FRIDAY, JUNE 8, 2018
VOLUME 91, NUMBER 23
WWW.CAPITALPRESS.COM
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The West’s
Weekly
PRICE
PRE$$URE
Potato farmer Doug Gross of Wilder,
Idaho, says it’s getting tougher to buy farm
ground in parts of his county.
Brad Carlson/Capital Press
Growing land values pose challenges
By BRAD CARLSON
Capital Press
$5,000
B
area landowners, in a sense. “It does raise the benchmark
uying farm ground isn’t easy these days, as land value in our area” including property Gross already
Wilder, Idaho, potato grower Doug Gross was owns, he said.
recently reminded.
Although Wilder is about 40 miles west of fast-growing
“We tried to buy a farm adjoining us and Boise, Gross sees land in the area drawing more interest
we were outbid by an insti-
lately among institutional
tutional investor,” he said.
Prices climb, especially as institutional investors and “1031 ex-
change” buyers, who take
Gross put in a bid
investors join the bidding near
advantage of the federal tax
he thought represented
fast-growing urban areas
code to defer taxes on gains
fair-market price. The in-
stitutional investor offered
from property they have re-
“hundreds of dollars more” per acre, he said. He would cently sold by purchasing a similar parcel.
While it has always been a challenge for farmers and
not elaborate except to say the investor’s offer was about 7
percent more than his.
Turn to LAND, Page 12
But he did say the investor’s purchase benefited other
Ranchers advised to fight
grizzly reintroduction
By DAN WHEAT
Capital Press
Ranchers with grazing
allotments in Washington’s
North Cascade Range should
do all they can to prevent re-
introduction of grizzly bears,
the leader of the Wyoming
Stock Growers Association
says.
“My advice is become
very active and do everything
possible to prevent a reintro-
duction because once that
happens there’s no relief, no
satisfactory response,” says
Jim Magagna, executive vice
president of the association in
Cheyenne.
Grizzlies will kill calves
and even cows and are a worse
problem for ranchers in the
northwest corner of Wyoming
than wolves, said Magagna,
himself a sheep rancher on the
edge of grizzly range.
On May 23, the Wyoming
Game and Fish Commission
approved the state’s first griz-
zly bear hunt since 1974, say-
ing the bears have exceeded
recovery criteria since 2004
and that management is nec-
essary. Fall hunts will occur
for 13 to 22 bears. Environ-
mental groups have filed law-
suits to stop the hunts.
Idaho also approved a hunt
and the two states, plus Mon-
tana, are working together
on grizzly management, said
Renny MacKay, Wyoming
Game and Fish Department
spokesman.
Grizzly populations in and
around Yellowstone Nation-
USFWS
A Yellowstone grizzly bear.
al Park have increased since
they were federally listed as
a threatened species in 1975
and delisted last year, Magag-
na said.
There are 718 grizzlies in a
suitable habitat area which is
Turn to GRIZZLY,
Page 12
U.S. cropland value
(Average dollars/acre)
$4,130
4,000
$4,090:
Up 61.7%
from 2007
3,000
$2,530
Source: USDA NASS
Alan Kenaga/Capital Press
2,000
2007
’09
’11
’13
’15
2017
Mexican tariffs hit U.S. apple exports
By DAN WHEAT
Capital Press
WENATCHEE, Wash. — A new 20
percent Mexican tariff on U.S. apples
means Washington may fall short of its
goal of shipping 15 million, 40-pound
boxes of apples there this season, the
president of the Washington Apple
Commission says.
“Any tariff is clearly going to have eco-
nomic impact to our industry, especially
when you consider its cumulative effect
along with tariffs imposed by China and
expected by within the next few weeks
from India,” said Todd Fryhover, commis-
sion president. All the tariffs, he noted, are
in retaliation to U.S. tariffs on steel and
aluminum from those countries.
The Trump administration announced
May 31 that it will impose a 25 percent
tariff on steel and 10 percent tariff on alu-
minum imports from Europe, Mexico and
Canada after failing to win concessions
from them.
President Donald Trump announced
the tariffs in March but exempted Europe,
Mexico and Canada to allow negotiations.
On June 5, Mexico announced retalia-
tory tariffs on U.S. apples and other items
such as pork.
Washington produces approximately
65 percent of all apples grown in the U.S.
More than 90 percent of U.S. fresh apple
exports come from Washington.
Mexico is the top export market for
Washington apples. During the 2016-17
season Washington shipped 13.7 mil-
lion boxes of apples to Mexico valued
at more than $215 million, Fryhover
said.
Shipments this season have been 13
percent greater and were on track to ex-
ceed 15 million boxes worth an estimated
$241.8 million, he said.
“This new tariff now puts that goal in
doubt,” he said.
Mexico has imposed tariffs several
times over the past 15 years on U.S. ap-
ples, usually for alleged apple dumping,
selling them at less than cost. Tariffs were
imposed from 2009 into 2011 over truck-
ing issues. Tariffs have ranged as high as
47 percent.
The last tariff, ranging from 2.44 to
20.82 percent for alleged apple dumping,
was imposed Jan. 7, 2016, and was lifted
that June.
Even with tariffs, shipments have re-
mained around the 10 million-box level.
The new tariff will impact growers dif-
ferently depending on the amount of their
sales to Mexico, but collectively Washing-
ton growers will see a decrease in returns,
Fryhover predicted.
The impact of a 15 percent retaliatory
tariff set by China in April has been “neg-
ligible” so far since it’s the time of year
China imports more Southern Hemisphere
apples, he said.
India is adding a 30 percent tariff on top
of its regular 50 percent tariff on apples in
retaliation for the U.S. steel and aluminum
tariffs.