Top Producer

Farmland Value Check: Midwest Class A Ground Sees Pullback, Water Security Redefines California’s Market

Mon, 04 May 2026 03:08:16 GMT

New data assembled by Realtors Land Institute (RLI), the National Association of Realtors Research Group and Acres, highlights fundamental trends driving the land market today. But this year’s Land Market Survey, which was augmented by research conducted by Acres, unveils two trends in farmland regarding quality and productivity ratings as well as other trends important in the business management of farmland.

First, Overall Land Trends

In addressing widespread concerns about a potential U.S. recession, Dr. Lawrence Yun Chief Economist and SVP of Research, National Association of Realtors emphasized that, despite recent oil price shocks and persistently low consumer sentiment, the U.S. economy is not on the brink of recession.

The survey details multiple industries and sectors in land use and values, and for 2025, In terms of price growth, the ranch category led with a 2.2% increase in dollars per acre, outperforming other land types. Industrial and recreational land also saw solid gains of 1.9% each, while other categories experienced moderate increases. Notably, Commercial Real Estate Data Analyst, Oleh Sorokin anticipates that while land sales will strengthen in 2026, the pace of price growth is expected to slow, with projected increases in the ranch category dropping to 0.9% per acre.

How Are Farmland Values Performing Differently?

The presenters highlight the energy price correlation as Farmland values and operational balance sheets are heavily tied to energy prices, as oil and gas drive both fuel costs and fertilizer prices.

“Tariffs are one that it’s kind of dwarfed now by the energy situation, but tariffs were a pretty big impact last year,” says Aaron Shew, chief technology officer at Acres.

With fuel input prices and fertilizer input prices highly driven by energy prices, those effects are being monitored closely both in terms of price hikes but also duration of elevated prices.

He continues, “Some of the energy challenges that we’re undergoing with the war in Iran and the blockade, Straits of Hormuz, I think that has the potential, maybe less in the broader real estate market, but for farmland specifically, that could have a pretty large impact, depending on how it resolves, how quickly that happens.”

What Are The High Interest Trends?

Shew’s research reveals two eye-catching farmland value takeaways.

1. Midwest Market “Pullback": Class A farmland in the Midwest is seeing a “mature” pullback of about 10% from the 2021–2022 peaks, while Class B ground remains slightly more resilient.

(Acres.com)

First Shew notes, 2021 and 2022 saw 1.5x to 2x the average number of land transactions. The highest value per acres sales during that time earned a lot of attention. What he refers to as “hype.”

“Particularly in Iowa and Illinois, where farmers were buying farms for $25,000 or $30,000 per acre. you have these outlier transactions. It’s very, very few, but they catch a lot of attention and that kind of pushes some land values up.”

He says that raised expectations that Class A—or the highest rated productivity ground—had reached a new plateau in values and wouldn’t go down.

But Shew notes, as of 2025, there’s been a 10% pullback from those ’21 and ’22 peaks. And that’s on the highest rated ground in terms of productivity.

Class B ground values have been more resilient.

2. In California, Water is Half Your Land’s Value

Looking at the data, Shew says in California, water security drives the value, particularly for permanent crops. Tier 1 districts with multiple water sources maintain high values, while “white space” (areas without district water) is seeing significant distress and land fallowing.

“A lot of people are already talking about water regulations, how water security plays a role, and, permanent crops have been under duress for close to three years now,” Shew says. “So that’s not new, but we’ve quantified the impacts regionally, and across ag districts, and by permanent crop type.”

The crops showing this trend in spades: almonds and pistachios.

“For Tier 1 districts, for almonds, you’re looking at $30,000 plus an acre. And then you go to Tier 2 districts, and you’ll see it around a little over $20,000 an acre. Outside of districts, it’s called white space and you’re actually at $13,000 per acre, which is almond ground being sold as bare ground—rip and replace.”

(Acres.com)

He says Sustainable Groundwater Management Act (SGMA) will mean that 500,000 to 750,000 acres of irrigated farmland will have to be fallowed or pulled out by 2040.

“So that’s about 10% of the farmland in California’s Central Valley, most of it in San Joaquin,” so we’re seeing some initial phases of that as we’ve seen tens of thousands of permanent crops come out in the past few years,” Shew says.

He adds, “Water regulatory bodies have put more pressure on farming in California. It’s just going to create a harsher environment for how water gets distributed and allocated.”

Resilience via Government Assistance

Programs such as the Farmers Bridge Assistance are preventing forced land sales by supporting farm operations, which keeps land values stable despite two years of challenging economics. He says we are reaching the tipping point in year three.

“Farm operations can be poor for a year or two and you’re not really going to see it show up in land values,” he says. “But we’re on a third year of this, and we’ve got other challenges that are fairly unprecedent at the same time, so there’s a lot to watch.”

“If you have to declare bankruptcy on your farm, 80% of most farm balance sheets is land, so that’s the large asset that’s going to get sold by the bank,” Shew says. “Government policies to provide support, The Farmers Bridge Assistance is the most recent one that probably plays the largest role, and it just helps farmers get to the end of ‘26, where hopefully balance sheets are in a good place.”

He’s also watching how the provisions in the One Big Beautiful Bill come to bear this fall and at year end.

“Reference prices for, rice, in particular, is one that comes to mind. Those will take place and hopefully create some stability, but you have got to get to the end of the year.”

Transaction Volume Stabilization

Nationwide transaction volumes have returned to pre-pandemic (2018–2020) levels, though California is seeing an uptick in volume due to “distress sales” from owners who can no longer float the costs.

“The low interest rates ‘21 to 23, roughly created a great time for folks to invest in land. They wanted to deploy capital, and land is the definition of a real asset,” he says. “You had that boom, and then, of course, as rates went up in ’23 and ’24 and values stabilized at much higher levels, it turned off that capital allocation.”

(Acres.com)

National farmland transaction volumes in 2024 and 2025—transaction count, acreage turnover, and overall volume of dollars—is approximately the same as 2018 and 2020.

“Q4 of ‘21 and Q1 of ‘22, we saw three times the typical amount that would turn over,” he says. “So in Q4 of 2021, we saw 10 billion in farmland in one quarter—high volume and high values.”

While 2021 was the big, from a year-over-year standpoint, that began to fall back, by 20%, then 30%. He says the flattening from 2024 to 2025 is a bright spot to show overall stability.

“We’re not going to continue to see less transactions or lower sales volumes. We’re seeing that stabilize at a more consistent level alongside where interest rates are,” he says. “And presumably, if we see interest rates decrease, we will see that pick back up, and start what may be another cycle.”

You can download the full Market Values Report here.

One of North America’s Largest Farms Files for Financial Protection, Is Restructuring

Thu, 23 Apr 2026 14:50:02 GMT

Earlier this week, Monette Group, which farms more than 400,000 acres in Canada and the U.S. filed for financial protection and is restructuring.

The company filed for creditor protector in Canada via the Companies’ Creditor Arrangement Act (CCAA) and filed Chapter 15 in Delaware Bankruptcy Court.

The Cost of Expansion: Efficiency Erosion and the Leverage Trap

The group’s recent financial trajectory highlights a cautionary tale of aggressive, debt-fueled expansion meeting a volatile economic climate. While the organization successfully scaled its footprint and top-line revenue over the last several years, operational efficiency and debt sustainability have reached a critical breaking point. [all dollars are Canadian]

The Era of Aggressive Growth (2017–2022)
Driven by substantial borrowing, the Group underwent a massive scale-up, growing revenue from $45 million to $198 million and expanding its cultivated land from 97,000 to 269,000 acres. While total EBITDA initially followed this upward trend, the underlying efficiency—measured by EBITDA-per-acre—began to signal trouble, dropping significantly from its 2015 highs.
Operational Headwinds and Margin Compression (2024–Present)
The transition into 2024 saw revenue climb to a record $347 million across 440,000 acres, yet profitability decoupled from growth. Diversification into produce and cattle, intended to broaden the portfolio, instead acted as a drag on the bottom line. By 2024, EBITDA-per-acre plummeted to a decade low of $83—a nearly 50% decline. This downward trend was exacerbated in 2025; despite a projected $72 million EBITDA, actual earnings reached only $31 million due to a “perfect storm” of poor crop prices, high input costs, and yield losses.
The Sustainability Crisis
The group’s reliance on cheap capital (approximately 3% interest rates) and rising real estate valuations proved successful in a low-rate environment. However, the convergence of flat property values, persistent inflation, and high interest rates has rendered the current capital structure unsustainable. Despite holding significant underlying asset value, the group is now overleveraged, with compressed margins leaving little room to service debt or maintain liquidity.

What Is Monette Group?

Since 2010, Monette Group has been aggressively expanding from its family farm in Saskatchewan to Manitoba and British Columbia in Canada. Current President Darrel Monette took over the family farm in 2013. In 2019, the company expanded into the U.S. first in Montana and then Arizona and Colorado. The company’s website says its core values are: teamwork, efficiency, growth and ‘get shit done.’

With its expansion and diversification, the business expanded into four main brands:

Monette Farms: growing pulses, wheat, corn, sugar beets, barley, and alfalfa in Canada and the U.S.
Monette Produce: with growing locations in California, Arizona and Canada
Monette Cattle: ranches located in Saskatchewan and British Columbia
Monette Seeds: located in Saskatchewan in partnership with NexGen Seeds

The 18 business entities of Monette Group employ between 300 and 600 people, depending on the season.

Grain production, primarily canola, wheat and durum accounted for over 60% of group revenue in 2024 and more than 50% in 2025. Grain operations dominate the Canadian footprint with 68% of the group’s production occurring in Canada.

Fresh produce operations are primarily located in Saskatchewan and British Columbia, with significant fall and winter production in Arizona. In 2025, produce accounted for approximately 15% of group revenue. Crops include carrots, squash, broccoli, cabbage, pumpkin, cauliflower and watermelon. The group’s produce is mainly sold to Loblaws and the Little Potato Company.

Cattle ranching accounted for approximately 10% of revenue in 2024 and 17% in 2025. Cattle ranching operations focus on Black and Red Angus cattle, including herd breeding in British Columbia and feedlots across Alberta and Saskatchewan.

Seed processing accounted for 19% of revenue in 2024 and 16% in 2025.

Its main crops 10 years ago were green and red lentils, durum, canola and malting barley.

According to the company’s website, Monette Farms’ newest addition is west of Phoenix, Arizona. It’s a certified organic farm and headquarters to Monette Seeds USA.

What Monette Farms Has Said

President Darrel Monette has penned a letter sent to landowners and leasing partners as well as a press release distributed with general counsel as the point of contact. Both are dated April 21, 2026.

In both Monette says this process will allow them to stabilize finances, restructure debt, and continue operating.

The letter read: “This filing is a proactive response to current industry pressures (higher input costs, higher interest rates, and tighter credit) and is not a liquidation.”

It continued: “We are working with our advisors and a court-appointed Monitor to develop a restructuring plan for credit and court approval.”

Per a company press release, the day-to-day farming activities, spring seeding and livestock care are continuing as planned. The release also said all employees are being retained at this time.

The Assets of Monette Group

According to its 2025 financial statements, the group has $1.24 billion of total assets booked at cost (and not reflective of market value.)

As of April 12, 2026, the group owns 274,000 acres of land. In the U.S. Monette owns 61,700 acres in Arizona, Montana and Colorado.

For crop production, it leases 175,000 acres in Canada and 43,000 acres in the U.S. with annual total lease payments of $29.4 million. For its cattle business, Monette holds grazing licenses on 1.2 million acres of land in Canada.

The group owns three seed processing facilities in Canada.

It leases more than 1,700 separate units of farm equipment, with 1,600 units leased from John Deere Financial. Annually, the group spends $26 million on leased equipment.In 2023, it was newsworthy when the business transitioned from Case IH equipment to John Deere equipment in a reported $100+ million deal.

What Else Is There To Watch?

Monette Group is one of the largest privately held farming operations in North America.

The timing of this filing is critical for the farm to put in a 2026 crop. In the CCAA filing, Monette Group said its seed expenses are $40 million per year. To get set up for seeding, Monette’s operations may receive 41 truck loads of product a day (nearly 15,000 truck loads a year).

The main filing is in Canada with proceedings under the Companies’ Creditors Arrangement Act (CCAA) as part of a court-supervised restructuring process. From here is a process by which Monette will work with a court-appointed monitor to develop a restructuring plan for creditor and court approval.

The Chapter 15 filing asks the U.S. court to recognize the Canadian CCAA proceeding as the “foreign main proceeding” which can extend the protection of U.S. assets. It also prevents U.S. creditors from taking legal action such as seizing assets or filing lawsuits.

In the CCAA document, it is stated Monette Group held a $950 million secured credit facility dated December 5, 2018, which matured on April 15, 2026. Repayment of the obligations owing to the syndicate of lenders is a necessary component of the group’s overall restructuring strategy.

The CCAA filing comes after Monette per the guidance of its lending syndicate to sell assets. Two tracts were sold in 2025: in Regina, Saskatchewan for $41.18 million and 17,000 acres of land in Montana for $47.5 million. Additional sales were attempted this this winter, but with only one completed sale of 12,932 acres of farmland in the Stewart Valley of Swift Current, Saskatchewan for $54 million.

In the affadavit, Monette says a restructuring and selling of assets by the court appointed monitor is important to provide an orderly sale of assets and not cause a bulk liquidation which could result in lower values.

The farm has been active on social media:

Farmers Don’t Use AI for Answers — They Use It to Think Better

Fri, 17 Apr 2026 15:10:21 GMT

What you should know:

To use artificial intelligence in your business for a competitive advantage — not just a gimmick:

Ask better questions than most people
Combine AI with real-world experience
Execute on the answers

For Rachael Sharp, dry weather hasn’t made planting go any easier in the Lowcountry of South Carolina. And when a planter went down, the first thing she did was pull up Chat GPT.

“I pulled up the part number, and I saw that I’d actually entered in there last year. So it told me the date I changed it, and that was helpful, because I was trying to figure out why is this wearing out so quickly?” she says. “We’re in desperate need of rain, and we’re pulling in some pretty hard non-irrigated land right now. I logged that we changed the bearing again, and so next time, knock on wood, it hopefully doesn’t go out again, but if it does I can look and see I changed it twice in the last year.”

That’s just one of many examples of how Sharp is using ChatGPT to manage equipment, her time, and the farm business. She and her father, Don, are featured in an OpenAI commercial, which premiered during the Super Bowl.

And she’s in good company with other farmers in how to use the artificial intelligence platforms.

Marc Arnusch, the 2025 Top Producer of the Year, says ChatGPT is the most used app on his phone.

Jeremy Jack, leader of Silent Shade Planting Company the 2023 Top Producer of the Year, uses AI as his daily management teammate from agronomy and business decisions.

Here are the four ways these farmers use AI every day on the farm.

(Photo: Yvonne Min)

1. Make better decisions faster

Colorado farmer Arnusch uses ChatGPT and Grok to narrow down his consideration set when making decisions.

“It helps on the strategic side of things, and when making a decision, I’ll let it give the top four or five things to choose from, which helps when there’s a million choices,” he says. “It really is like my funnel. I’ll set up my phone on my dashboard and just dictate to it. Then when I’m back at the farm office, my wife Jill is relieved because I’ve already processed out loud with the AI tool.”

While most farms collect data, Jack uses AI to make decisions, particularly agronomic.

“I uploaded multiple years of soil data across our farms,” he says. “And we’ve found ways to manage fertilizer better, for example with sulfur.”

The data interpretation has shifted his thinking by connecting the yield zones with as-applied fertility and return on investment.

Jack is also using the technology to double check every spray application — from rates, to tank mix, to nozzle selection, to pressure optimization.

Sharp has also found AI helpful in managing chemical applications. She can remember chemical boxes marked up with her father’s calculations by hand.

“I tell the prompt what I’m spraying, where I’m spraying, how many acres, tank size, and then I let it tell me what to order,” she says. “Over time, it’s learned which products are liquid and which are dry flowables. And it’s helped me keep track of the inventory we have so we don’t end up with pallets of odds and ends.”

(Photo: OpenAI)

2. Be more efficient

When it comes to where to start with AI, Sharp has one piece of advice.

“Think of the task that you don’t like to do at the end of the day. For me, I didn’t want to do paperwork at the end of the day,” she says. “So I threw it over to ChatGPT, and I said, hey, this is what I planted today, this is the date, and I left it at that. I started really, really simple.”

Now, she’ll record things directly in the field or in the truck. She says it has helped with FSA 578 forms. And in day-to-day operations, she’s found benefits for time management and accuracy in all record keeping.

“We have seed samples that require a handwritten seed form that I turn in along with the sample, but I spoke into my phone and said, hey, Chat GPT, I need you to log that I sent this variety, this lot number, on this date, to the lab. And so, that’s probably one of 15 entries that I’ve made over the course of a month. And at the end when we finally turn in our last sample to the lab, I’ll ask it for a spreadsheet with all that listed,” she says.

(Photo: Sarah Green Photography)

3. Think more clearly about complex problems

Jeremy Jack often asks ChatGPT “What does this mean for my farm?” with current events.

“With the war in Iran, global fertilizer supply chain concerns, and even things like USDA reports, it’s given helpful perspective in how to think about what’s happening off the farm but impacts the farm.”

And he’s found success in using the platform to specifically think about the business strategy for his farm with vendors, including lenders, landowners and more.

4. Manage more professionally

Jack has been active with an advisory board for their farm, but AI has become like a boardroom in his pocket.

