Friday, December 24, 2021
CapitalPress.com 7
Washington’s apple industry grapples with shipping challenges
By SIERRA DAWN McCLAIN
Capital Press
WENATCHEE, Wash. — Faced
with a snarl of export challenges,
Washington state’s apple industry
is pivoting to focus on what Todd
Fryhover, president of the Wash-
ington Apple Commission, calls the
“home court” — the U.S., Canada
and Mexico.
Experts say the global shipping
crisis, combined with tariff dis-
putes, will reduce exports for the
2021-2022 crop.
According to the Northwest
Horticultural Council, Washington
exported, on average, 31.36% of its
apple crop annually in the fi ve years
leading up to COVID. Of the 2019-
2020 crop, 28.3% was exported.
That fell to 25.9% in 2020-2021.
This year’s export market is even
worse. According to the state apple
commission, export shipments this
December are 16% to 17% lower
Sierra Dawn McClain/Capital Press
Washington state apples in a packing house.
than during the same timeframe last
year.
“If this continues through the
whole season, we’ll have the low-
est exports since 2003-2004,” said
Rebecca Lyons, the commission’s
international marketing director.
In recent years, major export
markets have included Mexico,
Canada, the Middle East, India,
Taiwan, Central America, China,
Hong Kong, Indonesia, Vietnam
and Thailand. But with high ocean
shipping costs and jammed ports,
Lyons said there’s “lower risk to
ship to neighbors.”
Although many export diffi cul-
ties have been shipping-related,
another piece of the puzzle is retal-
iatory tariff s.
China currently has three tariff s
on Washington apples adding up to
a total 55% tariff . This makes U.S.
apples less competitive in China’s
marketplace.
In India, two tariff s also con-
tinue, adding up to a total 70% tar-
iff . Since the tariff s started in 2019,
Washington’s share of India’s apple
market has fallen from 20% to 6%.
Although this isn’t good news
for the industry, it’s not a surprise,
in part because Washington farmers
have recently been growing fewer
acres of Red Delicious — India’s
favorite variety.
“We’re much less dependent
on (India’s) market today than we
were two years ago,” said Bob
Mast, grower and president of CMI
Orchards. “There were close to 22
million boxes of (Red Delicious)
left this time in the season two years
ago, and there are about 15 million
this year. So, if there’s a year that
we wanted to not have as much
dependency on that market, this is
a good year for it.”
India is sourcing an increasing
number of Red Delicious apples
from Turkey.
The apple commission, in turn,
is pivoting its marketing strategy,
cutting advertising dollars by 45%
in India this year and focusing on
the Americas.
Over the weekend, the commis-
sion rolled out an in-store sampling
campaign for Cosmic Crisp apples
in 42 Metro Ontario locations, a
Canadian retailer. According to
early reports from the commis-
sion’s Canada marketing represen-
tative, the campaign is going well.
Domestic, stock water uses dominate early
fi lings in Clark Fork-Pend Oreille adjudication
By BRAD CARLSON
Capital Press
Carol Ryan Dumas/Capital Press File
A tight supply and high demand have driven hay prices higher, a University of Idaho
Extension educator says.
Hay supplies tight, prices lofty
By CAROL RYAN DUMAS
Capital Press
Drought, shipping chal-
lenges, labor and COVID
all played a role in hay sup-
ply and demand in 2021 and
make ironclad predictions
for hay markets in 2022 dif-
fi cult to come by.
On the supply side,
there’s just not a lot of hay
sitting on farms in the west-
ern U.S. May 1 hay stocks
in the region showed signif-
icant declines from Decem-
ber stocks, and produc-
tion in 2021 is down, said
Steve Hines, University of
Idaho Extension educator in
Jerome County.
In addition, ill-timed
rains in Idaho and other
western states on fi rst and
fourth cuttings put a hit on
dairy quality hay, he said
during the university’s Ag
Outlook seminar.
“Because of the supply
this year, I’ve heard sev-
eral times that the dairies are
less worried about quality.
They’re just worried about
being able to get hay put
onto the dairy,” he said.
One dairy farmer said
dairies just seem to be buy-
ing and testing the quality
later, he said.
“So that tells us that pro-
duction is down for this year
and that disappearance over
the winter is likely going
to be pretty signifi cant,” he
said.
That will be especially
true if it’s a hard winter and
more energy is needed for
both dairy and beef cattle,
he said.
Idaho supreme hay,
which was selling in the
neighborhood of $225 a ton
in June, was $265 in Sep-
tember. One dairy producer
recently told him hay was
being purchased for $300
a ton and dairies are just
happy to get it.
Idaho fair quality hay
went from $165 in June to
well over $225 in Novem-
ber. The spread between
supreme and fair quality is
not very big, he said.
“That adds some cre-
dence to that comment that
essentially these dairies are
buying hay and then test-
ing it later, just trying to see
what they have and then try-
ing to make that fi t in the
ration,” he said.
Things are tight for beef
cattle producers as well.
Since May, conditions on
well over half of western
range and pasture have been
categorized as poor or very
poor, according to USDA.
Cattle herds have been
pulled off the range early,
winter range is not in very
good condition and beef
producers have been going
to the hay market when they
traditionally might not have,
he said.
