California Ag Network

Category: Non-Video

  • Jordan College Dean Appointed to State Board of Food and Ag

    Dr. Rolston St. Hilaire, dean of the Jordan College of Agricultural Sciences and Technology at Fresno State, was appointed to the California State Board of Food and Agriculture by Governor Gavin Newsom on Nov. 15.

    Members are selected to represent a broad range of topics that are important to California’s farmers and ranchers, community stakeholders, citizens and the California State University and University of California academic systems.

    “It’s a pleasure to have Dr. St. Hilaire as a representative to the State Board of Food and Agriculture,” said California Department of Food and Agriculture Secretary Karen Ross. “I congratulate Dr. St. Hilaire on his appointment and value his representation of the California State University System on the board.”

    Fresno State alumnus Don Cameron (biology) serves as the president of the 15-member board that also includes alumnus Mike Gallo (viticulture and enology).

    The board’s next meeting is on Dec. 3. Agendas for past and upcoming meetings demonstrate the board encourages public participation and input in a host of matters concerning evolving agriculture and food policy issues.

    Members serve up to four-year terms and may be reappointed to the position.

    “This is a special honor for me because the board works with multiple aspects of sustainable agriculture,” St. Hilaire said, “which is a concept we are equally committed to with our campus agricultural academic and research programs. California is known around the world as a leader in agricultural innovation and for trying to more effectively balance its resources among agricultural, urban and environmental needs.”

    St. Hilaire advocates for food security and serves as Fresno State’s principal investigator for the Southwest USDA Regional Food Business Center. In August 2025, he will begin a one-year appointment as the president of the American Society for Horticultural Science, an association he joined in 1996.

    He became Jordan College dean in September 2022 after serving as a plant science faculty and department head at New Mexico State University from 1998 to 2022. He was also a regents professor, New Mexico State’s highest faculty award, and oversaw its research and extension programs.

    He earned his Doctor of Philosophy degree in horticulture from Iowa State University, and his master’s and bachelor’s degrees from the University of Puerto Rico, Mayagüez. Each degree was in the horticulture field, and he received his department’s top of the class award as an undergraduate.

  • Feeding Grazing Cattle Seaweed Cuts Methane Emissions by Almost 40%

    Seaweed is once again showing promise for making cattle farming more sustainable. A new study by researchers at the University of California, Davis, found that feeding grazing beef cattle a seaweed supplement in pellet form reduced their methane emissions by almost 40% without affecting their health or weight. The study was published today (Dec. 2) in Proceedings of the National Academy of Sciences.

    This is the first study to test seaweed on grazing beef cattle in the world. It follows previous studies that showed seaweed cut methane emissions 82% in feedlot cattle and over 50% in dairy cows.

    How much methane do cattle produce?

    Livestock account for 14.5% of global greenhouse gas emissions, with the largest portion coming from methane that cattle release when they burp. Grazing cattle also produce more methane than feedlot cattle or dairy cows because they eat more fiber from grass. In the U.S., there are 9 million dairy cows and over 64 million beef cattle.

    Ermias Kebreab, Professor in the Department of Animal Science, UC Davis

    “Beef cattle spend only about three months in feedlots and spend most of their lives grazing on pasture and producing methane,” said senior author Ermias Kebreab, professor in the Department of Animal Science. “We need to make this seaweed additive or any feed additive more accessible to grazing cattle to make cattle farming more sustainable while meeting the global demand for meat.”

    Difficulty in lowering grazing cattle emissions

    Kebreab said that daily feeding of pasture-based cattle is more difficult than feedlot or dairy cows because they often graze far from ranches for long periods. However, during the winter or when grass is scarce, ranchers often supplement their diet.

    For this study, researchers divided 24 beef steers (a mix of Angus and Wagyu breeds) into two groups: one received the seaweed supplement, and the other did not. Researchers conducted the 10-week experiment at a ranch in Dillon, Montana. Since these were grazing cattle, they ate the supplement voluntarily, which still resulted in a nearly 40% cut in emissions.

    Most research to reduce methane emissions using feed additives have taken place in controlled environments with daily supplements. But Kebreab noted in the study that fewer than half of those methods are effective for grazing cattle.

    “This method paves the way to make a seaweed supplement easily available to grazing animals,” said Kebreab. “Ranchers could even introduce the seaweed through a lick block for their cattle.”

