San Luis Valley pares back more acreage, anticipates solid crop
San Luis Valley pares back more acreage, anticipates solid crop
MONTE VISTA, CO With its potato acreage at 58,100 this fall season, Colorado's San Luis Valley has pared its planted ground by nearly 20,000 acres in the last decade.
In 1996, Colorados fall crop acreage was at 77,800, but it declined to 76,900 the next season. In 1998 it dropped again to 75,700 acres, but bounced up slightly to 77,000 acres in 1999.
In 2000, 75,600 acres were planted, and the following year acreage dropped to 67,900 but acreage rose again to 71,300 in 2002. The past three years, however, have seen a steady decline, with 66,300 acres in 2003 and 64,800 last year.
The trend to reduce spud ground is being seen across the nation, with total U.S. potato acreage at its lowest since, according to USDA figures, 1866. At 1.11 million acres this year, the United States potato acreage is down 7 percent from its 2004 figure of 1.2 million.
And that is just what United Potato Growers of America and United Fresh Potato Growers of Colorado, as well as other regional united groups, are hoping to accomplish through the unilateral "intent to bring supply back in balance with demand," according to outgoing Colorado Potato Administrative Committee Executive Director Chris Voigt.
The grower-based organizations are recommending reductions in acres and a set floor price. While last years figures had not been finalized, CPACs 2004 annual report showed that in 2003, with 66,300 acres planted, Colorado farmers produced a 23.7 million cwt. potato crop and saw an average return of $4.80 per cwt. for a crop value of $114 million. Yields averaged 360 cwt. per acre in 2003.
In the same 10 years that San Luis Valley acreage has been on the decline, the growers have see-sawed somewhat in production and have seen a similar pattern in crop value as the result of slugging markets punctuated by an occasional higher return.
In 1996, with yields of 375 cwt. per acre, production was 29.2 million cwt., but at $1.60, prices were the lowest since 1980, and the crop value was $47 million.
Yields were down in 1997 at 325 cwt. per acre, and production was just under 25 million cwt. Prices that year were $4.50, and the crop value more than doubled to $112 million. In 1998, yields were 335 cwt., production was 25.4 million cwt., and with prices at $4.60, the crops value was set at $117 million.
The next year, yields remained the same, and production was close to that of 1998, but prices dropped to $4.20, and the crop value also decreased to $108 million.
In 2000, yields were up to 370 cwt., and production also increased to 28 million cwt., but again prices dropped, this time to $2.95, and farmers saw a crop value of $83 million.
The following season was much improved for returns. Yields were down to 315 cwt., and production was also down to 21.4 million. Prices climbed to $9.55, and the crop value was $204 million. In 2002, yields were up to 390 cwt., production approached 28 million cwt., and prices slipped to $7.10 for a value of $198 million.
Mr. Voigt, who departed the Colorado Potato Administrative Committee for the directors position with the Washington State Potato Commission on Sept. 6, said that Colorados largest potato-growing region has cut its acreage by 11 percent since 2004, but it has remained stable in grower and shed numbers for the past several years.
We have approximately 200 growers with at least five acres, he said, and he added that the valley is home to 23 packingsheds.
At 56.1 percent of the total potato crop, Russet Norkotah remains the primary variety in the San Luis Valley. The second variety in overall prominence is the Yukon Gold at 10 percent, although Mr. Voigt said that last year yellows held 11 percent of the crop total.
A relatively new variety is the Russet Rio Grande, which accounts for 7.7 percent of the crop, and all varieties of reds make up 5 percent.
The only real mover is the Rio Grande, Mr. Voigt said. It was introduced in 2003 commercially and was 3.4 percent [of the crop], so it doubled. I expect that will continue to grow.
The Rio Grande was developed by Dr. David Holme of the Colorado State University Research Center in the San Luis Valley, and Mr. Voigt said that the industry is showing a lot of interest in it. The spud is very comparable to Norkotahs in yields, and it expresses viruses so seed growers are aware of problems before harvest and can pull affected plants before they enter the commercial chain.
