California Ag Network

Tag: COVID-19

  • New Employer Playbook & Standards for Determining when Employees Can Return to Work

    Almond Alliance of the California — Today, Governor Newsom announced that the State has issued a new Employer Playbook for a Safe Reopening, which contains guidance regarding all of the following:

    • Requirements employers must satisfy to provide safe and clean work environments. This guidance expands on the existing industry specific guidance and checklists, the most current versions of which can be viewed using the following link: https://covid19.ca.gov/industry-guidance/

    • What to do if there is a case of COVID-19 in the workplace. Importantly, this section contains the most current guidance to help employers determine when employees should be permitted to return to work after they have been diagnosed with COVID-19 or have been exposed to COVID-19 (pages 13 – 15).  Please note that the CDC’s guidance has changed since the last time our office provided our General Guidance materials.  In addition to reviewing the standards set forth in the Employer Playbook, you should look at the websites of all Counties in which you operate, as the Counties are permitted to issue varying standards.  Employer reporting obligations and employee leave rights (paid and unpaid) are also described in this section.  You should document each employee’s COVID-19 circumstance, your response, the employee’s leave rights and standard you used to allow the employee to return to work. 

    • Worker education topics and enforcement of mask requirements. The guidance summarizes the COVID-19-related issues employees are expected to understand, which establishes the criteria for your training obligations.  Links are provided to assist in your training efforts.  You should also continue to refer to the industry-specific guidance for your operation.  Be sure to keep records of all of your training sessions, including who attended, the topics discussed and all written materials distributed to your employees.The Employer Playbook for a Safe Reopening can be viewed using the following link:  https://files.covid19.ca.gov/pdf/employer-playbook-for-safe-reopening–en.pdf.  The Employer Playbook contains many links to additional websites, which should also be reviewed as applicable to your operation.

      As we have explained in previous emails, although the documents issued by the State are described as “Guidance” you should treat the standards described in the documents as Orders and ensure that your operation and employees strictly comply with all applicable requirements.  The Labor Commissioner’s Office, CalOSHA, ABC and other agencies are conducting enforcement visits to determine whether businesses are complying with the applicable standards and are issuing citations to those who are not.

      In addition to the Employer Playbook, Governor Newsom announced he is working with the Legislature and key stakeholders to expand critical protections for employees, including paid sick leave.  The Governor’s announcement can be viewed using the following link:  https://www.gov.ca.gov/2020/07/24/governor-newsom-announces-new-supports-for-california-workers/.

      Today’s announcements, and the new information contained in the Employer Playbook, is a reminder that the requirements and standards with which employers must comply continue to evolve on a regular basis.  Please be sure to always check the relevant websites for the most current information and contact your counsel anytime you have a question about how to respond to a COVID-19 issue in your operation.

      If you have any questions regarding this industry alert please contact staff@almondalliance.org.

  • Grape Industry Funds Mobile Health Unit Through St. Helena Hospital

    The Napa Valley Farmworker Foundation (FWF) and Napa Valley Grapegrowers (NVG) announce a partnership with St. Helena Hospital Foundation (SHHF) to increase access to COVID- 19 screening for farmworkers. NVG and FWF have jointly funded supplying and staffing a mobile health unit, capable of traveling to vineyard sites and testing up to 100 vineyard workers per day. These funds have secured an initial order of 3,000 pilots tests to be made available throughout harvest to vineyard workers.

    “The St. Helena Hospital Foundation established the Mobile Health Unit to provide accessible medical resources to the community. We’ve worked on the project for over a year and to see it used in this way, to provide COVID-19 testing support for our agricultural workforce through the Napa Valley Grapegrowers and Farmworker Foundation, I couldn’t be more proud,” said Karen Cakebread, Director for the NVG and SHHF, who helped launch the mobile testing effort, “It is exciting that the synergy between the organizations came together at a time when our community needs creative solutions and quick action to support our work force.”

    Since the pandemic was declared in March, the FWF and NVG have dedicated over $200,000 to provide comprehensive safety resources in Spanish and English, social distancing vineyard signs, cloth face masks to over 10,000 farmworkers, and recently launched a statewide bilingual community education campaign via the FWF COVID-19 Task Force. Providing critical access to testing is an important piece to ensure the continued health and wellbeing of Napa’s farmworkers. With the Mobile Health Unit launched, NVG and FWF continue to develop plans for increasing testing capabilities and opportunities in the community, to prevent COVID-19 and keep workers safe.