    Kebreab said pastoral farming, which includes large grazing systems, supports millions of people around the world, often in areas vulnerable to climate change. This study suggests a way to make cattle grazing better for the environment and play a role in fighting climate change.

    A related article in the same PNAS issue highlights the need to improve the efficiency of livestock production in low- and middle-income countries using better genetics, feeding and health practices. UC Davis Professor and Cooperative Extension Specialist Alison Van Eenennaam, the article’s author, said it is the most promising approach to meet the global demand for meat while limiting greenhouse gas emissions.

    Other authors of the seaweed study include UC Davis postdoctoral researchers Paulo de Méo Filho Paulo Meo-Filho and John-Fredy Ramirez-Agudelo.

    The research was supported by Matador Ranch in Dillon, Montana. — By Amy Quinton, UC Davis

  • December USDA Lending Rates for Ag Producers

    The U.S. Department of Agriculture (USDA) announced loan interest rates for December 2024, which are effective Dec. 2, 2024. USDA Farm Service Agency (FSA) loans provide important access to capital to help agricultural producers start or expand their farming operation, purchase equipment and storage structures or meet cash flow needs.

    “I encourage our lenders and borrowers alike to work with our local offices and our cooperators to capitalize fully on the existing flexibilities in these important programs,” said FSA Administrator Zach Ducheneaux.

    Operating, Ownership and Emergency Loans

    FSA offers farm ownership, operating and emergency 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.

    Interest rates for Operating and Ownership loans for December 2024 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.

    Farm Loan Program Process Improvement

    FSA  announced significant changes to Farm Loan Programs through the Enhancing Program Access and Delivery for Farm Loans rule. These policy changes took effect Sept. 25, 2024, and 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. FSA has made various improvements including:

    • 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.
    • 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 tool was recently updated to include features tailored specifically to meet lender needs. The tool allows users to access all resources by identifying themselves as either a producer or lender.
    • The Debt Consolidation Tool that allows producers to enter their farm operating debt and evaluate the potential savings that might be provided by obtaining a debt consolidation loan with FSA or a local lender.
    • An online direct loan repayment feature that relieves borrowers from the necessity of calling, mailing or visiting a local 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.

    More Information

    Since the Inflation Reduction Act was signed by President Biden in August 2022, USDA’s Farm Service Agency has provided approximately $2.4 billion in immediate assistance to more than 43,900 distressed borrowers. Visit the Inflation Reduction Act Assistance for Distressed Borrowers webpage for more information.

    To learn more about FSA programs, producers can contact their local USDA Service Center. Producers can also prepare maps for acreage reporting as well as manage farm loans and view other farm records data and customer information by logging into their farmers.gov account. Producers without an account can sign up today.

    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.

  • Westlands Water District Elects Five Board Members

    Westlands Water District (District) board certified the election for five members to the District’s Board of Directors. Directors William Bourdeau, Jeff Fortune, Frank Coelho, and Jim Anderson were reelected, and Ryan Ferguson rejoined the board as a newly-elected member. Each will serve a four-year term, alongside the current four members to complete the nine-member Board of Directors.

    “The re-election of these highly qualified and experienced individuals reflects our grower’s commitment to continue the District’s legacy of leadership and innovation as we continue to navigate the important challenges and exciting opportunities ahead. The work before us is vital for the future of the hundreds of family farms and thousands of community members who rely on Westlands Water District. We are committed to rolling up our sleeves, collaborating closely, and making thoughtful, forward-looking decisions to ensure that the San Joaquin Valley can continue to feed the nation,” said Allison Febbo, General Manager, Westlands Water District.

    The Westlands Water District Board of Directors is composed of nine members, each of whom is either a District landowner or designated legal representative of a landowner. The Board manages the District’s business and affairs.

    Board Member Biographies

    Willian Bourdeau: William Bourdeau is fourth-generation member of a family from the Westside of California’s San Joaquin Valley and the Founder and CEO of Bourdeau Farms based in Coalinga. Mr. Bourdeau also oversees operations across 25,000 acres in Coalinga, Sanger, and Lodi, helping to lead one of the Valley’s most agriculturally diverse companies in his role as Executive Vice President of Harris Farms.

    Jeff Fortune: A UC Davis graduate, third-generation California farmer, and second-generation Westlands farmer, Jeff Fortune brings extensive hands-on farming experience to the District’s Board, where he has served as Board President since December 2022. A “boots on the ground” farmer, Mr. Fortune, along with his wife Mitzi, began farming in Westlands in 1978, currently cultivating tomatoes, almonds, and pistachios.

