- Title: Drought cuts into world leader California’s tomato processing industry
- Date: 10th October 2022
- Summary: FIREBAUGH, CALIFORNIA, UNITED STATES (SEPTEMBER 6, 2022) (Reuters) VARIOUS DRONE SHOTS SHOWING MACHINE HARVESTER AND TRACTOR WITH LOAD IN PROCESSING TOMATO FIELD (MUTE) VARIOUS OF MACHINE HARVESTER PULLING UP PROCESSING TOMATOES IN FIELD VARIOUS OF FARMER AARON BARCELLOS, FARMER AND PARTNER AT A BAR AG ENTERPRISES, WITH DOG "MOOSE" IN PROCESSING TOMATO FIELD (SOUNDBITE) (English) AARON BARCELLOS, FARMER AND PARTNER AT A BAR AG ENTERPRISES, SAYING: “This is a processing tomato plant and these tomatoes are bred for mechanical harvest. And so they look a lot like Roma tomatoes. They’re not quite technically a Roma, but they’re shaped like that. They have a much harder skin on them, which allows us to mechanically harvest them.†BARCELLOS SIFTING THROUGH TOMATOES (SOUNDBITE) (English) AARON BARCELLOS, FARMER AND PARTNER AT A BAR AG ENTERPRISES, SAYING: “95% of these tomatoes are dark red, which means they’re ripe and ready for harvest, so they’re going to have the most flavor and be fresher than your fresh market tomato in the stores these days. That tastes great, right?†VARIOUS DRONE SHOTS SHOWING MACHINE HARVESTER GOING THROUGH FIELD WHILE DUMPING PROCESSING TOMATOES INTO LOAD (MUTE) BARCELLOS IN INTERVIEW (SOUNDBITE) (English) AARON BARCELLOS, FARMER AND PARTNER AT A BAR AG ENTERPRISES, SAYING: “Well, like I've been telling people lately, I've been doing this for 30 plus years now. And I don't think farming in California has ever been more complex and more challenging. And the drought is a large part of that, to go along with some of the regulatory pressures we have and just other things that make farming in California less competitive than it ever used to be. But the drought is definitely number one on our list these days. Water is our number one resource. In California, we're basically a desert out here in the Central Valley. We get 6 to 8 inches of rainfall a year on average, and we haven't seen that and since 2017, 2018. So we can't grow any of these crops you see behind us without water.†VARIOUS OF PROCESSING TOMATO FIELD PROCESSING TOMATOES ON VINES TRACTOR WITH LOAD ATTACHED (SOUNDBITE) (English) AARON BARCELLOS, PARTNER AT A BAR AG ENTERPRISES, SAYING: “And, you know, a tomato crop will take about 24 to 28 inches of water to grow the way we're doing it. And if we don't have that water, we just won't grow it. That's why we have so many fallow acres, because we just can't take the risk of planting a crop and then not having the water to reach maturity.†VARIOUS OF EMPTY LOAD NEXT TO FIELD VARIOUS OF PROCESSING TOMATOES ON VINES (SOUNDBITE) (English) AARON BARCELLOS, PARTNER AT A BAR AG ENTERPRISES, SAYING: “So we historically have grown somewhere between 1,500 and 2,000 acres of processing tomatoes. In 2018, I believe we had 2,100 acres of processing in tomatoes, and now we're down to 530. That's driven by the water and also about the by the economics of growing processing tomatoes, which has been really tough for the industry as a whole.†VARIOUS OF DRONE SHOWING FLIGHT OVER PROCESSING TOMATOES FIELD (MUTE) VARIOUS OF DRONE SHOWING TRACTING PULLING LOAD WHILE MACHINE HARVESTER DUMPS PROCESSING TOMATOES INTO LOAD (MUTE) (SOUNDBITE) (English) AARON BARCELLOS, PARTNER AT A BAR AG ENTERPRISES, SAYING: “The California tomato crop is probably 10 to 15% off of what it normally would be, primarily due to the heat and the conditions that we've had this year. Right now, we're in a field that we're harvesting probably two weeks early because the heat has just brought it on sooner and these tomatoes are starting to go bad where they're not going to be usable if we don't get them off pretty soon. It is a fresh produce crop. You got to harvest it when it's ready.