What Alternative Crops?
In
the 1950's Ventura County was the world's largest
producer of walnuts with nearly 50,000 acres.
Prior to walnut production it was a major producer of lima beans and
sugar beets. Today there are about 300
acres of walnuts left in the County, no beets, and for practical reasons as a
crop rotation, there just happens to be a few limas left. Just because of the climate in the coastal
avocado belt, it's possible to grow virtually anything; the problem is making
money with it.
Wheat
was a popular crop at the turn of the 19th century in Ventura. We don't grow it now because a $400 return
per acre doesn't pay the taxes.
Likewise, when state and federal water became available in the Central Valley, Ventura got out of the walnut business
because land and water were cheaper in the Valley. Besides, why grow walnuts
when greater returns are possible with lemons and avocados and the potential
for freeze in the Valley limits their planting there?
So
the corollary is don't grow what others can grow. This dictum goes even further. Don't grow anything that can be stored or
processed. We have seen the problems of
Costa Rican macadamias overwhelming our California product, because they can
grow it more cheaply and then take their time moving it up here cheaply by
boat. So the extension of the corollary
is don't grow what others can grow with cheaper land/water/labor.
But
what does one grow? This is where an
understanding of consumers and markets is important. There is a grower in Santa Paula who has two acres of Bacon
avocado. I asked him why he grew them
and he told me he made fifty cents a piece by going door to door at
restaurants. Another grower in Santa Paula goes to the Santa Monica farmers market with five
varieties of avocado and finds that buyers want variety. A grower in Covina grows wampee (Clausena
lansium, a citrus relative). It is a
fruit that most of the people in my office were willing to try once. But off the 40 or so trees that he has, he
sells out at the Alhambra farmers market to an Asian
clientele that is waiting for him to show up.
As
we know, most Bacons don't go for fifty cents a piece and that goes for most of
the other varieties and at this point growing more than 40 wampee trees would
probably collapse the market. But this
is niche marketing and it is done in this case by the honest sweat of the
farmer's brow going out to the clientele.
Not
many growers want to direct sell their product, because of the time it
takes. There are some niches out there
that are larger and take advantage of the fact that imported fruit often must
be picked "green", so that it can be shipped the distance into the US. Mangos are $8 a box at Costco at times. These are coming from Brazil and Mexico and the fruit will often
looked shriveled on the shelf because they were picked immature. The Spaniards have learned to capitalize on
this by selling their more expensively grown mangos ripe off the tree into the Paris market. They are able to command higher prices over
the fruit that has had to be shipped so far.
This could be a possibility here, as well. Other fruits that would fit
this bill are guavas and Mexican papayas.
Most consumers will still go for the cheaper fruit, but there is a
market for high quality tasting fruit.
Another
way to look at markets, is how we can take advantage of our climate to take
advantage of more traditional crops.
Blueberries are an example of a fruit that is dominated by Oregon, Washington, New Jersey and North Carolina. The average return for growers in those
states over the last 10 years has been under a dollar a pound. They are all competing with each other. In coastal California it is possible to grow the Southern Highbush varieties that don't have
the high chilling requirement of traditional varieties. They also can produce much earlier and later
than the traditional blueberry states and as a result command prices in excess
of those states.
A
slight twist on the taking advantage of timing theory and combining it with a
less traditional crop is litchi and longan.
These fruit are shipped here from Mexico, Israel and Taiwan amongst other places. There is a traditional Asian consumer that
knows the fruit and there is also a larger audience that knows the fruit, as
well. The varieties grown here appear to
ripen later than the other producing countries, or earlier than Australia which is also a
producer. Litchi would follow a more
traditional wholesale market route, since there is a large enough consumer base
out there for dealers to know where to sell the fruit.
California agriculture has always changed. From Spanish and Mexican times to the
present, it has change in response to transportation, weather, economics and
consumer demand. Knowing what the market
wants is the underlying theme and growing what it wants is the key to staying
profitable.