“I bounce ideas—pressure test if you will—before it costs me real money,” he says. “This includes input purchases, land agreements, and equipment purchases.”

He’s also come to use it in his external communications about the farm including his regular social media posts on LinkedIn.

When it comes to team management, Arnusch has input culture index results for vendors and employees, then the AI compares their individual characteristics with the job they are being asked to do.

“This has been a breakthrough,” he says. “It’s shown me that at no fault of their own, why some people fail at what they are being asked to do. It wasn’t because they weren’t working hard or doing the job. It was stretching them beyond what they can do.”

He gives the example of a farm foreman position on the farm, and how he used this process to match the candidate with the role.

(Sarah Green Photography)

4 Things Farmers Should Know About A Lesser-Known Tax Deduction

Mon, 13 Apr 2026 16:30:26 GMT

“This is something I’ve been talking about since 1992, but all of the sudden in the past five years, people thought it came out of nowhere,” says Roger McEowen, professor at Washburn University School of Law.

McEowen is referring to the residual soil fertility deduction, which the IRS provided comments—while not official guidance—on how landowners can deduct the value of excess soil fertility applied on recently acquired land.

“With the run-up in land values, there is a lot more interest than six years ago. This isn’t new, but it’s like pouring gas on a fire,” McEowen says.

When purchasing farmland, a portion of the purchase price can often be attributed to “residual fertility"—nutrients already present in the soil from the previous owner’s applications that exceed the base levels.

CropQuest, a soil testing business based in Kansas, has been doing reports for this tax deduction since 2020.

“It probably doubles every year or more,” says Nathan Woydziak, precision ag manager at Crop Quest. “Today, we’re doing this testing for hundreds of farmers across our service area.”

Who Qualifies for the Deduction?

Only the owner of the farmland (or pastureland) qualifies for the deduction, and the land must be used for agricultural production. Second, the land needs to have been purchased or transferred with stepped-up basis recently.

What Drives The Value of the Deduction?

“The big driving force is time of purchase,” says Adam Brenneman, a sales representative at Boa Safra Ag, which produces the required soil fertility reports. Boa Safra advises landowners consider any acquisitions since 2010.

“We won’t survey properties older than 2000,” Brenneman says. “For example, our averages for properties are around $1,000 to $1,700 an acre for the value of the deduction, but if it’s acquired in 2005 would be around $300 an acre, 2000 gets closer to $150 per acre.”

In this process, it’s the market value of nutrients multiplied by your excess.

“The deduction based on your excess nutrient load in the property since time of purchase. When you bought the property, you bought the structure and geographic space, you also bought the 8” zone in the soil of where agriculture takes place. The nutrients in that zone, any of them, above baseline are able to be part of the deduction process,” Brenneman says.

What’s Required to Document the Deduction?

Farmers should maintain detailed records, including the purchase agreement, soil test results, and the methodology used to calculate the dollar value of the nutrients.

For the soil test, this includes macro and micronutrients. For example, the Crop Quest and Boa Safra reports detail 11 soil nutrients.

“Good documentation is key. We’ve done some where we went back in history on those fields but regularly we go back 5 years. And your accountant has to be on board,” Woydziak says.
To claim this deduction, you must prove that the nutrient levels are “excessive” compared to a standard baseline.

How is the Deduction Filed?

If land is in a trust, S corp or LLC, the deduction applies to the ownership of the property. And it’s up to the accountant to determine the schedule of the depreciation, which is commonly applied across three to seven years.

“There is no code section. The only guidance we have is the scant things IRS said 34 years ago,” McEowen says. “Have the soil analysis done as close to the time of acquisition as possible. That’s the most bullet proof thing if the IRS challenges it with an audit.”

McEowen says some tax professionals will not include these deductions because of the lack of clarity from the IRS.

“We aren’t sure if it’s depreciation, depletion, or amortization. I think it’s depletion. It’s a natural resource like oil and gas. Fertility gets mined over time. So the theory is you are entitled to the deduction in the nutrient deposit in that soil. So most tax professionals just massage this in as depreciation. And some will put it in section 180 and then separately track it. I don’t know if it’s the wrong or right approach. But that’s as good as we can do.”

Brenneman emphasizes this is a process that requires a team of professionals.

“We don’t do tax advice. We work in the dirt,” he says. “Our audit rate is less than 2%. We stand behind our reports within your auditable years. And we have a 100% audit defense success rate.” Brenneman says.

McEowen adds, “I foresee a statute from Congress and IRS writing rules to carrying out the statute. It could be in the reconciliation bill or the skinny farm bill. That’s the approach I think is going to happen. We need a statute.”

Inside The Tax Return of Your Farm's Future

Thu, 09 Apr 2026 14:31:52 GMT

The traditional process of preparing agricultural tax returns has long been defined by manual data entry and the complex reconciliation of income. However, the integration of artificial intelligence into financial systems is ushering in a more sophisticated era of tax management. For the modern farm, the future of filing lies in a seamless pipeline where software handles the heavy lifting of data organization, leaving the high-level strategy to human experts.

Comprehensive Data Integration

The foundation of a modern tax return is the accounting system. Platforms like QuickBooks, Xero or specialized farm management software are becoming increasingly autonomous. In the near future, these AI agents will do more than simply record expenses; they will analyze them in real-time.

With direct links to bank feeds and digital invoices, AI can categorize expenditures with precision. It can distinguish between capital investments, such as machinery or land improvements, and standard operating costs like seed and fuel. This continuous synchronization means by the end of the fiscal year, the financial records are already in a format that mirrors the requirements of a tax return.

Automated Document Reconciliation

A significant portion of tax preparation involves matching — ensuring the farm’s internal records align with the documents issued by third parties. A preparer of a farm tax return may spend more time making sure all of the income is in the right box then planning to optimize the income tax level.

AI is uniquely suited to handle this high-volume verification. The system can automatically ingest Form 1099-PATR (cooperative distributions), 1099-G (government subsidies) and other Form 1099s and W-2s and verify them against recorded deposits.

If a document is missing or a figure does not match the ledger, AI identifies the specific discrepancy immediately, allowing for a targeted correction rather than a manual search through months of records.

The Role of Human Oversight

While AI provides the technical framework for the return, the final stage remains firmly in human hands. Once the software has mapped the data to the appropriate tax schedules, it produces a comprehensive draft for professional review.

This allows the farmer or a tax consultant to transition from a data entry role to a strategic advisory role. Instead of spending hours verifying line items, the human reviewer can focus on critical tax planning decisions including accelerated depreciation choices or income averaging that require professional judgment and an understanding of the farm’s long-term goals.

The result is a more accurate, defensible and efficient tax filing process. By automating the clerical aspects of the return, AI allows agricultural producers to maintain focus on their operations while ensuring full compliance with the evolving tax laws.

Staying Ahead of the Curve with the Interim Final Rule

Tue, 07 Apr 2026 22:15:43 GMT

While the interim final rule, or IFR, on the H-2A guest worker program was announced in October 2025, last year’s government shutdown and subsequent litigation have left growers with little guidance through this application season. To provide clarity, the National Council of Agricultural Employers hosted a webinar to help growers navigate some of the rule’s complexities .

Ruben Lugo, owner and lead consultant of Impact Ag Labor, and Jeanne Malitz, principal of MalitzLaw Inc., led a discussion on the skill-based wage tiers and housing adjustments set out in the IFR.

Plotting Your Position in the New Skill Levels

Malitz says wage rates are different with the IFR than in past calculations of the Adverse Effect Wage Rate. New wage rates will come out in July because the Department of Labor will now use the Occupational Employment and Wage Statistics survey to determine H-2A wage adjustments.

Within the IFR are new skill levels and Standard Occupational Classification codes: Skill Level 1 will be an entry-level position, and Skill Level 2 will be more experienced.

“Skill Level 1 is working under close supervision, doing repetitive tasks, using common tools,” Malitz says. “Skill Level 2 is where more discretion is involved and may take on more of a leadership role and more advanced role. But in reality, what we’re seeing is that it’s really coming down to how much work-related experience in quantity that you’re requiring.”

For example, a basic farmworker job that requires two months or less of experience would be a Skill Level 1, and if the job requires three months or more of experience, it falls under Skill Level 2.

“It means you have to determine what the basic industry quantitative years of experience or months of experience are allowed under this example and under the Occupational Information Network (ONET),” she says.

ONET will show the maximum experience required for each of the occupational titles. Malitz says it’s critically important for H-2A applicants to understand how to argue why some jobs may still fall in that Skill Level 1 despite having more minimum experience required using this ONET information.

“If you’re requiring three months of experience, which used to be the maximum under a Job Zone 1, it’s now way under the maximum experience,” she says. “You should be able to argue that if you have a three-month, a four-month, even a five-month job experience requirement; you’re still Zone 1.”

Housing Adjustments and the AEWR Reality

What’s also new is that the IFR has built into the AEWR a downward wage adjustment for H-2A workers to account for the cost of housing, which is based on the U.S. Department of Housing and Urban Development’s analysis of a four-bedroom house.

“It is not a separate wage credit. It is not a payroll item. It is not something you take or don’t take. It is just built into the AEWR,” Malitz says. “It is not applicable to local wages, and it is not applicable to a collective bargaining rate. It is only part of the AEWR. So, you wouldn’t take it against the state or federal minimum wage either.”

Malitz says ONET will help H-2A applicants understand which of the “magic five” jobs a worker could fall under. But what if that job description falls out of those “magic five” codes? The IFR also calls for primary and secondary duties.

“The rule is a little bit confusing,” she says. “It talks about primary duties and then it goes into a whole different test at the end of the day on the majority of the workdays. What we put in our job order — if I see something that could trigger a different code, I will put in, ‘Perform these duties less than 50% of the workdays.’”

And this is a place where applicants should pay close attention, Malitz says, as the Department of Labor’s Wage and Hour Division is likely to scrutinize the tasks your workers do to ensure those tasks match the job classifications.

A major source of hiccup is with shuttle drivers who drive workers to and from worksites. She says it’s important to include language in the job order of how much time a worker would spend driving.

Malitz says H-2A employers still must pay the highest of the AEWR, prevailing hourly rate or state piece rate, the CBA rate or state or federal minimum wage.

“What you put in your job order is going to impact how Wage and Hour handles this wage,” she says.

Surviving the Inevitable Wage and Hour Investigation

Lugo points out that for growers participating in the H-2A program, there will inevitably be a DOL Wage and Hour Division audit.

“If you’re an H-2A employer, you can 100% expect to be investigated,” he says. “Maybe not your first year, maybe not your second year, maybe not your third year, but eventually you will be investigated by DOL Wage and Hour.”

Lugo says that it’s a mistake for growers to assume that just because an H-2A visa application was approved, the hard work is over. He says while there’s an agent or an attorney to assist during the certification and visa processing, it’s when workers arrive to fulfill the contract that is really the highest risk for Wage and Hour Division violations.

He says that while worker complaints often spur such investigations, there could also just be enforcement plans that target specific geo-locations or crops.

Lugo says when the Wage and Hour Division investigates, expect longer interviews with workers. He says agents will ask workers about their day from the time they get up until they go back to their housing at the end of the day. This is to screen for any pay discrepancies in start times.

“You have to be at the top of your game right now because these interviews might go into deeper interviews where other related violations might be encountered,” he says.

Preparing Supervisors for Audits

Lugo says that despite the new IFR, it does not change how the Wage and Hour Division will conduct its investigations.

“You really have to take a look at your operations from housing, transportation, safety, U.S. worker protections, recruitment, inbound, outbound, proper payment of wages, deductions, primitive fees, 3/4 guarantees and all the other requirements,” he says. “What violations might Wage and Hour find because of IFR? Well, they’re going to probably look at certain areas and they’re going to look at your job order within your job order and they’re going to look at what’s actually happening out there in the field, what’s actually occurring in your operation.”

He says a common violation is failure to state actual terms and conditions of the job order. Another is if specific housing is listed in the job order, but workers stay in different housing. One might be inaccurate job duties as much of a job might be in a different SOC code and require a higher pay wage rate. Paying H-2A workers higher than domestic workers is another violation, as preferential treatment is forbidden.

Lugo encourages H-2A applicants to ensure employee housing is in top shape, especially with the additional downward wage adjustment for H-2A worker housing.

How can a grower prepare for Wage and Hour Division investigations? Lugo says it’s critical to train frontline supervisors, as that’s where most violations can occur.

“They’re making decisions. They might make incorrect decisions. They might be ignoring certain situations that cause non-compliance,” he says. “And you’re going to be the one that’s going to have to pay the penalty for those decisions.”

Another is monitoring compliance of housing and transportation as Wage and Hour could show up unexpectedly at any time, any day. Conduct mock audits, too, to ensure compliance.

“Keep good records,” Lugo says. “Records will always be your best friend in defending your compliance.”

The Shrinking Slice: Farmers Receive Less Than 6 Cents of Every Food Dollar

Tue, 31 Mar 2026 20:30:43 GMT

For the past two years, USDA has estimated farmers and ranchers received less than 6 cents of every food dollar. In 2023, that was 5.9 cents, and using the latest data from 2024, it’s 5.8 cents.

“Our oldest data point right now is 2007 [USDA updated the data series] and that’s 14.7 cents per dollar, and now we’re down all the way to 11.8 cents per dollar,” says Faith Parum, economist with the American Farm Bureau Federation. “So we’ve really seen that decline year after year. It reflects how much of the value of things in the grocery store or when you go out to eat is going to other parts of the supply chain and not necessarily to farmers and ranchers.”

Livestock vs. Crops: A Widening Gap

The aggregate decline masks a widening gap between sectors. While the overall farmer share is down, livestock and crop producers are seeing divergent trends:

Crop Farmers: Share dropped from 2.9 cents to 2.5 cents (a 2.5% year-over-year decrease).
Livestock Producers: Share increased from 3 cents to 3.3 cents.

“Overall, the farmer share is down. But we have those two markets really at odds,” Parum says. “We’ve seen that tale of two farm economies where our livestock producers maybe have seen a little bit of better days than they had had in the past, while our row crop farmers and our specialty crop farmers are really facing strong headwinds in the market.”

Effect at the Farm Gate

As highlighted by USDA, farm finances are quickly strained when farmers/ranchers are capturing a small percentage of the food dollar and even modest swings in commodity prices and/or input prices take place.

Parum adds, “when we talk about the health of our farms and the health of future generations on the farm, and being economically viable and sustainable and being able to keep their operations open, the trends we’re seeing right now are really hard for those farmers. Our ranchers are seeing a little bit of better days right now with high beef prices, but that’s not going to last forever, and with production expenses continuing to increase, we’re really going to see that that question come up of, what is sustainable if, if these dollars we’re spending in the grocery store aren’t making it back to our farmers.”

Where Does the Money Get Distributed?

The key takeaway: farmers produce the raw commodities that make food production, however, the price is clearly more determined by what happens after the products first leave the farm.

The USDA Food Dollar Series tracks how each dollar is spent by consumers and then divides it across the industries contributing to the value in the supply chain, such as farming, food processing, transportation, packaging, wholesaling, retail and food service. As noted by the USDA, with each step in the process, the additional services, labor, transportation and infrastructure add value and increase costs to the final food product.

USDA’s Economic Research Service Food Dollar Series shows in 2024, farmers received 11.8 cents of every dollar spent on domestically produced food, the remaining 88.2 cents of the food dollar went toward the ‘marketing bill’, which includes costs associated with food processing, transportation, packaging, wholesaling, retailing and food service. Over time, this shift illustrates how an increasing share of food spending is driven by services and supply chain activities rather than farm production itself.

Groceries Leave the Most on The Table For Farmers

Farmers’ share of consumer food spending varies widely depending on the type of food purchased. For example, the farm share of the food-at-home dollar was 18.5 cents in 2024, up slightly from 18.4 cents in 2023. But even in this category it means only than one-fifth of what consumers spend on groceries goes back to farmers.

As you may expect, products with minimal processing, require less of the value to be retained in that part of the food system, and therefore return a larger share of the food dollar to producers.

“The highest commodity that gets the most of that food dollar is fresh eggs,” Parum notes. “That’s just because there’s limited labor to process that food.”

Examples include:

Fresh Eggs: 69.1 cents (+6% from 2023)
Beef: 52.2 cents (+4.8%)
Fresh Milk: 50.8 cents (+5.6%)
Pork: 23.7 cents (+7.2%)
Poultry (+3.1%)
Fish (+2.8%)
Tree nuts and peanuts (-1.7%)
Fresh fruits and vegetables (unchanged)
Bakery Products: 4.8 cents (-9.4%)
Soft Drinks/Bottled Water: 1.3 cents (-7.1%)

Cultivating a Modern Workforce: How Ag Operations Can Become ‘Employers of Choice’

Wed, 11 Mar 2026 21:50:50 GMT

WESTMINSTER, Colo. — In today’s highly competitive ag labor market, attracting and retaining talent has never been more challenging. At the recent Colorado Fruit and Vegetable Growers Association Annual Conference, Teresa McQueen, corporate counsel for Western Growers Association, shared best practices for reducing turnover, elevating company culture and becoming an employer of choice.

McQueen defines an “employer of choice” as an organization that can say, “People choose to work here, choose to stay here and would recommend us because our day-to-day experiences match our promises.”

To understand the full value of being an employer of choice, it’s important to look at how the ag workplace has evolved. For one, McQueen says increased competition for a limited pool of reliable workers has created less tolerance for uncertainty.

