April 25,2025
Tractor sales stalled
Tractor and combine sales in the US are down over 15% says the Association of Equipment Manufacturers first quarter report. Sales of some tractors like four-wheel-drive farm tractors are down 35% and self-propelled combines are down over 56%, says the association.
Annual report shows major declines in farmland values
The value of much of California’s farmland declined from 2023 to 2024, according to figures published last month by the state’s chapter of the American Society of Farm Managers and Rural Appraisers. Authors of the ASFMRA chapter’s annual Trends report attributed the declines in farmland value to multiple factors, including low prices for many crops, high inflation and interest rates, and overall high operating costs. Farmland subject to groundwater pumping restrictions saw some of the steepest value declines, with farmland in parts of the San Joaquin Valley that depend entirely on groundwater losing more than half its value in the space of a year.
In the northern San Joaquin Valley, for example, almond orchards in white areas lost roughly half their value from 2023 to 2024, according to Janie Gatzman, owner of Gatzman Appraisal in Stanislaus County and co-chair of the Trends report.
Gatzman said almond orchards in the area with reliable surface water lost up to 25% of their value due to persistently low prices, meaning the greater value declines seen in white areas were likely caused by groundwater concerns. “I would say over 25% of the value decline there was fully attributable to SGMA,” she said.
Independent of SGMA, winegrape vineyards in the Central Valley saw sharp declines in value due to a historic drop in demand for wine during the past few years.
Vineyards in the Lodi area lost 35% to 40% of their value from 2023 to 2024, Gatzman said. News thanks to California Farm Bureau.
Friant contractors get 100% allocation
Friant Division contractors’ water supply is delivered from
Millerton Reservoir on the upper San Joaquin River via the
Madera and Friant-Kern canals. The first 800,000 acre-feet of available water supply is considered Class 1; Class 2 is considered the next amount of available water supply up to 1.4 million acre-feet. Recently the Bureau of Reclamation increased the estimated contract amount this season to 100% of Class 1 and zero for Class 2.
Cotton farmers face planting decision
California cotton farmers face a critical decision of how much cotton to plant this year given the uncertainty over tariffs on their product. Cotton Growers Association President Roger Isom says he has fielded regular calls from farmers wondering what the prospects are.”It’s all up in the air.”Currently China has a retaliatory tariff on US cotton. “We should know by May 1 what the planting acreage could be this year” says Isom, hoping to have some clarity on whether the on-again off-again tariffs will impact the price.In 2024, U.S. cotton exports to China were worth $1.49 billion. If the China market is too expensive, farmers hope to sell more to India.
Undocumented farm workers could remain Trump suggests
During a recent cabinet meeting, President Trump announced a plan to provide some leeway for farmers amid his broader immigration enforcement efforts. Under the proposal, farmers could submit letters supporting certain undocumented workers, allowing those individuals to remain in the country temporarily for work, leave the U.S., and then return legally.News from Citrus Mutual
Mexico accounted for 91% of total U.S. fresh tomato imports in 2023
Trump imposes 21% tariff
The Trump administration is planning to slap a nearly 21% tariff on most of the tomatoes imported from Mexico. The tariff will be imposed on July 14, near the start of peak tomato season. In a statement, the Department of Commerce said it intends to withdraw from a trade agreement with Mexico. The deal signed back in 2019, had averted an anti-dumping duty on Mexican tomatoes. However, US authorities now say Mexican tomatoes are unfairly priced and such an agreement has failed to protect domestic tomato growers. News from The Packer.
Crops that cannot be mechanized are moving to lower wage countries. Most US asparagus, bell peppers and cucumbers are imported, as are most fresh tomatoes and a rising share of berries. Mexico, where farm wages are a tenth US levels, is the source of half of US fresh fruit imports and three-fourths of fresh vegetable imports.