CDFA Secretary Karen Ross and a delegation from the agricultural, academic and policy sectors is in Chile this week for an exchange on climate change adaptation. In this video, delegation member Dorene (Dee Dee) D’Adamo, a member of the State Water Resources Control Board, shares what is being learned about specialty crop production, Ag education, and other elements of Chilean agriculture.     

Excerpted from  executive summary

Farmers over the age of 65 now outnumber farmers under 35 by a margin of six to one, and U.S. farmland is overwhelmingly concentrated in the hands of older farmers. Nearly two-thirds of farmland is currently managed by someone over 55. The National Agricultural Statistics Service estimates that over the next five years—the lifespan of the next farm bill—nearly 100 million acres of U.S. farmland are expected to change ownership and will need a new farmer.

Fortunately, many young Americans are stepping up and launching new farm businesses. For only the second time in the last century, the 2012 Census of Agriculture registered an increase over the previous census in the number of farmers under 35 years old. These young farmers are entrepreneurial and tough, but they are finding that talent and hard work alone may not equate to farm success. There are many structural barriers standing in their way—and the stakes have never been higher.

Young farmers face serious obstacles to launching and growing their farm businesses: they can’t afford farmland; student debt is compromising their ability to capitalize their businesses; adequate labor and support staff are difficult to recruit; and health insurance is unaffordable. Federal and state policies are underserving these needs, and many young farmers are not accessing the programs designed to help.

The survey illustrated a challenging economic picture for young farmers. Sixty-one  percent of individual respondents reported needing another job to make ends meet, and fewer than half own all the acres they’re farming. Indicators tracked by USDA also suggest trends in the agricultural economy are hitting young farmers especially hard. According to Dr. Robert Johansson, USDA’s Chief Economist, young farmers and those who rent more of their land tend to be far more in debt relative to their assets.

The top challenges faced by young farmers are as follows:

• Access to land
• Student loan debt
• Access to labor
• Health insurance

Link to full survey

Chile is a perfect climate analogue to California with its own central valley and an abundance of specialty crops. Like California, it relies on snow melt to irrigate crops, it produces world-famous wines, and it supports vibrant cities like Santiago, the capital. Chile has been identified by the Intergovernmental Panel on Climate Change as having seven of nine characteristics that are vulnerable to climate change, including increased temperatures, a reduction in rainfall, and crop relocation from north to south as increasing temperatures and changing rainfall alter current growing areas.

As we learn how Chile is adapting to climate change, we understand that the challenges they face are the same challenges we experience in California. Given how important agriculture is to Chile, they–like us–are serious about invasive pests. Upon arrival on Sunday, we saw dog teams inspecting luggage and familiar information about not “packing a pest” was clearly evident as we made our way through customs.

Chile asks travelers to leave invasive species at home.

On Monday, the delegation visited with the U.S. Ambassador to Chile, Ms. Carol Perez. Ambassador Perez was well aware of the recent Napa/Sonoma fires as well as the drought conditions that California has experienced. Chile has similar climate change impacts, including an eight-year drought as well as its own fires fueled by strong winds that have devastated agricultural crops and towns. The country is home to several glaciers that are now melting due to a warmer climate.

The morning was completed by visiting the Ministry of Agriculture in Chile and hearing from a wide group of leaders and experts, including those in the UC Davis Chile program working to create a platform for collaborative research between university and  Chilean researchers to support life science innovation in both Chile and California.

Climate change is very real to the people of Chile and the government has worked to create climate change adaptation plans that are being implemented at the state, regional and local levels – elements like securing water resources, studying genetic resources such as plant varieties, controlling pests, and providing extensive information to growers. Like California, there are mitigation commitments in Chile for greenhouse gas emissions – the country is targeting a 30 percent  reduction from 2007 levels by 2030.

Chilean hydroponic lettuce

We have also learned about programs to make irrigation more efficient, including infrastructure plans to retain up-to 80 percent of the country’s snow melt; and we visited a hydroponic lettuce production operation in Quillota, which is in central Chile northwest of Santiago. The growers use a mostly automated system that produces fresh lettuce in 21 days and yields about 13 harvests per year compared to two or three in soil systems.