“Historically, farms and ranches have operated on a more informal system, and that worked great when workers stayed around for years ... and those operational, procedural things — your company culture — were passed down informally, because ‘It’s just the way that we do things here,’ which was great when people stayed around for years and before things got really complicated,” she says. “It just doesn’t work in a modern workforce. In a modern workforce, uncertainty in employees creates turnover.”

The system of informality, in which employers rely on their employees to communicate expectations and policies, results in both uncertainty and informal decisions becoming expectations, McQueen says. “And that’s how your operations kind of get away from you.”

Another major morale killer rooted in the old way is the “we’ve always done it this way” mindset, McQueen says.

“It’s frustrating and demoralizing for employees, and it would be frustrating for all of you,” she says. “I’m sure if you came up with a great idea, an innovative way to do something, and you were told repeatedly, ‘Wow, this is a really great idea, but we’ve always done it this way,’” that mindset sends a message to employees that there’s no room for collaboration or inspiration.

Clarity, Consistency and Trust: The Path to Employer of Choice

Clarity in your purpose, consistency in your practices, trust and stability are a competitive advantage and the principal goals in becoming an employer of choice, McQueen says.

“When you have trust with your employees, they feel the work environment is stable,” she says.

Being an employer of choice is not only about being a place where people want to work but also a place employees refer others to work as well, says McQueen, who adds that reputations — good and bad — spread quickly among crews and communities. A bad reputation can fuel turnover and erode employer trust rapidly.

McQueen sees many benefits to being an employer of trust from low turnover to “fewer no-shows at critical moments in your operations.” Higher quality and consistency and “things being done right the first time, not the third time” also result in a stronger pipeline.

“Your operations already run on consistency from equipment maintenance, feeding routines, harvest timing, safety procedures — consistency with people management is exactly the same thing,” McQueen says.

At the recent Colorado Fruit and Vegetable Growers Association Annual Conference, Teresa McQueen, corporate counsel for Western Growers Association, shared best practices for reducing turnover, elevating company culture and becoming an employer of choice.

(Photo: Jennifer Strailey)

Successful Supervision

Supervisor consistency is critical. Every supervisor across locations and crews needs to coach, and not push, with consistency, says McQueen. All employees must be treated the same and with respect whether they are domestic or H-2A workers.

“Make sure that you’re training your supervisors because they’re the key for a lot of us,” says McQueen, adding that people don’t leave companies; they leave bad managers.

“Supervisors are also key when it comes to risk,” says McQueen, so be sure to have a system and train supervisors to listen for the “red-flag issues.”

McQueen also advises employers to limit who can terminate or send workers home and to ensure supervisors understand they are not responsible for making big decisions like whether harassment or discrimination has occurred. Their role is to assure the employee that they will take the matter to the appropriate decision-maker immediately, says McQueen, who emphasizes that critical situations must be addressed in a timely manner.

“Because if a supervisor thinks that those particular types of decisions, which are huge risk factors for an employer, if they feel that’s within their power, you are going to have inconsistency because they’re using their personal judgment, which isn’t always what you want,” she says. “You want those decisions made from an organizational standpoint. How will we as an organization want to manage this risk?”

The bottom line is consistency every time, says McQueen.

“You want to make sure that everyone knows exactly what they’re supposed to do, and they’re doing it the same way each and every time,” she says. “Consistency leads to making fewer mistakes and creating a safe work environment.”

Define Your Employee Value Proposition: The Promise You Can Keep

1. We start on time, and you know your schedule.
2. We explain pay clearly and fix issues fast.
3. We promote crew leaders from within and train you to get there.
4. Our housing/transport rules are clear, consistent and respectful.

Documentation is another critical component of consistency.

“Recordkeeping is huge,” she says. “It legally protects you. It also builds trust operationally with your employees. It’s one of the ways that you build trust, because you’re documenting things. You know what’s being done consistently, and you can show what’s being done consistently.”

Consistency with pay practice — another big risk zone — is also key. Whether it’s piece rate, minimum wage or overtime, this is one of the places you want to make sure you’re doing it correctly and you’re in compliance with state and federal laws, she says.

Ensure simple, consistent timekeeping is being used by every person who’s responsible, she says, and create a one-page pay policy sheet in English and whatever the second-most predominant language is among the crew.

Employers of choice offer:

Consistent pay practices.
Compliant hiring practices.
A safe working environment.
Rapid response to issues involving harassment, discrimination, retaliation.

Why They Stay Interviews

Retention is decided in the first seven days on the job, says McQueen. While many employers conduct exit interviews with employees when they decide to leave, far fewer conduct “stay interviews” with engaged employees in the company. These interviews can provide insights into what’s working and where improvements can be made that can aid with retention of new employees.

She recommends conducting 10-minute, five-question stay interviews once per season.

Stay interview questions:

What’s working well?
What’s making your job harder than it needs to be?
What would cause you to leave?
How is your supervisor doing?
What’s one change you would make this week?

What’s Ahead for the Team

Ask yourself this, says McQueen: If an employee left this week, what would they say about your organization? What would they say about you as an employer? What are they telling other people?

“Are you developing [employees] so they can see a path [forward] at a place they want to stay, which is going to aid you in retention, referrals and returns?” McQueen asks.

On the path to becoming an employer of choice, McQueen’s advice is to avoid feeling overwhelmed by the thought that everything needs to be tackled at once, and instead, pick one thing to improve each season.

“Take small steps to create practices that are easily repeatable, and they become the thing that you do; they become your culture,” she says.

McQueen’s 90-Day Employer of Choice Plan

Weeks 1-2 — Quick compliance and process audit (pay, timekeeping, hiring, safety)
Weeks 3-4 — Train supervisors on consistency, retaliation awareness, documentation
Weeks 5-6 — Launch first seven-days onboarding checklist and buddy system (who new employees can go to for help)
Weeks 7-8 — Publish an employee value proposition and a “How Pay Works Here” one-pager with translations
Weeks 9-10 — Start a scorecard and run stay interviews for your highest-risk crews

Lighting Up the Ranch for the Next Generation of Agriculture

Tue, 03 Mar 2026 22:29:51 GMT

Connectivity is a significant hurdle to the future of smart farming, says Don Cameron, vice president and general manager of Terranova Ranch. He says he’s wanted to add Wi-Fi and connected devices for a long time to better automate farm tasks, especially irrigation.

Once Cameron started working with high-speed internet service provider Cal.net, he began to explore broader implications of smart farming at Terranova Ranch. Later, he connected with Emergent, an ag tech company that provides an automation platform for the ranch.

Taking Manual Work Out of the Field

Cameron says that Emergent’s dashboard helped Terranova track irrigation on the ranch’s 2,200 acres of processing tomatoes instead of crews manually operating valves.

“We had guys going around every seven hours or eight hours, opening and closing valves to irrigate subsurface drip irrigation on tomatoes,” he says. “For every 75 acres, we have three valves.”

Cameron says this system is critical as groundwater management becomes a greater focus in farming in California. He says Terranova has specific allocations on groundwater use, so there are accurate records of irrigation as well as even applications.

“We’re seeing allocations on how much groundwater we can pump in certain areas here, and so being able to use water efficiently is really imperative for us,” he says. “As we move forward with groundwater management, it’s going to become extremely important.”

Cameron says Terranova benefits not only from accurate irrigation records through this precision irrigation application, but he’s also seen reduced labor and vehicle use.

“We can change the irrigation schedule from a phone. We do deficit irrigation as we approach harvest, so we can make these changes relatively easily,” he explains. “We can get better-quality crops, higher-yielding crops, and save water. We can irrigate during off-peak periods with electricity.”

Cameron says all of this is critically important as water use is the No. 1 issue California growers face. The more information he has on water usage, distribution and more, the better, he says.

“The more information we have, the more data we have on our water usage and even what’s going on with our wells, our pumping,” he says. “To me, that data is going to be even more important in the future because of the regulations we have here in California and how valuable water really is.”

Cameron says Terranova farms in four groundwater sustainability agencies, which have slashed the amount of water allocated.

“Next year, they’re cutting the amount of water to be pumped from the underground to 1 acre-foot per acre,” he says. “And a crop of tomatoes typically takes 2.5 acre-feet. Almonds could use as many as 4 acre-feet. So, you understand really quickly how important data is when we’re talking about exactly about water and crops that we can grow for the future and planning for the future.”

Building a Digital Paper Trail for Compliance

Cameron says Emergent’s platform has opened the door to where he can monitor much more of the farm beyond the irrigation.

Smart farming’s reach extends to well monitoring with AgMonitor and electronic timecards on workers’ phones, both of which he says are to stay in compliance with regulatory issues. Workers clock out for breaks, and having that electronic record is critical.

“If we ever get an issue with labor and proving our guys took breaks at the right time, believe me, this is a really important thing to have,” he says.

The timecards feed into Terranova’s payroll program, which has eliminated some manual work, Cameron says.

He also uses fixed-wing photos that take NDVI images to show moisture stress.

“This gives us assurance of what we’re doing with our irrigation,” he says.

Cameron has also placed trackers on Terranova’s sprayers, which helps monitor efficiency (and inefficiencies) on the ranch.

“We know if they miss a row,” he says. “We know how long it takes them to fill the sprayer, and if they’re spraying or if they’re screwing around.”

Vetting the Next Wave of Technology

Cameron says crop selection, in light of potential water use restrictions, will play a bigger role in the future of agriculture in California.

“They’re going to have to use conservation measures, and they’re going to have to use their water much differently than they have in the past,” he says.

Cameron, who has been a pioneer in groundwater recharge, says it’s critical to renew aquifers and prevent downstream damage during flooding.

Cameron switched to subsurface drip irrigation in 2009, and he says he saw not only water savings but better yields.

Connectivity also will play a major role in the future of agriculture, but he says there’s still much work needed in improving rural access.

“What we’re doing now, I think with IoT [internet-of-things] technology, I think is going to be really helpful long term,” he says.

Cameron has also experimented with automated weeders. The challenge with automated weeders, however, is that they have to pencil out in terms of speed and cost, he explains.

“What I’d love to see in the future is more automation in weeding, better technology, faster technology and lower-cost technology,” he says.

Cameron also hopes the future brings more integration of CRISPR technology with built-in disease resistance, “along with other new traits to make what we grow more flavorful, healthier, and more resilient,” he adds.

As for being a pioneer in the integration of technology, Cameron says he views taking a chance as being critically important.

“Sometimes you just have to say, ‘Look, we’re going to try this, and hopefully it’s going to work well, and let’s get behind it and give it a chance, and it solves a problem that we have,’” he says. “Typically, what happens is it works out well, and if it doesn’t, we stop.”

The Best Leaders Share These Three Behaviors

Mon, 23 Feb 2026 21:25:25 GMT

Leadership might sound like a big, formal word, but on the farm it’s really just about how you work with people every day. It’s how you talk to your team, how you handle mistakes and how you treat people when things get stressful.

When you’re just starting out, being a leader doesn’t mean you need all the answers or that you have to run everything perfectly. It’s okay to learn as you go. According to Marcel Schwantes, author of “ Humane Leadership: Lead with Radical Love, Be a Kick-ass Boss ,” when you’re just starting out, being a leader doesn’t mean you need all the answers or that you have to run everything perfectly. It’s okay to learn as you go.

He suggests regardless of the operation or title, strong leaders consistently rely on a small set of practical skills that can be learned, practiced and improved over time.

These skills include:

Show Real Interest in Your People

Take time to get to know the people who work for you, not just the job they were hired to do. Ask what they enjoy, where they want to improve and what they hope to learn next. That might mean running new equipment, taking on more responsibility or growing into a leadership role themselves.

“The best leaders genuinely want their people to thrive,” Schwantes says. “They’re willing to put the team’s needs first, share credit freely and take responsibility when things go sideways.”

He recommends supporting raises and added responsibility when they are earned and looking for chances to stretch people’s skills instead of keeping them in the same position. When employees feel genuinely valued, they take more pride in their work and show up differently every day.

Have Empathy

Many farm leaders were raised to believe emotions stay out of the workplace. Unfortunately in agriculture, empathy is often misunderstood as being too soft or letting things slide. But Schwantes notes empathy is actually one of the strongest leadership characteristics a person can have, because it helps leaders understand problems sooner and lead more effectively.

“Empathic leaders don’t just hear what people say; they understand the context, emotions and challenges behind it,” he says. “That perspective creates psychological safety, and safety unlocks creativity, problem-solving and collaboration.”

On a farm, this might look like noticing when a team member is struggling, checking in when someone seems overwhelmed or understanding the pressures your employees face at home. It’s about listening, recognizing stress and creating an environment where people feel safe asking for help.

Be Clear and Transparent

On a farm, clear communication makes everything run smoother. When your team knows what’s expected and why decisions are being made, they can work more confidently and avoid mistakes.

“A transparent culture builds trust and fosters collaboration,” Schwantes says. “When people feel safe voicing their thoughts, it deepens engagement and creates a more resilient, trustworthy team dynamic.”

Transparency also means being honest about challenges and inviting input. If something’s not working, your team should feel comfortable speaking up. The more open you are, the more trust you build — and the better your crew can handle the ups and downs.

Lead by Serving Your Team

A leadership role can feel overwhelming in some workplaces, but on the farm it doesn’t have to be complicated. Schwantes says it comes down to a few core skills — showing real interest in your people, practicing empathy and being clear and transparent.

Strong farms are built on strong teams, and strong teams are built by leaders who serve first. A leader who’s willing to jump in, listen and set a positive tone creates an environment where everyone can do their best work. And over time, that kind of leadership builds trust and creates a crew that’s ready to take on whatever comes their way.

2026 Top Producer of the Year: Alsum Farms and Produce

Wed, 28 Jan 2026 13:35:34 GMT

The work never stops at Alsum Farms and Produce in Friesland, Wis., as the team packs potatoes of all sorts and sizes, preparing to ship them to grocers across the country.

“The company is 52 years old, and we’re very proud of that history,” says Larry Alsum, owner and CEO. “We started out repacking potatoes and onions as a small business that was literally a pickup truck and garage startup.”

Today, the company moves millions of pounds of produce a year.

For its success in the business of agriculture, Alsum Farms and Produce was named the 2026 Top Producer of the Year. Recognized at the 2026 Top Producer Summit , the award, sponsored by BASF and Fendt, is based on entrepreneurial originality, business progress and leadership. Congratulations to the Alsum family as well as the 2026 Top Producer of the Year award finalists, Dalton Farms and Splitter Farms .

Building the Business

Alsum has been part of the operation for 45 years after leaving a public accounting job to take the reins following the death of his cousin, who died in a small plane crash.

“It took me about a month, a lot of prayer, a lot of soul searching about what my future was going to look like and searching for what God wanted me to do,” Alsum remembers.

Ultimately, he and his family moved home, near the dairy farm he grew up on, to try his hand at something new. His new job meant running a business that bought 100 lb. bags of potatoes and onions and repacked them into smaller bags for grocery stores.

“The first couple of years were rough, and I had a lot to learn,” Alsum says. “We survived, and as we grew, I saw opportunities to do things differently.”

Larry Alsum grew up on a nearby dairy farm but got a degree in accounting before returning to the operation.

(Clinton Griffiths)

Always willing to learn and try something new, the business continues to evolve today. The operation not only packs, but it also washes, sorts and sells to a number of grocers like Costco Wholesale. They also farm and grow their own produce, including several hundred acres of pumpkins.

“In 2020, some land became available for sale, and so as part of that we were able to purchase a pumpkin packing shed,” Heidi Alsum-Randall says. “Diversification is key for any business.”

Randall and her sister, Wendy Alsum-Dykstra, help run this business with their father. Together, they share the chief operating officer role.

“My siblings and I all grew up working in the family business,” Dykstra adds. “We all held a variety of jobs. My brothers did some of the lawn mowing. We all did some potato grading.”

It’s been a lifetime of experience they’re now putting to use, working alongside their father to build toward the future.

“We are growing, but we’re a relatively small business in a very small community,” Dykstra says. “We employ many people we know, many people in our local communities, some relatives and friends. It’s a great place to work.”

“Without the 200-plus employees, we wouldn’t be in business,” Randall echoes. “That piece of making sure that we’re treating our people right and fairly, that we are caring about their overall health and wellness, is a big thing for us as an organization.”

Harnessing AI and High-Tech Innovation

More recently, that workforce is getting help from high-tech hands. Artificial intelligence is now sizing and sorting produce, which is improving both speed and efficiency.

“A lot of the jobs that we need today weren’t even in existence five or 10 years ago,” Randall says. “So, it is really changing how we operate and do things.”

Alsum Farms and Produce has recently installed AI-powered sorting to help with speed and efficiency.

(Clinton Griffiths)

“Technology can be challenging,” Dykstra adds. “Change can be a challenge. I think getting our team on board, embracing the newest technology, embracing change, embracing new software that helps us process information in a better way, has been both a challenge and an opportunity.”

Even as technology grabs a seat at the table, the picture of this business to consumers is its heartfelt connection to the farm. Alsum continues to be the face of the brand.

“The average consumer doesn’t really know where their food comes from, and so we wanted to show there’s a farmer, there’s land and fields involved in the process,” he explains. “It’s very important for the consumer to understand that their food is grown in a very safe, very high-quality way.”

As they drive forward, this focused family hasn’t forgotten the years of tough times and tight margins.

“If I can help a farmer, if I could help a customer and add value to the whole process, that’s what I’ve always felt was our opportunity to grow the business,” Alsum says.

