California is still in the throes of an extreme drought, though some growers remain unscathed.
Tomato and almond producers are among those that have been spared. In fact, both are celebrating an epic year. Surprised?
According to the recent Kiplinger report, California tomato processing growers harvested about 14 million tons of tomatoes, a record high, and up 16% from 2013 (findings from California Tomato Growers Association). What’s more, canneries paid an all-time high of $83 per ton for processing tomatoes.
Almond growers enjoyed an equally strong year. Almonds are, after just 10 years, a $4 billion industry, and the crop prevails as the state’s leading farm export on a dollar basis. Of surprise, the drought hasn’t done anything to damage the crop’s rising status. The Kiplinger reports that crop revenue reached $1.5 billion (findings from Blue Diamond Cooperative), making this the third consecutive year of revenue surpassing $1 billion.
Will this good fortune continue into 2015?
It’s hard to say. Knowing would require an uncanny ability to see into the future – specifically the future of water and weather in California.
As it stands, drought conditions don’t seem to be going anywhere. 80% of California is struggling as a result of this three-year turn of record-low rain and snow. While Californians pray for a turnaround, the water distribution system continues to ration supplies to the state and best water conservation practices continue to be upheld to lesson agricultural losses.
Need to infuse new life into your tomato or almond operation? AgAmerica boasts a variety of competitive agriculture loans to benefit your agribusiness. Whether you want to expand into value-added processing, enhance or construct new facilities, or jump-start your business, our ag loans can support your operation. With our extensive experience in both the ag lending and agriculture industries, we are able to rise to the level of servicing your needs with low interest farm loan rates and flexible payment plans. To learn more about our agriculture loan process, contact us!