12 CapitalPress.com
Dairies
CONTINUED from Page 1
to have a permit. Since Ecol-
ogy maintains that pollutants
seep from manure lagoons
and could reach groundwater,
almost every dairy may be
subject to the permit.
Costs will vary depend-
ing on the size of the dairy.
The Ecology’s permit writer,
Jon Jennings, said the single
biggest cost will be one-time
lagoon assessments. Ecology
estimates an inspection by an
engineer will cost $7,400.
In the economic assess-
ment, Ecology assumed each
dairy has one lagoon. Some
July 22, 2016
dairies, however, multiple la-
goons, a fact that likely will
cause Ecology to revise its
analysis, the agency’s special
assistant on water policy, Kel-
ly Susewind said.
Jennings said the biggest
ongoing costs will be soil
sampling and the permit fee.
The Dairy Nutrient Man-
agement Act administered by
the state Department of Agri-
culture already requires dair-
ies to test fi elds in the fall to
check nitrate levels. Ecology
proposes to require more tests
in the spring and at greater
depths.
A yearly CAFO permit
would cost producers 50 cents
per animal unit (a cow and
calf), up to $1,670 in 2017.
Washington State Dairy
Federation policy director Jay
Gordon criticized Ecology
for not attempting to estimate
how much money farmers
will lose because of new re-
strictions on fertilizing with
manure.
In some cases, farmers
would be prohibited from ap-
plying manure within 100 feet
of waterways, according to
Ecology’s proposal.
The value of lost crop pro-
duction would likely be many
times higher than the expens-
es cited in Ecology’s analysis,
Gordon said.
“We’re very disappoint-
ed in the economic impact
statement,” he said.
According to Ecology’s
analysis, losses due to buffers
would be “site specifi c and
cannot be estimated with any
level of reliability.”
Susewind said Ecology in-
tends to allow farmers to use
commercial fertilizer in areas
where manure will be prohib-
ited.
He said the agency may
try to roughly estimate the
economic costs of buffers. He
said the impact would likely
be fertilizer costs, rather than
lost crops.
Gordon also criticized
Ecology for dismissing new
record-keeping costs as “min-
imal.”
The proposal makes nu-
merous references to records
that farmers must keep and
present to Ecology on de-
mand.
“To say it’s ‘minimal’ and
move on is fl ippant,” Gordon
said. “The word lazy comes to
mind.”
Jennings said the Dairy
Nutrient Management Act al-
ready requires farmers to keep
some of the records.
Ecology will have two
public hearings on its propos-
al next week:
• Tuesday, July 26, 6 p.m.,
Whatcom Community Col-
lege, Heiner Theater, 237 W.
Kellogg Road, Bellingham.
• Thursday, July 28, 6 p.m.,
Yakima Convention Center,
Room B. 10 North Eighth St.,
Yakima.
The public comment peri-
od ends Aug. 17. If Ecology
makes signifi cant changes to
its proposal, it would have to
hold a new public comment
period.
Environmental groups
have complained Ecolo-
gy’s proposal won’t require
dairies to line lagoons with
synthetic material to pre-
vent manure seeping out.
The dairy industry disputes
Ecology’s assertion that
even lagoons designed to
Natural Resources and Con-
servation Service standards
leak.
Hazelnuts
CONTINUED from Page 1
Statistics Service reported that
hazelnut acreage and production
were fl at, a disease was devas-
tating hazelnut trees, and pric-
es were stagnant.
However, a series of “God
moments” turned the indus-
try around, Birkemeier said.
The
biggest
break-
through came in 2009,
when OSU’s Mehlenbacher
released several cultivars
resistant to eastern filbert
blight, bringing new hope to
growers. The fungal disease
had showed up in Oregon
in 1973 and eventually in-
fected a large portion of the
state’s hazelnut orchards,
sending the industry into
gradual decline.
As the resistant trees
began to replace those that
were susceptible to EFB,
other events further boosted
the industry.