There is also a big cancer study underway, Mr. Voigt said. There is something in the extract of Rio Grande Russets that is stopping cancer cells in labs, and its also found in Purple Majestics.
Purple Majestics are also grown commercially in the San Luis Valley.
When contacted during the last full week of August, some valley shippers had begun digging and moving new-crop Colorado potatoes while others were preparing for harvest within the coming 10 days.
Consensus within the grower-shipper community was for a normal crop this season, although some said that yields could be down due to a cold spring and hotter-than-normal spate during the summer growing season.
At McCormick & Milne, formerly Asbell-McCormick, John McCormick said, I think were going to have a really good crop and good prices. Mr. McCormick said that the several-dozen growers his company represents would start their harvests between Sept. 5 and 12.
Mark Bisel of Apex Produce Co. in Center, CO, said that he anticipates a good year, due in large part to the cutback in acreage across the nation and to weather issues in other areas.
Harvest Selects Steve Seward said that yields will likely be down because of earlier weather events, and Randy Bache of Skyline Potato Co. in Center agreed. Some fields are really good and others are not that great, Mr. Bache noted. It got really hot in July, and some growers adjusted well while some had growing issues.
Jed Ellithorpe of Aspen Produce in Center said that the growing season had been a little bit behind, and I dont anticipate tremendous yields. Mr. Ellithorpe added that he was optimistic about the season overall.
Canon Potato Co. spokesman David Tonso said that his company is down in all varieties this year and running one warehouse to maximize efficiency. He added that prices in late August were awesome, and we hope we can hang on to them.
And Ernie Myers of Mountain Valley Produce summed up the potato-growing season by noting that it got off to a cold start and then endured a burst of heat, so were about a week behind last year.
Both he and Sales Manager Pam Dunning said that the crop looks good, and Ms. Dunning said that the efforts of United Fresh Potato Growers of Colorado are having a positive effect on the season.
I am really looking forward to working with United and hope its here to stay, she said.
(A full report on San Luis Valley potatoes appears in the Sept. 12 issue of The Produce News.)
In 1996, Colorados fall crop acreage was at 77,800, but it declined to 76,900 the next season. In 1998 it dropped again to 75,700 acres, but bounced up slightly to 77,000 acres in 1999.
In 2000, 75,600 acres were planted, and the following year acreage dropped to 67,900 but acreage rose again to 71,300 in 2002. The past three years, however, have seen a steady decline, with 66,300 acres in 2003 and 64,800 last year.
The trend to reduce spud ground is being seen across the nation, with total U.S. potato acreage at its lowest since, according to USDA figures, 1866. At 1.11 million acres this year, the United States potato acreage is down 7 percent from its 2004 figure of 1.2 million.
And that is just what United Potato Growers of America and United Fresh Potato Growers of Colorado, as well as other regional united groups, are hoping to accomplish through the unilateral "intent to bring supply back in balance with demand," according to outgoing Colorado Potato Administrative Committee Executive Director Chris Voigt.
The grower-based organizations are recommending reductions in acres and a set floor price. While last years figures had not been finalized, CPACs 2004 annual report showed that in 2003, with 66,300 acres planted, Colorado farmers produced a 23.7 million cwt. potato crop and saw an average return of $4.80 per cwt. for a crop value of $114 million. Yields averaged 360 cwt. per acre in 2003.
In the same 10 years that San Luis Valley acreage has been on the decline, the growers have see-sawed somewhat in production and have seen a similar pattern in crop value as the result of slugging markets punctuated by an occasional higher return.
In 1996, with yields of 375 cwt. per acre, production was 29.2 million cwt., but at $1.60, prices were the lowest since 1980, and the crop value was $47 million.
Yields were down in 1997 at 325 cwt. per acre, and production was just under 25 million cwt. Prices that year were $4.50, and the crop value more than doubled to $112 million. In 1998, yields were 335 cwt., production was 25.4 million cwt., and with prices at $4.60, the crops value was set at $117 million.
