories from FSA borrowers and former borrowers—heck, even folks that had never applied—recounting their perception of the shortcomings of FSA’s lending efforts.  With this rule, we are taking many of these shortcomings off the table, because we believe that the performance of our portfolio can be used as an example for the rest of the ag lending industry. We’ve heard the concerns loud and clear. In response, in recent years, we’ve announced several FSA lending improvements and flexibilities including:

    • A new loan assistance tool
    • A streamlined application
    • Online loan payments option
    • A “fast track” loan approval process

    And there are more of these farm loan enhancements to come. We’ll visit more when appropriate, but for now I’d like to talk about the rule, and our broader credit reforms. The Biden administration has clearly demonstrated a dedication to listening to stakeholders and a willingness to promote change. The rule we publish today serves to codify many of the best practices we’ve seen across the country from our staff; while at the same time support our staff in a new approach tailored to the “actual needs” of a borrower.

    The rule is part of a holistic effort in support of the Biden administration’s commitment to our ag producers.  Twelve legislative proposals included in the President’s FY 25 Budget were offered as well, several of which are being contemplated by our friends on the Hill during their ongoing deliberations.

    You can read the rule changes for yourself in the Federal Register and here’s a one page fact sheet, but I will illustrate the meaningful impact the rule represents by sharing producer sentiments that will hopefully be a thing of the past for agency and the borrowers we serve – concerns expressed like:

    “FSA takes every dang thing I have as security; they tie my hands so I can’t make decisions when I need to.” 

    “I have to work off the place so I can afford to live.”

    “Losing the family farm is bad enough, but did they have to take my house?”

    The changes in this rule, signal a producer-centric approach to finance. Our tools can now be used to provide borrowers the financial freedom and flexibility to improve profitability and resilience. Allowing the borrower the opportunity and means to save for long-term needs and make strategic investments from their existing production income; can help demonstrate that when the terms of finance meet the “actual needs” of the producer, everybody wins; it’s akin to giving our producers a raise.

    Over the next few weeks, we will work diligently to train our staff and inform our stakeholders across the country, to ensure we’re ready for the fall loan season. As always, your patience is appreciated, but please feel free to reach out if you think we can be of assistance here in the national office.

    To say that it has been one of the great privileges of my life to contribute alongside our team to this effort, is a woeful understatement.

    Many of you have seen the black vest that I wear for my “formal attire.” It belonged to that rancher mentioned at the beginning of this blog. I have worn it to keep me grounded and remind me of my “why.” Its work is done, now it’s time to get my own. —By Zach Ducheneaux, USDA Farm Service Agency Administrator

  • USDA Launches Online Debt Consolidation Tool for Farmer and Rancher Viability

    The U.S. Department of Agriculture (USDA) is announcing the launch of the Debt Consolidation Tool, an innovative online tool available through farmers.gov that allows agricultural producers to enter their farm operating debt and evaluate the potential savings that might be provided by obtaining a debt consolidation loan with USDA’s Farm Service Agency (FSA) or a local lender.

    “Providing producers with options to structure their debt in a manner that affords them every opportunity to meet the goals of their agricultural operation is the best way to ensure the nation’s farmers and ranchers build financial equity and resilience,” said FSA Administrator Zach Ducheneaux.

    A debt consolidation loan is a new loan used to pay off other existing operating loans or lines of credit that might have unreasonable rates and terms. By combining multiple eligible debts into a single, larger loan, borrowers may obtain more favorable payment terms such as a lower interest rate or lower payments. Consolidating debt may also provide farmers and ranchers additional cash flow flexibilities.

    The Debt Consolidation Tool is a significant addition to FSA’s suite of improvements designed to modernize its Farm Loan Programs. The tool enhances customer service and increases opportunities for farmers and ranchers to achieve financial viability by helping them identify potential savings that could be reinvested in their farming and ranching operation, retirement accounts, or college savings accounts.

    Producers can access the Debt Consolidation Tool by visiting farmers.gov/debt-consolidation-tool. The tool is built to run on modern browsers including Chrome, Edge, Firefox, or the Safari browser. Producers do not need to create a farmers.gov account or access the authenticated customer portal to use the tool.

    Additional Farm Loan Programs Improvements

    FSA recently announced significant changes to Farm Loan Programs through the Enhancing Program Access and Delivery for Farm Loans rule. These policy changes, to take effect September 25, 2024, are designed to better assist borrowers to make strategic investments in the enhancement or expansion of their agricultural operations.

