NORTHWEST East Oregonian A2 Changing an industry and set up a fixed margin with them every year, so they knew what we made per pound. “Every year we ended up selling the hazelnuts for more than our target price and growers started receiving secondary bonus checks,” George said. “It completely changed the way the hazelnut industry worked. “Previously, the proces- sor and the grower were always fighting with each other over who would get what margin, and we turned around and said, ‘You know our margins; farmers get everything to the upside; we just need the volume, and we can focus on efficien- cies and developing unique niche markets for Oregon hazelnuts.’” By 2002 the Georges had quadrupled in size. Then, in 2013, they purchased Northwest Hazelnut Co. from Jeff Kenagy and the Gingerich family. North- west Hazelnut Co. already had built strong, high- end niche domestic kernel markets that complemented the large North American industrial customers and specialty export markets that were the backbone of George Packing. Today, George Pack- At that point, George George Packing Co., turned to buying nuts from Northwest Hazelnut local farmers and selling Co. process more than them wholesale. half of U.S. hazelnuts He incorporated George Packing Co. in 1994, bringing in brother Shaun George, 10 years his junior, once he turned 18. They leased space from their parents on the family farm and constructed a processing plant for in-shell and kernel products to go along with the existing drying facility. “At the time there were 18-20 hazelnut processors in the industry,” George said. “There weren’t enough hazelnuts for so many processors and as a result the processors worked off a high-margin model to support their operations.” The processor margin left little return for the family far ms growing hazelnuts at the time. As farm kids, the George brothers wanted to find a way to fix that and secure a greater financial return for farm families like theirs. “In the 1990s you had the emergence of compa- nies like Walmart that work off a narrow, fixed margi n and focus on moving volume,” George said. “We decided to work closely with our growers By BRENNA WIEGAND For the Capital Press H U BBA R D — I n 1986 Larry George, with the encouragement of his Newberg High School ag instructors, started an FFA project that not only helped put him through Oregon State University, it also spawned the business that has changed the face of the hazelnut industry. “I would take hazelnuts from my parents’ farm in Newberg, dry them and have them shelled by the Herring family nearby,” George said. “Then I’d have them roasted and either chocolate-coated or salted and put them in small retail packages that I sold during college.” By the time he gradu- ated, George realized that, because hazelnuts were much more expensive than competing products such as almonds, the margins on those small retail pack- ages were not scalable for industry and insufficient to support much more than one or two families. Forecast for Pendleton Area ing Co. and Northwest Hazelnut Co., both based in Hubbard, process a little more than half the U.S. hazelnuts, a crop almost entirely produced in the Willamette Valley. “G rowers love ou r model,” George said. “We have aligned our interests with our growers’ inter- ests, and they know they’re going to get all this upside as long as the market stays strong. Our job is to maxi- mize efficiency and to be constantly developing new specialized niche markets that bring Oregon farmers the highest returns.” T he George brot h- ers worked closely with the Hazelnut Growers Bargaining Association as the rest of the industry migrated to this new busi- ness model. “It adds a ton of trans- parency to the market,” George said. “A big part of what we do is give the grow- ers as much information as we can; once the farm- ers understand the market, they understand why we’re making certain expendi- tures and asking for certain quality improvements. “By k nowing what happens on the sales side, our growers become very committed to the supply chain and the impact they have on the product getting to the end users,” George said. | Go to AccuWeather.com Friday, December 31, 2021 George Packing Co./Contributed Photo Larry and Shaun George at the George Family Orchard in New- berg. The siblings own George Packing Co. and Northwest Ha- zelnut Co. and revamped hazelnut processing in the U.S. John Day Christmas bird count tallies 66 species TODAY SATURDAY SUNDAY MONDAY TUESDAY Frigid; a little morning snow Very cold with low clouds High clouds and chilly A little a.m. snow, then showers Rain and sleet in the afternoon By BENNETT HALL Blue Mountain Eagle 18° 4° 22° 12° 36° 30° JOHN DAY — One of the joys of bird-watching is you never know what you’re going to see when you head out with your binoculars and field guide. This year’s John Day Ch r ist mas bird cou nt, which has been conducted each December since 1981 by the John Day Bird Club, included two f irst-time sightings: a ferruginous hawk and a Swainson’s t h r ush. Ot her ra r it ies included Harris’ sparrow, last spotted during the local Christmas count in 2006, and the first Lincoln’s spar- row since 2013. The local count, part of a data-gathering effort spon- sored by the Audubon Soci- ety since 1900, attempts to record all the bird species