The U.S. Drought Mon-
itor shows severe, extreme
and exceptional drought
will continue across the
West, and it’s likely going
to worsen into the spring. In
southern Idaho, some irriga-
tion districts were shut off
early or cut back, he said.
“If those winter snow
supplies aren’t replaced in
the mountains, that con-
dition is only going to
worsen,” he said.
It’s hard to predict what’s
ahead for Idaho hay prices,
but strong prices need Ida-
ho’s May 1 hay stocks to
be lower than 400,000 tons
or for the milk price to be
above $18 a hundredweight,
he said.
Milk prices at $17.50 to
$18.50 are in the breakeven
range. So dairy producers
don’t have additional cash
to go into the market, and
they’ve pretty much laid in
their hay supply — hoping
to make it through until the
new crop starts coming in,
he said.
Export
demand
is
improving, but exports need
to be able to move from
West Coast ports. Domes-
tic demand for hay is strong
due to the drought and will
remain strong as long as
the drought persists. Substi-
tute feed prices are high, so
there aren’t a lot of options
for other feedstuff s, he said.
About 88% of the
claims fi led so far in the
Clark Fork-Pend Oreille
River Basin Adjudication
are for domestic or stock
water rights, said Craig
Saxton, the Idaho Depart-
ment of Water Resources
adjudication
section
manager.
“I expect the trend to
continue where the major-
ity of the water right fi l-
ings are going to be for
those domestic and stock
water uses,” he said.
The department is mail-
ing adjudication notices
to the estimated 25,000-
plus property owners in
the region. It aims to fi n-
ish the mailings by the end
of 2022.
The process is expected
to take about 10 years
depending on how many
claims are fi led.
Individual water users
supplied by a city, irri-
gation district or utility
are not required to fi le a
claim. Those distributors
are responsible for the
water right.
Filing a claim could
prove important as the
population grows. The
state’s water-rights law
prioritizes older uses over
newer ones when the sup-
ply falls short of the over-
all need.
“The benefi t to fi ling
is to confi rm and secure
the priority date of your
water right,” Saxton said.
“There has been a lot of
development in all of
Idaho, and there could be
a defi nite advantage for
the individual water user
to have their water right
adjudicated, and to secure
their priority date.”
He said the department
is receiving claims from
owners in areas to which
it has not yet sent notices,
which it welcomes.
The department has
started reviewing some
claims but is spending
most of its time helping
landowners fi le claims,
Saxton said.
The department will
likely fi rst review claims
in the area that includes
the Priest River drain-
age, followed by the Clark
Fork River and Lake Pend
Oreille areas.
The department is mail-
ing notices to all prop-
erty owners in the basins
because the location of
many existing water uses
is not known.
It has records of about
2,700 water rights in the
drainages and expects up
to 9,000 claims to be fi led.
“Most of the customers
we’ve worked with have
been very supportive of
the process, and helpful,”
Saxton said.
A state district court
June 15 commenced the
adjudication. It enables
existing water users to claim
quantities and priority dates
for their water rights, which
Water Resources verifi es,
and have them recognized
by court decree.
INTRODUCING:
NEW AG SHOW IN 2022
MARK YOUR CALENDARS!
1st Ever High Desert Ag Show
March 26 - 27, 2022
Deschutes County Fair & Expo Center
Redmond, OR
WE SPECIALIZE IN BULK BAGS!
BAGS:
• Seed Bags
• Fertilizer Bags
• Feed Bags
• Potato Bags
• Printed Bags
• Plain Bags
• Bulk Bags
• Totes
• Woven Polypropylene
• Bopp
• Polyethylene
• Pocket Bags
• Roll Stock & More!
HAY PRESS SUPPORT:
• Hay Sleeves
• Strap
• Totes
• Printed or Plain
• Stretch Film
(ALL GAUGES)
WAREHOUSE
PACKAGING:
• Stretch Film
• Pallet Sheets
• Pallet Covers
LOCATIONS:
Albany, Oregon (MAIN OFFICE)
Ellensburg, Washington
CONTACT INFORMATION:
Phone: 855-928-3856
Fax: 541-497-6262
info@westernpackaging.com
.......................................................
CUSTOMER SERVICE
IS OUR TOP PRIORITY!
Our lineup of Ag events in the Northwest is growing! The inaugural Central
Oregon Agricultural Show will be held March 26 & 27 at the Deschutes County
Fairgrounds in Redmond, Oregon, with mul�ple large buildings for exhibitors
and a�endees to spread out. Classroom space is available to host and a�end
educa�onal events.
The Central Oregon Ag Show will be a great place to spend the day with friends
and family in a picturesque se�ng. The dates and loca�on also coincide with
the High Desert Stampede, a Pro Rodeo tour stop, scheduled for March 24 - 26,
bringing addi�onal foot traffic to the fairgrounds and evening entertainment!
We are looking for exhibitors and sponsors. Please inquire for more details, call
503-506-8014 or email events@eomediagroup.com.
Powered by: Capital Press & EO Media Events, LLC P.O Box 2048 |
Salem, OR 97308 | E-mail:events@eomediagroup.com
w w w. w e s t e r n p a c k a g i n g. c o m
WWW.NORTHWESTAGSHOW.COM
EMPOWERING PRODUCERS OF FOOD & FIBER
S268693-1
S258357-1