It’s a challenging time for the specialty crop industry, says National Potato Council’s CEO Kam Quarles, who is one of four co-chairs of the Specialty Crop Farm Bill Alliance. Quarles joined “The Packer Podcast” to recap a week of visits on Capitol Hill with more than 100 potato growers from across the country.
“I think everyone is very focused on meeting with their members of Congress, explaining the environment right now, why it’s so dire, and then hearing from those House and Senate members: What’s the timing on an economic relief plan? What does it look like? What’s the size of it? How, ultimately, is that going to get out to family farms to keep them in business, hopefully, to get past this really ugly period?” he says.
And, of course, Quarles says another big part of the conversation was of the draft of the farm bill, which has now moved out of committee. He adds that discussions, markups and everything that goes along with getting a bill through the legislative process are key steps.
“If you never have a markup, you’re not going to get to the president’s desk,” he says.
Quarles points to the significant representation of specialty crops in this new iteration of the farm bill, commending House Agriculture Committee Chairman GT Thompson for working with the specialty crop industry to ensure it has representation in the farm bill. Quarles says this is in part due to the work of the Specialty Crop Farm Bill Alliance.
“Over the last 20 years, specialty crops, the U.S. fruit and vegetable industry, has gone from really nonexistent in the farm bill to one of the fastest-growing players in the farm bill, and really one of the most valuable connections directly back to consumers from the production ag side of the farm bill,” he says.
Of the highlights of this farm bill, Quarles says, is language on how the USDA sets up economic relief for specialty crop growers and the understanding that it’s different from row crop growers.
“Specialty crops are different than program crops, and why reinvent the wheel? Just rinse and repeat,” he says. “Make sure the programs that have worked, that have kept family farms in business — reload them with new resources, and you get it out the door efficiently.”
Quarles also points to provisions in this new farm bill for whole-farm revenue insurance for specialty crop growers and funding set aside for research on mechanization to help bring the specialty crop industry into the future.
And it’s that future, Quarles says, that the farm bill needs to look toward.
“We need a reauthorized farm bill right now that is looking not only at our current circumstances but [also] hopefully 10 years out in the future,” he says. “This is an incredibly competitive world that we are in. Our producers are feeling it, and they need tools that empower their competitiveness rather than kind of hold them back to an end, to a world that really doesn’t exist anymore.”
Quarles says this farm bill is long overdue, as this current economic crisis facing farmers is more of a perfect storm. Take inflation, rising input costs from overseas imports, ag labor challenges and layer in nearly perfect weather conditions, which created a larger crop, and you have a recipe for disaster.
“You have a larger-than-average crop that was very expensive to produce, and then you have consumers on the other side who are pulling back on some of their purchases — they’re seeing a more volatile world — and so, demand has been shrinking, and all of these have caused this collision, where, for potatoes, just in the russet variety alone, we’re looking at potentially half a billion dollars in grower losses,” he says. “The American Farm Bureau did an analysis of all of the varieties of potatoes out there. They’re estimating roughly $780 million in grower losses this year, and so extrapolate that out across all of the specialty crops, and the gravity of this crisis comes into focus pretty, pretty quickly.”
Quarles says while many may point to tax changes that could provide growers relief, in the meantime, growers are still farming with the same challenges they’ve faced but now with much tighter margins.
“We’re dealing with the present, and out in the future, those policies are going to take effect; if family farms go bankrupt in that interim, none of those policy improvements are going to impact them,” he says. “They’re out of the game, and that’s exactly what we want to avoid. That’s why this economic relief program is so important to deliver it efficiently, to keep those really valuable family farms in the game until better times are realized.”