†VARIOUS OF PROCESSING TOMATOES ON VINES LOS BANOS, CALIFORNIA, UNITED STATES (SEPTEMBER 6, 2022) (Reuters) VARIOUS OF PROCESSING TOMATOES GOING UP ON "ELEVATORS" TO GO TO PLANT VARIOUS OF PROCESSING TOMATOES ON ASSEMBLY LINE R. GREG PRUETT, SALES AND ENERGY MANAGER AT INGOMAR, AT DESK DURING INTERVIEW (SOUNDBITE) (English) R. GREG PRUETT, SALES AND ENERGY MANAGER AT INGOMAR, SAYING: “It's tough. It's not fun. You know, being primarily in sales, I enjoy helping customers out, getting them the product they need, you know, selling tomato paste. But now there's essentially nothing to sell. And as the crop gets shorter and shorter, there becomes times when you have to have conversations with customers about not being able to pack their entire volume, which is something that we very much like to avoid. But in situations like this, when you know you're dealing with Mother Nature and she doesn't cooperate, then, you know, sometimes those are tough conversations that you need to have. And for the most part, customers understand what's going on. You know, we try to keep all of our customers very educated in terms of what the crop forecast looks like, what the yields are looking like, what our kind of honest assessment of the season is. And sometimes it's good news, sometimes it's bad news, but we like to keep everyone informed.†VARIOUS OF PROCESSING TOMATOES GOING THROUGH DICING MACHINE PAN FROM DICING MACHINE TO WORKER CHECKING TOMATOES VARIOUS OF WORKER CHECKING TOMATOES INTERIOR OF PLANT MECCA, CALIFORNIA, UNITED STATES (SEPTEMBER 19, 2022) (Reuters) VARIOUS OF FARMERS SHAKING DATES LOOSE FROM TREES VARIOUS OF FARMERS SORTING DATES REGULUS RANCH OWNER SARALYN DELK WITH FARMERS (SOUNDBITE) (English) SARALYN DELK, OWNER OF REGULUS RANCH, SAYING: "I understand Lake Mead, Lake Powell, Colorado’s low, but with climate change, you could have, this winter you could have a lot of snowfall, and they could start re-charging the aquifers and the rivers that way but we use so little water, I’m not really concerned here but we do try to conserve. You don’t see a lot of grass anywhere, lawns. We just… We have the bare minimum.†DRONE SHOT SHOWING TOPS OF DATE FARM ORCHARD (MUTE)
- Embargoed: 24th October 2022 11:03
- Keywords: California California processing tomatoes climate change drought megadrought processing tomatoes tomato industry
- Location: Firebaugh + Los Banos + Mecca, California, United States
- City: Firebaugh + Los Banos + Mecca, California, United States
- Country: US
- Topics: Droughts,Disaster/Accidents,United States
- Reuters ID: LVA001426509092022RP1
- Aspect Ratio: 16:9
- Story Text: Under the scorching sun of California’s historic heat wave last month, a tractor and harvester machine drove loops through a field of processing tomatoes outside the Central Valley farming city of Firebaugh.
Row by row, the harvester machine pulled the dark red, egg-like shaped tomato from the ground, sorted them from their vines, and dumped them into what’s called a load, two bins pulled by the tractor. Once full, a load weighs roughly 25 tons.
This harvest came about two weeks earlier than normal, a decision made by fourth generation farmer Aaron Barcellos due to the heat and the ongoing drought, which has parched the land and cut into crop yields.