    FSA also has a significant initiative underway to streamline and automate the Farm Loan Program customer-facing business process. For the over 26,000 producers who submit a direct loan application annually, FSA has made several impactful improvements including:

    • The Loan Assistance Tool that provides customers with an interactive online, step-by-step guide to identifying the direct loan products that may be a fit for their business needs and to understanding the application process.
    • The Online Loan Application, an interactive, guided application that is paperless and provides helpful features including an electronic signature option, the ability to attach supporting documents such as tax returns, complete a balance sheet, and build a farm operating plan.
    • An online direct loan repayment feature that relieves borrowers from the necessity of calling, mailing, or visiting a local USDA Service Center to pay a loan installment.
    • A simplified direct loan paper application, reduced from 29 pages to 13 pages.
    • A new educational hub with farm loan resources and videos.

    USDA encourages producers to reach out to their local FSA farm loan staff to ensure they fully understand the wide range of loan and servicing options available to assist with starting, expanding, or maintaining their agricultural operation. To conduct business with FSA, please contact your local USDA Service Center.

    FSA helps America’s farmers, ranchers and forest landowners invest in, improve, protect and expand their agricultural operations through the delivery of agricultural programs for all Americans. FSA implements agricultural policy, administers credit and loan programs, and manages conservation, commodity, disaster recovery and marketing programs through a national network of state and county offices and locally elected county committees. For more information, visit fsa.usda.gov.

  • USDA Updates Farm Loan Programs to Increase Financial Freedom and Profitability for Ag Producers

    The U.S. Department of Agriculture (USDA) has announced changes to the Farm Service Agency’s (FSA) Farm Loan Programs, effective Sept. 25, 2024 — changes that are intended to increase opportunities for farmers and ranchers to be financially viable. These improvements, part of the Enhancing Program Access and Delivery for Farm Loans rule, demonstrate USDA’s commitment to improving farm profitability through farm loans designed to provide important financing options used by producers to cover operating expenses and purchase land and equipment.

    “USDA recognizes that Farm Service Agency’s loan making and servicing activities are critical for producers, especially in tough times. Providing borrowers the financial freedom to increase profits, save for long-term needs and make strategic investments is the best way to ensure the nation’s farmers and ranchers can build financial equity and resilience,” said Zach Ducheneaux, FSA Administrator. “Implementing these improvements to our Farm Loan Programs is the next step in our ongoing commitment to removing lending barriers that may prevent access to credit for borrowers, especially those who need it most.”

    Farm loan policy changes outlined in the Enhancing Program Access and Delivery for Farm Loans rule, are designed to better assist borrowers to make strategic investments in the enhancement or expansion of their agricultural operations.

    The three most notable policy changes include:

    • Establishing a new low-interest installment set-aside program for financially distressed borrowers. Eligible financially distressed borrowers can defer up to one annual loan installment per qualified loan at a reduced interest rate, providing a simpler and expedited option to resolve financial distress in addition to FSA’s existing loan servicing programs.
    • Providing all eligible loan applicants access to flexible repayment terms that can increase profitability and help build working capital reserves and savings. By creating upfront positive cash flow, borrowers can find opportunities in their farm operating plan budgets to include a reasonable margin for increased working capital reserves and savings, including for retirement and education.
    • Reducing additional loan security requirements to enable borrowers to leverage equity. This reduces the amount of additional security required for direct farm loans, including reducing the frequency borrowers must use their personal residence as additional collateral for a farm loan.

    Additional Farm Loan Program Improvements

    Under the Biden-Harris Administration, USDA’s FSA has embarked on a comprehensive and systemic effort to ensure equitable delivery of Farm Loan Programs and improve access to credit for small and mid-size family farms. FSA has also included additional data in its annual report to Congress to provide information that Congress, stakeholders, and the general public need to hold USDA accountable on the progress that has been made in improving services to underserved producers. This year’s report shows FSA direct and guaranteed loans were made to a greater percentage of young and beginning farmers and ranchers, as well as improvements in the participation rates of minority borrowers. The report also highlights FSA’s microloan program’s new focus on urban agriculture operations and niche market lending, as well as increased support for producers seeking direct loans for farm ownership in the face of increasing land values across the country.

    FSA has a significant initiative underway to streamline and automate the Farm Loan Program customer-facing business process. For the over 26,000 producers who submit a direct loan application annually, FSA has made several impactful improvements including:

    • The Loan Assistance Tool that provides customers with an interactive online, step-by-step guide to identifying the direct loan products that may be a fit for their business needs and to understanding the application process.
    • The Online Loan Application, an interactive, guided application that is paperless and provides helpful features including an electronic signature option, the ability to attach supporting documents such as tax returns, complete a balance sheet, and build a farm operating plan.
    • An online direct loan repayment feature that relieves borrowers from the necessity of calling, mailing, or visiting a local USDA Service Center to pay a loan installment.
    • A simplified direct loan paper application, reduced from 29 pages to 13 pages.

