Labor shortage moves CCM to consider harvest co-ops
Labor shortage moves CCM to consider harvest co-ops
VISALIA, CA -- The effect of immigration reform (or the lack thereof) on the labor needs of California citrus growers was among several key issues facing the industry that were addressed at the California Citrus Mutual 29th annual meeting, here, Thursday, Nov. 2.
The immigration issue has resulted in a labor shortage for the industry, and CCM is "exploring H2A programs to increase our labor supply," said CCM Chairman Philip LoBue of LoBue Bros. Inc. "We are working continually at the federal level to initiate true immigration reform that includes some type of guest worker program."
But so far, "the immigration reform we seek" has been "obscured and lost in discussions on national security with border tightening and fence building," he said. Minimum wage increases recently adopted in California have compounded the labor issue for the industry. "The bottom line is the cost of our labor is going to increase," he said.
"CCM is working to alleviate some of these problems by looking into forming harvesting cooperatives to utilize our existing labor force more effectively," he said.
The tight labor supply and increasing cost of labor are not the only pressing issues facing California growers. "We all know the cost of doing business in California is substantially higher than in any other part of the country, not to mention the world," Mr. LoBue said.
But even as CCM and other grower organizations work to address these problems, "the reality is our clout as growers is diminishing along with the reduction of the size and scope of the farming economy. Realizing that we are in a minority position, we are working to expand our political base" by seeking support from legislators in non-farming areas with whom growers can find "potential areas of partnering." By doing so, he said, growers will "hopefully [be able to] steer legislation" in a direction that will benefit the industry.
On the national level, Mr. LoBue continued, "we are trying to tweak the national farm policy to include funds for specialty crops. I know we pride ourselves on not receiving subsidies or other assistance, but the producers in other countries are receiving big-time help from other governments in trying to crack our markets. We need some assistance in ... trying to level the playing field."
CCM is also "working diligently in the area of free trade, trying to keep our trading markets open," he said, noting that CCM President Joel Nelsen had recently returned from South Korea as part of a delegation that went there to persuade the South Korean government to modify the onerous phytosanitary protocols it currently requires for California citrus shipped to South Korea.
Discussing his trip, Mr. Nelsen said that South Korea's unwillingness to acknowledge the science that was presented was frustrating. In the end, he said, no progress was made and the industry will be operating on "the same set of rules as last year."
"Sometimes you have to wonder if [some of the requirements] are just trade barriers cloaked in the science of quarantine protocol," Mr. LoBue said. On a positive note, Mr. LoBue said that "although the battles are tough, the industry has made significant strides in improving our revenues." The California Citrus Growers Association, a recently formed voluntary industry organization that has been working to improve grower returns by trying to match supply with demand, "has been working very diligently" to achieve that objective, and "by some accounts has improved our per-acre return by more than 30 percent," he said.
The immigration issue has resulted in a labor shortage for the industry, and CCM is "exploring H2A programs to increase our labor supply," said CCM Chairman Philip LoBue of LoBue Bros. Inc. "We are working continually at the federal level to initiate true immigration reform that includes some type of guest worker program."
But so far, "the immigration reform we seek" has been "obscured and lost in discussions on national security with border tightening and fence building," he said. Minimum wage increases recently adopted in California have compounded the labor issue for the industry. "The bottom line is the cost of our labor is going to increase," he said.
"CCM is working to alleviate some of these problems by looking into forming harvesting cooperatives to utilize our existing labor force more effectively," he said.
The tight labor supply and increasing cost of labor are not the only pressing issues facing California growers. "We all know the cost of doing business in California is substantially higher than in any other part of the country, not to mention the world," Mr. LoBue said.
But even as CCM and other grower organizations work to address these problems, "the reality is our clout as growers is diminishing along with the reduction of the size and scope of the farming economy. Realizing that we are in a minority position, we are working to expand our political base" by seeking support from legislators in non-farming areas with whom growers can find "potential areas of partnering." By doing so, he said, growers will "hopefully [be able to] steer legislation" in a direction that will benefit the industry.
On the national level, Mr. LoBue continued, "we are trying to tweak the national farm policy to include funds for specialty crops. I know we pride ourselves on not receiving subsidies or other assistance, but the producers in other countries are receiving big-time help from other governments in trying to crack our markets. We need some assistance in ... trying to level the playing field."
CCM is also "working diligently in the area of free trade, trying to keep our trading markets open," he said, noting that CCM President Joel Nelsen had recently returned from South Korea as part of a delegation that went there to persuade the South Korean government to modify the onerous phytosanitary protocols it currently requires for California citrus shipped to South Korea.
Discussing his trip, Mr. Nelsen said that South Korea's unwillingness to acknowledge the science that was presented was frustrating. In the end, he said, no progress was made and the industry will be operating on "the same set of rules as last year."
"Sometimes you have to wonder if [some of the requirements] are just trade barriers cloaked in the science of quarantine protocol," Mr. LoBue said. On a positive note, Mr. LoBue said that "although the battles are tough, the industry has made significant strides in improving our revenues." The California Citrus Growers Association, a recently formed voluntary industry organization that has been working to improve grower returns by trying to match supply with demand, "has been working very diligently" to achieve that objective, and "by some accounts has improved our per-acre return by more than 30 percent," he said.