    Frank Coelho: Alongside his family, Frank Coelho works as a third-generation farmer in the Five Points region of the District. Serving on the District’s Board since 1991, Mr. Coelho remains dedicated to supporting family farms like his own, where they cultivate a variety of crops including processing tomatoes, pistachios, wine grapes, almonds, cotton, garlic, and garbanzo beans.

    Jim Anderson: A fifth-generation Westlands Water District farmer, Jim Anderson has proudly represented local farmers on the Board since 2013. Mr. Anderson and his wife Elizabeth grow a range of crops including garlic, wheat, almonds, and pistachios—adjusting as needed based on water availability.

    Ryan Ferguson: Ryan Ferguson has farmed in Westlands Water District with his family for more than 20 years. Previously serving as Board President from April 2021 to December 2022, Mr. Ferguson helped lead the development and adoption of the District’s groundwater sustainability plan and the groundwater banking program. Mr. Ferguson and his father grow almonds, pistachios, tomatoes, onions and cotton on the west side of the San Joaquin Valley in the District.

    About Westlands Water District

    Westlands Water District is recognized as a world leader in agricultural water conservation and has served the farmers and rural communities on the west side of Fresno and Kings counties for more than five decades. As stewards of one of California’s most precious natural resources, Westlands continually invests in conservation, and champions farmers deploying innovative irrigation methods based on the best available technology.

  • California Almond Acreage Drops Again in 2024

    California’s total almond acreage dropped again in 2024, making three years in a row that acreage has decreased, something that has not happened since at least 1995, according to a new report from Land IQ to the Almond Board of California (ABC).

    Total acreage dropped by about 40,000 acres from 1.56 million acres in the last crop year to just over 1.52 million in 2024. Bearing acres – orchards producing almonds and planted in 2021 or earlier – increased by the smallest amount in more than two decades, just 9,000 acres. The total of bearing acres during the 2024 growing season was 1.383 million acres compared with 1.374 million acres at this time last year.

    But the amount of non-bearing acreage – new orchards planted in 2022, 2023 or 2024 – sank about 47,000 acres from 189,000 acres in 2023 to 142,000 in 2024, according to the Land IQ 2024 Standing Acreage Final Estimate.

    “Three straight years of decreased acreage and sizeable orchard removals reflect a trend toward lower overall California almond acreage,” said Clarice Turner, ABC president and CEO. “At the same time, we continue to see strong shipments – in the past crop year, for the first time ever, we shipped more than 200 million pounds in 11 consecutive months, plus for the year, we shipped 300 million pounds more than we produced. We know global demand for California almonds continues to grow and that almonds will continue to have a very significant role in California and global agriculture and food industries for the foreseeable future.”

    There were significant orchard removals again in 2024 totaling almost 67,000 acres. Those add to the 83,000 acres removed in 2023 and 60,400 acres removed in 2022, according to the accompanying Land IQ 2023 Removal Update. Those removals and the decreasing amount of non-bearing acres, or new plantings, contribute to the probability of fewer acres over the next few years, Turner said.

    In addition, slightly more than 30,000 acres are classified as either stressed or abandoned. They were included in the standing acreage total because the orchards “may have the ability to recover,” Land IQ said.

    The estimates come from multiple lines of evidence, including agronomic and remote sensing knowledge, robust on-the-ground verification, customized image analysis, artificial intelligence and more. Land IQ said the 2024 standing acreage estimate is 98.8 percent accurate.

    The report also said the slight change in the amount of bearing acreage from the April initial estimate – which was labeled as exactly that, the initial accounting – was the result of Land IQ crews in the orchards identifying additional bearing acres, and because removals were overestimated in April by about 4,000 acres.

    Land IQ’s acreage estimates are commissioned by ABC to provide statistical transparency and a robust picture of California almonds to industry stakeholders around the world. In 2018, ABC first commissioned Land IQ, a Sacramento-based agricultural and environmental scientific research and consulting firm, to develop a comprehensive, living map of California almonds. The map is the result of more than a decade of research. — By the Almond Board of California

  • Marin French Cheese Co. Wins Gold and Bronze at World Cheese Awards 2024

    Marin French Cheese Co., the country’s oldest cheese company based in Marin County in Northern California, is honored to announce its outstanding achievements at the World Cheese Awards 2024. The prestigious event hosted annually by the Guild of Fine Food, recognized Marin French Cheese Co.’s artisan soft-ripened cheeses with four medal awards including Gold for Petite Suprême and Golden Gate—which achieved its first-ever Gold after earning Bronze the past two years—and Bronze for Petite Camembert and Petite Truffle.

