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PAGE 14                                 FARMERS AND CONSUMERS MARKET BULLETIN – 404-656-3722 – agr.georgia.gov                WEDNESDAY, APRIL 8, 2020
        GeorGia Growers: Food safety, facility sanitation are always driving concerns


        Continued From Page 1
        uct going to go? Is retail going to be able to                              ing extra measures to protect workers and en-  of all cotton grown in the U.S. was sold over-
        absorb that much product, so we don’t get                                   sure workspaces are sanitary.         seas.
        into an oversupply?” Hall asked. “It’s a little                                “We are asking sales, our peers, and our   Liu added lower oil prices will likely in-
        too early to know exactly how that is going                                 control committees what we can do to be  crease competition from synthetic fiber, mak-
        to shape out, but I know retail and others are                              safer and efficient. What can we do to make  ing it even more challenging to sell cotton.
        doing their best to accommodate the extra                                   sure the customers feel safer to get a good,   With the world economy practically shut
        product that is going to be on the market as                                safe product to the table? Those are our daily  down, Liu said no one knows how long the
        we go through this.”                                                        questions and conversations,” Crosby said.  downturn will last.
           Jerome Crosby, chairman of the Geor-                                        Sandlin added that the processors “are do-  “China agreed to purchase at least $40 bil-
        gia Blueberry Commission and a blueberry                                    ing a really good job of making sure inspec-  lion worth of agricultural products for each of
        farmer in Willacoochee, agreed with Hall                                    tors are on-site, and the supply is safe, and  the next two years. However, no details have
        that labor shortages are a big concern with   Blueberries (GDA file photo)  we’re hearing reports of plants taking extra  been released so far about how China will be
        blueberry growers. He believes H-2A workers   “The poultry industry takes this respon-  measures to make sure their workers are pro-  able to fulfill this large purchase of agricul-
        being fast-tracked at U.S. consulates may not  sibility seriously. Poultry processors and egg  tected. Inside the plant, it could probably be  tural products,” Liu said. “The outbreak of the
        be enough.                            producers will continue to do all that they  the cleanest place you would want to be in be-  coronavirus further increased the uncertainty
           “The question remains, will the ones al-  can to produce the food that is vital during  cause of the federal government’s sanitation  in trade.”
        ready in the system be enough to get through  this recovery period, while implementing  requirements.”              Bart Davis, chairman of the Georgia Cot-
        and fulfill the contracts? I believe the answer  science-based measures to protect employ-                        ton Commission, said he has heard that some
        to that is no,” Crosby said. “At some point in  ees working in our facilities,” Giles said in a                   farmers are growing more corn. Still others
        time, our consulates are going to have to start  statement.                                                       are taking a long view that the cotton markets
        releasing people who are first-time applicants.   Giles said a challenge for food producers is                    will recover. Davis admits there is a lot of un-
        That’s just going to have to be done.”  shifting production to grocery stores and less                            certainty, and it’s not clear when the market
           For Vidalia onion growers,  the biggest  to food services like restaurants and schools.                        will improve or how long it will take for pric-
        concern is having enough workers to harvest  He said the demand for chicken is strong, and                        es to move up again.
        and package the popular sweet onion. Ari-  his industry is working to meet that demand.                             “I don’t know what is going to happen. I
        es Haygood, chairman of the Vidalia Onion   “I think there are a lot of adjustments be-                           mean, just as they had the trade agreement
        Commission, said growers are trying to be  ing made in how poultry is being delivered,”                           signed, cotton was starting to ease up a little.
        optimistic as the April 16 pack date moves  he said. “The bottom line is the volume of                            It was looking to move up, then this virus hit,
        closer.                               production in our industry is steady and is not  Red Angus cattle (GDA file photo)  and the bottom fell out,” Davis said. “This me
           “I can tell you, I just don’t know,” Haygood  disrupted.”
        responding to questions about having enough   Giles added that chicken processors always  Peanuts
        workers. “I don’t think the packing date will  had federal government safety requirements   For row crops like peanuts, labor is not as
        be moved back. It’s just whoever can find peo-  to follow and that consumers should continue  big an issue as for fruit and vegetable grow-
        ple to harvest can, and whoever can’t, won’t.  to have confidence in the poultry industry’s  ers. But like beef, peanuts are in high demand,
        There’s just a lot of uncertainty right now.”  commitment to food safety.   and that will keep farmers busy during this
                                                 “Typically, on third shift each day the  growing season.