    USDA encourages producers to reach out to their local FSA farm loan staff to ensure they fully understand the wide range of loan and servicing options available to assist with starting, expanding, or maintaining their agricultural operation. To conduct business with FSA, please contact your local USDA Service Center

    FSA helps America’s farmers, ranchers and forest landowners invest in, improve, protect and expand their agricultural operations through the delivery of agricultural programs for all Americans. FSA implements agricultural policy, administers credit and loan programs, and manages conservation, commodity, disaster recovery and marketing programs through a national network of state and county off ices and locally elected county committees. For more information, visit, www.fsa.usda.gov

  • $22M for 29 Projects to Expand Conservation for Livestock Producers

    The U.S. Department of Agriculture (USDA) has awarded $22 million for 29 selected projects in 36 states that expand access to conservation technical assistance for livestock producers and increases the use of conservation practices on grazing lands. USDA’s Natural Resources Conservation Service (NRCS) is funding the cooperative agreements through its Grazing Lands Conservation Initiative (GLCI), which empowers partners to increase availability of grazing land technical assistance for livestock producers, including historically underserved producers, as well as Native American tribal governments.

    “Privately owned grazing lands cover nearly one-third of the American landscape,” said NRCS Chief Terry Cosby. “Through these selected projects and cooperative agreements, NRCS leverages the knowledge and expertise of partners to help livestock producers, advance climate-smart agriculture and serve producers who choose voluntary, private land conservation.”

    Selected projects focus on one or more of the following priorities: 

    • Addressing local natural resource concerns.    
    • Using climate-smart agriculture and forestry practices and principles.    
    • Encouraging existing and new partnerships to advance the resource needs of underserved communities.    
    • Identifying and implementing strategies to quantify, monitor, report on and verify conservation benefits associated with grazing management systems. 
    • Utilizing Indigenous Traditional Ecological Knowledge, where applicable.   

    Projects include:

    • The Wolfe’s Neck Farm Foundation, Inc. plans to expand managed grazing in New England and Eastern New York through partnerships, climate-smart technical assistance and education. 
    • Virginia State University plans to provide outreach, training and technical assistance to underserved and veteran ranchers in Virginia on alternative grazing practices and herd management. 
    • Rolling Hills Resource Conservation and Development Council, Inc. plans to improve grazing management in Georgia by educating producers in the art and science of grazing and introduce them to the latest technology within the grazing industry. 
    • The Valley Stewardship Network plans to continuing momentum in Wisconsin for conservation grazing through farmer-led watershed management initiatives, technical assistance and ecological monitoring.
    • Chico State Enterprises plans to provide technical assistance and workforce development on grazing lands in Northern California. Project activities include working with underserved producers to increase their participation in new and existing grazing coalitions; create a new professional course in Indigenous Traditional Ecological Knowledge (ITEK).
    • National Grazing Lands Coalition plans to expand organizational capacity to support grazing coalitions that create local-grassroots-programs across the nation and on indigenous grazing lands to target local resource concerns.

    The full list of projects is available on the GLCI webpage. 

    More on GLCI   

    Funded by the Farm Bill, GLCI was developed as a coordinated effort to identify priority issues, find solutions and effect change on private grazing land, enhancing existing conservation programs. NRCS is reviving and revitalizing GLCI to leverage partner capacity, expertise and technical assistance to expand the footprint of well-managed grazing systems across the country.

    GLCI also supports the National Grazing Lands Coalition to help state grazing coalitions form and persist with participation from historically underserved producers and Native American tribal governments and organizations.

  • Congressman Duarte Addresses Water Issues & Solutions for California Ag

    Despite the great rainfall and snowpack California has experienced in the last couple years, little of this abundance has been shared with agriculture or even saved for the inevitable times of drought that lay ahead.  Farmers are fed up with the state’s many years of mismanagement of our water resources and lack of practical investment in our water future.  This led a farmer to run for congress and bring some new, realistic solutions to the table.  Watch this brief interview with Representative John Duarte from the 13th Congressional District of California as he shares some of these priorities that offer relatively quick and longterm water availability benefits for farmers and all Californians.

    Special thanks to American Pistachio Growers for sponsoring this video.

  • SGMA Progress Hampered by Insufficient Surface Farm Water Allocations

    Farmers and local water districts have worked together endeavoring to rebuild and sustain California’s underground aquifers through groundwater recharge projects among other conservation practices. Much progress has been made in complying with the Sustainable Groundwater Management Act (SGMA), but without access to adequate surface water in year’s of plenty such as this, farmers are left struggling to keep their crops alive and productive, prematurely having to tap back into groundwater supplies. Watch this brief interview with pistachio grower and Chairman of the California Water Alliance — William Bourdeau, as he explains. And read about farm water solutions in the September issue of Pacific Nut Producer Magazine.

    Special thanks to American Pistachio Growers for sponsoring this video.