    For information on the FWF COVID-19 Task Force, please refer to www.napagrowers.org
    To speak with an NVG or FWF representative regarding the mobile testing van, please email info@napagrowers.org

    About the Napa Valley Grapegrowers

    The Napa Valley Grapegrowers is a non-profit trade organization that has played a vital role in strengthening Napa Valley’s reputation as a world-class viticultural region for 45 years. Its mission is to preserve and promote Napa Valley’s world-class vineyards. NVG represents 726 Napa County grape growers and associated businesses. Visit Napa Valley Grapegrowers and follow on Facebook and Instagram

    About the Napa Valley Farmworker Foundation

    Founded by the Napa Valley Grapegrowers in 2011, the mission of the Napa Valley Farmworker Foundation is to support and promote Napa Valley’s vineyard workers through education and professional development. The Napa Valley Farmworker Foundation is the only one of its kind in the United States, providing educational opportunities, advanced training programs, leadership and management classes, English literacy programs, and much more. To date, the Farmworker Foundation has offered education and professional development opportunities to more than 21,000 vineyard workers and their families. Visit Napa Valley Farmworker Foundation and follow on Facebook and Instagram 

  • Dairy Supply Chains Will Need to Adjust as Consumer Behavior Changes

    COVID-19 is dramatically affecting consumer habits and dairy supply chains as food service demand plummets and grocery sales surge. Consumers struggling with job losses and economic uncertainty quickly returned to buying basic dairy products like fluid milk, commodity cheese and butter.

    A new report from CoBank’s Knowledge Exchange indicates that consumer behavior will be different for the next 12 to 18 months than it was pre-pandemic, and as that behavior takes root, dairy supply chains will need to adjust from farm to fork.

    “The dairy industry is coping with some new realities, largely driven by the decrease in food service demand and restaurant sales,” said Tanner Ehmke, manager of CoBank’s Knowledge Exchange. “The challenge for dairy supply chains will be adapting to focus on meeting demand trends based on evolving consumer behavior as we navigate through an uneven reopening.”

    As consumers heeded the stay-at-home advisories, they increased purchases of products that in recent years had fallen out of favor. Processed cheese sales increased by nearly 20% during the eight weeks ending May 31. White milk sales gained more than 10% during the same period. Cereal is also doing well with sales up almost 15%.

    Even as restrictions have begun lifting, polling has shown widespread reluctance among consumers about immediately returning to normal activities like restaurant dining and business travel. In late April, a Business Insider poll found just 9% of Americans believed they would resume their routine exactly as it was before the lockdowns, with only 16% saying they would resume “almost all” of their activities.

    At a minimum, it will take some time for sit-down restaurant traffic to look anything like it did before the pandemic. Forecasts from Open Table suggest that the U.S. could lose up to 25% of its restaurants.

    Any structural reduction in restaurant sales has potential product mix implications for dairy processors and converters. For instance, firms that specialize in making or packaging products for food service accounts will need to retool, making different types of cheese or filling different-sized sour cream containers for at-home consumption.

    Much of the price volatility experienced over the past 90 days has more to do with massive supply chain disruptions than major changes to aggregate demand and supply. Perishability played a big role in the upheaval. As demand spun toward retail, food service operators disposed of fresh products that now have to be replenished for reopening. 

    Some buyers are asking if suppliers can develop and provide extended shelf life alternatives. Movement in that direction would presumably help on the supply side, giving manufacturers and dairy farmers more supply cushion.

    A world with more extended shelf life manufacturing options might mean less dumping of milk than took place in April. Business models may also be readjusted from just in time inventory practices to having more inventory stored in warehouses.

    Grocers are also cutting down on product selection to enhance operational efficiency. Published reports say that the popular Wegman’s supermarket chain, for example, has cut its offerings from about 52,000 products to 30,000 products.

    Data from Nielsen shows that for the four weeks ending June 13, supermarkets carried nearly 7% fewer dairy items than the year prior. For dairy companies and other food marketers, that could mean fewer line extensions, fewer opportunities to differentiate, fewer chances to test new concepts. 

    As the economy reopens, potential changes in consumer habits, the level of social distancing that remains in place, and the level of disposable income will again reshape dairy supply chains long term. 

    Read the report, “Dairy Supply Chains Adapt as Consumers React to COVID-19,” at cobank.com.  

    About CoBank

    CoBank is a $158 billion 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 70,000 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.

  • CA’s Robert Mondavi Winery Ranks #5 in 2020 World’s Best Vineyards, Sonoma County also Recognized

    The World’ Best Vineyards just released their 2020 results of top 50 vineyards, recognizing California’s Robert Mondavi Winery as the fifth top vineyard in the world, and North America’s number one vineyard.  Watch the full announcement HERE. As the awards were supposed to debut in Sonoma County this year, but curtailed by COVID-19, there was special recognition given to Sonoma County Winegrowers as leaders in sustainability — along with the following ten reasons to visit Sonoma’s wine country.