Ferrero U.S.A. expanded
its production of Nutella,
a hazelnut-and-chocolate
spread especially popular
among young consumers.
Ferrero already operated a
plant in Ontario, Canada,
and in 2012 built another in
Mexico to meet the growing
demand, with Oregon the
closest hazelnut provider.
Two years later, a major
freeze wiped out one-third
of Turkey’s hazelnut crop.
The nation provides 70 per-
cent of the world’s hazel-
nuts. With that production
decline, several countries
— particularly China —
turned to Oregon to meet
their demand.
The result: 15,000 acres
of hazelnut trees have been
planted since 2009.
Courtesy of Willamette Hazelnut Growers
An employee at Willamette Hazelnut Growers harvests fallen hazelnuts from a mature orchard. Willamette Hazelnut Growers is both a grower and processor of hazelnuts.
Oregon hazelnuts by
value of production
129.6
120.6
(Millions of dollars)
$86.8
million
89.7
79.4
75.5
67.5
65
51.8
Down 33.2%
from 2014
Planting costs
The cost of a new hazelnut
orchard depends on the den-
sity of the planting, whether
outside contractors do the
work and the price of the
drip irrigation system.
OSU Orchard Crops
Extension Specialist Nik
Wiman said hazelnut trees
cost an average of $7 to $8
each. Some growers plant
orchards in a single-density
configuration — 108 trees
per acre. Contracting some-
one to plant the orchard
adds about $1 per tree to the
cost, he said.
Some growers plant dou-
ble-density orchards — 216
trees per acre, which costs
an average of $1,620. Wiman
said planting those orchards is
more costly upfront but yields
signifi cantly higher returns
sooner.
A single-density orchard
begins producing hazelnuts
— about 75 pounds per acre
— in the third year. Produc-
tion will typically increase
each year until an orchard
reaches full production —
about 2,800 pounds per acre
— by the 12th year, according
to OSU.
A double-density orchard’s
production is twice that of the
single-density orchard until
the 10th year, when every oth-
er tree is removed to provide
adequate spacing for the ma-
ture trees.
Oregon Hazelnut Com-
mission Administrator Mere-
dith Nagley said the nuts are
popular with the state’s 650
growers because they produce
long-term yields, are sustain-
able and don’t require many
Monument
CONTINUED from Page 1
He said if a monument is
created, a completely new
set of rules would have to
be drawn up for it and that
2007
’09
’11
’13
Source: USDA NASS
2015
Alan Kenaga/Capital Press
Oregon hazelnut counties, 2015
(Mature trees and new plantings by county, in acres)
Courtesy of Willamette Hazelnut
Willamette Hazelnut Growers constructed a metal bin that can hold approximately 20 times more
hazelnuts than traditional harvesting equipment can transport. Before the bin, growers transported
nuts in large boxes. The processing company made the bin to assist new bulk growers who have not
invested in infrastructure to transport their crop to processors.
hazelnuts than typical har-
vest bins.
Severeid said Willamette
Hazelnut built the bin for
growers to make it easier
and more cost-effective for
them to handle their crops.
Severeid sees even more
room for expansion in the
North American market.
“Our problem has always
been an inadequate supply
for export,” Severeid said.
“We never have a problem
selling what we can pro-
duce.”
Kropf said one of the most
attractive things about grow-
ing hazelnuts is the high de-
mand from processors.
At Willamette Hazelnut
Growers in Newberg, Ore.,
CFO and Sales Manager
Michael Severeid said the
rapidly growing industry has
put pressure on processors to
obtain supply and has creat-
ed competition for the nuts.
According to the USDA
noncitrus fruits and nuts
summary published this
month, Oregon hazelnuts
sold for an average of $1.34
per pound in 2013, and pric-
es peaked in 2014 at $1.80
per pound after the frost in
Turkey. In 2015, the average
price per pound was $1.40.
“There’s a lot of compe-
tition with the processors
to get supply and meet de-
mands,” Severeid said. “The
opposite is true for growers.