Alsum Farms and Produce washes and sorts millions of pounds of potatoes in a year.

(Clinton Griffiths)

How to Protect Your Farm and Your Rights During Federal Inspections

Thu, 05 Feb 2026 05:11:18 GMT

A common theme in Misty Wilson Borkowski’s webinar, “Navigating ICE and DHS Enforcement in the Agricultural Workplace,” was preparation, preparation, preparation.

Borkowski, a partner at Hall Booth Smith, a law firm that specializes in legal counsel to and litigation and regulatory advocacy for farmers and agribusinesses, walked attendees through the nuances of both Department of Labor and Immigration and Customs Enforcement visits to a farm.

The webinar, presented by the National Agricultural Law Center, guided agriculture employers through potential audits and visits as well as the rights employees and employers have in those situations.

Know Who Is At the Gate

Borkowski says farms are often vulnerable to ICE enforcement, with employees working in open fields and housing nearby. However, that doesn’t mean that ICE can immediately have access to the property, she says. While ICE can enter public areas without a warrant, she’s quick to point out that it’s a different story on a grower’s private property.

“They cannot enter into private areas without someone’s consent or without a judicial warrant,” she says. “They cannot force employers to answer questions, and they cannot demand employment-related documents on the spot.”

A key point, though, is to understand there are likely two different scenarios when ICE comes to a farm. The first would be administrative inspections of I-9 documents, which verify an employee’s identity and legal authorization to work in the U.S.

DOL’s Wage and Hour Division could also visit a farm, but that is to enforce minimum wages, child labor laws, overtime issues and enforce compliance with H-2A regulations.

“By virtue of sponsoring H-2A visa workers, you are subjecting yourself to the Department of Labor coming on-site and conducting an inspection,” Borkowski says. “There are limitations on what the Department of Labor can do, but they also have a lot of authority.”

And she clarifies this is when it’s important to understand what agency the government official represents, as those with DOL would need access as part of the H-2A compliance visits.

“That officer, that agent, [with the Department of Labor] can go into the housing because they’re making sure that the H-2A housing is and remains in compliance with those OSHA standards that the employer is subjected to,” she says.

Administrative Versus Judicial Warrants

With administrative inspections, ICE may bring or provide a notice of inspection later. ICE will include a list of documents and information for the employer to provide.

Borkowski says that while those visits are usually even-keeled, she encourages ag employers not to provide that information immediately on the spot, because employers legally have three days to gather the information.

However, it is vital to distinguish these paperwork audits from an enforcement raid. While you have a 72-hour window to produce I-9 folders, a search warrant for the property requires an immediate, though legally limited, response. In the heat of a raid, Borkowski says while an employer might have good intentions in providing information right away to appear cooperative, it’s important to seek legal counsel first.

“Even if the officer is asking for those documents, you are going to have three days to provide those documents,” she says. “What that does is that gives you time to collect your documents, make sure you have everything that is supposed to be provided.”

A lawyer will work with an employer to provide appropriate documents, but only what is asked for and the type of information necessary. Borkowski says this also includes making sure documents that should be shredded from former employees aren’t being retained accidentally.

“Common mistakes that employers may make if they don’t seek legal counsel before they provide the documentation is either overcorrecting or being selective about re-verification and then also panicking and oversharing,” she says. “We want our employers not to do that. And also, you know, by engaging legal counsel in that interaction, you can put a buffer between the employer and ICE. That just has a calming effect for the whole situation to bring that temperature down.”

Training Front-line Staff

Next, Borkowski says it’s important to plan how the team will react if ICE performs an enforcement raid on the farm, and it’s critical for employers to understand their rights. First, employers need to ask, “Who are you?” “Why are you here?” and “Do you have a warrant?”

Employers have a right to review a warrant. Employers also have a right to limit ICE access to private areas. Employers also have the right to remain silent and request a lawyer.

“You can continue to repeat that you are not consenting to anything,” she says. “But you have to know first what your rights are.”

While ICE agents that come to a farm in an enforcement manner could be calm, the agents could also be aggressive and try to push for action and information. The first thing is to ask for a warrant and to check if the warrant is a judicial warrant signed by a judge or if it’s an administrative warrant issued by the Department of Homeland Security.

Borkowski points to a breakdown by the National Immigration Law Center with specifics on the differences between an administrative and a judicial warrant . She says a judicial warrant will be signed by a judge and indicate either a search of a person or items or property. An administrative warrant would be signed by an officer at DHS, but it does not carry the same access as a judicial warrant.

“These administrative warrants, they do not give the officer the right to enter your private area and does not give the officer the right to arrest a specific person, unless that individual is in a public place or if the officer is otherwise permitted to enter into that space,” she says.

Workers, she says, have the right to remain silent. Workers have the right to refuse consent to searches. Workers also have the right to ask for a lawyer and not sign any documents they do not understand. Borkowski points out that while many employees and employers might think it’s a good idea for employees to carry visas and passports while working, she says that could lead to the documents being damaged or lost. Instead, employees could carry a high-quality copy of the H-2A visa.

“Anytime you are faced with someone having a piece of paper that they’re waving around or saying that they have, you have 100% the right — and you should exercise that right — to say, let me see the warrant. I want to review it. I want to read it. I want to see what it is that is being asked of me.”

Protecting Workers and Property

Next, Borkowski says, employers must have a plan in place for what to do if any government agent comes to the farm. This could involve a front office or whoever might naturally have the first line of contact. That person should understand whom to contact within the company, as well as a backup, and there needs to be a discussion of when legal support should be contacted, she explains.

“Let’s have down a written protocol, a written procedure,” she says. “Let’s go through these steps with our front-line staff and train them on how to how to interact, what to do.”

And there could be some physical barriers put up to entry, whether it’s a buzzer system or a key card, so only those authorized have immediate access.

“If it is your private space, then you have every right to protect it,” Borkowski says. “Whether or not you have signage, [it] doesn’t change that. It puts that additional barrier, that additional way of protecting anyone from entering into a space that they should not be in.”

She says businesses in multiple states should also ensure all front-line workers communicate consistently and understand any state-specific laws that could apply.

Then it comes down to practicing this plan. Borkowski says those who would be designated to speak to agents need to rehearse asking for a warrant and understand how to deny consent. This may not necessarily feel natural to those involved, she adds.

“Knowing what your rights are and also second-guessing yourself are just natural, and so the more that you can prepare your people in your sphere, the better everyone is going to be ... when it comes to a point where they have to say, either ‘I’m not authorized or I’m denying you consent,’” she says.

Borkowski says it’s important for employees to stay calm and ask for identification and a warrant. Then, they need to understand the scope of the warrant and what that means in terms of what ICE agents should and should not have access to.

“An ICE officer without a judicial warrant or without your consent should not be entering onto your fields, into your barn, your packing sheds, your warehouses, any offices not open to the public and certainly into your housing,” she says.

Employees designated to interact with any ICE agents need to know and understand what they have to comply with and what they do not.

“If the agent is being aggressive, you have to do whatever you need to, to look at the document and make sure it is one that requires you to comply, and if you do, you comply only with the aspects that are required,” Borkowski says.

If a warrant is to search for somebody, that does not mean the agent can look in the barn or the field. Worker housing is also a private residence, and workers still have Fourth Amendment rights.

Again, she says, this goes back to role-playing within an organization so those designated employees are comfortable responding to the ICE agents in a firm manner.

“Having that individual, having those people on the front line get comfortable with saying, ‘This is above my pay grade. I am not authorized to answer that question. I’m not authorized to give you access to anything. I don’t consent,’” she says.

Borkowski also encourages ag employers to inform and educate all employees on their rights. She suggests employers supply information in the worker’s native language to help them feel more comfortable. And if something does happen on the farm, it’s critical employers communicate with workers, she says.

“You just want to be factual,” she says. “You want to be truthful and honest to them. You want to reassure the workers about their rights, and you want to make sure that they have trusted supervisors that they can contact.”

Don’t encourage employees to run, and don’t ask about their immigration status, she advises. That’s what the workers’ I-9 forms are for.

And then, Borkowski says, in the case where an employee is arrested, document what happens. She says it’s important to understand state laws in terms of what can be recorded, but she also says take notes. Document what you know and see and have employees present also do the same.

“Write down what you observe, but also, if you have other individuals that are part of this, are seeing this, they should also write down what they are observing as well,” she says. “Names, dates, locations, times, and just preserve those records.”

Then communicate with the rest of the employees. Discuss legal options for workers and what the next steps are. This includes contacting an immigration attorney specializing in deportation cases, alerting the family and more.

Plan for follow-up I-9 inspections from ICE. She says just like when DOL makes an H-2A compliance visit, an employer could expect another visit in a couple of years. Borkowski says the same thing will likely happen after an ICE enforcement raid.

The most critical thing an employer can do is have some sort of debrief after an ICE visit, she says. Talk about what worked and what didn’t work.

“You want to address it with your staff and look at: How did everyone react? How did everyone handle this situation? Did we handle it as we had practiced in our practice sessions? ... Is there something we could have done better?” she says.

Why Specialty Crop Economics Has Become an Endurance Game

Mon, 02 Feb 2026 08:36:04 GMT

Editor’s Note: This is the first story in a series that will explore the shifting economic landscape of the specialty crop industry.

Washington State Tree Fruit Association President Jon DeVaney was recently in Olympia, Wash., for Tree Fruit Day, which is a time for growers to discuss the issues impacting the industry with state officials. While those in attendance discussed the dire situation growers find themselves in, he says, a major challenge to having these conversations with elected officials has been how the economics of modern specialty crop farming have taken a turn for the worse.

“Some elected officials think you’re like those carpet stores in big cities that have been going out of business for 30 years, but they’re still there,” DeVaney says. “There is a little bit of that boy who cried wolf danger, from the perspective of talking to some of those folks.”

But much of the conversation stems from the data from the most recent census of ag in which the state of Washington lost more than 3,700 farms from 2017 to 2022, he says.

“Part of it is making sure that they have the stats to see that, yes indeed, this is a particularly rough time throughout the ag economy, especially for specialty crops, and that we’re losing farms,” DeVaney says. “A lot of my growers say, ‘Well, it certainly hasn’t gotten better since 2022, and it has gotten a lot worse.’ So, the aggregate statistics may not be updated, but we know that that trend line, unfortunately, is still continuing.”

Federal Funding Gap

And the sentiment DeVaney shared from his growers seems to be a pulse running through the specialty crop industry. The American Farm Bureau Federation’s figures show $3.6 billion in economic losses for almonds, $1.4 billion for apples, $763 million for lettuce and $717 million for potatoes in 2025. Many specialty crop leaders have pushed for economic support from the federal government .

The Specialty Crops Farm Bill Alliance says specialty crops contribute more than $75 billion annually in U.S. agricultural cash receipts and make up more than one-third of all U.S. crop sales. Yet, under the current USDA Farmer Bridge Assistance program, only $1 billion has been reserved for specialty crops and other commodities while $11 billion has been set aside for row crops.

So, where does that leave the economics of specialty crop farming in 2026? David Magaña, Rabobank senior analyst for horticulture, says a common theme might be unpredictability.

“There have been a lot of moving pieces, but overall, if we want just to characterize the current economic outlook for specialty crops, for growers in ‘26 the climate remains challenging, and tight margins continue to be one of the biggest challenges as the costs remain high, while demand is holding steady,” he says.

Labor and Price Squeeze

And for those in the specialty crop industry, it will likely come as no surprise that labor is the highest cost in specialty crops “by a country mile,” says Michael Swanson, Wells Fargo Agri-Food Institute chief agricultural economist. Swanson says this labor cost extends far beyond the field but even to the cashier at the supermarket.

“The producer can’t change the economy’s wage inflation, but they can work to get the best labor force for their spending,” he says. “This will make the human resource manager a key player in 2026.”

Magaña says crop performance also plays a hand in the economic picture of 2026 with tree nuts, including almonds, pistachios and walnuts, performing better thanks to a better balance with supply and demand. He says this is likely due to the crops’ less labor-intensive production.

While tree nuts faced some challenging seasons from 2021 to 2023, they began to improve in 2024 and 2025.

“Prices for almonds, for example, should be profitable for most growers depending on the cost structure that they have,” he says. “The vegetables and the fruits that are more labor-intensive are facing more cost pressure compared to others.”

Magaña says what’s interesting is that growers often get excited about lower yields because it could mean more returns. But, he says, revenue equals price and quality. With the current walnut crop, it doesn’t always translate to higher prices, which further compresses margins.

The Consumer Paradox

“When we take a look at all this revenue compared to the cost, you need to be looking also, obviously, [at] how inflation is moving, both on your cost side and on your final price side. … To the point of the consumer, we’re seeing inflation has been stabilizing with the Consumer Price Index, but that doesn’t mean that prices are declining. They’re just increasing at a lower rate,” Magaña explains.

He says fresh produce prices have stabilized when compared to other food categories, which is a good thing for consumers but perhaps not so much for growers.

“The fresh produce aisle has become a healthy alternative, and also from a budget perspective,” he says. “So, that’s good news for the consumer, but for the grower, just stabilizing or flat prices and increasing costs, that’s just more pressure on markets.”

Swanson says that while retailers look to price, it’s also important to secure consistency and reliability in fresh produce contracts.

“It does not do them any good to get a good price on nonexistent or below-average quality product,” he says. “A buyer will always prioritize a supplier who does not let them down.”

Swanson says also of note in 2026 will be the impact of GLP-1 drugs on consumers’ buying habits.

“At the moment, they are trying to add protein to their diet to make up for the lower number of calories they are consuming,” Swanson says. “This pressures the fruits and vegetable categories as they make these trade-offs.”

Global Competition and Currency

Swanson says imports will be another economic challenge in 2026, with imports continuing to put a ceiling on domestic prices for specialty crop commodities that go head-to-head against them.

“U.S. producers certainly know that they have to match or beat import prices,” he says. “That is a tall order with higher land costs, labor costs and stricter environmental regulations, but the U.S. producer also has better local logistics, financing and productivity to compete in this market.”

Magaña, though, says that as the dollar weakens, it helps U.S. growers in the export market. He says the dollar depreciated almost 10% in 2025.

“That has improved the competitiveness of U.S. exports in international markets, and at the same time, when you look at that, that serves in practice in the same way as a tariff does for imports,” he says. “All exporters of fresh produce from Latin America, exporting to the U.S., when the dollar is weakening, they lose competitiveness.”

On the market, Magaña says the weakening dollar has had beneficial impacts. Western Europe has begun to import more California almonds and walnuts, which has also helped improve prices.

Wholesale Disconnect

DeVaney says a lot of his conversations in the Washington statehouse stemmed from prices, showing the upward trend line of retail pricing and the downward trend of wholesale fruit prices. He says it was difficult for those officials to understand.

“We had to explain to them that, yes, you’re hearing consumers say that prices are too high, but we’re not seeing any of that,” he says. “And quite the opposite, our growers are seeing less income and are trying to figure out how to survive in that environment. ... We don’t really have the ability to affect directly what we get from retailers.”

Tree fruit growers also raised the issue that they put up-front costs and investments into a crop for which they might not get paid until eight to 14 months later.

“It’s still the growers’ fruit as it goes into storage, and it’s only when it comes out of long-term storage and is packed and sold that they eventually get the net proceeds,” DeVaney says. “And so, that’s the other decision-making challenge, because the grower doesn’t know what the price will be at the time they’re selling it.”

For many tree fruit growers, certain expenses — such as labor costs — are determined by government policy. When asked to identify the most burdensome piece of legislation, policy or economic factor, DeVaney says it’s hard to do. He likens the current state of economics and policy to being attacked by a swarm of bees.

“There’s so many things coming at you that it’s overwhelming, and potentially fatal,” he says. “But you say, ‘Which bee is the worst in that environment?’ Well, they’re all bad, and they’re all coming at me at once. So, it’s the swarm. It’s not the individual bee.”

Capital Strategy and Survival

In terms of inputs, Swanson says this year growers will look to competitive bids on inputs and technology due to the added constraints.

“The entire crop production sector is asking for value with their compressed margins,” he says. “The old saying ‘you don’t get if you don’t ask’ will ring especially true in 2026.”

Magaña also says growers will likely delay investments and upgrades with a challenging financial picture. This includes orchard development, irrigation upgrades or even automation or mechanization. However, the potential for lower interest rates this year before an expected climb in 2027 and 2028 might mean it’s a good time for growers to secure financing and lock in rates.

The biggest risk in a high-volatility market is illiquidity, Swanson says. The key will be for growers to control growth or financing to avoid being asset-rich but cash-poor.

“Debt is not the problem, but the dosage is the problem,” he says. “The old saying ‘the dosage makes the poison’ is true for debt as well. Oftentimes, illiquidity and impatience are two sides of the same coin. Companies should be growing, but making sure it’s a controlled growth is the key.”

Endurance Game

DeVaney says another challenge facing growers is the notion of an appropriate supply, which fluctuates based on current market conditions.

“We do not calibrate supply and demand that finally, especially in fresh produce,” he says. “Because if there’s an abundance of table grapes one year, then that sort of puts downward pressure on all the competing fresh fruits that people might grab for lunch. It’s not just our own crops, it’s the aggregated produce sector, in a lot of ways.”

DeVaney says it’s not so easy to simply make a quick reduction in production for permanent crops, especially if growers are unsure that what they’re seeing is a short-term blip or a larger trend.