    A total of 240 judges from 39 countries, divided into 104 teams, took on the challenge of determining which entries deserved accreditation. The panel included experts from various industry disciplines, such as graders, buyers, chefs, producers, retailers, technologists, journalists, and influencers. This year’s competition was the largest yet, with 1,032 companies participating globally. Cheeses were meticulously evaluated based on rind and paste appearance, aroma, body, texture, and, most importantly, flavor and mouthfeel. Bronze and Gold accolades were awarded to Marin French Cheese Co. cheeses, including:

    GOLD – Petite Suprême (4 oz., SRP $8.49) combines a French soft cheese recipe with California craftsmanship. Made from local California cow’s milk with extra added cream, it offers a rich creamline and a dense, buttery paste for a decadent taste in every bite.

    GOLD – Golden Gate (8 oz., SRP $16.99) is a triple crème cheese that gets its striking color from being hand-washed with brine multiple times throughout the 14 day aging process to allow the cultures naturally present in the coastal air to flourish. Inspired by the vibrant color of the Golden Gate Bridge, this cheese ranges from semi-soft, fudgy, and robust when young to oozing umami as it approaches its best by date. This washed rind cheese is earthy with vegetal aromas and a rich savory flavor.

    BRONZE – Petite Camembert (4 oz., SRP $7.99) is a unique small format of the brand’s classic French style Camembert cheese. Complex with earthy aromas of mushroom, a creamy paste is enrobed in a velvety bloomy rind, this soft cheese uses a different blend of cultures from other brie style cheeses. Part of the Petite Classic Collection, this cheese is true to Marin French’s California-crafted, French-inspired roots.

    BRONZE – Petite Truffle (4 oz., SRP $8.49) is built on the same recipe as Triple Crème Brie with the luxurious inclusion of imported black truffles speckled throughout the paste. Its irresistible earthy aroma and rich flavor are balanced by notes of sweet cream and a velvety texture. This cheese is part of our Petite Reserve Collection of 4 oz. wheels enhanced with premium ingredients to inspire moments of authentic pleasure.

    “Our whole team is thrilled to have Marin French Cheese Co. products recognized on the world’s stage, especially among such an impressive array of cheeses entered into this year’s World Cheese Awards,” says Bonnie Kaufman, Brand Manager of Marin French Cheese Co. “This honor reflects the dedication, passion, and creativity that our team brings to cheesemaking. As we approach our 160th anniversary of crafting soft-ripened cheeses in our original West Marin creamery, we are committed to preserving our rich traditions while embracing innovation. This recognition means so much to us and fuels our drive to continue crafting exceptional cheeses that inspire, delight, and bring people together.”

    Marin French Cheese Co. has been a pioneer in the cheesemaking industry since 1865 and is known for its exceptional cheeses that consistently surprise and delight cheese enthusiasts and experts alike. Marin French Cheese Co.’s soft ripened cheeses can be purchased at a selection of specialty grocers and cheese shops nationwide, found on the store locator on the website, or on Northbay Creameries.

    About Marin French Cheese Co.

    Marin French Cheese Co. is the country’s oldest cheese company, operating at its historic creamery in Marin County since 1865. Marin French Cheese Co. marries traditional French cheesemaking techniques with California terroir and innovative spirit to produce award-winning and original cheeses. Made with high-quality local ingredients, its cheeses reflect one of life’s simplest and most authentic pleasures: experiencing good food. For more information, visit MarinFrenchCheese.com or follow on Instagram @marinfrenchcheese or Facebook @marinfrenchcheesecompany.

  • Petit Pot Takes $100,000 Grand Prize at 2024 Real California Milk Excelerator

    The California Milk Advisory Board (CMAB) and VentureFuel announced Petit Pot as the grand prize winner in the 2024 Real California Milk (RCM) Excelerator product innovation competition. The award was presented during the Future of Dairy Expo and Final Pitch Event on November 14th in San Ramon, CA, where four new finalists were also selected to compete for the 2025 grand prize.