    1. Highest Ranking Vineyard in Sonoma – Francis Ford Coppola Winery

    The Highest Ranking Vineyard in Sonoma award recognises the vineyard that came highest in the 2020 list once all the World’s Best Vineyard nominations were counted and, in turn, the list created.

    Film director Francis Ford Coppola’s winery resort in Geyserville, in the Alexander Valley, offers a touch of movie magic.  Memorabilia on show includes the Godfather’s desk, a Tucker car, scripts, and Oscars.

    Star attraction

    In Geyserville did Coppola a stately pleasure dome decree… One of the most-visited attractions in Sonoma Wine Country, Francis Ford Coppola Winery is so much more than a mere winery. This sprawling estate complex offers an inexhaustible array of visitor attractions, from a landscaped park to a tasting room, a bar, two restaurants, two swimming pools with poolside cabanas, a cinema, a film gallery, bocce courts, a performing arts pavilion – oh, and there’s a winery somewhere in there too…

    A wine wonderland
    Taking inspiration from the magical Tivoli Gardens theme park and pleasure garden in Copenhagen, Francis Ford Coppola wanted to offer visitors much more than a glass of wine when he opened his eponymous winery in 2010. He wanted to create a wonderland every bit as immersive as his unforgettable films – a place for the whole family, with oodles of things for kids to do with no danger of getting bored while their parents indulge in fine Californian wines and food. He enlisted Academy Award-winning production designer Dean Tavoularis, whom he met on the set of The Godfather, to make this dream a reality – and make it a reality Tavoularis very much did.

    Building for the future
    Having worked at the famed Napa estate Inglenook (purchased by Coppola in 1975, reportedly with profits from The Godfather), chief winemaker Corey Beck has assumed a pivotal role at the Geyserville estate, not only growing the wine portfolio into the 11 distinct wine brands available today, but also managing hospitality and implementing the estate’s vital sustainability programme. Climate change has hit Californian wine in a big way in recent years, and Beck and his team are leading by example with such things as irrigation water management and vineyard biodiversity. Such responsible steps are good for both the environment and the precious wine grapes – and serve to confirm Francis Ford Coppola Winery as a true jewel in the Sonoma Wine Country crown.

    2. Great wines…

    From producers who care. Sonoma County’s wine industry is made up of many multi-generational family businesses. There are 59,218 acres (nearly 24,000ha) planted to vineyards, more than 40% of which are in the hands of growers with parcels of less than 20 acres (8ha). Chardonnay, Pinot Noir and Cabernet Sauvignon are the most prevalent grape varieties, but Sonoma County is home to more than 60 varieties – from Alicante to Zinfandel. With valleys, mountains, a diversity of soil types and more than 50 miles of coastline, it is also home to 18 unique growing regions with their own special terroir.

    This small-plot, artisan approach to winegrowing, coupled with a diverse growing region, has attracted many world-renowned winemakers, resulting in endless styles of quality wine. Sonoma County was one of the first regions in California to have “vineyard designate” wines, illustrating the close relationship between winegrowers and winemakers.

    3. Great food, too

    Sonoma County is an agricultural wonderland, which means there is an abundance of local farms which deliver fresh produce, fish and meats, eggs and cheeses to local restaurants. It has also attracted many famous chefs who regard Sonoma County as an authentic leader in “farm to table” dining. The food is so good that many wineries have culinary programmes. St Francis Winery & Vineyards in Santa Rosa boasts one of America’s top restaurants. The food and wine pairing features five courses using produce and herbs grown on the estate, paired with wines from St Francis’ artisan collection. The stunning Sonoma Valley view just adds to the experience. Meanwhile, the Lynmar Estate in the Russian River Valley offers ‘Pinot & Pizza’, featuring seasonally inspired artisan pizzas made with estate-grown vegetables prepared in a brick pizza oven, and paired with an array of Lynmar wines. Silver Oak’s renowned winery in Alexander Valley has a full kitchen and winery chef on-site to offer unique food and wine pairings, sourced from the winery’s culinary garden.

    4. Sustainability is a top priority

    Sonoma County has long been regarded as a global leader in growing and making great wines while minimising the impact on the environment. 99% of its vineyards are certified sustainable by a third-party program, making it the most sustainable winegrowing region in the world. To continue this sustainability leadership, Sonoma County launched a ground-breaking climate program earlier this year. It is the exclusive partner in the California Land Stewardship’s Climate Adaptation Certification Program, the first program of its kind for agriculture. Soon, you will know how drinking Sonoma County wine can offset your carbon footprint!