“Once you’ve already made that investment, the bias is toward sticking with it until you’re absolutely certain it’s not a good long-term prospect,” he says. “And some of those decisions have been drawn out as well, because the grower doesn’t want to walk away from that investment. And if they have revenue insurance, they have sort of a cushion to keep them hanging on longer to decide: Is that the decision they have to make or not?”

When asked to give a snapshot of his growers’ outlook, DeVaney says there’s a lot of frustration, as growers want to be the masters of their own fate. While agriculture has always had inherent risks, it seems even riskier now.

“It doesn’t feel like there’s a single action they can take to determine the outcome with this variety of global market forces and public policy issues at the state and federal level that are influencing their costs and their returns, and so their profitability feels outside of their control — that when they make good farming decisions that affects their potential, but it doesn’t determine their success or not, which is a frustrating place to be,” he says.

While growers might see choices that need to be made to recalibrate with current market and demands, it’s difficult for growers to be the first or second one to make that decision. It’s easy for the industry to say production needs to decrease, but it’s in the execution that becomes more of a challenge.

“It’s like people in a lifeboat together, with a limited amount of food, who want to jump overboard and not save the others,” he says. “That’s a terrible request to make of anyone, and so everyone is dealing with the starvation rations, looking at each other: ‘Will I outlast you and be able to then survive going forward?’ It feels like an endurance game with your industry peers to see who will come out the other side. And that’s a terrible place to be. People know maybe what needs to happen, but it can’t be decided on. And so, you just buckle down and see if you can survive through the point at which the market forces that correction upon us.”

Swanson says since labor will be the No. 1 cost driver, it will also need to be the specialty crop industry’s No. 1 focus.

“Employers cannot hire at below-average wages without getting below-average productivity,” he says. “However, they can hire at average wage rates and get above-average labor productivity.”

Swanson says there will be opportunities for specialty crop growers to share growth and cost control.

“Converting new customers allows them to outgrow conventional crop performance,” he says. “Their challenge is seeking a higher price to match their premium product offerings. If consumers are looking to save money on food spending, it will be harder to convince them to switch to the premium category.”

Swanson also says overproduction pressuring down prices is the biggest risk to crop profitability in 2026, which could come in the form of aggressive plantings or excellent weather.

“Let’s hope that producers stay in their lane plantingwise and the weather is average,” he says. “The flip side is underplanting or a weather event reducing supply. Let’s not hope for that either. It’s not bad when someone else gets hit by bad weather, but it might be you.”

How the $15 Million Estate Tax Exemption Changes Your Farm Succession Strategy

Mon, 26 Jan 2026 20:05:13 GMT

The world of estate planning for farmers has changed dramatically after the passage of the One Big Beautiful Bill Act. This permanently increased the lifetime gift and estate tax exemption to $15 million indexed starting Jan. 1. With the federal estate tax exemption at historically high levels, most family farms are no longer at risk of paying federal estate tax. However, this shift has brought a new focus to income tax planning and the importance of preserving the step-up in basis at death.

Understand the Step-Up in Basis

When a person passes away, the value of their property is generally reset to its fair market value at the date of death. This is known as a “step-up in basis.” For farm families, this is a crucial benefit. Farmland and other agricultural assets often appreciate significantly over time. If heirs inherit these assets, they receive them at the new, higher value. This means that if they later sell the property, they will owe little or no income tax on the appreciation that occurred during the original owner’s lifetime.

Why Estate Tax Is Less of a Concern

With the current high exemption, only the largest farm estates face federal estate tax. For most families, the bigger risk is not estate tax; it’s the potential for large income taxes if the step-up in basis is lost. This can happen if assets are given away during the owner’s lifetime, rather than being passed on at death.

The Pitfalls of Lifetime Gifting

Many farmers consider making large gifts during their lifetime, worried that the estate tax exemption will drop in the future. While this can be a good strategy for very large estates, it can be costly for smaller farm operations. When assets are gifted during life, the recipient takes over the original owner’s basis, which is often much lower than today’s value.

If the recipient later sells the property, they could face a significant income tax bill. In contrast, if the property is inherited, the basis is stepped up to current value, minimizing or eliminating income tax.

Likely the best asset to gift during lifetime is farmland that will be retained in the family for multiple generations. The step-up in this case is not as valuable because we can’t depreciate farmland, and if it is not going to be sold, the heirs are not worse off. Plus, appreciation in farmland can be very volatile and could cause the farm couple to owe estate tax.

Hidden Cost of Gifting Negative Capital

Many farm operations are structured as a partnership for income tax purposes and farms with debt will typically create what is called a negative capital account and, in many cases, this can easily exceed $5 to $10 million for larger farm operations. Gifting any interest in these partnerships during a lifetime will create ordinary income to the farmer because the “debt” eliminated exceeds the basis in the partnership’s assets, which is typically zero. Whereas holding until death eliminates the tax for their heirs. However, a drawback is that the older generation might still be on the hook for the debt until they pass.

For the vast majority of farmers, estate tax planning is now about smart income tax planning. Preserving the step-up in basis at death can save heirs substantial taxes and help keep the family farm in the family. Careful planning today can help protect your family’s legacy for generations to come.

Paul Neiffer has been tracking the latest in tax policy and government programs. Learn more about what you should factor into your farm business and potential tax implications at Top Producer Summit, Feb. 9-11 in Nashville. View the agenda and register today !

Specialty Crops Suffered Staggering Economic Losses in 2025, Will Relief Come in Time?

Wed, 21 Jan 2026 22:27:23 GMT

Economic losses to specialty crops last year were on a level that can put farming operations out of business.

The American Farm Bureau Federation estimates $3.6 billion in economic losses for almonds, $1.4 billion for apples, $763 million for lettuce, and $717 million for potatoes alone.

Specialty crop leaders this week renewed their calls for urgent economic support for U.S. growers and shared their disappointment after the U.S. House released final spending bills Jan. 20 that did not include aid for American specialty crop producers.

While the Specialty Crops Farm Bill Alliance (SCFBA) says specialty crops, including fruits, vegetables, tree nuts, nursery, greenhouse and floriculture products, generate more than $75 billion annually in U.S. agricultural cash receipts, account for more than one-third of all U.S. crop sales and support rural economies nationwide, under the current USDA Farmer Bridge Assistance program, $11 billion is allocated to row crops, and only $1 billion is reserved for specialty crops and other commodities, with key details on eligibility, payment and timing still unresolved.

“It’s a challenge with specialty crops to come up with aggregated data across all the more than 300 different commodities, but the American Farm Bureau Federation has done good analysis related to specialty crops,” says Kam Quarles, CEO of the National Potato Council and SCFBA co-chair.

“Effectively Farm Bureau is saying that if you’re going to have a relief plan rollout, specialty crops should be about a third of whatever Congress spits out,” he says.

Word on Capitol Hill is Congress is contemplating a total of $15 billion in assistance, SCFBA says.

“We agree with the one-third of whatever Congress comes up with, but also the package has to be large enough to make a material impact,” Quarles says. “The specialty crop industry has told Congress that we need no less than $5 billion in economic relief for specialty crops in order to positively move the needle for growers.

With food affordability still a top focus for many consumers, what happens to the cost of fruits, vegetables and other grocery staples if specialty crops don’t receive the aid they desperately need?

“We’re facing an unprecedented economic crisis in the U.S. right now for agriculture, and it’s not just specialty crops, it’s broader than that,” Quarles says. “If you have growers that are going out of business due to this economic crisis, that’s going to further impact supplies of commodities. It’s going to impact prices, and it will add to the affordability issue.”

Last week SCFBA joined American Farm Bureau Federation and ag organizations across the U.S. in penning a letter to Congress highlighting record-high input costs, labor shortages, weather challenges and historically low market prices that have caused farmers to face negative margins and nearly $100 billion in losses nationwide.

Reasons for Optimism

Quarles says feedback from both the House and Senate appropriations committees on the specialty crop crisis has been encouraging.

“They absolutely understand where we’re coming from,” he says. “The other thing to remember is that there have been fundamental changes in tax policy that were put into law last summer, and they’ve already started to come online. And when some of the trade agreements that have been discussed are finalized, they also could create a more competitive environment, along with the tax policy.”

But could this be a case of too little, too late?

“These policy recommendations could create a much better environment in the future, but if you’re out of business before you ever get to that better environment, it just doesn’t matter,” Quarles says. “So that’s the imperative of this economic relief; we need a short-term safety net or a bridge, whatever you want to call it, to get producers from this crisis into an area where they can start to take advantage of some of these changes.”

Another bright spot, he says, is how effectively the industry, along with he and his SCFBA co-chairs, including Cathy Burns, CEO of the International Fresh Produce Association; Mike Joyner, president of the Florida Fruit and Vegetable Association; and Dave Puglia, president and CEO of Western Growers, are working together.

“The industry has really rallied together under the umbrella of the Specialty Crop Farm Bill Alliance,” Quarles says. “Twenty years ago, this was not the way the industry worked, but the alliance has created a kind of muscle memory, where we know how to all get around the table. We know how to look at a particular situation, develop a strategy, and then everybody disperses out to where they have strengths across the United States.”

“It has really been the best of the fresh produce industry rallying together to try to get some relief for our grower members,” he continues. “I’m very hopeful that we’re going to get something positive done here.”

How to Handle Tension Before it Becomes Conflict

Wed, 07 Jan 2026 22:43:17 GMT

Conflict on farms isn’t always obvious. It doesn’t have to show up as a dramatic argument or a big blow-up moment. Most of the time, it starts as frustration over a task, strain between coworkers or even just someone quietly checking out.

While conflict can feel messy, it’s not a sign something is broken. According to Hernando Duarte, farm labor outreach specialist at the University of Wisconsin-Madison, it’s a reality of farm work.

“In labor-intensive environments like farms and other agricultural operations, conflict between employees [and family] can happen,” Duarte explains. And on farms, that friction is hard to avoid.

Conflict Can Feel Personal

Duarte notes conflict feels uncomfortable for a reason. On a farm, long hours, physical work and constant pressure can make disagreements feel personal, even when they’re not. Sometimes, just a simple disagreement can feel like a personal attack.

“Our brains often perceive conflict as a threat, which makes it uncomfortable and leads many people to avoid it,” he says.

That instinct to avoid tough conversations is understandable, but avoiding conflict doesn’t make it disappear. According to Duarte, the difference between a farm that struggles and one that moves forward often comes down to how leaders respond when tension shows up.

Most Conflict Starts Below the Surface

Sometimes a disagreement looks like just part of the daily grind, but Duarte emphasizes that understanding what’s underneath the issue is the first step toward solving and preventing conflict in the future.

On farms, those underlying causes often include:

Misunderstandings about expectations or tasks
Different work styles and decision-making speeds
Unclear roles or responsibilities
Cultural or language barriers within diverse teams
Stress and fatigue during peak seasons
Generational differences in values and priorities

None of these are unusual in agriculture, they’re often just a natural part of running a farm. More hands and different perspectives can sometimes cause small misunderstandings, but that’s just a normal part of working together as a team.

Turning Conflict Into Progress

It can be tempting to hope tension works itself out. But Duarte warns that avoiding conflict usually makes the situation worse.

When conflict is ignored, Duarte says farms often see:

Lower morale and growing frustration
Reduced productivity and focus
Higher employee turnover
Declines in performance, quality and safety

Unresolved conflict doesn’t just go away. Left unaddressed, small tensions can grow and start affecting how the team works together.

“Conflict doesn’t have to be a negative thing,” Duarte says. “When handled properly, it can lead to stronger communication, better teamwork and long-term improvements and innovation.”

Handled well, conflict can actually move a team forward. Duarte encourages leaders to:

Create space for private, respectful conversations
Listen to all sides without interruption
Look beyond surface issues to understand the real concern
Refocus discussions on shared goals, including a safe, productive, respectful workplace
Agree on clear next steps, responsibilities and follow-up
Bring in additional support if issues repeat or escalate

Addressing conflict early helps keep small issues from turning into long-term setbacks and gives teams a chance to work better together.

Leadership Sets the Tone

At the end of the day, Duarte says resolving on-farm conflict starts with leadership. If managers ignore tension, people notice. If they step in and handle issues calmly and fairly, the whole team feels more confident.

Leading by example, communicating clearly and checking in regularly all help reduce future conflict. Training supervisors to handle small issues early can keep them from becoming bigger disruptions later.

Conflict isn’t fun, but it doesn’t have to be a bad thing. When it’s handled the right way, it can actually make the team stronger. It’s a chance to build trust, clear up expectations and keep everyone moving in the same direction.

Automate or Relocate: The $1,600-Per-Acre Crisis Facing U.S. Growers

Tue, 30 Dec 2025 21:11:24 GMT

Walt Duflock, senior vice president of innovation with Western Growers, says it’s a challenging time for ag labor. While the domestic labor supply has dwindled, more growers have used the H-2A guestworker program, he says.

“Every time we turn around, we’re talking about labor shortages in the fresh produce industry,” he says. “How bad is it? It is bad, and it’s not getting better.”

Duflock, whose organization represents around 2,300 growers, joined “AgriTalk” to discuss the current state of ag labor and the challenges to automation. Duflock says those growers using the H-2A guestworker program have additional regulatory costs, which have caused wages to skyrocket.

“A lot of folks said, boy, when we get to $20 an hour for farm labor, that’s going to be Armageddon,” he says. “Well, we zip right past that with H-2A because you throw an adverse effect wage rate, which is the minimum wage for those folks, into the mix. That’s almost $20. And then you house them, you transport them and you feed them. That’s $28 to $30.So the fastest growing percentage of California labor right now is the highest cost part of it. And there’s no end in sight.”

Duflock says an analysis by California Polytechnic State University, San Luis Obispo, calculated the true costs of ag labor. In 2005, that figure was $109 an acre. In 2017, that number jumped to $977 an acre. In 2024, that figure came to $1,600 an acre.

“Same farmer, same operator, same crop, 20 years apart, $1,600 per acre per year,” he says of which is about 80% in labor.

So, what is the industry to do? Duflock says it’s simple: automate or relocate. He says using the Census of Agriculture data from 1997 to 2022 and then projected to 2052, he estimates the state of California will lose a significant number of farms.

“We are forecast to lose one-third of our acres in California and over half of our farmers in 50 years,” he says. “So, we will be down to less than 20 million acres from 2029. We will be down to 43,000 farmers from 87.”

Duflock says a lot of that attrition is due to production moving outside the U.S. to other countries with less regulatory pressure, better water availability and a steady stream of labor. But, for U.S. growers, technology is a strong path forward.

“Right now, where we’re making progress is on the non-harvest activities,” he says. “That’s about one-third of the hours.”

Duflock says growers paid about $16.3 billion for about 850 million hours of labor. And automating the non-harvest tasks is a start, but harvest is a real challenge, as it makes up the lion’s share of the labor needed.

“We’ve effectively got zero percent of fresh harvest automated at the moment,” he says. “That is 560 million hours that we bought last year.”

Duflock says he sees the potential for about 15% to 20% of harvest automation in the next few years, but to get there, there will need to be industry investment.

“We need private-public, and we need some new investment strategies for harvest,” he says.

Farm Journal Announces 2026 Top Producer Award Finalists

Tue, 16 Dec 2025 17:31:04 GMT

Farm Journal has announced three finalists for the prestigious 2026 Top Producer of the Year Award, honoring some of the most progressive and successful farm operations in the country. The winner and finalists will be formally recognized at the 2026 Top Producer Summit , agriculture’s premier executive-level conference for elite farmers and ranchers, which is set for Feb. 9-11 in Nashville, Tenn. Also presented at the event will be the Next Generation Award and Women in Agriculture Award.

“The Top Producer Awards celebrate operations that are building resilient, innovative and future-focused businesses,” said Margy Eckelkamp, brand leader of Top Producer. “These finalists and award winners represent the very best of modern agriculture: strong family leadership, diversification, technology adoption and an unwavering commitment to excellence.”

2026 Top Producer of the Year Award Finalists:

Alsum Farms, Friesland, Wis. – A multigenerational family operation producing potatoes, pumpkins, hay, alfalfa and other rotational crops across more than 3,600 acres. The business is fully vertically integrated, overseeing production, packing and marketing. Leadership spans generations with the founder serving as CEO since 1981 now working alongside his two daughters who hold leadership roles in the business.

Dalton Farms, Wakeman, Ohio – A seventh-generation family farm led by Rebecca and Edward Dalton. The operation includes 2,000 acres of corn and soybeans, a 400-head cattle herd with direct-to-consumer beef sales and a growing on-farm market offering locally-sourced chicken, pork and maple syrup. Their story reflects both diversification and successful generational transition following a family split in the 1990s.

Splitter Farms, Sterling, Kan. – Led by Matt and Janna Splitter, this Kansas row-crop operation spans 1,400 owned acres with nearly 18,500 acres farmed annually through cash rent and custom work. After the sudden passing of Matt’s father in 2010, the couple returned to the farm and scaled the business using data-driven decision-making, strong landowner relationships and disciplined business management. Notably, this marks the first time a previous Next Generation Award winner has advanced to a Top Producer of the Year finalist.

The 2026 Top Producer of the Year award is sponsored by BASF and Fendt.

2026 Next Generation Award Winner

Tim Nuss, El Dorado Hills/Lodi, Calif., is the 2026 Next Gen Award winner. Nuss farms garlic, tomatoes, peppers, melons, herbs, pumpkins, cucumbers and grains with his father and brother while also building a powerful off-farm ag influencing business. He serves as CFO of Nuss Farms. He’s also head of business development at Polaris Energy Services, an ag tech irrigation company, hosts the “Modern Acre” podcast, and recently co-launched AgList, an online biologicals review and ratings platform designed to bring transparency to the ag inputs marketplace.

