Ag Alert July 31, 2024

REAL ESTATE

REAL ESTATE

NORTHERN CALIFORNIA Win ter Grazing Ranch for sale 11,701+/- acres visit www.pentacolaranch.com

216 ACRES planted to almonds north of Chico. 100 acres of almonds planted in the fall of 2023. The tree spacing is 21’ x 14’, and the rootstock is Krymsk. The varieties are 75% Nonpareil; 16.5% Aldrich; and 8% Butte. 106 acres of mature almonds. There are four deep wells and a solid set sprinkler system. In addition, there is a 155.9 KW solar array. $4,750,000 Bill Chance Realty (530) 343-7085 DRE 01215913

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AGRICULTURAL APPRAISERS

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Almond, Walnut & Prune Orchard 150 Acres M/L Glenn County, CA 100 +/- acres Almonds 23 +/- acres Walnuts 20 +/- acres Prunes Excellent soils with dual source water. Two deep wells & Glenn, Colusa Irrigation District . Great location, access via 2 county roads !! Priced to sell $2,900,000.00 Stromer Realty Company Buzz Gill C: (530) 682-8485 O: (530) 671-2770 buzz@stromerrealty.com DRE 01050665

The state’s cling peach crop is expected to be 242,074 tons. However, growers say heat may impact final crop size.

Peaches Continued from Page 1

Specialists in Agricultural and Rural Property Appraisals Serving all 58 counties of California Contact Jake at (559) 676-6975 or jake@grattanpark.com

which is much less than the 900-1,200 chill hours needed to set the crop, he said. “I have a 20-acre block that I completely lost; there was no set,” Davit said. “We should have picked 800 to 900 bins, and we picked 57 bins.” With temperatures dropping to the 90s this week, Davit said he is thankful for slightly cooler conditions ashebeginsharvestofmid-seasonvarietiesKingsburg and Kader. “It will definitely provide relief,” he said. The mid-season varieties appear to be doing much better than extra-early clings, he said, add- ing, “We’re seeing much better grades and better firmness on the peach.” Hudgins said the state’s cling peach is being chal- lenged by less expensive imports from countries such as China, Greece and Chile. “About a third of the total domestic consumption today is coming from imported products, primarily China. However, in the last year, Greece has become a bigger player,” Hudgins said. California’s canned peach sector has “virtually no export footprint” and sends only a small number of cases to Mexico and Canada, he noted. As the price drops for California-grown commod- ities such as walnuts and almonds, Hudgins said he is concerned about growers looking to cling peaches as a way to diversify their crop portfolios. “What I continue to be concerned about is the risk that we are going to overshoot underlying mar- ket demand with new plantings,” Hudgins said. “Over the last several years, processors have been contracting with growers for some additional cling peach plantings.” The call by processors for more cling peach plant- ings a few years ago was driven by increased demand for canned and frozen peaches during the COVID-19 pandemic, when the sector saw a 20-year record of retail sales volume as people purchased shelf-stable items, Hudgins said. Retail sales have returned to where they were before the pandemic, Hudgins said, adding, “It remains to be seen how the new plantings already in the ground are going to align with future consumer demand.” “We’re trying to maintain the relative equilibrium, so we don’t find ourselves back in an oversupply position in the peach industry,” he said. “We’ve cau- tioned peach growers for some time not to plant a new orchard unless they have a firm contractual commitment from a processor to take the fruit.” For those without experience farming cling peaches, he said, “Be careful about leaping from the frying pan into the fire.” Harvest of cling peaches, which are grown from Yuba County in the north to Fresno County in the south, is expected to continue through mid-September. (Christine Souza is an assistant editor of Ag Alert. She may be contacted at csouza@cfbf.com.)

