Category: Ag Economics

  • Three Ways to Improve Color in Red Wine Grapes

    Color is an important aspect of red wine grape quality.  Watch this brief interview with Luca Brillante from the Fresno State Department of Viticulture and Enology has he shares three things growers can do to improve color management and read more about it in American Vineyard Magazine.
     
    Please thank this video’s sponsor Suterra for their industry support.
  • Alternative to Ag Open Burning Incentive Program

    Almond Alliance of California – The San Joaquin Valley Air Pollution Control District (Air District) is accepting applications for the Alternative to Agricultural Open Burning Incentive Pilot Program. This program provides incentives to commercial agricultural operations located within Air District boundaries to chip or shred agricultural material from orchard and vineyard removals and use for soil incorporation or land application on agricultural land as an alternative to the open burning of the agricultural materials.

    The Almond Alliance and Almond Board of California continue to encourage almond growers to utilize this program, especially given the recent Air Resources Board (CARB) approved plan to phase out all open agricultural burning by 2025 in the San Joaquin Valley.

    Applicants must have not chipped, nor can begin chipping, any of the acres and/or orchard to be removed at the location referenced in their application until they have an executed voucher.

    Applications are processed on a first-come, first-served basis while funds are available. The review and approval process consists of an application review and site inspection.  A voucher is executed and sent to the applicant upon determination of an eligible and complete application and inspection.  The approval process typically takes 7-10 business days.

    Land conversions intended for non-agricultural purposes are not eligible for funding.

    To be eligible, farmers have to use the material for soil incorporation or land application as an alternative to the burning of the material. Eligible crop types include orchard and vineyard removals.  Applicants who will be chipping the material with soil incorporation may receive up to $600 per acre, for a maximum of $60,000 per year.  Farmers who wish to chip without soil incorporation are eligible for up to $300 per acre with a $30,000 maximum per year.

    Almond Alliance Chairman Mike Curry of Johnson Farms indicated that it was easy to apply stating “It’s very simple paperwork. It’s pretty straightforward.” Adding that growers who have applied for Air District funding to assist with the purchase of low-dust harvesting equipment or to replace diesel pumps will find the application process similar.

    For Program Guidelines, Click Here.

    For Program Application, Click Here.


    San Joaquin Valley Air Pollution Control District Contact Information:
    Phone: (559) 230-5800
    Email: grants@valleyair.org
    Website: www.valleyair.org

  • Dairy Producer Diversifies and Innovates with Beef Subscription Company

    Tony P. Lopes is a 4th generation dairyman and farmer, following in his family’s footsteps of producing food while caring for their land and cattle. In addition to raising sustainiBeef’s Angus Crossbred steers, the Lopes family farm also produces Real California Milk, Corn, Oats, and Alfalfa. Ever since the family’s patriarch Manuel immigrated from the Azores Islands in search of work, the Lopes family has been dedicated to dairying and farming as efficiently and sustainably as possible.

    “My grandparents and parents have been tremendous examples for me to emulate. Everything I know about the value of hard work, and how to care for the cows and the land, came as a result of watching and learning from them.”

    With experience in the dairy side of the family business, Tony decided to take his livestock knowledge and the skills he had learned over the years and diversify into beef operations. sustainiBeef is proud to provide locally-raised, harvested, processed, and shipped beef subscription boxes throughout the United States.

    “I believe that we all have a role to play in making our world a sustainable one. It is incredibly important for people within the food industry to start acknowledging that our consumers are demanding more sustainable practices and a food industry that more closely aligns with their values,” says Lopes. “When launching sustainiBeef, my primary goal was to share this message to not only businesses within this industry, but to consumers as well.”

    Over the last 4 generations a lot has changed for the Lopes Family Farm, but Tony’s commitment to environmental stewardship and animal welfare has never faltered. Today, he works daily alongside his parents Paul and Darlene, and siblings Alexandria, Selina, and Joseph, to produce wholesome, nutritious food for the world.

    Built around the simple idea of making a difference in the world, sustainiBeef is proud to practice environmental stewardship, while effectively producing high-quality, direct-to-your-doorstep beef that delivers all the savory, healthy proteins and fats, with 50% lower carbon footprint emissions, according to supply-chain research conducted at UC Davis.