The 2026 Next Generation Award is sponsored by Pioneer and Fendt.

2026 Women in Agriculture Award Winner

Helle Ruddenklau, Amity, Ore., is the 2026 Women in Ag Award winner. Ruddenklau Farms in Oregon’s Willamette Valley, growing grass seed, wheat, vegetables, peas and hazelnuts. Originally from Denmark, she immigrated to the U.S. at age 15, later meeting her husband, Bruce, while on an exchange program in New Zealand. In addition to serving as CFO of their farming operation, she is deeply involved in ag advocacy and economic development, working through organizations such as Oregon AgriWomen, AgLaunch and SEDCOR to strengthen regional agriculture through supplier and industry partnerships.

The 2026 Women in Agriculture Award is sponsored by Pro Farmer.

All finalists and award winners will be recognized on stage for their excellence in the business of farming at the 2026 Top Producer Summit, where the nation’s best producers gather to advance leadership, management, technology adoption and succession planning in agriculture. Learn more about Top Producer Summit and Top Producer of the Year awards at tpsummit.com.

How 2025 Policy Shifts Will Define Farm Labor in 2026

Tue, 16 Dec 2025 13:49:06 GMT

Editor’s note: This is the final story in a series exploring the current state of labor in the fresh produce industry.

The ag labor landscape looks much different at the end of 2025 than it did in January, amid several policy updates. The fresh produce industry has long advocated for the need to reform and streamline the H-2A guest worker program, and some changes have come to fruition.

The year featured several key shifts. In August, the USDA’s National Agricultural Statistics Service announced it would discontinue the agency’s Farm Labor Survey, which the Department of Labor previously used to set the minimum Adverse Effect Wage Rate. In October, the DOL issued an interim final rule that fundamentally changes how the AEWR is calculated. In addition, the Department of Homeland Security moved to streamline the H-2A petition process, a change that now allows DHS and the DOL to concurrently process H-2A visas. Finally, the Trump administration also took steps to halt and repeal the DOL’s controversial 2024 Worker Protection Rule.

“We’ve had a great 2025 both on the regulatory side,” says Michael Marsh, president and CEO of the National Council of Agricultural Employers. “I’m optimistic we’re going to be able to get a lot done in 2026.”

Diane Kurrle, senior vice president of the U.S. Apple Association, says that, for the most part, these regulatory changes are a win for the industry.

“What’s in the interim final rule is much better from the perspective of the apple industry than what the status quo had been, which was pushing apple growers out of business,” she says. “Which was driven by just the dramatic increases that AEWR had year after year and how out of sync it was with the rest of the economy.”

Ending the Farm Labor Survey is another positive step, Kurrle says.

“The fact that USDA did make the decision not to continue doing the Farm Labor Survey and using that as the basis for the AEWR is also something that we’ve been advocating for a number of years, and so that too was something that I would consider a victory for USApple and for all H-2A users,” she says.

Optimism hasn’t necessarily been something associated with ag labor. There are a few matters with these policy updates that need to be ironed out, but the industry, at first glance, appears cautiously optimistic looking ahead to 2026.

Potential Challenges

With comment period for the interim final rule on how AEWR is calculated now closed, the industry awaits any potential updates to the rule. There have also been some legal challenges that will play out in court.

In November, the United Farm Workers of America, the UFW Foundation and individual farmworkers filed a lawsuit in the U.S. District Court for the Eastern District of California to halt the interim final rule.

“Our understanding is that the administration is going to step in and defend that rule,” says Rebecca Hause-Schultz, a partner with Fisher Phillips, a law firm that specializes in labor and employment law. “We expect there will be groups filing amicus briefs in support of the rule.”

While this law isn’t perfect and there are questions about how the Standard Occupational Classification codes in the interim final rule would be assigned, Hause-Schultz says this is a net positive.

“I think, on the whole, the industry is happier with the interim final rule than an AEWR that was spiraling out of control just exponentially year over year,” Hause-Schultz says. “So, we expect there to be some support in the industry to support the administration’s effort to defend that rule and the rollout and what they did.”

Implementation Challenges

Kate Tynan, senior vice president for the Northwest Horticultural Council, agrees, noting that she hopes for more clarity as the DOL assesses public comments.

“It’s now just more a matter of understanding exactly how to apply [it]. Is a job going to be considered Skill Level 1 or Skill Level 2? I think that’s the biggest question folks have, which again, it’s more of an administrative issue,” she says. “Anytime you have a new regulation come out, especially with a program that’s already as complex as the H-2A program, trying to understand how that’s all going to play out is always a challenge. It’s good news across the board. It’s just kind of the devil’s administrative details of this structure.”

Hause-Schultz says one thing she’s heard from clients is a lot of inquiries on how other agricultural operations will set wages for 2026.

“The biggest question I’m getting is, ‘OK, what are we doing? Are we keeping rates? Are we freezing rates? Are we going down to the minimum that we can pay? Are we kind of meeting somewhere in the middle? What are we doing in response?’” she says. “That has been all over the map of what employers plan to do for their next contract.”

Tom Bortnyk, senior vice president of development and general counsel for H-2A provider másLabor, says one bright spot in some of this wage variability is the potential for upward mobility of farmworkers, where new workers without experience might start at a lower wage with the potential to reach the wages of established workers.

“You start to see market forces, even though this rule has only been in effect for a couple of months, where they say, ‘OK, now workers have some choice,’” he says. “Now there’s actually competition in the labor market. And now, on top of that, there’s upward mobility for the first time.”

Additional Considerations

Hause-Schultz says another thing to keep in mind is that with any major change, leadership must communicate these adjustments to workers openly and transparently.

“I’m a big proponent of having informational sessions with employees whenever there is a large change in your operation and being candid about this is what we’re doing,” she says. “This is why we’re doing it. Here’s how it’s going to impact you and information about who to contact. If they have further questions, just open lines of communication, I think on both sides — so that the employee does feel heard and doesn’t feel like they need to go to a third party to get that open ear and line of communication open — so that you’re that entity that they trust.”

Having an approachable person in human resources who can communicate effectively with employees is important, as changes like this, especially if an operation makes a huge wage shift, could leave an agriculture employer open to outside campaigning, Hause-Schultz says.

There’s also the potential for a government shutdown that could also impact H-2A visa processing. However, the produce industry advocated for the DOL to make those processing visas essential during the 43-day shutdown this year. Funding runs out Jan. 30, 2026, which could not come at a worse time for those using the H-2A program.

“That’s when we start filing all those petitions for all those needed workers that we don’t have coming out to the farm and on the ranch,” says NCAE’s Marsh.

Chris Ball, CEO of másLabor, says that while there might be potential issues with visa processing, it’s likely the specialty crop industry won’t truly understand the impacts of the Department of Government Efficiency workforce cuts until March or April. He does say the administration has been working to mitigate potential issues. Consular capacity and appointment availability and the impacts of any reductions in workforce at the State Department could impact H-2A recruitment.

“We don’t know what, how much staffing they’ve cut at these consulates,” Ball says. “So, until we start trying to make these appointments ... we’re just not going to know what that looks like compared to previous years.”

Looking Ahead

Marsh says he hopes to wrap up the litigation that is ongoing with the departments of Labor and Homeland Security, as well as pending AEWR litigation filed in the U.S. District Court for the Middle District of Florida in Tampa.

“We’ve been in negotiation with the Department of Justice to try to put more of a bow overall on that litigation and make sure that something like the Farm Labor Survey can never again be misused to establish wage rates in the H-2A program,” he says.

Marsh also hopes to finish rulemaking for the rescission of the worker protection rule with the Department of Homeland Security.

“The administration will be reviewing all of the comments that they received on that regulation, and that will become a final rule after it goes through that process,” he says.

NCAE has been working with the State Department to provide more transparency on the visa processing, as some growers that use farm labor contractors also have had workers tied up in administrative processing, Marsh says.

Mike Wenkel, chief operating officer with the National Potato Council, says one of the big hurdles in 2026 and beyond will be how the government addresses the existing workforce. He says the administration’s policy is that those who are here illegally need to go home and return through legal channels.

“What does that continue to look like as the administration works through their overall immigration policy, and how do we keep the workforce needed for agriculture in place? That, to me, becomes a question of: If it’s everyone needs to go home, be deported ... and your only way to come back into the country is H-2A, can we meet the needs through that program? Can we legislatively or administratively create a process to allow those individuals to continue working, not as citizens, but give them that temporary legal status?”

As the calendar turns to 2026 and midterm elections loom, there is concern about whether Congress has the appetite to tackle big legislative changes when it comes to ag labor.

“There’s been an agriculture emergency with regard to ag labor costs now for the better part of a decade, and they haven’t been able to get something across the finish line,” Kurrle says.

Wenkel says it’s likely the window for legislative change gets smaller as the calendar inches toward 2026, but it’s something the Ag Workforce Coalition monitors to see if something can happen.

“The time to strike is now,” Marsh says.

Sources say U.S. Rep. GT Thompson, R-Pa., has been working on a piece of legislation to address ag labor following the policy updates, which pulls from recommendations made in the Agriculture Labor Working Group that Thompson chaired. There’s the potential between now and the end of the year that Thompson introduces this legislation and likely has support from House leadership.

Marsh says those recommendations made in the bipartisan Ag Labor Working Group were made by those working in the ag labor space.

“It actually was developed by the people who actually use the program, rather than politicians thinking they know what’s best,” Marsh says. “Agents, attorneys, farmers and ranchers developed this proposed legislation, so hopefully the chairman will utilize a lot of that data.”

Bortnyk says there could be more policy updates coming in 2026 to help ease some regulatory burdens and make the H-2A program more predictable and stable.

“What I would say to anybody who’s trying to look into the crystal ball and try to figure out what might be coming next, I think a good starting point would be looking at what the H-2A working group put together when [U.S. Labor] Secretary [Lori] Chavez-DeRemer was in Congress,” he says. “Famously, she was on the congressional working group that looked at the H-2A program and looked to possible recommendations for program changes and improvements, and a lot of the things that they’ve already done since taking office have been on that list of recommendations by that working group.”

Your next read in this series:

From Commodities to Craft Grains: The Farm Built on Constant Change

Mon, 24 Nov 2025 15:05:44 GMT

Arnusch Farms is in a constant state of evolution. Specifically, its CEO Marc Arnusch says they reinvent 10% to 15% of the operation every year.

“A lot of farmers will measure success on a balance sheet or rate of growth. We measure ours on implementation of successful ventures,” Arnusch says. “This could look like a different planting technique, cultural practices or something as complex as adding a crop like black eye peas, or a value-added process such as in the craft grains space that would get us one more rung up the ladder.”

For his leadership on his farm, growth of the business and excellence in entrepreneurism, Arnusch was named the 2025 Top Producer of the Year, sponsored by BASF, Fendt and Rabo AgriFinance.

“Looking in the rear view mirror, we understand the tradition and history that brought us here. But we aren’t a ditto of my dad’s operation or our neighbor’s.”

Decommoditize Products
Located in Colorado’s Prospect Valley, Arnusch Farms grows more than half a dozen crops across 3,000 acres.

“My tenure of leading the farm will be one of change. We are always pivoting,” he says.

Alongside his wife, Jill, who works as the farm’s controller, guideposts in business include tracking business metrics, such as revenue growth, profit margin, asset expansion, risk management and capital reinvestment. Rooted in data for his decisions, Arnusch is empowered to make tough realizations, such as one 20 years ago seeing how diversifying into nine different crops didn’t equate to profitability. That pivot led to a focus on value-added crops.

While his family’s legacy goes back to immigrating to the U.S. and to eastern Colorado to specifically grow sugar beets, Arnusch led the divergence from tradition to seek profitability and greater opportunities. Today, that vision has manifested into growing grains for the craft beer and spirits industry, which are used at 450 brewers and more than 30 distilleries.

“Looking in the rear view mirror, we understand the tradition and history that brought us here. But we aren’t a ditto of my dad’s operation or our neighbor’s,” Arnusch says.

At the root of his desire to be agile is to be able to recognize the risk that is inherent to production agriculture.

High risk, high reward has been a lesson learned firsthand. One example is the accelerated approach he took to growing onions, going from zero acres to being the third largest onion processor, packer and shipper in the state in four years. But that growth was abruptly met with labor issues at harvest, paralyzing the operation.

Arnusch shares while he’s driven to be nimble and stay flexible, when opportunities arise, he’s learned to balance the excitement of opportunity with a systems approach.

Arnusch has become a student of external forces and how they create opportunity.

“I watch trends. I used to watch them on the national scale. But I started to become more focused on the local side. Our venture into food grade corn, it wasn’t for alcohol, it was for the growing Hispanic population in the West, and therefore the expanding market for tortillas. That’s what had me asking questions like, could we play in that space? Could we grow that crop?”

Arnusch says the industry is often too focused on the current growing season or maybe the next, and something he’s found that sets him apart is his focus on the future.

“We have to focus on 25 years out, and we’re asking ourselves: Will the business still be relevant then?” he says. “My grandfather floated the ocean in 1952. He wanted to grow sugar beets. We may follow that signal, and go where food grade corn is grown, or cereal grains for spirits can be grown.”

AI Game Changer
To give certainty to decisions and reduce blind spots, Marc Arnusch says there is no tool like artificial intelligence.

“For a farm business, this is a bigger game changer than GPS and autosteer,” he says.

Mostly leaning on Chat GPT and Grok, Arnusch says the tools help on the strategic side of things as they narrow down potential decisions into a handful of options instead of an unmanageable amount.

“I set my phone on the console of the truck, talk to AI, outlining what is the problem, where are the challenges, and it helps me narrow my focus,” he says. “Then, most often, I talk with my wife, Jill, and instead of telling her 50 different angles to a story, we have a much more focused conversation in how we problem solve.”

Arnusch admits he believes AI will bring more positives to the industry, but regardless of an personal position on the technology, he encourages every farm to be aware and try it.

Exemplify Resiliency
“We are in the de-risk business,” he says. “We pride ourselves on seeing around the corner, understanding what we can control and insuring against what we can’t control.”

He points to two breakthroughs.

One is moving away from yield protection and revenue protection. Instead, since 2012 they have been a pilot farm for Whole Farm Revenue Protection insurance with NAU Country Farm Insurance Company.

“We are insuring our farmgate revenue over a five-to-six-year period. It allowed us to have predictability for farm gate revenue. It allowed us to insure crops we didn’t otherwise have coverage — like alfalfa. And we took risks with specialty crops that were high risk and high reward,” he says.

Arnusch says it also simplified the claims process, which relies on tax record information, which has already been aggregated.

The second risk management tool Arnusch says was a breakthrough is joining a captive insurance company 25 years ago. The first captive company he joined was via Colorado Corn Growers to underwrite workman’s compensation insurance. Since then, he’s joined a diversified group of business owners to form his current captive pool, with about 120 policy holders.

“Our risk is spread across industries such as construction, real estate and medical,” he says. “That diversification helps us manage exposure and better understand our insurance needs. It’s also allowed us to identify and insure areas we hadn’t considered before — things like cybersecurity, key personnel and certain property and casualty coverages.”

The captive provides error and omission coverage, which includes an instance for coverage in the first year of participation when a seed customer received the wrong herbicide- tolerant seed, a $54,000 mistake. The captive company adjudicated the claim, and Arnusch says the customer was retained.

Change has also illustrated itself in him stopping ventures or services he’s provided.

“We exited the wheat seed business in 2023. I pride myself on doing a good job for the customer, and I wasn’t able to service the customer as I wanted,” he says. “When service starts to suffer, something needs to change.”

(Yvonne Min Photography)

Environmental Steward
Where he farms in Weld County, Colo., there are two water sources: surface water diverted from the South Platte River and the Lost Creek aquifer. He saw this as an opportunity to form a water leasing business, Ag Water Alliance.

“We have dependable water supply, but there are competing interests, mostly municipal, some industry,” he says. “We created an opportunity to lease water rights for a number of years to the energy sector.”

The income from the water rights has helped buffer the variability in ag profitability. For example, in 2018, a series of 11 hail storms led to Arnusch Farms harvesting only 22% of their planted acres. Without the combination of crop insurance, property and casualty insurance and water leasing revenue, the farm might not have been able to persevere.

Arnusch has also weighed the value of the water with crop productivity and soil health to implement a rotation of idling acres, planting cover crops and applying manure.

Employer of Choice
Arnusch says as a leader on the farm, he’s most proud of how he’s invested his time into focusing on creating a culture for the team.

“One of the ways we’ve improved communication is our approach to meetings, which we changed in 2021, with the goal of having everyone ‘in the know,’” he says.

Every Monday, the week starts with a 30 minute all-team meeting talking about jobs of the week, metrics on performance and setting schedule expectations. It also includes a brainstorming session.

“We belt and suspender the weekly meetings with 10 minute daily stand-up discussions to review what we did yesterday, who is on what task and scheduling expectations,” Arnusch says. “You put your best people on the hardest job, but within their skill set. It’s tricky. When we do it right, it works flawlessly.”

Arnusch says earlier in his farming career, he lacked an understanding of how important culture is to a business.

“As we developed our approach to vertical integration, we willed things to work,” he says. “It was a management breakthrough for me to understand the culture piece. It was a bigger educational undertaking than anything agronomic.”

