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California drought to squeeze produce prices, but so will other factors

California drought to squeeze produce prices, but so will other factors

Price of lettuce has gone up 40 cents, but some of that is due to low Canadian dollar

Drought may have gripped California’s agricultural heartland for a fourth consecutive year, but it’s not the only factor putting pressure on imported produce prices at the supermarket.

More than 93 per cent of the state is currently experiencing “severe” to “exceptional” drought, according to the U.S. Drought Monitor, and the governor recently implemented new rationing measures for cities and towns to cut water use by 25 per cent.

Farmers have so far been exempt from those restrictions — even though they use 80 per cent of the state’s developed water supply. Still, many have had their usual federal allocations of water reduced to zero for the second year in a row and have had to draw more heavily on groundwater sources or purchase water from contractors and other farmers — for as much as 10 times the usual rates. Others are switching to more efficient irrigation methods and less water-intensive crops or letting some land go fallow.

John Bishop, a produce buyer for distributor Fresh Start Foods in Milton, Ont. says his Californian tomato suppliers are planning for a smaller crop this June.

“They have told me that they are reducing their acreage by 20 per cent because they don’t have enough water to be able to continue to grow the way they’ve grown in the past,” he said.

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