                                              entire plant is sanitized, so the industry has   Don  Koehler,  executive  director  for  the
                                              some built-in advantages in that many of the  Georgia Peanut Commission, said farmers
                                              practices they already employ are effective in  aren’t seeing prices follow the recent increase
                                              the general cleanliness and sanitation of the  in demand but are hoping the market remains
                                              facility itself,” Giles said.         strong through the fall.              An open cotton boll (GDA file photo)
                                                                                       “We kind of hope we will see an increase
                                              Beef                                  in that price because contracts for the 2020  speculating, but I feel like the cotton market
                                                 Beef is in high demand across the state,  crop are not good right now, they’re just aw-  and all the markets will go up and go back
                                              while retailers struggle to keep shelves  ful,” he said. “I hope I see some strengthen-  booming again.”
                                              stocked. Dale Sandlin, executive vice presi-  ing in price, and the farmers will need to be   Greg Mims, who grows cotton, soybeans
                                              dent of the Georgia Cattlemen’s Association,  patient.”                     and other crops in Seminole County, said he is
        Banana peppers (GDA file photo)
                                              attributed shortages to supply chain and ware-  Conditions  surrounding  the  COVID-19  planting corn but will keep his cotton acreage
           Another uncertainty for Vidalia onion  house issues.                     emergency change almost week to week, and  the same as planned before the coronavirus
        growers is what shape the market will be in   “It’s more a function of demand and allo-  that uncertainty makes this unusual event  outbreak.
        once they start shipping their onions to stores.  cation than supply. For example, if the store  even more difficult. Koehler said the only sure   “It hasn’t really changed anything as far as
        Haygood said the binge-buying that grocery  is only ordering 100 cases a day usually, now  thing is getting out in the field.  our planting intentions or anything because
        stores experienced in mid-March has mud-  they are ordering 500 cases a day,” he said.   “There is so much that is unknown right  we still have stock in the gin, and we have to
        dled the outlook for this year.       “The warehouses that we have can’t manage  now. This virus is causing unknowns for ev-  support the gin,” Mims said. “We’re hoping
           “For Vidalia, the question right now is,  that type of increase. With that said, what we  erybody, so much that farmers are basically  this thing gets cleared up before it completely
        will the demand still be there when we start?”  are doing and what we are seeing is retailers  flying by the seat of their pants right now,” he  kills the economy, and maybe the price will
           Concerning food safety, Haygood said the  shifting their products around so there will  said. “I think that’s where we are now, and the  hopefully come up.”
        growers are working to protect workers and  be beef in the store, but it may not be the cut  picture will improve a little bit as we get into   Farmers do have an  option  to put  their
        ensure sanitation in packing and processing  you’re used to buying.”        April. There’s some planting going on right  cotton  through  the  federal  Loan  Deficiency
        areas.                                   Sandlin said the biggest sellers have been  now, and we need to get into full swing in ear-  Payment program, taking the crop out of the
           “Thankfully, we already do a lot of that  ground beef, rib eye and chuck.  ly April.”                          market and selling it when prices improve.
        to assure food safety, so we’re not having to   He said beef producers across the state                           The LDP rate is set by the difference between
        reinvent the wheel,” Haygood said. He said  have plenty of product and that it will take  Cotton                  the base price of 52 cents and the Adjusted
        the industry is paying close attention to CDC  time for the system to right itself following   There were signs that cotton futures pric-  World Price, which the U.S. Department of
        recommendations to sanitize areas to combat  the early days of the outbreak when panic  es were going up after the United States and  Agriculture Farm Service Agency announces
        the virus.                            buying occurred.                      China signed the Phase 1 trade deal in Jan-  weekly. At the end of March, the AWP was at
                                                 “We do have the cattle. We have good pro-  uary. However, the price per pound dropped  49.95 cents per pound.
        Poultry                               cessing facilities,” he said. “I’ve spoken with  to 60 cents in February and was hovering   “If a producer is willing to take the risk
           Mike Giles, president of the Georgia Poul-  one of the largest processors here in the state,  around 50 cents by the end of last week. That  and feels that cotton prices are going to im-
        try Federation, said the Coronavirus outbreak  and they are keeping things going, six days a  price drop is the lowest since the 2008 Great  prove, then they could take the LDP and
        has  not  affected  chicken  production  signifi-  week, two shifts a day.”  Recession.                           market the cotton later,” Liu said. “Looking
        cantly. The industry averages 31 million   Sandlin and the other commodity leaders   Yangxuan Liu, UGA professor and cotton  ahead, producers need to be aware of the con-
        pounds of chicken and 7 million table eggs  also  wanted  to  assure  the  public  that  food  economist based in Tifton, said the economic  tinuous risk of downside price weakness and
        produced each day. The goal is to remain de-  from Georgia farms and cattle ranches is safe  shutdown will hurt cotton farmers who de-  volatile cotton prices.  It might take a while
        pendable and ensure the safety of employees.  and that the growers and processors are tak-  pend heavily on exports. In 2019, 83 percent  before we see a recovery of cotton prices.”

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