    This sustainability focus is also found in our local wineries and hotels. Vintner’s Resort, a beautiful hotel in the heart of wine country, offers sustainable practices that guests can see and enjoy, including walking paths through the vineyards and vegetable gardens and olive trees that supply the on-site restaurants. Vintners Resort was awarded the Environmentalist Level in the California Green Lodging Program by the State of California’s Department of General Services.

    5. It’s open all year

    In the off-season (December-March), there are bigger discounts and fewer crowds. Some think it’s the most beautiful time to visit, too, as it’s mustard season. Many vineyards plant mustard flower between the vines as a cover crop.

    Spring and early summer sees the launch of the new rosé wines, sometimes during rosé-themed parties. Two great wineries for rosé are Taft Street and Flowers Winery. Spring is also the beginning of the grapegrowing season, with budbreak in the vineyards.  Don’t miss events such as the Annual Barrel Tasting (March 6-8 and 13-15) and the California Artisan Cheese Festival (March 27-29).

    Summer sees a slew of outdoor events. Check out these two winery concerts: Gundlach Bundschu’s folksy Huichica Music Festival in June and the Sonoma Harvest Music Festival at BR Cohn Winery in September. Kendall-Jackson Estate, BR Cohn Winery, Imagery Estate, Jordan Vineyard & Winery, Patz & Hall Winery, and Seghesio Family Vineyards put on farm-to-table dinners in their vineyards May-October.

    Harvest season (September-November) – the busiest period – offers visitors the chance to stomp grapes among the golden autumn leaves and witness the grapes being brought in for winemaking.

    One of the traditional highlights around the holiday season is the annual “Lighting of the Plaza” in the idyllic centre of downtown Sonoma. Enjoy local food and drink vendors, while listening to live music and watching the trees and buildings in the 8-acre (3.2ha) plaza alight with festive bulbs signalling the start of the holiday season.

    6. Free tastings

    Many wineries in Sonoma County offer either free wine tasting or waive the tasting fee with a wine purchase. These include Adastra Wines in Sonoma, Alexander Valley Vineyards in Healdsburg, Francis Ford Coppola Winery in Geyserville, Korbel Champagne Cellars in Guerneville, Sonoma Portworks in Petaluma, and Williamson Wines in Healdsburg.

    7. Vineyard picnics

    One of our favourite experiences is picnicking among the vines. There are plenty of opportunities in Sonoma County, especially in Healdsburg (for example at Dry Creek Vineyard, Landmark Vineyards at Hop Kiln Estate, and Preston Farm and Winery) or in Kenwood (at VJB Vineyards, Cellars & Marketplace, Ledson Winery, and Chateau St Jean).

    8. California’s oldest winery

    Buena Vista Winery – founded in 1857 by Hungarian farmer, author and businessman Agoston Haraszthy – is California’s oldest premium winery. Since 2011, the winery has been owned by Jean-Charles Boisset, a Frenchman who first visited Buena Vista at the age of 11 with his family, who own estates in Burgundy, the South of France, and California’s Napa Valley. Jean-Charles has renovated the winery, cellar and grounds, and installed the Wine Tool Museum – a fascinating tribute to Haraszthy.

    Sonoma County also boasts the oldest, continuously operating family winery – Gundlach-Bundschu, built in the 1870s and now in the hands of the sixth generation.

    9. Gorgeous gardens

    There’s more to the wineries than wines and vines. Ferrari-Carano Vineyards & Winery’s four acres of gardens include a secluded tea garden and a stream. Matanzas Creek Winery has three acres of lavender – a popular spot for marriage proposals in the summer. Kendall-Jackson Wine Estate & Gardens has a viticultural demonstration vineyard, and red and white wine sensory gardens with plants that have aromas found in some wines. Arista Winery has a Japanese-style water garden. Korbel Champagne Cellars has more than 250 varieties of antique roses and more than 1,000 other types of flowers. Paradise Ridge Winery’s 156-acre estate provides sweeping views of estate vineyards and the Russian River Valley and a large sculpture garden, including an iconic two-storey LOVE sculpture.

    10. Dog-friendly wineries

    The labels on the wines at Mutt Lynch Winery in Windsor feature dog art and a portion of sales is donated to local animal rescue organisations. Mutt Lynch also hosts monthly ‘Yappy Hours’ and the annual Dog Days of Summer gala. Kunde Family Estate Winery in Kenwood has a dedicated dog hike that winds through oak woodlands, native grasslands, and chaparral, with magnificent views of Sonoma Valley.