    This competitive program is designed to drive value-added dairy innovation using California milk, ultimately strengthening the industry by providing startups with access to sustainably produced milk as well as resources, expertise, and non-dilutive funding to grow their businesses. As the winner of the 2024 RCM Excelerator, Petit Pot will receive $100,000 worth of marketing support from the CMAB to continue scaling their dairy-based desserts in California and beyond.

    Through the Real California Milk Excelerator, early-stage companies are able to leverage the power of Real California Dairy through access to:

    • Tailored content and resources specific to the dairy industry, including access to quality, sustainably sourced milk
    • Mentorship from leading experts across product development, marketing, distribution, and sales
    • Extensive exposure to industry stakeholders

    Petit Pot was one of four finalists in the 2023 RCM Excelerator event. The company was selected for its innovation in product packaging with the introduction of a paper dessert cup to further drive its commitment to sustainability. Since being selected for the 2023 cohort, founder Maxime Pouvreau has scaled up production in California and demonstrated his company’s tremendous potential for growth. The CMAB selected the company as the Grand Prize Winner based on the company’s $2MM+ in retail sales over a one-year period and rapidly expanding presence through 6,000 stores across the country. The $100,000 grand prize will provide marketing support for initiatives like on-pack promotions, digital and instant redeemable coupons, product sampling, and in-store signage to further drive brand awareness.

    Headquartered in Emeryville, Calif, Petit Pot was founded by French-born pastry chef Maxime Pouvreau and specializes in single-serve gourmet desserts crafted with dairy and other organic ingredients.  The company has seen rapid growth since it first participated in the Excelerator’s snack-focused competition in 2020.

    “We’re thrilled for Petit Pot to be recognized as the top choice in this year’s Real California Milk Excelerator competition,” said Maxime Pouvreau, Petit Pot’s Founder. “Wellness-focused snacking is on the rise, and more people are looking for indulgent, yet balanced, options. Petit Pot offers a rich, creamy treat that satisfies those cravings without compromise. With the CMAB’s support, we look forward to bringing our French-inspired desserts to even more people across the country.”

    The Real California Milk Excelerator was established by CMAB to drive transformational growth for innovative dairy products that can deliver value both to consumers and to the dairy community. At a time when venture funding for food and beverage startups has slowed, programs like the Excelerator play a crucial role in bridging the gap for high-potential food and beverage startups.

    “Innovation is the lifeblood of any brand and any product category. Our continued investment in amplifying products in the value-added space supports the sustainability of our industry while providing consumers with more options for tapping into the unique benefits that come from only real milk and dairy,” said John Talbot, CEO of the CMAB.

    At the 2024 Future of Dairy Expo, attendees also experienced product tastings and exhibitions from 20+ pioneering dairy startups, and witnessed the selection of four new finalists chosen by the CMAB from this year’s incubator cohort during the live pitch event:

    • Pluff, a fluffy protein dessert with high nutritional value, represented by its founder, Dylan Paul;
    • Projo*, an instant coffee blend infused with dairy and collagen, represented by Charbel Mawad, founder and CEO;
    • Smearcase, a cottage-cheese-based ice cream, represented by founder and CEO, Joe Rotondo;
    • And Todo, a meal replacement shake with a balanced nutritional content, represented by founder, Niket Soni.

    “The passion and creativity we’ve seen from this year’s Grand Prize Winner and Finalists exemplify the bold future of California dairy,” said Fred Schonenberg, CEO of VentureFuel. “From sustainable practices to breakthrough flavors, these founders are redefining what dairy can be. We’re thrilled to support their journeys as they open new possibilities and help drive California’s dairy industry’s continued growth and innovation.”

    The event offered industry stakeholders an opportunity to engage with products poised to shape the future of dairy, while also showcasing the commitment of California’s dairy farmers to sustainable practices.

    About Real California Milk/California Milk Advisory Board

    The California Milk Advisory Board (CMAB), an instrumentality of the California Department of Food and Agriculture, is funded by the state’s dairy farm families who lead the nation in sustainable dairy farming practices. With a vision to nourish the world with the wholesome goodness of Real California Milk, the CMAB’s programs focus on increasing demand for California’s sustainable dairy products in the state, across the U.S. and around the world through advertising, public relations, research, and retail and foodservice promotional programs. For more information and to connect with the CMAB, visit RealCaliforniaMilk.com,Facebook, YouTube, TikTok, X, Instagram and Pinterest.

    About VentureFuel, Inc.

