Hollister
– Expected harvest delays and higher fuel prices have some San
Benito County farmers and ranchers worried about diminished yields
and meager profits.
Hollister – Expected harvest delays and higher fuel prices have some San Benito County farmers and ranchers worried about diminished yields and meager profits.
“Some people were right on the money, but others are already a month behind,” said local Farm Bureau President Paul Hain. “It could be a tough year for farmers, especially those with smaller operations.”
Copious amounts of rain during this year’s planting season left fields too wet to be worked and could delay harvests. Late harvests will mean lower profits for some local farmers, but others could actually benefit, Hain said.
“Those who got (crops) in on time could benefit from decreased supply early in the harvest season, but those who were delayed and come in late will have a lot of competition and could see lower prices,” he said.
But expediting harvests to try to take advantage low supply periods isn’t always the best strategy, said Allison Renz, an appraiser with American AgCredit in Salinas.
“There will be supply gaps this year as a result of the wet weather,” she said. “However, trying to rush and get in early could result in smaller yields.”
In addition to weather delays, farmers have their eyes on rising fuel prices.
“Everything goes on trucks,” said North County cattle rancher Greg Renz. “And trucks need fuel.”
With energy costs expected to climb throughout the summer months, farmers and ranchers will probably be doling out more money for petroleum-based fertilizers, shipping and packing, Hain said.
Higher costs coupled with the possibility of lower prices and smaller yields, could have a dramatic financial impact.
“I’ll be lucky to keep my head above water this year with the high price of fuel,” said local row crop farmer Joe Tonascia. “At this point in time, it’s really going to hurt.”
As prices for everything from fuel to labor continue to increase it is “costing more to farm,” he said.
“There’s no guarantee of profit when you’re in the raw product business,” Tonascia said. “Supply and demand rules the market.”
Many growers have already signed contracts for the sale of this year’s harvest and prices for many crops have set, Tonascia said. That means, even if costs go up dramatically, farmers won’t be able to rise prices.
Apple grower Anthony Botelho, co-owner of B&P Orchards in San Benito County, is also worried about fuel prices, but said labor shortages could make a larger hit to this year’s profits.
“I’m much more concerned about labor. If we can’t get enough help, we can’t all the apples harvested,” he said.
And apples left in the orchard don’t bring in money, Botelho said.
Brett Rowland covers agriculture and public safety for the Free Lance. He can be reached at 831-637-5566 ext. 330 or [email protected].