Arnusch Farms uses a tool called Culture Index for all team members and vendors.

“The tool we use, along with the help of AI, determines who a person is as an individual and compares this to the job description they have,” he says. “At no fault of their own, we had set up people to fail. It wasn’t because they weren’t working hard or doing the job, but it was stretching them beyond what they do best.”

He shares a recent example from this fall of hiring a farm foreman who has a near perfect match as an individual and to the job description.

Role Model and Community Leader
Arnusch Farms’ legacy is now being rewritten on the first land the family had farmed.

“I bought my grandfather’s farm in 2018, and that farm started everything, but it’s right on I-76, so I knew it had development potential,” Arnusch says. “But I thought it would be in 25 years - not five.”

“I knew it had development potential. But I thought it would be in 25 years — not five.”

Currently, Arnusch is working to develop 262 acres to provide a mixed-use of residential, commercial, retail hospitality, community, civic and healthcare uses.

“We have an opportunity and an obligation to do this different and build amenities and services at the hallmark of our development. An important aspect our community needs is assisted living and aging-in-place residences,” he says. “If everything is successful, we’ll break ground in 2026.”

His vision includes keeping the farm house and an adaptive reuse agriculture education space, along with a small restaurant and possibly a distillery.

“I understand change is hard for many people. Our plan has gone to the town council three times and earned unanimous approval each time. This plan puts people first, and when you do that, you begin to take the edge off of change,” he says.

Arnusch is the current president of the Keenesburg Chamber of Commerce, and he proudly says when he first joined the organization it had 38 members. Since then, it has swelled to 90. The family also recently bought a building on Main Street to keep the local NAPA and hardware store tenant in place.

“I am a farmer who is choosing to plant seeds in a lot of different fields: my own farm, in the community and seeds in young people.”

Seeds Planted for the Future
“I am a farmer who is choosing to plant seeds in a lot of different fields: my own farm, in the community and seeds in young people,” Arnusch says.

As harvest wraps up, Arnusch says his farm’s next task will be to bring together his farm with his son’s, Brett. Whereas they have been operating two separate businesses and then partnering on machinery and labor, such as at harvest. Arnusch says the biggest launchpad for opportunity he was given was when his own father, Hans, stepped away from the farm.

(Yvonne Min Photography)

Going forward, Brett will take over day-to-day operation, and Marc will transition to a role as president.

“This is what it will take for us to move the ball forward. I’ll manage trucks, markets and try to move some of our specialty business, such as food grade corn, forward,” Arnusch says. “It’s time for the youth on our team to put their imprint on the farming operation. I never thought of it as just mine.”

His mentoring extends beyond the fields of his farm.

“My next metric on how I’ll measure success is how I’m doing teaching and encouraging tomorrow’s producers and visionaries today,” he says.

(Farm Journal)

Attend the 2026 Top Producer Summit and learn about this year’s finalists as well as the announcement of the 2026 Top Producer of the Year.

What Does the Future Hold for Labor in an Ag Tech World?

Mon, 17 Nov 2025 22:13:26 GMT

Editor’s note: This is the latest story in a series exploring the current state of labor in the fresh produce industry. This is the second of two pieces exploring the role of technology and its relationship to ag labor.

Technology’s role in farming is nothing new.

From the advent of plowing to autonomous equipment, it’s easy to think of ag tech as human versus machine. But some in the fresh produce industry say the relationship between technology and labor is more nuanced.

“There is a well-established and well-founded focus on agricultural technology as labor-replacing,” says Peter O’Driscoll, executive director of the Equitable Food Initiative. “As workers were trying to improve their wages and conditions, they saw mechanization as a direct threat as a labor replacement.”

Now the circumstances are different; it’s easy to think automation is a threat to ag workers today, but that’s not the case, he says. There’s an ag labor shortage due to an aging workforce not being replaced by the next generation, and there’s more dependency on the H-2A guest worker program.

“Many growers are thinking, ‘If I get robots, I won’t have to hire workers,’” O’Driscoll says. “But when you get into the details, it’s never that simple.”

Instead, he sees the future of ag tech as more supporting of labor versus being an outright labor replacement.

“It’s inevitable, it’s obvious in a labor shortage, why the industry can and should be focusing on introducing new agricultural technologies,” he says. “But how often is that question asked around the difference between investing in labor-replacing versus labor-enhancing?”

And ag labor will play a very different role in the future of these new technologies, says Gabriel Youtsey, chief innovation officer for University of California Agriculture and Natural Resources.

“The question is, as new tech comes, who is going to pick the food?” he says. “It’ll be different than what it’s been, and what is the nature of the workers’ relationship to technology going to be on the farm?”

Different workforce

Tim Bucher, CEO and co-founder of agricultural technology company Agtonomy, says that while the future might look bleak for growers with a dwindling labor pool, there will be a significant shift in how the work will be done in the future and who will do the work.

Bucher says in lieu of advertising for tractor drivers, some of his customers who struggle to fill roles advertise for ag tech operators with video game experience.

“What automation is doing is bringing a new labor force into the picture that the technology now excites them,” he says. “It’s Farmville for real.”

And that’s exactly what Steve Mantle, founder and CEO of innov8.ag, an agricultural technology company providing data-driven solutions for growers, sees too. Mantle says he and innov8.ag have been working with a Ph.D. candidate from MIT on some really interesting predictive modeling for labor. But what’s interesting is this student didn’t grow up on a farm and is still interested in tackling the challenges facing agriculture. He says there’s a bright future in agriculture for a different type of workforce.

“I feel like there is so much of an opportunity to take your gaming type kids and your kids that came out of the womb with an iPad,” he says. “It comes back to how they think in data, even though they don’t necessarily think about it in these games and tactics and how many points do I have, and so on. How do we help them?”

Training

Tyler Niday, CEO and co-founder of Bonsai Robotics, says as more and more automation becomes available and accessible, so too does the question of the labor needed to run this equipment.

“A lot of growers actually say: ‘Hey, who do I need to hire to run these machines? Do I need a foreman with a college degree who knows a little more, who’s a little more tech savvy?’” Niday says.

And, O’Driscoll says, even if agriculture moves more toward labor replacement, there’s still going to be a strong need for human labor.

“Who’s going to train that robot? Who’s going to manage that robot?” O’Driscoll says. “So, the reality is, we’ve got a shrinking domestic workforce, we’ve got increasing demand for the product and so whatever we do in the form of automation, even if it’s labor replacing automation, you’re still going to need a workforce that has the skills to interface with this new technology.”

Youtsey says this is one of the goals of the newly formed California AgTech Alliance: to establish training and curriculum to educate the next generation of ag laborers with more of an emphasis on technology. He says it’s taking the form of drone training and general ag tech classes at different colleges in the state with the goal to offer certifications for different aspects of ag tech.

“As new skills like drone flying and robotic weeding and handling start to come online, and that gets added into the stackable certificate program, along with very basic things like English, mechanics, diesel mechanic, basic math proficiency, which are actually the three top things cited by ag employers as the things that they need from their workers,” he says. “They’ll be able to demonstrate higher-order skills that will translate into technology.”

Youtsey says, however, there’s a bit of an art to predicting the next emerging solutions and the skills needed to operate that technology.

“We’re sort of trying to skate to where the puck is going to be while we’re also supporting the now needs, which are English, basic math and mechanics,” he says.

And, Youtsey says, there’s also a focus on artificial intelligence and, therefore a greater need for AI-proficient workers.

“We’ll start to see the replacement of different kinds of workers with AI-based solutions, so we also actually need an AI-enabled workforce that knows how to use AI tools,” Youtsey explains. “We will have to learn how to harness those tools to be super producers. And if done right, they’ll create outsized productivity for one person.”

An AgSocio equipment operator is shown with a Farmwise Vulcan intrarow weeding machine.

(Photo courtesy of Equitable Food Initiative)

Easy Tasks

Mantle says a lot of what he sees in the immediate future with labor is the ability to streamline efficiencies throughout the farm with different types of automation. It’s not necessarily going to be the addition of a large piece of equipment, but more the ripple effect of smaller changes.

“A lot of the work that we’ve been doing, it’s useful and it’s not super sticky, is what are growers truly tossing and turning about at night, and it’s their finances,” Mantle says. “And what’s the biggest part of their finances? It’s their labor. There’s all this noise around tech and how it can help save the world for them. So, in a grower’s mind, what’s the role of human labor? How do we evolve it on the farm, given all this technology?”

He likens this to Maslow’s hierarchy of needs. He says it’s a little different for growers with bankers and payroll as the most basic need, working up to fertility and automation, but he says many growers can’t get to those higher needs because of the extreme cost of labor.

“I can think back to sitting down with some of these CFOs, where they literally have all these spreadsheets and looking at all these different data points and trying to connect the dots,” he says. “And they’re just trying to figure out how do I unlock efficiencies in this, and how do I use labor, including even their own labor, planning to improve or basically better manage their costs.”

And so, Mantle says innov8.ag has focused on bridging the skills gap in the C-suite as well as in the skills future workers will need.

“It comes back to the gains, the lower hanging fruit, meeting the growers where they are in that Maslow’s hierarchy, bringing that data into the actionable results, where they have the intrinsic pain points that are actually adoptable and then along the way it unlocks where they can start rising back up this pyramid,” he says. “What can I implement now for better labor management on things like labor planning for next year?”

O’Driscoll says labor management goes back to the ultimate question of labor assist versus labor replacement, with labor-supporting technology helping make the existing workforce more productive and efficient, which he says will be more beneficial in the short-to-medium term.

“Some of the really impressive new technologies are labor-supporting,” O’Driscoll says. “For example, in strawberries, having these mobile platforms means workers don’t have to run up and down the rows with their boxes. The robots will carry their boxes to the end of the row. They can be more productive, especially if they’re piece rate and there’s less risk of slip and fall injuries or time lost in running to the end of the row or anything else. So those kinds of efficiencies are good for everybody, right? They’re good for workers, and they’re good for the employer, and they’re much less sort of pie in the sky than when will we actually get the robot hand to learn to twist the berry before they pull it.”

With ag labor being such a tough job, investing in technologies that can reduce repetitive motion injuries benefits the whole of agriculture.

“That’s the perspective we bring based on innumerable conversations with workers who actually want to stay in the industry, but for whom it’s not going to be sustainable absent some sort of an investment,” he says. “That doesn’t mean we shouldn’t be investing in technological innovation in strawberries, but if it makes the folks who are doing the work now want to stay and makes their work easier and more productive, that’s better for the grower and better for the work, and that’s the win-win.

Involving Employees

Any addition of a new piece of technology is an interruption of existing work processes, O’Driscoll says.

“So, however efficient or effective this technology is, it’s still going to have to be integrated,” he says. “It’s going to create change in the work processes and systems change produces unintended consequences up and down the line. So, the simple introduction of technology that doesn’t account for the changes, that doesn’t integrate the workforce in the introduction of that in the design and introduction of the technology is probably destined to fail, even if it’s a really effective robot.”

O’Driscoll points to Semillero de Ideas, an organization that trains farmworkers as consultants to help in the creation and introduction of automation.

“Workers actually advise technologists and employers on the design of the technology,” he says.

O’Driscoll says involving the workforce in the design and introduction of technology maximizes the likelihood of success.

“Our experience in general is that people tend not to destroy things they helped to build,” he says. “Is this the 1960s battle between workers and mechanization, or is this a collaborative opportunity to integrate technologies that actually improve the productivity and the lives of workers, that introduce opportunities for skill development to workers that they feel actually helped to design?”

He says he sees this as the latter, where this will help create new opportunities for workers and offer better quality jobs. Workers, too, feel respected as a part of the process and are more likely to stay at that operation.

“The introduction of new technologies creates all kinds of new opportunities for better quality jobs,” O’Driscoll says. “This ought to be a win-win opportunity, but it’s all going to depend on whether the willingness is there to formally recognize, not just say, ‘Workers are skilled.’ But let’s go beyond saying it’s skilled labor to actually documenting the different kinds of skills that are involved and giving workers a chance to demonstrate those skills and to progress professionally. And then let’s figure out how we formally integrate their perspective and their skill into the design and integration of these new technologies.”

As for the future, Youtsey says it’s going to take creativity and patience. He says a bright side to the ag labor crisis is the investment in ag tech being made by California and others to really seek solutions. And that’s exactly what will be needed in the future.

“It’s going to take a lot of actors with a lot of creative solutioning, working together to move these solutions forward,” he says. “[Venture capital] is not going to solve it. Startups alone aren’t going to solve it. We’ve got to work in a holistic, collaborative networked way to move it forward.”

And, he says, much like what Mantle says with small introductions, the future of technology and labor will likely be a combination of a lot of different ideas.

“We’re going to have to stack some of these solutions,” he says. “It’s just going to take time. It’s going to take continuous runs at it. It’s going to take the turn of innovation to solve these things. And it’s not going to be fast.”

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New Crop Insurance Company Leverages Data to Help Growers Better Understand Risk

Mon, 17 Nov 2025 20:30:51 GMT

Andrew Burdock, CEO of Insure.ag, says he saw a strong need for specialty crop growers to have data to make better decisions on the amount of risk they undertake with a crop insurance policy. Burdock, a co-founder of Aerobotics, which uses drone and phone imagery to provide farming insights, says he also saw this need as crop insurance adjusters used Aerobotics’ insights to gain better data.

“We saw a real opportunity to, instead of doing the inspections and doing essentially audits for crop insurance companies, we could go back to our core, which was working with growers — and instead of using this data for the audits, use it for the grower to set up this crop insurance policy,” he says. “Because what we’re seeing was a lot of these numbers in these crop insurance policies were incorrect.”

Burdock says that growers might take a policy out for 1,000 acres, but there might be declining trees, pump houses, wells or missing trees that would impact claims.

“A lot of these guys had 100% stand in their policies,” he says. “It was leading to issues when a claim came around and the adjuster came out, and then there was an argument about what was in the policy upfront. We saw an opportunity, really, to become a crop insurance broker using our data to help growers put the policies together.”

Burdock says this is what started Aerobotics Crop Insurance Solutions (ACIS), which Burdock has now purchased and spun off into its own entity, Insure.ag.

“We built up quite a significant customer base there, and we’ve really helped mainly large growing groups where the guys have got 20,000 acres — very difficult to manage that crop insurance policy,” he says. We’ve always really wanted to grow this thing out. I think we’ve piloted pretty much well inside Aerobotics and it came to a point where we needed to grow the team and really like take this thing to the next level. Over the past year, I’ve been out trying to raise capital to purchase the crop insurance business out of a robotics and spin it out into its own separate entity.”

Burdock says Insure.ag will use data from Aerobotics and CropGuard to help provide growers with a better understanding of historical trends and future projections for better policies. He says growers often struggle to find the optimal coverage for both farm economics as well as potential risk.

“We have partnered with a company called CropGuard that has built technology to solve for this,” he says. “They’ve got technology that uses AI and goes and looks at historicals for your crop type in your county and also predicts how the future is going to turn out. It does a 10-year forecast analysis of different outcomes and then predicts where it thinks you would have the best bang for your buck on your crop insurance spend.”

Burdock says he wants to bring the insights from Aerobotics and CropGuard together to provide a differentiated experience for growers to help them optimize coverage, reduce waste and mitigate claim risks.

“We’ll provide the contents and inventory for your policy, make sure that’s 100% right and dialed in and no issues when it comes to claims,” he says. “And No. 2, we will help you make the best decision you can in terms of how much money should you spend on your crop insurance so that you get the best return over the next 10 years on that spend.”

Burdock says his team at Insure.ag continues to grow, and while he wants to make sure to provide great service, he wants to make sure that growers have access to the type of technology that can help ease the struggles of purchasing crop protection insurance.

“I think you really need to be leveraging technology to make sure that you know you’re adding more value,” he says. “It’s a significant investment for insurance for these growing groups and to make sure that that investment is protected and is spent wisely.”

How to Get 20-Plus Years Out of Your Drip Tape

Thu, 13 Nov 2025 19:20:02 GMT

What does it take to get drip tape to last for over 20 years? A lot of TLC, according to Brian King, farm manger of Fagerberg Produce.

The northeastern Colorado operation mostly grows a variety of onions as a direct-to-retail crop. King says the company was one of the first in Colorado and the nation to install permanent subsurface irrigation. It has roughly 1,000 acres under drip tape today, with one line running down the center of 28-inch beds at 8.5 inches deep for its onions. It uses majority ¾-inch tape with emitters at 12-inch intervals with some runs as long as 1,700 feet.

King estimates that the farm is about 80% of the way through replacing its original drip tape, some of which is 24 years old now. But the average lifespan is closer to 20 years, he says.

“I think the biggest key to our success is the care that we put into it and the attention to detail,” he says, adding that extensive filtration is the third rung on their overall strategy. Without those three elements, “you’re not going to be able to keep tape for 20 years.”

He says it’s not hard to do, but it is a lot of work — though it is work that pencils out for the farm.

King, who is originally from Texas, used to use single-use drip tape growing onion starts down near the Mexican border. He describes that tape as being half the cost of the tape Fagerberg uses, but since it gets replaced every year, the disposable drip tape gets “super expensive” fast. The permanent drip tape they take care of, on the other hand, is well worth the cost.

“For us, it’s a no-brainer because we’re keeping it in 20 years,” he says.

King walked The Packer through exactly what care, attention to detail and filtration looks like on the ground to get 20-plus years out of drip tape.