    Founded in 2014, VentureFuel is an independent innovation advisory that helps the world’s best organizations ignite change through startup collaborations. Its innovation programs include Diagnostics, Corporate Accelerators and Commercial Pilots; and focus on solving clients’ biggest challenges by driving greater efficiencies; closing strategic capability gaps; and identifying emerging business models. VentureFuel provides organizations like Hershey’s, Comcast, Dick’s Sporting Goods, AARP Foundation and the State of California the tools to drive transformative change with less risk, more speed, and greater proximity to the consumer than traditional innovation models. Learn more at: www.venturefuel.net, LinkedIn, X, and Instagram. You can listen to The VentureFuel Visionaries podcast on Apple, Spotify, Simplecast or wherever you get your podcasts.

  • Food and Beverage Companies Sharpen M&A Efforts to Focus on Core Strengths and Consumer Trends

    Food and beverage manufacturers are refining their merger and acquisition efforts to address strategic business imperatives and keep pace with evolving consumer demand trends. While M&A activity in the sector has slowed considerably in 2024, recent moves reflect two key themes that will likely continue when the pace of dealmaking picks up.

    According to a new report from CoBank’s Knowledge Exchange, food and beverage companies are streamlining their product portfolios by shedding brands that don’t align with their core strengths. Meanwhile, acquisitions have largely been in response to growing consumer demand for grab-and-go convenience and healthier snacking.

    “There’s a common strategic focus that underpins the majority of M&A activity in recent months,” said Billy Roberts, food & beverage economist with CoBank. “Food and beverage manufacturers are increasingly applying the 80/20 rule and devoting more attention to the 20% of their core brands and categories that account for the lion’s share of company revenue.”

    Roberts points to recent deals that exemplify the current trends driving M&A in the food sector. Recognizing its future was not in the dairy case, General Mills exited the yogurt category by selling its Yoplait, Go-Gurt and Oui brands. The move allows the company to focus on brands with better margins and more aligned with its core portfolio. Hershey’s 2023 purchase of two popcorn operations to increase production capacity for SkinnyPop reflects the company’s pursuit of consumers seeking better-for-you snack options.

    The pace of M&A activity in the food and beverage sector has trended much slower in 2024 compared to recent years. The average number of deals by quarter in the first half of the year was down nearly 40% from the 2021-23 average. However, several indicators suggest a pickup in activity. The expected interest rate cuts are poised to lower the cost of capital to finance acquisitions. Additionally, recent earnings calls have shown executives from Mondelēz International, General Mills and other CPG firms are open to M&A activity.

    “Ironically, M&A within the food and beverage space has mirrored overall CPG activity in recent years, namely lower volume and higher prices,” said Roberts. “The majority of sales growth for food and beverage brands has stemmed from price inflation. As that eases, companies are feeling the pressure to return to profitable volume-led growth.”

    Acquisitions are reducing some of the pressure on major manufacturers’ R&D departments to innovate. Several recent acquisitions have been of a smaller variety and that trend is likely to continue. Roberts said manufacturers at the smaller end of the spectrum, regardless of food or beverage category, could find opportunities with larger companies looking to acquire innovative products.

    Read the report, Food and Beverage Companies Sharpen M&A Efforts.

    About CoBank

    CoBank is a cooperative bank serving vital industries across rural America. The bank provides loans, leases, export financing and other financial services to agribusinesses and rural power, water and communications providers in all 50 states. The bank also provides wholesale loans and other financial services to affiliated Farm Credit associations serving more than 77,000 farmers, ranchers and other rural borrowers in 23 states around the country.

    CoBank is a member of the Farm Credit System, a nationwide network of banks and retail lending associations chartered to support the borrowing needs of U.S. agriculture, rural infrastructure and rural communities. Headquartered outside Denver, Colorado, CoBank serves customers from regional banking centers across the U.S. and also maintains an international representative office in Singapore.

  • USDA Accepting Applications for Agribusiness Trade Mission to Guatemala

    The U.S. Department of Agriculture’s Foreign Agricultural Service is accepting applications for a trade mission to Guatemala City, Guatemala, March 3-7, 2025. Current and potential U.S. exporters interested in participating should apply for consideration by December 3.

    “We are excited to return to Guatemala after our successful 2018 mission,” said Foreign Agricultural Service Administrator Daniel Whitley. “This trade mission offers an ideal platform to deepen trade ties in the region.”