“The California tomato crop is probably 10 to 15% off of what it normally would be, primarily due to the heat and the conditions that we've had this year,†Barcellos told Reuters on his farm.
This scene is playing out across much of the state where a lack of rain and snow here in Central Valley and the restricted water supplies from the Colorado River in the southernmost part of the state have withered summer crops like tomatoes and onions and threatened leafy greens grown in the winter.
That has added pressure to grocery prices, putting a squeeze on wallets with no end in sight.
The rise in food prices this year has helped drive U.S. inflation to its highest levels in 40 years. California's drought conditions, on top of Hurricane Ian ravaging citrus and tomato crops in Florida, are likely to push food costs even higher. Drought in an area known as the U.S. salad bowl has not only impacted fresh produce, but also pantry staples like pasta sauce and premade dinners.
The most recent drought in California began in 2020, worsening when California's Central Valley faced its driest January and February in recorded history. Snowpack, supplying surface water for much of the Central Valley, reached just 38% of its historic average by April, according to the Sierra Nevada Conservancy, a state agency focused on conservation efforts.
In Firebaugh this year, Barcellos planted just 530 acres of the 1,500 to 2,000 acres of processing tomatoes he’s historically grown on his family's farm.
"I don't think farming in California has ever been more complex and more challenging, and the drought is a large part of that," said Barcellos.
California produces about 30% of the world's processing tomatoes, but in August the U.S. Department of Agriculture cut its 2022 forecast to 10.5 million tonnes, down 10% from its 12.2 million tonne estimate earlier in the year.
“The lack of water availability and high summer temperatures have made it difficult for growers to meet market demand,†the USDA said.
Because of the shortfall, farmers this year negotiated higher prices for tomatoes, as well as onions and garlic used for spices in countless boxed meals and other grocery store staples, said Don Cameron, president of the California State Board of Food and Agriculture.
Without the much-needed rain and snow, the state has had to cut water allocations, while costs for supplementary water available through the various water districts also skyrocketed, industry members said. Additional inflationary costs and regulatory hurdles have also complicated matters, they added.
This meant that growing processing tomatoes became more expensive than anticipated.
Barcellos, who began farming 40 years ago, has seen this lack of water availability before. The state experienced a drought from 2012 to 2016 and began another prolonged drought in 2020, which continues to this day and has only gotten worse each year.
“If we don't have that water, we just won't grow it. That's why we have so many fallow acres, because we just can't take the risk of planting a crop and then not having the water to reach maturity,†said Barcellos.
The pressures on the farm are felt down the supply chain as well. Up the road in Los Banos, Ingomar Packing Company, a supplier of tomato paste and diced tomatoes to food producers, is facing these dwindling tomato supplies and has to relay this news to customers.
“It’s tough. It’s not fun,†said R. Greg Pruett, a sales and energy manager whose family owns the company. “In situations like this, when you know you’re dealing with Mother Nature and she doesn’t cooperate, then sometimes those are tough conversations that you need to have.â€
Ketchup and other tomato-based pasta sauce maker Kraft Heinz Co said it's sourcing tomatoes from other regions to make up for California's shortfall.
A company spokesperson said Kraft could guarantee tomato supplies in grocery stores, but did not rule out price increases.
In southern California, Imperial Valley farmers are planting hundreds of acres of leafy greens to harvest this winter. The region faces water restrictions due to record low levels on the Colorado River, the source of water for both Imperial and Coachella Valley, the largest producer of dates in the U.S.
In Mecca, Regulus Ranch owner Saralyn Delk has been utilizing drip irrigation system for her dates, which has helped a lot. She said conservation remains a focus.
"I understand Lake Mead, Lake Powell, Colorado’s low, but with climate change, you could have, this winter you could have a lot of snowfall, and they could start re-charging the aquifers and the rivers that way but we use so little water, I’m not really concerned here but we do try to conserve. You don’t see a lot of grass anywhere, lawns. We just… We have the bare minimum,†Delk said.
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