No. 3: Filtration (and lots of it)

King explains that Fagerberg does extensive filtration.

“We’re way overkill on our filtration,” he says. “Any drip company could come in here and tell you that we probably have three or four times the amount of filtration that we actually need.”

In practical terms, overkill means three identical filtration stations capable of handling about 4,000 gallons of water a minute, though they generally run 1,800 gallons to 2,000 gallons a minute. Well and ditch water runs through the filtration stations’ drums of specific-grit sand that gets changed every three years. The sand acts as a physical media filter.

“This is a huge pool filter is all it is,” King summarizes. “It’d be the same type of filtration that a pool would have in a house or in a backyard, but on steroids.”

Brian King of Fagerberg Produce explains the “overkill” filtration system that the farm uses to ensure the longevity of its drip tape.

(Photo by Kerry Halladay, Farm Journal)

No. 2: Attention to detail

Active filtering isn’t the only way Fagerberg pays close attention to what goes through its drip tape with an eye to its longevity. While the operation does “a ton of fertigation and chemigation through the drip,” King says he is exceptionally picky about what goes through the lines.

“Even a soluble powder that’s mixed in with water, I probably won’t put that through my tape because I don’t want to take the risk of clogging my emitters,” he says. “My true test on that is I’ll ask the salesman if they’re going to come out and shovel to dig holes when the emitter is clogged. And when they say no, I know it’s probably not safe to put it through my tape.”

When it comes to the safety of the tape — which is buried 8.5 inches compared to the usual 12 inches or more for permanent subsurface irrigation — tillage is a major challenge, King says.

“A disc is going to go 6 inches deep,” he says, adding that subsurface drip tape tends to rise over time. “So, the [tape] that’s 15-plus years old is going to end up rising an inch-plus. If we run a disc across it and we’re not diligent about setting the depth right, we’re going to start cutting tape.”

So, the team at Fagerberg is very diligent about depth and positioning accuracy when running anything in the fields with the drip tape.

“One-hundred percent of our passes are going to be with an RTK GPS guidance system,” King says. If an operator is going to be close to the tape, such as when undercutting the onions, they will need to check every two to three turns to ensure accuracy.

“The attention to detail is every time we go over with any implement, even though it’s not even close to the tape, we’re going to send a crew out there to make sure everything’s set perfect,” King says.

It’s a tedious process, he admits, but it is one the team has perfected. The tenure of the six full-time, year-round team members ranges from three to 33 years.

“We’ve got a great crew here,” King says.

No. 1: Care (aka maintenance)

The work it takes to keep the drip lines maintained and clean is also tedious but well worth it for Fagerberg. King explains that, at the beginning of every season, a crew of about four will go out to check for leaks along the lines. One to three days of checking for leaks is just part of the crop plan at Fagerberg.

A leak will show up on the surface as a very visible sink hole, but has the potential to wash away seeds or new starts if they aren’t established, which can be a very costly mistake, King says.

Leaks can come from a number of sources, including mice and worms that look for water sources in winter.

“The first year we had tape, we did not put a pesticide there in the wintertime when we winterized it and when we fired up in the spring, it was a disaster,” King says. Since then, the team at Fagerberg will pump the system out and run a pesticide through everything to keep the mice and worms from chewing holes in the tape.

However, taking care of the tape during the season plays potentially the biggest role in extending its lifespan, according to King.

“At the end of every irrigation cycle that we run, maybe for the last two hours, we’re putting sulfuric acid through it,” he says.

He explains that most operators with permanent drip tape will clean out the lines with acid once a year as part of winterization, but that he prefers to do it more often. The acid cleans out any moss or algae that could potentially build up in the tape or emitters.

“I think that may be the biggest key to our longevity,” King says. “We’re keeping that tape extremely clean throughout the growing season.”

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3 Ways To Protect Your Ag Business from Cybersecurity Threats

Mon, 27 Oct 2025 14:59:14 GMT

Agriculture is in the bull’s-eye for threat actors trying to access business information. But as Chris Sherman says: “Our keys in the visor mentality” has many farmers trusting too much and putting too much at risk.

Sherman is the founder of Tech Support Farm, an IT and cybersecurity consulting business who works with farmers, co-ops, custom harvesters and more ag businesses to shore up their systems, lock down their sensitive information and stay attuned to emerging risks.

The FBI has listed agriculture as a critical infrastructure for cybersecurity.

So where do most farmers leave themselves vulnerable to hackers? Sherman shares these:

1. Email

Sherman points to email as the No. 1 priority for farmers on where to start in taking cybersecurity seriously.

“The amount of information and data we are sending via email leaves every farmer at risk — from our FSA staff, agronomists, banks and more,” he says. “Emails can be intercepted, all contents can be exposed, and no one is the wiser. It would be like a rural mail carrier, and when he drops the mail someone stands there opening it, reading it and closing the envelope and putting it back in the mailbox. Foolhardy to be using the free email services such as Gmail, Yahoo and others.”

Here are four steps to shore up your email:

Get a domain
Get a commercial email provider
Get a filtration software (which monitors what comes in)
Get a DMARC compliance service (which manages outbound emails, so no one spoofs you and encryption is done properly)

As an example of why this should be prioritized, Sherman tells the story of a farm business working on a land deal.

“A dad and son were just about ready to sign, and the dad got an email from the bank, at least it appeared to be from the bank, but it was a spoof encouraging them to e-sign,” he says. “And everyone signed, and it drained the bank accounts and blew up the deal.”

2. Be aware of your personal information shared, and embrace “herd immunity”

All to often, farmers don’t have passcodes on their phones.

“That’s like leaving your credit card at the bar,” Sherman says. “For some reason in agriculture we are running multimillion dollar businesses on residential-grade infrastructure.”

He says by the nature of the business, enrolling in government programs, immigration workforce programs (such as H-2A) and more, make your address, phone number and email readily accessible.

“It’s a wealth of opportunity for threat actors. We can’t leave our doors and windows open,” Sherman says. “So you have to protect yourself, and encourage your friends, neighbors and business partners to do the same. If we are all reducing our individual risk, we are reducing the overall risk.”

3. Use high-quality passwords

Sherman says good passwords are must-have on all your accounts, including your Wi-Fi.

“Too often, farmers have their password just be a duplicate of the network name. Or if a farmer’s favorite tractor is a John Deere 4450, 4450 is his pin for everything,” he says. “When we are on the internet, it’s like being in the big city, and you have to act accordingly.”

Take It Outside: Onetime Indoor Ag Pioneers See Opportunity Out In The Field

Tue, 07 Oct 2025 12:16:34 GMT

For the past year, the team at Soil Action has been working toward building an artificial intelligence driven product to sense soil nutrition in real-time. Whereas other companies have attempted to revolutionize soil testing before, co-founders Jack Oslan and Nate Storey say the AI tools available today are making what was once difficult or nearly impossible, possible.

“Soils are unknown and misunderstood,” Storey says. “We can use AI to understand soil better, and our goal is to come up with the instruments to solve the problem.”

Soil Action’s solution in progress includes building models and training models pairing near infrared spectroscopy with AI. Its goal is to reengineer the traditional process of sampling, shipping, agronomic recommendations, prescription files and applications while making it all in real-time. They are doing on-farm demonstrations this fall.

Before founding Soil Action, these two businessmen first met 12 years ago co-founded indoor agriculture startup Plenty. Storey’s time at Plenty was applying his laser focus on yield with innovation in algorithmic nutrition.

“I went into indoor ag because it was an area with the largest opportunity to drive yield. I have a lot of interest in yield,” he says. “In indoor, you can control everything and measure it–everything can be known in those systems and control every part of the process: root zone temperature, gas composition, and more.”

Now, Storey and Oslan want to bring those learnings outside and into the field.

“We got really good at understanding how to take an algorithmic approach to yield. It’s about understanding the yield equation, breaking it apart, optimizing individual aspects, and restacking them,” Storey says. “In row crops, the soil is the most important part, and to solve the yield equation we have know the variables that correlate and then begin to manage.”

What Does The System Look Like?

Currently, the beta version product is housed in a 3”x6” steel tube which can be mounted on any style of implement or equipment to automatically take measurements 4” to 6” deep every 50’.

(Soil Action)

“The real end goal is to have every equipment cab be mounted with an AI enabled agent to give you real-time measurements of what’s going on in your field,” Storey says. “It’s an AI agent focused on optimizing yield.”

The first testing was conducted in northern Iowa.

“We’re building our models on data collected from the field, and we’re using deep learning to ingest all of the information and help understand correlations,” Oslan says. “We can see everything that’s there, but we don’t understand everything that is there. That’s a focus for our work right now.”

“Holy Grail of Soil Sampling”

When it’s ready to be commercially available, Soil Action aims to provide results measuring two forms of nitrogen, phosphorus and potassium. Other crop nutrients will be added in the future.

“Every expert we talked to said we couldn’t use NIRS in soil sampling, but the physics said we could,” Oslan says. “We took two intensive weeks using sand and manipulating it for measurements with NIRS, and our deep learning models can untangle data in a way classical statistical methods cannot. Now, it’s about how fast we can solve for soil nutrients with these newer tools.”

Soil Action says it aims to provide the equipment to farmers for a hardware fee of $10,000 paired with a subscription for the analysis on an annual fee basis.

Partnering to Convert Conventional Cropland to Organic

Thu, 18 Sep 2025 14:14:33 GMT

Back before Sara and Josh Smith got married and started their diversified organic produce operation, personal experiences drew them both to organic food production.

For Sara, it was seeing her mom’s autoimmune disease seemingly heal by cutting out sugar and eating only organic food. For Josh, who grew up working on neighboring farms during summers as a kid, it was through research in college. After they married, that shared interest shaped their eventual operation, Wholesome Meadows Farm in northeastern Indiana.

“When we decided to start farming, we decided why not just do it organically, since that’s what we are passionate about,” Sara explains. “People have different reasons why they get into [organic production], but that was why we got into it; it was that personal experience.”

Wholesome Meadows started in 2014 as a diversified farm-to-market operation growing small fruit and vegetables like berries, tomatoes and pumpkins mostly for area farmers markets.

“In 2015 we added pasture-raised laying hens for egg production to our farm, and then every year after that we added something,” Josh says. Those additions included organically raised, pasture-based broilers, pork and grass-fed and -finished beef.

Then in 2022, the Smiths wanted to expand into organic row crops — corn, soybeans and small grains in rotation — but that proved difficult. Organic cropland in Indiana is expensive, and the Smiths didn’t have that financial ability as first-generation farmers. According to Josh, that’s where Iroquois Valley came in.

What It Is and How It Works

Iroquois Valley Farmland REIT is a farmland finance company that provides funds for the expansion of organic, regenerative agriculture through leases and mortgages with farmers. Chris Zuelsdorff, CEO of Iroquois Valley, describes the group as structured as a real estate investment trust and also a public benefit company.

“Our business model is to identify strong organic farmers who are looking to grow or expand their production, and then, in partnership with them, hopefully identify a parcel or a farm that we can purchase and then lease back to them under a long-term lease,” he explains. “Organic transition is a three-year process at minimum, so having long-term visibility and land tenure and land security is very important from the perspective of an organic grower and producer.”

Zuelsdorff adds that the capital necessary to buy land, plus the minimum three years it takes to transition conventional land to organic production, is a significant hurdle, especially for new growers or first-generation operations like the Smiths and Wholesome Meadows.

To try to bridge that gap to help organic, regenerative agriculture expand, Iroquois Valley operates on an initial six-year lease term for partnering farms, with renewal opportunities every two years after the initial term. The lease structure includes the ability of partner operators to buy the land.

“Our goal would be to have secure land tenure for our farmer partners as long as possible,” Zuelsdorff says.

He adds that the funds the group uses to secure farmland for transition comes mostly from investors who “believe in the merits and the benefits that organic farming has on the environment, on human health, and farmer viability.”

“The primary motivation is around supporting farmers, supporting a healthy food system and a healthy environmental outcomes through organic farming,” he says.

According to the Iroquois Valley website and Zuelsdorff, the group has directed $126.6 million in investments in organic agriculture. This represents over 36,000 acres across 70 different operations in 20 states.

Wholesome Meadows’ Growth Into Organic Grains

For the Smiths, partnering with Iroquois Valley meant they were able to expand their operation from 80 acres of diversified organic produce and pasture-raised eggs and meat in 2023 to a total of 157 acres in early 2024. The additional acreage was purchased at public auction by Iroquois Valley and leased to the Smiths for their rotational grain production on a six-year lease structure, with the option to purchase the land after the initial term or continue with long-term lease renewals.

The Smiths are working to transition the parcel to organic production. Josh says the 2023 crop year was the last where conventional products were used on the parcel, meaning the 2026 crop will be the Smiths’ first where the grain can be considered organic.

The Smiths say they likely would not have been able to make the expansion without Iroquois Valley.

“When it comes to expanding a farm and buying farmland, the options are buy it yourself or get a loan from a bank or partner with a group like Iroquois valley that wants to invest in farmland,” Josh says. “It’s a great company to work with and a great opportunity. For us, it’s been huge.”

The Labor Conundrum: Navigating Workforce Shortages in the U.S.

Tue, 19 Aug 2025 17:53:43 GMT

In recent years, discussions around the slowing growth rate of the U.S. labor force have intensified. Rob Fox from CoBank highlights a pressing issue in the company’s latest quarterly report: the potential drag on economic growth due to labor supply constraint.

While the urgency of the problem seemed to subside temporarily, recent developments have brought it back into focus.

Demographic Challenges
Eighteen years ago, the U.S. boasted a fertility rate of 2.12 children per woman, surpassing the level necessary for a stable population. However, the economic upheaval caused by the Great Financial Crisis led to a significant decline in births, a trend that continues to this day. The fertility rate as of 2023 has dropped to 1.62 children per woman. The impact of these “missing births” is now becoming evident as this age cohort begins entering adulthood, coinciding with the retirement of the baby boomer generation. This demographic shift presents a dual blow to the labor market.

Fox says adopting technology — most obviously AI and robotics — will likely be at the core of any strategy to address oncoming labor shortages.

Participation Rates
Another pressing issue is the downward trend in labor force participation rates since 2000. Currently at 62%, a stark decline from the peak of 67%, this translates to approximately 9.7 million potential workers lost.

“Worryingly, this trend may be accelerating: 2.4 million working-aged people have dropped out of the labor force in the past eight months alone,” Fox says, noting some reasons include increased caregiving responsibilities, job skill obsolescence, mental health challenges and rising disability rates.

Immigration as a Balancing Act
For a brief period, immigration helped offset the labor shortage. Humanitarian crises, less restrictive immigration policies, and strong labor demand attracted nearly 9 million immigrants to the U.S. between 2022 and 2024. However, since late 2024, immigration levels have sharply declined. Additionally, the Trump administration’s plan to deport 1 million undocumented immigrants further complicates the scenario. Without a reversal in participation rates or policy changes, the worker pool will continue to shrink.

Agricultural Implication
These labor issues are particularly acute in rural areas, affecting industries like agriculture. Richard Stup from Cornell Cooperative Extension underscores the diminishing labor pool available for farm work. Countries like Mexico — historically a source of agricultural labor — are experiencing similar demographic changes. Economic improvements in these countries reduce the impetus for migration, further tightening labor availability.

“[The population in] Mexico, going forward, will begin to actually shrink,” he says. “It’s not just Mexico. There are a lot of countries in this situation.”

In addition to a smaller pool of workers willing to fill on-farm vacancies, economic opportunities in these countries — such as an increase in Mexico’s inflation-adjusted dollars — are reducing the push factor for migration.

“It means there’s more economic activity, there’s more job opportunity and there’s less push to leave Mexico and go to the U.S. for dollars,” he says. “There’s still a lot of push to come up here, but it’s not what it used to be.”

When looking at the data, Stup notes fewer young people are looking for work.

“The average age of foreign-born employees is about 42 years,” he says. For comparison, the average age of U.S. born employees on farms is 36 years old.

Stup says technology will be used in places where the work is repetitive and heavy manual labor. He also underscores the need for retention programs and attracting a diverse pool of workers. Skills such as critical and systems thinking, data savviness and comfort with animals will be essential for future dairy workers. Education, whether formal or through on-the-job training, is equally important.

The decreasing labor supply poses significant challenges that could hinder U.S. economic growth if not addressed. Without strategic interventions in demographic policies, a shift in immigration approaches, or incentives to boost labor participation, the labor market’s stability remains at risk.

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Harnessing AI and High-Tech Innovation

How to Protect Your Farm and Your Rights During Federal Inspections

Know Who Is At the Gate

Administrative Versus Judicial Warrants

Training Front-line Staff

Protecting Workers and Property

Why Specialty Crop Economics Has Become an Endurance Game

Federal Funding Gap

Labor and Price Squeeze

The Consumer Paradox

Global Competition and Currency

Wholesale Disconnect

Capital Strategy and Survival

Endurance Game

More Stories from This Series

How the $15 Million Estate Tax Exemption Changes Your Farm Succession Strategy

Understand the Step-Up in Basis

Why Estate Tax Is Less of a Concern

The Pitfalls of Lifetime Gifting

Hidden Cost of Gifting Negative Capital

Specialty Crops Suffered Staggering Economic Losses in 2025, Will Relief Come in Time?

Reasons for Optimism

How to Handle Tension Before it Becomes Conflict

Automate or Relocate: The $1,600-Per-Acre Crisis Facing U.S. Growers