    Guatemala is the largest economy and population center in Central America, and projections suggest continued economic growth. In 2023, Guatemala imported $1.7 billion in U.S. agricultural products, and it became the top market in the region. Honduras and El Salvador imported $1.3 billion and $800 million, respectively. Under the Central America-Dominican Republic Free Trade Agreement, all remaining tariffs will phase out by 2025 and further strengthen the position of U.S. products in the region.

    The trade mission will provide participants with the opportunity to meet directly with buyers from Guatemala, Honduras, and El Salvador through tailored business-to-business meetings. Foreign Agricultural Service staff and regional experts will also lead market briefings, site visits, and networking events.

    Guatemala and its Central American neighbors are members of the Central America-Dominican Republic Free Trade Agreement and offer strong capabilities in logistics, distribution, processing, and cold chain management. Export opportunities exist in the following sectors:

    • Poultry, pork, beef, and related products
    • Dairy products
    • Consumer and processor-oriented foods
    • Condiments and sauces
    • Soups and food preparations
    • Fresh fruit
    • Bakery goods, cereals, and pasta
    • Chocolate and cocoa products
    • Alcoholic beverages, including distilled spirits, wine, and related products

    The deadline to apply for the Guatemala trade mission is Tuesday, December 3, 2024. For more information or to apply, visit https://fas.usda.gov/topics/trade-missions/guatemala-march-2025.

    This will be the second USDA Agribusiness Trade Mission in 2025. USDA plans to lead additional missions to Côte d’Ivoire, the Dominican Republic, Hong Kong, Mexico, Peru and Taiwan. Application details for these missions will be announced in early 2025.

  • Will Microplastics Endanger the Food Stream?

    It’s no secret that drought-induced water shortages cut into freshwater irrigation practices. That’s hard on the farming community, because agriculture accounts for about 85% of the world’s freshwater usage. Treating and recycling used municipal water to make up for the shortage is not a new concept – Israel treats and reuses about 90% of its wastewater, and the Phoenix, AZ, area recycles up to 97% – but, there may be a problem with that: Microplastic.

    These bits of post-consumer refuse are tiny, ranging in size from 1 micron (a human hair is 50-70 microns thick) to 5mm (about the size of a stud earring), and make their way into the sewage system. Microplastics are the result of wear and tear that breaks off of anything that contains plastic, such as clothing, dishes, or plumbing fixtures.

    According to a leading environmental scientist, potentially hazardous materials can attach themselves to that plastic and enter the agricultural system via wastewater irrigation.

    “Microplastics can be introduced to wastewater from multiple sources, including personal care products, laundry, and dish washing,” said Clinton Williams, soil scientist and research leader at the Agricultural Research Service’s (ARS) Water Management and Conservation Research unit in Maricopa, AZ. “Once in the wastewater these plastics can adsorb (hold onto) organic molecules, including pharmaceuticals.”

    ARS soil scientist Clinton Williams draws samples of reclaimed water used for irrigation. (Photo by Stephen Ausmus)

    According to Williams, when the wastewater is used for irrigation or released into the environment the microplastics can accumulate at the root-soil interface. From there, the microplastics can release the pharmaceuticals where they are taken up by crops.

    Further, these antibiotics could encourage microenvironments where microorganisms could develop antimicrobial resistance (AMR). AMR is a condition in which mutations cause an organism to survive exposure to an agent that had previously been used as an effective treatment.

    Williams said that synthetic materials like nylon and acrylics have the highest potential to transport antibiotics. Future work will focus on quantifying the potential for these antibiotics to be taken up by edible crops consumed by people. The development of AMR is also being measured in the soil microbial community.

    Wastewater is treated, but treatment plants are deigned to remove organic carbon and nitrogen. Antibiotics are at such a low concentration, typically less than 10 parts per billion, that they are not directly removed.

    Williams and research partners at Clemson University and the University of North Carolina, Greensboro, are examining the interactive effects of microplastics and antimicrobials in agroecosystems by applying microplastics and antibiotics together to soils, and then measuring the development of AMR.

    “[Irrigation with treated wastewater] will increase,” Williams said. “It’s a resource that can be used to increase water supplies without significant costs, [but] if microplastics are shown to increase the uptake of antibiotics and other micro-organics into food crops, there may be a need to remove microplastics from treated wastewater.” – By Scott Elliott, USDA-ARS Office of Communications