Our delegation looks forward to learning more about irrigation technologies and how they are adapting to climate change. Agriculture is eight percent of the Chilean GDP and a major contributor to their export markets. Close collaboration between Chile and California is key to assisting both regions adapt to climate change and continue to produce food that feeds the world.

Secretary Ross is in Chile this week for an exchange on climate change adaptation. Joining her in the delegation are representatives from the agricultural, academic and policy sectors. 

A nationwide economic impact study has found that more than one-fifth (or 20.4%) of the nation’s economy is linked, either directly or indirectly, to the food and agriculture sectors and that more than one-fourth of all American jobs (28%) are similarly connected. Twenty-two food and agriculture organizations commissioned this research, available at www.FeedingTheEconomy.com. Among the most important findings:

Total Jobs: 43,311,057

Total Wages: $1.9 trillion

Total Taxes: $894.13 billion

Exports: $146.32 billion

Total Food and Industry Economic Impact:  $6.7 trillion

To measure the total economic impact of the sectors, the analysis also includes the indirect and induced economic activity surrounding these industries, which captures upstream and downstream activity. For example, when a farm equipment retailer hires new employees because farmers are buying more tractors, experts consider the new salaries an indirect impact. Similarly, when a retail associate spends her paycheck, an induced economic impact occurs. Together, these have a multiplier effect on the already formidable direct impact of food and agriculture.

The economic data was compiled by John Dunham & Associates and is available at www.FeedingTheEconomy.com. The analysis illustrates the direct impact of food and agriculture on jobs, wages, economic output, exports, and state and local business taxes. The interactive website also breaks out the data at the national, state and congressional district levels.

Link to FMI web site

Healthy Soils equal Healthy Lives. In California our soils help feed the world, save water, clean the air, and fight climate change. In recognition of these contributions, and in celebration of the annual World Soil Day, CDFA, alongside its state, federal and private sector partners, will be hosting California Healthy Soils Week, from December 4 to December 7, 2017.

This multi-day celebration—which will include panels, webinars, and tours—will highlight all the remarkable gifts healthy soils have to offer. We hope that by telling the story of California soil we can help Californians better understand how vital it truly is.

For more information as well as a link to CDFA’s comprehensive healthy soils web site, please click here.

The American Farm Bureau Federation’s 32nd annual price survey of classic items found on the Thanksgiving Day dinner table indicates the average cost of this year’s feast for 10 is $49.12, a 75-cent decrease from last year’s average of $49.87.

The big ticket item – a 16-pound turkey – came in at a total of $22.38 this year. That’s roughly $1.40 per pound, a decrease of 2 cents per pound, or a total of 36 cents per whole turkey, compared to 2016.

“For the second consecutive year, the overall cost of Thanksgiving dinner has declined,” AFBF Director of Market Intelligence Dr. John Newton said. “The cost of the dinner is the lowest since 2013 and second-lowest since 2011. Even as America’s family farmers and ranchers continue to face economic challenges, they remain committed to providing a safe, abundant and affordable food supply for consumers at Thanksgiving and throughout the year.”

The shopping list for Farm Bureau’s informal survey includes turkey, bread stuffing, sweet potatoes, rolls with butter, peas, cranberries, a veggie tray, pumpkin pie with whipped cream, and coffee and milk, all in quantities sufficient to serve a family of 10 with plenty for leftovers.

Consumers continue to see lower retail turkey prices due to continued large inventory in cold storage, which is up almost double digits from last year, Newton explained.

Foods showing the largest decreases this year in addition to turkey, were a gallon of milk, $2.99; a dozen rolls, $2.26; two nine-inch pie shells, $2.45; a 3-pound bag of sweet potatoes, $3.52; a 1-pound bag of green peas, $1.53; and a group of miscellaneous items including coffee and ingredients necessary to prepare the meal (butter, evaporated milk, onions, eggs, sugar and flour), $2.72.