    Get the FREE Sonoma County Wineries Map: https://www.sonomacounty.com/guide-order

    Sonoma County in numbers

    1812 – when the first vineyards were planted

    59,218 acres planted to vineyards (about 6% of Sonoma County’s total acreage)

    500 wineries

    1,800+ growers

    18 American Viticultural Areas (AVA), with plans to designate more

    60+ grape varieties but the main ones are Chardonnay, Pinot Noir and Cabernet Sauvignon

  • CA Winegrape Growers Expected to Suffer $437 Million in Lost Sales

    California wine grape growers could suffer at least $437 million in lost sales from this year’s grape harvest due to COVID-19 related economic disruptions. According to an analysis by Jon Moramarco, managing partner of bw166 and editor of the Gomberg-Fredrikson Report, increased sales of wine at off-premise retailers will not offset lost wine sales via on-premise channels and direct from wineries to consumers through wine clubs and tasting rooms. Off-premise includes supermarkets, liquor stores, club stores and wineries; on-premise includes restaurants, hotels and stadiums.

    The volume of California wine sales over the 12 months from March 2020 to February 2021 is expected to decline by 9.21 million cases from the same 12-month period in the prior year. This translates into $437 million less sales revenue for growers.

    Moramarco notes in his analysis that lost sales revenue due to COVID-19 would come on top of the $395 million in reduced sales revenue expected to occur as a result of excess wine inventory following the large winegrape crop in 2018 and slowing consumer demand for wine. Growers’ losses from March 2020 to February 2021 could total $832 million.

    “Moramarco’s analysis makes clear what many California growers already know: growers will experience significant economic hardship following this year’s grape harvest,” California Association of Winegrape Growers (CAWG) President John Aguirre said. “California growers are accustomed to cyclical markets, but the COVID-19 pandemic threatens to turn a down year into a financial catastrophe for many of them.”

    Mike Testa, Santa Barbara Wine Grower & CAWG Chair

    Santa Barbara County grower and CAWG Chair Mike Testa said, “I’ve never seen so much uncertainty in the marketplace. Growers are struggling to find a home for their fruit, vineyard acres are being pulled out and our winery customers are experiencing extraordinary challenges. For many growers, getting paid this year is no sure thing. It is essential that the U.S. Department of Agriculture recognizes the harm COVID-19 has caused our markets, and winegrape growers need to be included in the next round of financial assistance for agricultural producers.”

  • Covid-19, Climate, Challenge and Change

    The global pandemic has revealed in new ways how essential farmers and farmworkers are to the food supply chain. With this revelation has also come more widespread understanding of the challenges farmers and ranchers face while scrambling to adopt new workplace safety protocols in the fields and on packing lines, respond to dramatically altered markets, and seek relief funding so they can stay in business.

    The realities and vulnerabilities of farmworkers, too, have been laid bare. Their exposure in the workplace and at home to Covid-19 and the barriers to health care and economic relief make us all vulnerable, dependent as we are on their labor and wellbeing.

    “Our main challenge right now is getting enough masks and suits to protect our workers. That’s what keeps me up at night. I’m also worried about harvest in August when we need 200 workers to pick grapes in 10 days—social distancing will be impossible. 

    As a new farmer taking over the business from my dad, I’m in this for the long game. It’s always been hard to make long-term decisions in farming, especially with the uncertainty of climate change. And now it’s challenging to make even short-term decisions about what to plant this year.”

    — Steven Cardoza, Cardoza Ranches (organic raisin grower, Fresno County)

    California agriculture is ramping up for its busiest time of year as hundreds of varieties of vegetable, fruit and nut crops are planted and harvested over the coming summer months. Even as shelter-in-place orders are easing, farmers have other looming challenges ahead in the form of seasonal climate change impacts. Wildfire season is predicted to start early this year in parts of the state because of a dry winter. Parts of the state will face another year of water scarcity given that the snow pack is only about half of normal.

    Despite these many challenges during the peak of the COVID-19 crisis, California farmers found time to apply for Climate Smart Agriculture grants for improving soil health and reducing methane emissions on dairies.

    In April, the California Department of Food and Agriculture (CDFA) announced that $50.8 million in grant requests had been submitted by 79 dairy producers for projects that reduce methane emissions by improving manure management—about five times more than the money available in the AMMP program.

    By mid-May, CDFA had received nearly 600 applications from farmers and ranchers for the Healthy Soils Program, a three-fold increase from the last round of applications to the program. CDFA recently announced program awards totaling $22 million to 316 farmers and ranchers carrying out healthy soils practices on more than 30,000 acres across the state.

    Clearly these programs are valued by California’s farmers, eager to do their part to curb greenhouse gas emissions, improve the resilience of their farms, and improve their bottom line with these important investments.

