State’s walnut growers start an expected record harvest
the CWB and CWC said. “We know we can further diversify the segments of business—similar to the U.S. with growth in food manufacturing and food service, while propping up our retail channel,” said grower Todd Ramos, CWC market development committee chair. “Interestingly, COVID-19 has actually helped increasesales intheretail segment. Retailers andconsumers increasinglyem- brace e-commerce, openingnewavenues for retail promotion, while alsobolstering the importance of neighborhood grocery inmany countries, like Spain and India.”
To encourage handler investment to grow the walnut market through individ- ualmarketing activities, thewalnut sector pursuedcredit-backauthority through the marketing order. “We know that thedevelopment of new walnut applications is critical to our ex- pansion of the walnut market, and han- dlers are alreadymaking investments, but this program is poised to take that to the next level,” Tos said. The program authority, if approved by a vote of growers, would come into effect this 2020-21 season.
As they begin their harvest this month, California walnut farmers anticipate re- cord crops from their orchards. The 2020 Cal i fornia walnut crop is est imated to be 780,000 tons, an increase of 19% over the prior year’s product ion, according to the U.S. Department of Agriculture. The USDA Nat ional Agr icul tural Statistics Service based its forecast on i ts Cal i fornia Walnut Object ive Measurement Survey, conducted from Aug. 1 through Aug. 20. The report said bearing acreage of walnuts increased 4% to 380,000 bearing acres. The 2020 growing season for walnuts began with a warm and dry January and February, and low chilling hours, which resulted inuneven canopy andnut devel- opment, the USDA report stated. Despite these conditions, the nut set looked good as the seasonprogressed, withharvest ex- pected tobeginearlier than it did last year. If realized, this year’swalnut cropwould be 13% larger than the previous record harvest of 689,000 tons, set in 2016. Walnutmarketers say they’repreparing to sell the larger crop. “Our objective has been and continues to be to keep demand ahead of supply,” CaliforniaWalnut Commission executive committee chair Bill Tos said, adding that walnut productionhas doubled in the last 15 years, with an additional 75,000 acres set to come into production. Michelle Connelly, executive director/ chief executive officer of the California Walnut BoardandCommission, said “tre- mendous growth opportunity” exists in theU.S.market toexpandall sectors of the walnut business across retail, food man- ufacturing/industrial and food service, adding, “Wehavebeenplanning for these larger crops by expanding consumption through all sectors.” Efforts are underway, Connelly said, to expand walnuts’ grocery retail presence through two national promotional cam- paigns, which include a program focused on growing sales of walnut snacks. “While walnuts are not often thought of as a snack, our consumers are telling us otherwise, with snacking becoming our top consumer use,” said Jennifer Olmstead, marketing director of do- mestic public relations for the CWB and CWC. “Our goal is to make walnuts top of mind, not only for consumers, but for foodmanufacturers and food service. Not only are walnuts a versatile ingredient that can’t be overlooked, they are a pow- erhouse of nutrition with benefits that are critical to consumers who are seek- ing healthy, clean, nutritious foods, now more than ever.” The Walnut Board and Commission added that the domestic market offers advantages such as proximity, stabili- ty and risk prevention from some of the turbulent times recent tariff issues have created in international trade. However, exportmarkets remainvital togrowth, the marketers said, accounting formore than
60%of annual shipment volumes. The walnut business has continued to adapt to tariff challenges, the board and commission said, while pursuing newmarkets. “Exportmarket diversificationhasbeen key to this strategy, and continuing to find and develop export markets is essential,”
SAVE THE DATE SUNDAY THROUGH WEDNESDAY DECEMBER 6, 7, 8 AND 9
September 9, 2020 Ag Alert 13
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