    “By combining elite Angus genetics with our highly-efficient Holstein cowherd, we can create a high-performance crossbred steer with a tremendously lower net carbon footprint. Our cattle can achieve the same level of marbling and tenderness that consumers have come to expect from Angus beef, but are much more carbon-efficient when it comes to Life Cycle Assessment (LCA) climate research. While traditional cow calf operations play a critical role in rangeland management and the carbon cycle, many of our consumers are demanding a lower net emission alternative. sustainiBeef achieves that.”

    sustainiBeef’s core value is sustainability. Not only does sustainiBeef practice environmental stewardship, but they also ship their beef in 100% recycled boxes with biodegradable box insulators. sustainiBeef is dedicated to fighting the unprecedented food waste issue by providing consumers with frozen beef, which means never having to throw out fresh beef. sustainiBeef can be easily thawed and cooked whenever the consumer is ready for it. Until then, all sustainiBeef is safely preserved in the freezer. The family dairy and sustainiBeef herd share over 2,000 acres of open farmland with a vibrant ecosystem of local wildlife, and pay their employees a progressive living wage. Tony’s focus is on farming the right​ way – for his consumers, community, and the world.

    “It is my hope to one day be able to pass down the same legacy of environmental stewardship to my future sons or daughters, the same way it was passed down to me,” Lopes says. “My goal is for sustainiBeef to usher in a new era of beef consumption for climate-conscious consumers.”

  • Valencia Orange Production Forecast At 20 Million Cartons

    The March 2020-21 Valencia orange forecast is 20.0 million cartons. This forecast was based on the results of the 2020-21 Valencia Orange Objective Measurement (O.M.) Survey, which was conducted from January 11 to February 28, 2021. Estimated fruit set per tree, fruit diameter, trees per acre, bearing acreage, and oranges per carton were used in the statistical models estimating production.

    The season had experienced scattered precipitation in some areas but mainly warm and dry conditions in January and February. Survey data indicated an average fruit set per tree of 545, a 2.7% decrease from the previous year and slightly below the five-year average. The average March 1 diameter was 2.552 inches, up 3.3% from the previous year and slightly above the five-year average of 2.529.

    SURVEY HISTORY

    A Valencia Orange Objective Measurement Survey was conducted from the 1985-86 to 1993-94 seasons before suspension due to a lack of funding. The survey has been conducted since it was reinstated for the 1999-00 season, with the exception of the 2006-07 season due to a substantial freeze. The data from the first three years after the survey was reinstated were used for research purposes in developing crop- estimating models.

    SURVEY SAMPLE

    A sample of 379 Valencia orange groves were randomly selected proportional to acreage, county, and variety representation in the state, with 334 of these groves being utilized in this survey. Once a grove was randomly chosen and grower permission was granted, two trees were randomly selected for each grove. For each randomly selected tree, its trunk was measured along with all connected branches. A random number table was then used to select a branch, and then all connected branches from the randomly-selected branch were measured.

    This process was repeated until a branch was reached with no significant limbs beyond it. This randomly-selected branch, called the terminal branch, was then closely inspected to count all fruit connected to it, as well as all of the fruit along the path from the trunk to the terminal branch. Since each selected path has a probability of selection associated with it, a probability- based method was then applied to estimate a fruit count for the entire tree.

    In the last week of the survey period, fruit diameter measurements were collected on the right quadrant of four trees surrounding the two trees of every third sampled grove. These measurements were used to estimate an average fruit diameter per tree. The sampled groves were primarily in the top Valencia orange producing counties of Tulare, Kern, Fresno, Ventura, and San Diego.

  • CA Prune Board Addresses Non-Tariff Barriers for Nuts & Dried Fruit

    As the world leader in prune exports, the California Prune Board is preemptively addressing issues that affect the trade of dried fruits and nuts with a three-year project focused on preserving the use of sulfuryl fluoride. With the support of the Foreign Agriculture Services arm of USDA, the California Prune Board (CPB) has secured funding to lead a Technical Assistance for Specialty Crops (TASC) program titled “Preserving sulfuryl fluoride for dried fruit exports to the European Union.”

    “This project hits on all the major non-tariff barriers,” says Gary Obenauf, CPB Production Research Coordinator and lead on the TASC project. “Exports of nuts and dried fruits require reliable measures that ensure consumers around the world are receiving a safe product and this project is paramount in gathering the information needed, enabling California Prunes and other commodities to retain and expand export markets.”

    While the project specifically investigates the voids in residue data associated with the use of sulfuryl fluoride for treating U.S. dried fruit and tree nuts, the research ultimately addresses the stringent criteria to limit emissions for continued and optimal sulfuryl fluoride use in all export markets for a variety of commodities. The study is being conducted by top experts in their fields from Stanford, Yale, USDA’s Agricultural Research Service (ARS), University of California, and DFA of California.

    “Global trade interest in eliminating greenhouse gas emissions is growing, and we’re getting asked about sulfuryl fluoride use in several markets,” stated Spencer Walse, a research chemist for ARS. “This project provides an opportunity to continue sulfuryl fluoride use globally and preserves the quality of products while maintaining food safety and security. If we don’t protect the use of sulfuryl fluoride, the ability to export to various countries, including the EU, diminishes.”