    “The milk industry was already being hit hard by an oversupply that drove down prices. It’s even harder now to find buyers even for powdered milk, and both dairy and meat processors are cutting contracts because they don’t have capacity right now.

    The pandemic has made it all the more real about our reliance on local farmers and it makes the case for curbing climate change to protect their livelihoods. We are getting in touch with what is really important, and food and farmers are core to our survival. It’s also clearer how important it is to maintain and shore up local economies and food systems.”

    — Rose Marie Burroughs, Burroughs Family Farms (organic dairy and almond grower, Merced County)

    However, widespread support for the state’s Climate Smart Agriculture programs go beyond the state’s farms and ranches. This spring, more than 65 non-profits, food businesses and public health organizations sent in letters urging state legislators and Governor Newsom to invest in the climate solutions of our farms and ranches.

    “We expect a huge hit to our tourism business this year and really don’t know how many ‘u-pickers’ will visit our farm because of people just being afraid to go out. I worry about the small farm sector generally and how many will go out of business if the economy doesn’t open back up in time and they don’t get help.

    The pandemic has shown how fragile our food security is. Maybe the fear people are feeling can be leveraged to make widespread change and protect family farms and local food systems. If you want to fight climate change, you need an army of small farmers who focus on keeping carbon in the soil by increasing biodiversity in the soil and above ground.”

    — Ed Seaman, Santa Barbara Blueberries (blueberries, Santa Barbara County)

    California has been a global leader in setting ambitious, science-based climate goals and allocating funds to programs that achieve it, including the Climate Smart Agriculture programs. Continued progress and financial investments in these programs will not only help keep California on track with its climate goals but will also reduce air and water pollution, protect our food supply, and provide an engine for economic development to rebuild rural economies hit hard by the pandemic. – By Renata Brillinger, California Climate & Agriculture Network

  • USDA Issues First Coronavirus Food Assistance Program Payments

    U.S. Secretary of Agriculture Sonny Perdue today announced the USDA Farm Service Agency (FSA) has already approved more than $545 million in payments to producers who have applied for the Coronavirus Food Assistance Program. FSA began taking applications May 26, and the agency has received over 86,000 applications for this important relief program.

    “The coronavirus has hurt America’s farmers, ranchers, and producers, and these payments directed by President Trump will help this critical industry weather the current pandemic so they can continue to plant and harvest a safe, nutritious, and affordable crop for the American people,” said Secretary Perdue. “We have tools and resources available to help producers understand the program and enable them to work with Farm Service Agency staff to complete applications as smoothly and efficiently as possible and get payments into the pockets of our patriotic farmers.”

    In the first six days of the application period, FSA has already made payments to more than 35,000 producers. Out of the gate, the top five states for CFAP payments are Illinois, Kansas, Wisconsin, Nebraska, and South Dakota. USDA has released data on application progress and program payments and will release further updates each Monday at 2:00pm ET. The report can be viewed at farmers.gov/cfap.

    FSA will accept applications through August 28, 2020. Through CFAP, USDA is making available $16 billion in financial assistance to producers of agricultural commodities who have suffered a five-percent-or-greater price decline due to COVID-19 and face additional significant marketing costs as a result of lower demand, surplus production, and disruptions to shipping patterns and the orderly marketing of commodities.

    In order to do this, producers will receive 80 percent of their maximum total payment upon approval of the application. The remaining portion of the payment, not to exceed the payment limit, will be paid at a later date nationwide, as funds remain available.

    Getting Help from FSA

    New customers seeking one-on-one support with the CFAP application process can call 877-508-8364 to speak directly with a USDA employee ready to offer general assistance. This is a recommended first step before a producer engages the team at the FSA county office at their local USDA Service Center.

    Producers can download the CFAP application and other eligibility forms from farmers.gov/cfap. Also, on that webpage, producers can find a payment calculator to help producers identify sales and inventory records needed to apply and calculate potential payments. Producers self-certify their records when applying for CFAP and that documentation is not submitted with the application. However, producers may be asked for their documentation to support the certification of eligible commodities, so producers should retain the information used to complete their application.

    Those who use the online calculator tool will be able to print a pre-filled CFAP application, sign it, and submit it to your local FSA office either electronically or via hand delivery through an office drop box. Please contact your local office to determine the preferred delivery method for your local office. Team members at FSA county offices will be able to answer detailed questions and help producers apply quickly and efficiently through phone and online tools. Find contact information for your local office at farmers.gov/cfap.

    Policy Clarifications

    FSA has been working with stakeholder groups to provide further clarification to producers on the CFAP program. For example, the agency has published a matrix of common marketing contracts that impact eligibility for non-specialty crops and has provided a table that crosswalks common livestock terms to CFAP cattle categories. Updated information can be found in the frequently asked questions section of the CFAP website.