“Milk production has increased, resulting in continued low retail prices,” Newton said. “In addition, grocers often use milk as a loss leader to entice consumers to shop at their stores.”

Items that increased modestly in price were: a half-pint of whipping cream, $2.08; a 14-ounce package of cubed bread stuffing, $2.81; a 30-ounce can of pumpkin pie mix, $3.21; a 12-ounce bag of fresh cranberries, $2.43; and a 1-pound veggie tray, $.74.

“Whole whipping cream is up about 4 percent in price, due to increased consumer demand for full-fat dairy products,” Newton said.

The stable average price reported this year by Farm Bureau for a classic Thanksgiving dinner tracks with the government’s Consumer Price Index for food eaten at home. But while the most recent CPI report for food at home shows a 0.5 percent increase over the past year (available online at http://www.bls.gov/news.release/cpi.nr0.htm), the Farm Bureau survey shows a 1.5 percent decline.

After adjusting for inflation, the cost of a Thanksgiving dinner is $20.54, the lowest level since 2013.

A total of 141 volunteer shoppers checked prices at grocery stores in 39 states for this year’s survey. Farm Bureau volunteer shoppers are asked to look for the best possible prices, without taking advantage of special promotional coupons or purchase deals, such as spending $50 and receiving a free turkey.

Shoppers with an eye for bargains in all areas of the country should be able to purchase individual menu items at prices comparable to the Farm Bureau survey averages. Another option for busy families without a lot of time to cook is ready-to-eat Thanksgiving meals for up to 10 people, with all the trimmings, which are available at many supermarkets and take-out restaurants for around $50 to $75.

The AFBF Thanksgiving dinner survey was first conducted in 1986. While Farm Bureau does not make any scientific claims about the data, it is an informal gauge of price trends around the nation. Farm Bureau’s survey menu has remained unchanged since 1986 to allow for consistent price comparisons.

Link to American Farm Bureau web site

California’s three state cannabis licensing authorities announced today that
proposed emergency licensing regulations for commercial medicinal and adult-use cannabis have been posted online and are available to the public for review.

The Department of Consumer Affairs’ Bureau of Cannabis Control, Department of Public
Health’s Manufactured Cannabis Safety Branch, and Department of Food and Agriculture’s CalCannabis Cultivation Licensing Division each developed the new regulations to reflect the law defined in California’s Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA).

The regulations and their summaries can be viewed by clicking the following links:

Bureau of Cannabis Control:
www.bcc.ca.gov/law_regs/bcc_prop_text_reg.pdf
www.bcc.ca.gov/law_regs/bcc_fact_sheet.pdf

CA Department of Food and Agriculture:
www.bcc.ca.gov/law_regs/cdfa_prop_text_emerg_reg.pdf
www.bcc.ca.gov/law_regs/cdfa_fact_sheet.pdf

CA Department of Public Health:
http://www.bcc.ca.gov/law_regs/cdph_prop_text_emerg_reg.pdf
http://www.bcc.ca.gov/law_regs/cdph_sum_emerg_reg.pdf

On June 27, 2017, the Governor signed MAUCRSA, which creates one regulatory system for both medicinal and adult-use cannabis. Prior to that law’s passage, state licensing authorities had released proposed regulations to govern the implementation of the Medical Cannabis Regulation and Safety Act. The public hearings and comments from a broad cross section of stakeholders that were informing that regulatory process have also been taken into consideration in the drafting of these proposed emergency regulations.

The licensing authorities expect the emergency regulations to be effective in December 2017. The implementation date for the issuance of the state commercial cannabis licenses remains the same: January 1, 2018. However, California will only be able to license those businesses that are in compliance will all local laws.

In addition, the Business, Consumer Services and Housing Agency will hold a workshop with state-chartered banks and credit unions next month to discuss regulatory and compliance issues, as well as potential approaches to banking cannabis-related businesses.

For information on all three licensing authorities, please visit the state’s cannabis web portal– cannabis.ca.gov. Follow the Bureau on Facebook, Twitter and Instagram for daily news and updates.