Tuesday, February 17, 2015

Ag Today Monday, February 9, 2015


Milk mutiny? Dairy co-ops seek federal fate [Business Journal]
The state’s three largest dairy cooperatives want the federal government to OK major changes to the way California dairymen are paid for their milk. California Dairies, Inc., Dairy Farmers of America, Inc. and Land O'Lakes, Inc. announced today they have submitted a joint petition to the U.S. Department of Agriculture (USDA) requesting that milk producers in the state be allowed to begin operating under a Federal Milk Marketing Order (FMMO). Under existing regulations, California dairy farmers operate under statewide milk pricing plans, which many dairymen complain have squeezed the profits out of their operations in recent years….The majority of dairy farmers in other states operate under a FMMO, which provides dairy producers uniform prices for milk based on market conditions….In their petition, the cooperatives state: “The failure of California regulations to establish minimum prices to California producers which reflect national values for classified milk uses has cost California dairy farmers more than $1.5 billion dollars since 2010...”

Some see Sacramento region as agriculture’s Silicon Valley [Sacramento Bee]
When it comes to attracting venture capital from the Silicon Valley, the Sacramento region has had limited success over the decades. But that may be changing as investors increasingly focus on food. Millions of dollars have flowed east in the past year into food technology startups working in the Sacramento region and the Central Valley, said people involved in the effort to establish Sacramento as a hub for food research and policy. At the same time, UC Davis is pursuing plans to build a World Food Center in Sacramento, perhaps in the downtown railyard. That center is envisioned as a place where food science, policy and innovation will come together….Although the medical technology sector has the most startup activity, the agricultural sector is growing the fastest, said Kirk Uhler, CEO of SARTA. “The sector that has the most excitement and growth potential now is the ag and food space,” Uhler said.

Port labor dispute costing farmers millions [Stockton Record]
Increasingly fractious labor strife at West Coast ports is slowing movement of all sorts of goods, including Central Valley farm products and costing California farmers millions of dollars. Producers and handlers of export crops are seeing their products stack up in warehouses and when they can move goods, it costs much more. Two of San Joaquin County’s top cash crops, almonds and walnuts worth about $468 million and $443 million respectively, are particularly hard hit….The situation escalated Friday when the Pacific Maritime Association, which represents terminal operators, stevedoring and shipping companies in labor negotiations at West Coast ports, said it would temporarily shut down ship loading and unloading activity over the weekend.

Ventura County growers say pesticide regulations make them less competitive [Ventura County Star]
As the Ventura County agricultural commissioner works to complete his 2015 fumigation restrictions, he’s hearing from strawberry growers who say they are operating at a competitive disadvantage against growers in countries such as Mexico, where regulations aren’t so onerous. “What they’re doing is regulating the agricultural industry out of the world market,” said Matt Conroy, co-owner of Conroy Farms in Oxnard. The commissioner, Henry Gonzales, said he continually hears those complaints….John Krist, CEO of the Farm Bureau of Ventura County, which represents growers, said the regulations are squeezing profit margins and at a certain point, business becomes uneconomical. “No other country has pesticide regulations as rigorous as those here in California,” he said.

Editorial: State’s growing, and thirsty, almond industry sowing seeds of discontent [Sacramento Bee]
…Exceptional wine may be what the world thinks of as California’s agricultural bounty, but it is almonds that dominate the farmland these days in the Golden State….The Great Almond Rush has brought billions to the state’s economy. But it has also raised existential questions about water rights, land use and development, the environment, ethical food policy, fracking, job creation and this fertile state’s responsibility to feed the world. In the coming year, The Sacramento Bee’s editorial board will explore how California almonds intersect with the forces shaping the state’s future by engaging with experts, policy makers and lawmakers, academics, business people, farmers and many others.

Editorial: Supervisors’ water offset misstep should be revisited [San Luis Obispo Tribune]
The San Luis Obispo County Board of Supervisors took a giant step backward last week when it rejected, by a 3-2 vote, a plan for an ordinance that would have continued to restrict development of new vineyards and other crop expansions in the depleted Paso Robles groundwater basin. While the vote is disappointing, there’s a chance the ordinance could be resurrected. Supervisor Frank Mecham told us he would reconsider a water offset ordinance — which requires growers who are adding irrigated crops to cut back on water use elsewhere in the basin, so there is no net increase in water demand — if the ordinance includes a sunset clause limiting the amount of time it’s in effect. That sounds like an excellent compromise.

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