    With new use patterns that need to be reflected globally, efficacy data is generated for market access into new export opportunities. Many countries, including India and Australia, require residue data to accompany the efficacy data to ensure consumer safety.

    “We studied methyl bromide decades ago and found the use patterns didn’t apply, so we had to adapt for sulfuryl fluoride,” added Obenauf. “This project allows us to update regulatory use patterns which have evolved since we started this work.”

    Phytosanitary techniques are vital to the export industry. The benefits of updating regulatory information through this research and gaining data on sulfuryl fluoride scrubbing extend far past the dried fruit and nut industries and will allow continued use of the gas globally.

    California is the world’s largest producer of prunes providing approximately 40 percent of the world’s supply and over 90 percent of the U.S. supply. Today, there are more than 40,000 bearing acres of California Prune orchards concentrated in the Sacramento and San Joaquin Valleys.

  • Raisin Bargaining Association Introduces Combination Pricing Program

    The California raisin industry is evolving as growers and packers navigate through difficult times.  The Raisin Bargaining Association (RBA) is adapting as well to protect the interests of its members and negotiate sustainable prices for raisin growers.  Watch this brief interview with RBA Chairman Dwayne Cardoza as he introduces a new combination program for 2020 raisin crop pricing and read more about it in American Vineyard Magazine.
     
    Please thank this video’s sponsor Suterra for their industry support.
  • Eyes on the Skies as Vineyards Push Towards Bud Break

    Sonoma County Winegrowers — As the calendar changes to March, Sonoma County vineyards are starting to awaken following a long, dry winter. Bud break marks the traditional start of the new year for the 2021 vintage meaning each day ahead is filled with a task intended to bring about the best harvest later this year. Given that bud break comes at the end of winter in a year when more rain is desired, those winter storms also bring the potential risk of harmful frosts at a time when the vines are most vulnerable. However, this time of year, it is the nature of growers to be excited about the new season getting underway.

    “This is one of my favorite times of the year as you can begin to see new life in the vineyard and feel the optimism for a great year among everyone,” said Karissa Kruse, president of the Sonoma County Winegrowers. She added, “In talking with growers throughout the county, bud break seems to be a little later this season, closer to the historic norms. I hope this is a sign of a normal year given all that we have endured the past few years.”

    As is always the case, white varieties such as chardonnay vines are the first buds to emerge, and growers are seeing some initial signs of bud break but still in the early stages. As the bright yellow color of daffodils and mustard appear to signal the arrival of spring, growers will welcome any rain Mother Nature can provide as the 2021 season officially begins.

    Here some early insight from the “front vines” of our AVA’s:

    Dry Creek Valley There are numerous reports of some early bud break primarily in Chardonnay and Gewurztraminer. The general feeling this year is bud break is a little early but not significantly early. It has been a dry winter prompting concerns that vines could revert to “drought mode” and, perhaps hold back production, but the pending arrival of spring brings renewed optimism for a stellar year.

    Russian River Valley Early reports are that bud break is starting a little later than recent year but closer to the normal timing of the past. While bud break can be seen in chardonnay vineyards throughout the AVA, early reports are that it should start soon with pinot noir. Here in the Russian River Valley, concerns about the dry winter persist.

    Alexander Valley With pruning just completed, bud break is not expected for another week or more. Overall, bud break is running about two weeks behind last year, closer to normal of years past. Cabernet and other red varieties are not expected to bud for at least 3 weeks.

    Green Valley Bud break is starting to show in some Chardonnay vineyards though it takes some hunting to find it. The general feeling is the timing is pretty normal. However, in the next few weeks, bud break will appear not only in the Chardonnay vineyards but throughout Green Valley. The dry winter is a top concern and rain is wanted in the worst way. In the meantime, local growers are perfectly content to wait while enjoying “daffodil heaven!”

    Fort Ross/Seaview Over on the coast in far western Sonoma County, the cold temperatures this winter have kept the vines dormant. Mid-March has been the typical start of bud break, so the timing this year appears to be normal. Like elsewhere in the county, it is extremely dry in Fort Ross/Seaview.

    Sonoma Valley With little rain this winter, some growers in Sonoma Valley are already considering irrigation, this is far earlier than any time in recent memory. Bud break is coming on fast but nothing of significance to report at this time.

  • Annual CDFA Crop Report Shows Dairy on Top

    In 2019, California’s farms and ranches received more than $50 billion in cash receipts for their output. This represents a slight increase over reported cash receipts compared to the previous year.

    California agricultural exports totaled $21.7 billion, an increase of 3 percent from 2018.  Top commodities for export included almonds, pistachios, dairy and dairy products, wine and walnuts. California’s agricultural export statistics are produced by the University of California, Davis, Agricultural Issues Center.