The next year, yields remained the same, and production was close to that of 1998, but prices dropped to $4.20, and the crop value also decreased to $108 million.
In 2000, yields were up to 370 cwt., and production also increased to 28 million cwt., but again prices dropped, this time to $2.95, and farmers saw a crop value of $83 million.
The following season was much improved for returns. Yields were down to 315 cwt., and production was also down to 21.4 million. Prices climbed to $9.55, and the crop value was $204 million. In 2002, yields were up to 390 cwt., production approached 28 million cwt., and prices slipped to $7.10 for a value of $198 million.
Mr. Voigt, who departed the Colorado Potato Administrative Committee for the directors position with the Washington State Potato Commission on Sept. 6, said that Colorados largest potato-growing region has cut its acreage by 11 percent since 2004, but it has remained stable in grower and shed numbers for the past several years.
We have approximately 200 growers with at least five acres, he said, and he added that the valley is home to 23 packingsheds.
At 56.1 percent of the total potato crop, Russet Norkotah remains the primary variety in the San Luis Valley. The second variety in overall prominence is the Yukon Gold at 10 percent, although Mr. Voigt said that last year yellows held 11 percent of the crop total.
A relatively new variety is the Russet Rio Grande, which accounts for 7.7 percent of the crop, and all varieties of reds make up 5 percent.
The only real mover is the Rio Grande, Mr. Voigt said. It was introduced in 2003 commercially and was 3.4 percent [of the crop], so it doubled. I expect that will continue to grow.
The Rio Grande was developed by Dr. David Holme of the Colorado State University Research Center in the San Luis Valley, and Mr. Voigt said that the industry is showing a lot of interest in it. The spud is very comparable to Norkotahs in yields, and it expresses viruses so seed growers are aware of problems before harvest and can pull affected plants before they enter the commercial chain.
There is also a big cancer study underway, Mr. Voigt said. There is something in the extract of Rio Grande Russets that is stopping cancer cells in labs, and its also found in Purple Majestics.
Purple Majestics are also grown commercially in the San Luis Valley.
When contacted during the last full week of August, some valley shippers had begun digging and moving new-crop Colorado potatoes while others were preparing for harvest within the coming 10 days.
Consensus within the grower-shipper community was for a normal crop this season, although some said that yields could be down due to a cold spring and hotter-than-normal spate during the summer growing season.
At McCormick & Milne, formerly Asbell-McCormick, John McCormick said, I think were going to have a really good crop and good prices. Mr. McCormick said that the several-dozen growers his company represents would start their harvests between Sept. 5 and 12.
Mark Bisel of Apex Produce Co. in Center, CO, said that he anticipates a good year, due in large part to the cutback in acreage across the nation and to weather issues in other areas.
Harvest Selects Steve Seward said that yields will likely be down because of earlier weather events, and Randy Bache of Skyline Potato Co. in Center agreed. Some fields are really good and others are not that great, Mr. Bache noted. It got really hot in July, and some growers adjusted well while some had growing issues.
Jed Ellithorpe of Aspen Produce in Center said that the growing season had been a little bit behind, and I dont anticipate tremendous yields. Mr. Ellithorpe added that he was optimistic about the season overall.
Canon Potato Co. spokesman David Tonso said that his company is down in all varieties this year and running one warehouse to maximize efficiency. He added that prices in late August were awesome, and we hope we can hang on to them.
And Ernie Myers of Mountain Valley Produce summed up the potato-growing season by noting that it got off to a cold start and then endured a burst of heat, so were about a week behind last year.
Both he and Sales Manager Pam Dunning said that the crop looks good, and Ms. Dunning said that the efforts of United Fresh Potato Growers of Colorado are having a positive effect on the season.
I am really looking forward to working with United and hope its here to stay, she said.
(A full report on San Luis Valley potatoes appears in the Sept. 12 issue of The Produce News.)