    More Information

    To find the latest information on CFAP, visit farmers.gov/CFAP or call 877-508-8364.

    USDA Service Centers are open for business by phone appointment only, and field work will continue with appropriate social distancing. While program delivery staff will continue to come into the office, they will be working with producers by phone and using online tools whenever possible. All Service Center visitors wishing to conduct business with the FSA, Natural Resources Conservation Service, or any other Service Center agency are required to call their Service Center to schedule a phone appointment. More information can be found at farmers.gov/coronavirus.

  • On World Milk Day, U.S. Dairy Celebrates American Consumers

    National Milk Producers Federation — While no one can say with certainty that the slow re-openings across the U.S. mark the beginning of the end of the COVID-19 crisis, it’s clear these attempts to return to a more normal existence mark the end of the beginning. The world is an experiment, both of science and of societies. Outcomes will remain uncertain for months.

    But data can help draw a few conclusions. One from the consumer sector is that, in times of uncertainty, people turn to the bedrock items that they know will nourish themselves and their families. And dairy is an important choice.

    Retail-sales as reported by consumer market researcher IRI over the past three months show that consumers have reacted to the coronavirus crisis first by stocking up on dairy, then by continuing to buy milk and other products at disproportionately high levels.

    From March 8 to March 22, as stay-at-home orders and business closures proliferated nationwide, dairy products flew from store shelves. Milk sales were 43 percent higher than during the same period a year earlier. Yogurt rose 31 percent. Ice cream sales gained 40 percent and cheese 76 percent. Butter sales more than doubled during the same period. 

    Gains have continued into the “new normal,” and in fact take up more of a consumer’s retail dollar than they did during the panic peak. Retail dairy sales from late March through May 17 remain 25 percent higher than a year ago, while overall grocery sales during that same period are only up 14 percent — meaning that at a time when people are relying more on grocers to fill their needs, they’re relying on dairy significantly more than they are on other products. 

    That vote of consumer trust shows every sign of continuing for the foreseeable future – and that shouldn’t be a surprise, really. When milk is already in 94 percent of U.S. households, it follows that it would be especially important as families choose how to weather a storm. This real-world, real-time affirmation of dairy’s value can’t help but inspire the entire dairy community to keep working and maintain resilience through whatever comes next. Dairy owes a deep debt of gratitude to consumers whose support has helped carry farmers through this crisis. 

    Of course, consumer faith has been only one part of dairy’s story in the past few months. Pre-coronavirus, about half of all dairy sales came from outside the home. Even as retail consumers increased dairy buying, sales to restaurants, schools and cafeterias plunged. That turbulence prompted sharp declines in the USDA’s forecast for milk prices for 2020. That’s been a big reason why federal assistance for dairy farms has been so important.

    But even that story is brightening. A recent price rally is changing the outlook from mortifying to merely difficult – still cold comfort for many producers, but more manageable in a way many wouldn’t have dared to wish for even one month ago. Restaurant sales are slowly returning, and federal aid has provided a meaningful boost to bottom lines, even as signs of stress will still need to be monitored and additional aid will be necessary. 

    The past few months have been difficult for dairy, as it has for everyone. The next few will be as well. But dairy is resilient. Its value to consumers is beyond dispute, and early signs of recovery give reasons for hope. Today is World Milk Day. there remains much to overcome, there is also much to celebrate. Raise a glass. 

  • CA Farmers Can Now Apply for Financial Assistance through Coronavirus Food Assistance Program

    Agricultural producers can now apply for USDA’s Coronavirus Food Assistance Program (CFAP), which provides direct payments to offset impacts from the coronavirus pandemic. The application and a payment calculator are now available online, and USDA’s Farm Service Agency (FSA) staff members are available via phone, fax and online tools to help producers complete applications. The agency set up a call center in order to simplify how they serve new customers across the nation.

    “We know California producers are facing a tough time now, and we are making every effort to provide much needed support as quickly as possible,” said Connie Conway, state executive director for FSA in California. “FSA is available over the phone and virtually to walk you through the application process, whether it’s the first time you’ve worked with FSA, or if you know us quite well.”

    Applications will be accepted through August 28, 2020. Through CFAP, USDA is making available $16 billion for vital financial assistance to producers of agricultural commodities who have suffered a five-percent-or-greater price decline due to COVID-19 and face additional significant marketing costs as a result of lower demand, surplus production, and disruptions to shipping patterns and the orderly marketing of commodities.