    California organic product sales totaled more than $10.4 billion in 2019, an increase of 3.5 percent from the prior year.  Organic production encompasses over 2.5 million acres in the state and California is the only state in the U.S. with a USDA National Organic Program.

    California’s agricultural abundance includes more than 400 commodities. Over a third of the country’s vegetables and two-thirds of the country’s fruits and nuts are grown in California. California’s top-10 valued commodities for the 2019 crop year are:

    • Dairy Products, Milk— $7.34 billion
    • Almonds — $6.09 billion
    • Grapes — $5.41 billion
    • Cattle and Calves — $3.06 billion
    • Strawberries — $2.22 billion
    • Pistachios — $1.94 billion
    • Lettuce — $1.82 billion
    • Walnuts — $1.29 billion
    • Floriculture — $1.22 billion
    • Tomatoes — $1.17 billion


    Read the full Report HERE

    Note: The 2019 Crop Year Report was assembled in late 2020.

  • USDA Extends Application Deadline for the Quality Loss Adjustment Program

    The U.S. Department of Agriculture (USDA) is extending the deadline from March 5 to April 9 for agricultural producers to apply for the Quality Loss Adjustment (QLA) Program because of recent winter storms and some clarifications to program rules. This program assists producers who suffered crop quality losses due to qualifying 2018 and 2019 natural disasters.

    “Because of recent winter storms and some program updates, we want to provide five additional weeks for producers to apply for the program,” said Zach Ducheneaux, Administrator of the Farm Service Agency (FSA). “I want to make sure eligible producers have the opportunity to apply and to work with our team members to help with any questions. We recently clarified policy to ensure producers who sold grain to the feed market due to quality issues are adequately compensated.”

    About the Program

    The QLA program assists producers whose eligible crops suffered quality losses due to qualifying drought, excessive moisture, flooding, hurricanes, snowstorms, tornadoes, typhoons, volcanic activity, or wildfires.

    Eligible crops include those for which federal crop insurance or Noninsured Crop Disaster Assistance Program (NAP) coverage is available, except for grazed crops and value loss crops, such as honey, maple sap, aquaculture, floriculture, mushrooms, ginseng root, ornamental nursery, Christmas trees, and turfgrass sod. Additionally, crops that were sold or fed to livestock or that are in storage may be eligible.

    Assistance is available in counties that received a Presidential Emergency Disaster Declaration or Secretarial Disaster Designation, or for drought, a county rated by the U.S. Drought monitor as having a D3 (extreme drought) or higher. Producers in counties that did not receive a qualifying declaration or designation may still apply but must also provide supporting documentation.

    FSA will issue payments once the application period ends. If the total amount of calculated QLA payments exceeds available program funding, payments will be prorated.

    More Information

    FSA began accepting applications on January 6 and has received more than 8,100 applications so far.

    To apply, contact your local USDA Service Center. Additional information is also available at farmers.gov/quality-loss. Producers can also obtain one-on-one support with applications by calling 877-508-8364.

    While USDA offices are currently closed to visitors because of the pandemic, Service Center staff continue to work with agricultural producers via phone, email, and other digital tools. To conduct business, please contact your local USDA Service Center. Additionally, more information related to USDA’s response and relief for producers can be found at farmers.gov/coronavirus.

    USDA is an equal opportunity provider, employer and lender.

  • USDA Announces March 2021 Lending Rates for Agricultural Producers

    The U.S. Department of Agriculture (USDA) announced loan interest rates for March 2021, effective March 1.

    Operating and Ownership Loans

    The USDA Farm Service Agency (FSA) offers farm ownership and operating loans with favorable interest rates and terms to help eligible agricultural producers, whether multi-generational, long-time or new to the industry, obtain financing needed to start, expand or maintain a family agricultural operation. For many loan options, FSA sets aside funding for historically disadvantaged producers, including beginning, women, American Indian or Alaskan Native, Asian, Black or African American, Native Hawaiian or Pacific Islander, and Hispanic farmers and ranchers.

    Interest rates for Operating and Ownership loans for March 2021 are as follows:

    FSA also offers guaranteed loans through commercial lenders at rates set by those lenders.

    You can find out which of these loans may be right for you by using our Farm Loan Discovery Tool.

    Commodity and Storage Facility Loans

    FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment. FSA also offers commodity 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 administered by FSA.

    FSA also reminds rural communities, farmers and ranchers, families and small businesses affected by the recent winter storms that USDA has programs that provide assistance. USDA staff in the regional, state and county offices are prepared with a variety of program flexibilities and other assistance to residents, agricultural producers and impacted communities. Many programs are available without an official disaster designation, including several risk management and disaster assistance options.

    Producers can explore available options on all FSA loan options at fsa.usda.gov or by contacting your local USDA Service Center.

    USDA is an equal opportunity provider, employer and lender.