May 28, 2004

Dear Grower:

2004 Crop Estimate:

CASS issued its revised estimate for the 2004 processor tomato crop and kept it unchanged at 11,000,000 tons with 291,000 planted acres and with 37.8 tons per acre yield.

CTGA’s survey of all 250-tomato growers points towards fewer planted acres at 286,000.  The crop looks excellent in most areas of the state and given the shift towards more drip irrigation it’s conceivable that we could see a yield greater than 38.  It would take a yield of 38.5 to exceed 11,000,000.  Acreage by district as follows:

District 1                         26,760 acres

District 2                         56,935 acres

District 4                         75,600 acres

District 5                        126,920 acres

Bottom line – Assuming good weather through the balance of the season we will see a large crop, but it’s unlikely to be a much larger than the CASS estimate.

Market Impact:

We will need to watch closely the effects of the new crop and the paste market.  There are reports that new crop paste is being sold at $0.26/lb.  This is not a good sign since it indicates a bearish outlook from the processors.  This pricing on top of higher energy makes one wonder where their margin will come from.

One area that the CTGA will be looking into is whether demand for processed tomato products is keeping pace with increases in fresh fruit and vegetable consumption.   Most press appears to be focused on the health benefits of fresh fruits and vegetables. We need to fight for our fair share of the consumer’s stomach.  Stay tuned.

The message has gotten across to both the EPA and CDPR that tomato growers have concerns regarding proposed restrictions.

EPA: The CTGA has joined forces with carrot, fresh market tomatoes, potatoes, onions, peanuts and Western Growers to challenge some of the EPA assumptions.  The EPA will still issue a draft risk assessment on June 1.  At that stage we will need to provide data regarding usage rates, methods of application, mitigation measures plus the economics of use vs. exclusion.  We will be in contact with interested growers.

CDPR: The CDPR withdrew its technical options for reducing exposure.  This was due to outcry from growers and county Ag commissions.  Our conversations with the CDPR indicate that they are sympathetic to grower concerns, but want to make sure that there are no further exposure incidents.  In mid June they are looking to complete their review.  It is unclear whether any new mitigation measures will be proposed at that time.

We’ve picked up some concern from growers that rotate cotton with tomatoes and not having the proper tools to address stinging nettle.  FMC has a product called Shark, which has had success, but currently isn’t registered for tomatoes in California.  We are trying to assess whether there is sufficient need to apply for a section 18.  If you have interest please give us a call.

Any comments or questions call 209 478-1761 or e-mail rdsiragusa@ctga.org

Ross Siragusa

| Tomato Bulletins | Press Releases | Editorials | Archives |