Everyone wants your busi-
ness.”
To attract new growers,
Severeid said Willamette
Hazelnut helps them be
more successful. One effort
is a giant metal bin that can
carry up to 20 times more
unknown is concerning to
ranchers.
“It’s very, very upsetting
for the industry because we
don’t know what we’re go-
ing to get,” he said.
Malheur County is Ore-
gon’s No. 1 cattle produc-
ing county with about $134
million in farmgate receipts
annually.
Livestock sales yards in
Idaho and Oregon recent-
ly donated $17,300 to the
OBSC to support its cam-
paign to oppose a national
inputs once they are planted
and start yielding nuts.
A grower’s view
Leroy and Barney Kropf
fi rst planted 35 acres of ha-
zelnuts on their Linn County,
Ore., grass seed farm in 2009.
As of this year, their hazel-
nut orchard has grown to 300
acres, and Barney Kropf said
they plan to add 30 acres a
year.
“We were expecting to ex-
pand but not this fast at all,”
Kropf said.
He said the grass seed
business is unpredictable and
hazelnuts are the opposite,
which makes them a good
complementary crop.
OSU Extension’s Wiman
said he expects a lot of grow-
ers in the southern Willamette
Valley to also start growing
hazelnuts, following the lead
of growers in the northern
valley, where they are most
popular.
Processor demand
Yamhill
11,001
Marion
10,969
Wash.
5,635
Clackamas
5,218
4,013
Lane
Polk
3,519
Linn
3,431
Benton
1,398
Douglas 287
Acreage type
Fully mature
1-5 years
5-10 years
Source: Pacific Agricultural
Survey LLC
Janae Sergent and
Alan Kenaga/Capital Press
New and veteran growers
don’t only get support from
processors. The hazelnut
commission’s Nagley said the
industry is one of the most
collaborative and supportive
she has ever seen.
Mehlenbacher said that’s
because the annual hazel-
nut production is easily sold,
which in turn encourages
growers to work together.
OSU also plays a big role.
Beyond creating the fi lbert
blight-resistant
cultivars,
OSU Extension Service re-
searches new hazelnut culti-
vars and provides resources to
growers.
OSU Extension is split
into four areas: breeding and
genetics, insect and pest man-
agement, plant pathology and
cultural practices.
OSU Extension’s Wiman
works in cultural practices,
researching the physiological
needs of the trees and serving
as a resource for growers.
“My job is to empower
growers and investigate the
needs of the trees,” Wiman
said.
Birkemeier also stressed
the importance of the strong
relationship between OSU
and growers.
In 2010, OSU and Oregon
hazelnut growers established
the Hazelnut Variety Commit-
tee and agreed to pay royalties
for cultivars created by OSU
in return for exclusive rights
to new cultivars. When OSU
releases a new cultivar, no
overseas growers can buy it
for three years.
“Hazelnut people are the
example of how to behave,
support new people and sup-
port research,” Mehlenbacher
said. “We’re the little guys in
the world. We have to work
together to be successful.”
With more acres going
into production every year,
growers and processors see a
bright future for the hazelnut
industry.
Having been in the hazel-
nut industry his whole life as
a grower and a nurseryman,
Birkemeier said he is excited.
“It’s so rewarding to see an
industry go through all of that
struggling for 30 years and to
all of a sudden see this huge
resurgence in hazelnuts,”
Birkemeier said.
monument.
Producers
Livestock
Marketing Association do-
nated $11,600 it raised
during cattle auctions in
June in Vale, Ore., and
Treasure Valley Livestock
donated $5,700.
Opponents of the nation-
al monument proposal wor-
ry that having 40 percent of
the county’s land designat-
ed as a national monument
would restrict grazing and
access to these lands and
harm the local economy.
The national monument
proposal “is a huge concern
over here,” said Paul Skeen,
president of the Malheur
County Onion Growers
Association. “That’s why
we voted 93 percent ‘no’
on it.”
Working together