    “We also want to remind producers that the program is structured to ensure the availability of funding for all eligible producers who apply,” Conway said.

    In order to do this, producers will receive 80 percent of their maximum total payment upon approval of the application. The remaining portion of the payment, not to exceed the payment limit, will be paid at a later date nationwide, as funds remain available.

    Producers can download the CFAP application and other eligibility forms from farmers.gov/cfap. Also, on that webpage, producers can find a payment calculator to help identify sales and inventory records needed to apply and calculate potential payments.

    Additionally, producers in search of one-on-one support with the CFAP application process can call 877-508-8364 to speak directly with a USDA employee ready to offer assistance. This is a good first step before a producer engages the team at the FSA county office at their local USDA Service Center.

    Applying for Assistance

    Producers of all eligible commodities will apply through their local FSA office. Those who use the online calculator tool will be able to print off a pre-filled CFAP application, sign, and submit to your local FSA office either electronically or via hand delivery. Please contact your local office to determine the preferred method. Find contact information for your local office at farmers.gov/cfap.

    Documentation to support the producer’s application and certification may be requested after the application is filed. FSA has streamlined the signup process to not require an acreage report at the time of application and a USDA farm number may not be immediately needed. 

    Additional Commodities

    USDA is also establishing a process for the public to identify additional commodities for potential inclusion in CFAP. Specifically, USDA is looking for data on agricultural commodities, that are not currently eligible for CFAP, that the public believes to have either:

    1. suffered a five percent-or-greater price decline between mid-January and mid-April as a result of the COVID-19 pandemic,
    2. shipped but subsequently spoiled due to loss of marketing channel, or
    3. not left the farm or remained unharvested as mature crops.

    More information about this process is available on farmers.gov/cfap.

    More Information

    To find the latest information on CFAP, visit farmers.gov/cfap or call 877-508-8364.

    USDA Service Centers are open for business by phone appointment only, and field work will continue with appropriate social distancing. While program delivery staff will continue to come into the office, they will be working with producers by phone and using online tools whenever possible. All Service Center visitors wishing to conduct business with the FSA, Natural Resources Conservation Service, or any other Service Center agency are required to call their Service Center to schedule a phone appointment. More information can be found at farmers.gov/coronavirus.

  • Philippine Market Opens to US Fresh Blueberries

    On May 24, 2020, the Philippines will formally open its market to U.S. fresh highbush blueberries. Since the United States is the only country with official access to the Philippine market, U.S. suppliers are poised to take advantage of the opportunity to supply the Philippine retail and food service sectors. Traders estimate sales of U.S. fresh blueberries could reach $500,000 this season, with greater potential in the years to come.

    The Philippine Department of Agriculture’s (DA) regulation allowing complete market access for U.S. fresh blueberries will take effect on May 24, 2020, making the United States the only country with formal market access. U.S. suppliers and Philippine importers now have much stronger incentive to cultivate trade relationships to supply the expanding food retail sector, and eventually the food service sector once COVID-19 community quarantine measures are eased.

    In the past, DA had allowed limited and intermittent importation of fresh blueberries specifically for hotels, restaurants, and high-end supermarkets. Sales over the past five years (2015 to 2019) averaged $150,000 each year (roughly 20 metric tons). With formal market access in place for the entire Philippine market, multiple trade contacts forecast U.S. sales could reach $500,000 this season and exceed $1,000,000 in succeeding years if there is a concerted marketing effort to increase consumer awareness on the availability, quality, and health benefits of U.S. fresh blueberries.

    Like all fresh fruit importation, a licensed importer must secure a Sanitary and Phytosanitary Import Clearance (SPSIC) from the DA’s Bureau of Plant Industry. Products must not load for export before their issuance, must be shipped within 20 days following their issuance, and must arrive in the Philippines within 60 days from the must ship-out date.

    The full import requirements are outlined in the Administrative Circular, which can be found here: https://law.upd.edu.ph/wp-content/uploads/2020/05/DA-AC-No-05-Series-of-2020.pdf.

    Tariff Rates

    The Most Favored Nation (MFN) tariff rate for blueberries is seven percent and subject to 12 percent Value Added Tax or VAT.

    Competition

    Aside from the United States being the only approved country to source fresh imported blueberries, the Philippines has only very limited local production. Consistently supplying the multitude of hotels, restaurants, supermarkets, and other retail outlets with quality product remains a challenge for Philippine growers due to limited production area and the lack of adequate post-harvest facilities and cold chain infrastructure.

    Further Information and Assistance

    USDA-FAS at the U.S. Embassy in the Philippines is ready to help exporters of U.S. agricultural products achieve their objectives in the Philippines. Contact us at AgManila@fas.usda.gov