and total number of each seen on a single day in a roughly circular area PENDLETON TEMPERATURE FORECAST 35° 30° 43° 32° HERMISTON TEMPERATURE FORECAST 23° 0° 20° 15° 26° 24° 39° 30° 39° 32° OREGON FORECAST ALMANAC Shown is today’s weather. Temperatures are today’s highs and tonight’s lows. PENDLETON through 3 p.m. yest. HIGH LOW TEMP. Seattle Olympia 34/20 11/0 24/6 Longview Kennewick Walla Walla 17/2 Lewiston 35/17 21/5 Astoria 38/25 Pullman Yakima 19/-4 33/18 20/4 Portland Hermiston 37/21 The Dalles 23/0 Salem Corvallis 42/24 Yesterday Normals Records La Grande 22/-7 PRECIPITATION John Day Eugene Bend 42/26 29/9 26/5 Ontario 29/-2 Caldwell Burns 32° 16° 42° 28° 66° (1949) -13° (1990) 24 hours ending 3 p.m. Month to date Normal month to date Year to date Last year to date Normal year to date Albany 41/22 Boardman Pendleton Medford 39/22 0.09" 1.73" 1.08" 6.80" 4.57" 8.60" WINDS (in mph) 27/2 26/-7 0.23" 1.94" 1.45" 9.32" 13.27" 13.18" through 3 p.m. yest. HIGH LOW TEMP. Pendleton 20/-4 40/23 24 hours ending 3 p.m. Month to date Normal month to date Year to date Last year to date Normal year to date HERMISTON Enterprise 18/-4 29/12 33° 9° 41° 28° 63° (1920) -12° (1968) PRECIPITATION Moses Lake 32/15 Aberdeen 11/-5 15/2 Tacoma Yesterday Normals Records Spokane Wenatchee 31/19 Today Sat. NE 4-8 NNW 4-8 SSW 3-6 SW 6-12 SUN AND MOON Klamath Falls 30/7 Forecasts and graphics provided by AccuWeather, Inc. ©2021 Sunrise today Sunset tonight Moonrise today Moonset today New 7:36 a.m. 4:21 p.m. 5:23 a.m. 2:17 p.m. First Full centered on the stoplight in John Day. Ac c o r d i n g t o To m Winters, the bird club’s president, a dozen volun- teers took par t in this year’s count on Dec. 18, spending a combined 37 hours in the field, travel- ing 5 miles on foot and 208 miles by car, and spotting 66 species. No clear trends were discerned in this year’s Ch r ist ma s bi rd cou nt other than indications that climate change may be causing some birds to alter their ranges, Winters said. “We have seen some species moving in that didn’t use to be here,” he noted, citing the California scrub jay and lesser gold- finch as examples. A mong his favor ite sightings this year was a small group of bushtits. “They always move in groups,” Winters said. “They’re really tiny little grayish birds, but they’re cute.” He was also excited to have spied an adult golden eagle perched high on the rimrock above the John Day Valley and an Ameri- can dipper on the riverbank near the John Day sewage ponds. T he mo st c om mon species sighted this year was the dark-eyed junco, w it h 630 i nd iv idu a l s counted, followed by the California quail (492 indi- viduals), house sparrow (342), Canada goose (338), European starling (333), pine siskin (193), Eurasian collared dove (169) and common raven (149). At the other end of the spectrum, birders spot- ted just a single example of these species: Wilson’s snipe, ferruginous hawk, barn owl, Pacific wren, Swainson’s thrush, Harris’ sparrow, Lincoln’s sparrow and spotted towhee. Last NATIONAL EXTREMES IN BRIEF Yesterday’s National Extremes: (for the 48 contiguous states) High 91° in Cotulla, Texas Low -33° in Rolla, N.D. Jan 2 Jan 9 Jan 17 Jan 25 NATIONAL WEATHER TODAY Oregon State Parks offer free parking, guided hikes Saturday SALEM — The Oregon Parks and Recre- ation Department is set to host guided first- day hikes across the state on Saturday, Jan. 1. The usual $5 parking that is being waived on the first day of the year for the 25 parks in Oregon that typically require a permit. “Whatever your choice — a guided hike, exploring a park trail on your own, or enjoy- ing everything a state park offers — starting out the year in the outdoors can begin a new tradition or keep a longstanding family tradi- tion alive,” Oregon State Parks Director Lisa Sumption said in a press release. “Jan. 1 also marks the beginning of the yearlong Oregon State Parks centennial commemoration.” Wallowa Lake State Park is taking part in the first-day hike events, hosting a first-day disc golf event at the park’s winter course. Rangers will be on site from 1-4 p.m. on Jan. 1 to help first-time players with the basics of the game as well as free equipment to borrow. Warming stations will be set up at the beginning and midway through the nine-hole course. Participants can meet at the parking lot next to the group camp B in the camp- ground’s D loop. For those looking to travel, the Oregon Parks and Recreation press release noted that late December is an ideal time for whale watching at the state parks on the west side of the state. The events and free parking offers are a kickoff to the department’s 100th year of operation. The state park system includes 254 properties and more than 100,000 acres. — EO Media Gorup Shown are noon positions of weather systems and precipitation. Temperature bands are highs for the day. -10s -0s 0s showers t-storms 10s rain 20s flurries 30s snow 40s ice 50s 60s cold front E AST O REGONIAN — Founded Oct. 16, 1875 — 70s East Oregonian (USPS 164-980) is published Tuesday, Thursday and Saturday, by the EO Media Group, 211 S.E. Byers Ave. Pendleton, OR 97801. Periodicals postage paid at Pendleton, OR. Postmaster: send address changes to East Oregonian, 211 S.E. Byers Ave. Pendleton, OR 97801. 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