overripens and drops, which reduces yield and af- fects his profit margin. “Even though it’s a better peach crop this year, our price per ton to produce it went up substantially,” Cederlind said. “We’re desperate to get more tons to the acre to offset those costs, so the heat is just another thing that is working against us.” In a typical year with more moderate tempera- tures, Cederlind said harvest requires one or two passes through the orchard. This year, he said, “We’ve already had two to three picks on some blocks, so the price of the bin has increased.” “Our picking costs have gone up almost 40% to 50%,” he said, adding that the cost to thin the peach orchard this season was between $1,800 and $2,500 per acre compared to $1,000 to $1,500 an acre four years ago. Labor accounts for nearly 70% of direct costs for cling peach growers and continues to in- crease, according to the California Canning Peach Association. Another expense this year, Cederlind said, is treatment for a higher pressure of the peach twig borer, a top pest of peaches. California cling peach growers are expected to produce 242,074 tons of peaches for canned and frozen fruit markets this year, up 10% from 2023, according to a June preseason estimate by the California League of Food Processors. The 2024 contract price to growers from processors is $635 per ton, the same price as last year, according to the California Canning Peach Association. “We had favorable growing conditions up until the heat waves,” said Rich Hudgins, the association’s president and CEO. With only 15% of the state’s cling peach crop har- vested, he said it is too early to know whether grow- ers will produce the estimated tonnage announced in June. If growers hit the estimate, Hudgins said, “We would have our best yield since 2016 of 17.8 tons per acre.” Ranjit Davit of Live Oak, who farms peaches, al- monds and walnuts, said cling harvest began July 10 in the growing region of Yuba and Sutter counties. Growers finished harvesting the extra-early varieties last week and moved to the mid-season clings. High temperatures meant that varieties such as Carsons and Loadels “really took a beating,” Davit said. “We weren’t expecting this type of heat,” said Davit, who serves as board chairman of the California Canning Peach Association. “Growers have rejects due to bruised and overripe fruit caused by the heat, so it was a tough start on those particular extra-early varieties.” One orchard of his extra-early peaches didn’t set, Davit said, which he attributed to not having ade- quate chilling hours for the trees to produce flowers and fruit. His region received about 780 chill hours,

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This beautiful, secluded property is located in Sutter County on the Sacramento River. Should be everything you're looking for. Young orchard with large annual increase in production, lots of upside. Privacy (house, barn, etc. is 1 mile from County Road, behind locked gate), sell water in drought years. $4.4 million • Call owner at 530-908-4689 Habitat: 50± ac. established wildlife habitat with duck pond Orchard: 150 ac. Chandler walnuts • 60 ac. 2012 • 15 ac. 2014 60 ac. 2018 • 13 ac. 2019-22 • increasing production every year River Water: 80 ac. riparian • 120 ac. contract • river pump booster pump • 12" mainline • valve every 20 ac. • solid set sprinkler Wildlife: deer, quail, pheasants, turkeys, dove, rabbits, much more Sutter County on Sacramento River • Walnut Orchard 215 ac. ± House: Remodeled ranch home • 2,130 sq. ft. • new kitchen, hvac, windows, bathroom, etc. Outbuildings: pump house • barn (large wood)

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38.96 AC Haley Ranch Pistachios, 2 water sources, Madera........................................$623,360 40 AC Ave 11 Pistachios, good yields, Madera.............................................................$640,000 40 AC Chowchilla Pistachios, good yields, 2 water sources............ SOLD ............$1,400,000 40 AC Lemoore Open Land, Lemoore Canal Stock................... SOLD ..................$17,500/AC 57.47 AC River Ranch, Laguna WD, 2 wells & 2 lift pumps, Laton...... REDUCED ......$1,585,000 77 AC Open Land, Kings Co. WD, Ag Well, 2 homes & 3 mobile homes, Hanford..$26,000/AC 104.84 AC Kimberlina Pistachios, Cawelo WD and 1 well, great yields.. REDUCED ..$3,100,000 158.69 AC Elmo Pistachios, good yields, SSJMUD and well water .......................... $36,500/AC 183.96 AC Almonds & Pistachios, Cawelo WD & Riparian Poso Creek, Solar, Bakersfield .$4,876,000 330 AC Maciel Dairy, 2 water sources, 870 cow permit, Hanford... REDUCED ....$9,250,000 375.21 AC Pistachios & Almonds, Tulare ID and wells.............. REDUCED ..............$12,000,000 518 AC Open Land, Laguna ID & wells, Excelsior Ave, Riverdale....... REDUCED ....... $18,000/AC 685 AC Almonds & Alfalfa, LTRID & 6 wells, great yields, Tipton ......... REDUCED ..$24,500,000 844.29 AC Little Creek Pistachios, Cawelo WD & wells with solar project..............$32,850,000 957 AC Petrissans Dairy, Kern Delta WD, 7 wells, 1400 cow permit, Bakersfield...... $22,000,000 Need help with a 1031 Exchange or looking for something specific – Call us! We can help you sell your farm and trade into commercial NNN property, utilizing a 1031 Tax Deferred Exchange, that will provide you with monthly passive income. CHECK OUR WEBSITE FOR DETAILS AGRICULTURAL REAL ESTATE PROFESSIONALS HOEKSTRA & ASSOCIATES, INC. @hoekstra.associates @hoekstra_associates Sean Barajas • 559-805-0179 • Russ Waymire • 559-977-6000 www.hoekstra.land Dan Hoekstra • 805-839-8292 CalBRE 02023290

July 31, 2024 Ag Alert 15

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