The California Walnut Commission (CWC) supports the recent announcements by the US Department of Agriculture (USDA) for the authorization of nuts and seeds to comprise the full meat/meat alternative component of meals in the Food and Nutrition Service (FNS) Child Nutrition Programs. This follows the recent notice of the addition of nut and seed butters, such as walnut butter, as alternatives to peanut butter and eggs in the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC).
The CWC believes these changes align more closely with U.S. Dietary Guidelines for Americans and better promote nutrition security. Walnuts are an important component of a healthy diet for Americans and allow for broader access to food choices and nutrition.
This is an important strategic step forward in providing increased access to California walnuts to both underserved and school-aged populations. Robert Verloop, CEO for the CWC stated, “California walnuts are a great tasting, nutrient-dense food which fits with USDA recommendations and provide a wide-range of nutritional benefits, including essential omega-3 alpha linolenic acid (ALA). We are excited for the addition for walnuts and walnut butter to be available for consumers looking for more plant-based options, vegetarian diets and other food preferences.” CWC provided comments to USDA in February 2023 on food products available in the WIC food packages and in March 2023 on the revisions to the Child Nutrition Programs, for the allowance of nuts to be 100% of the meat/meat alternative component of meals.
The California walnut industry applauds USDA for the FNS Child Nutrition and WIC program revisions and looks forward to supporting these food assistance efforts by providing high quality, nutritious and safe walnuts and walnut products for schools and the community participating in the WIC program.
About the California Walnut Boardand Commission
The California Walnut Commission (CWC) represents more than 4,600 California walnut growers and nearly 75 handlers, grown in multi-generational farmers’ family orchards. More than 99% of the walnuts grown in the United States are from California, which in 2023 accounted for 1.64 billion pounds of walnuts, shipping into more than 50 countries around the world. The CWB also provides funding for walnut production, food safety and post-harvest research. The CWC, established in 1987, is mainly involved in health research and export market development activities. For more industry information, health research and recipe ideas, visit www.walnuts.org.
The American Pecan Promotion Board (APPB) has selected Signal Theory as its agency partner for a consumer retail and communications campaign to drive demand and consumption of pecans not just during the holidays, but year-round. The announcement comes just in time for National Pecan Month, an industry-wide celebration held each April to showcase the versatility and nutritional benefits of American pecans.
Overseen by the USDA, the American Pecan Promotion Board is an agricultural commodity organization consisting of pecan producers and importers. APPB was founded in 2021 to drive demand for pecans in new and existing markets through scientific research, promotional efforts and innovative new uses for pecans.
“Pecans are well-known for their role in our favorite holiday pies and sweets, but on their own, they’re a nutrient-dense powerhouse with fiber and protein,” said Anne Warden, CEO of APPB. “We’re excited to leverage Signal Theory’s experience in agriculture and food marketing to show consumers pecans not only deliver on flavor, but on nutrition too.”
Signal Theory, an agency grounded in behavioral science, has successfully worked with brands that span agricultural production to the dining table, including Dairy Farmers of America, National Pork Board, Midwest Dairy Association, Certified Angus Beef and the North American Meat Institute to build stronger connections between commodity organizations and consumers.
“Food fuels our lives – we wake up thinking about it, socialize around it, feed our thinking with it, and often, say goodnight with a bedtime snack,” said John January, co-CEO of Signal Theory. “We want to make pecans part of people’s everyday grocery carts.”
Signal Theory will collaborate with APPB to design an integrated creative campaign and launch a strategy to drive awareness and retail sales among consumers while also engaging the tree nut industry advocates.
About Signal Theory
Signal Theory is a branding and design firm that creates joy, comfort and meaning through human insights for brands in the food value chain and pet sectors. With Midwestern roots, the firm has clients across the globe including SONIC®, America’s Drive-In; Chili’s® Grill & Bar; John Deere; BOSE; Certified Angus Beef; American Pecan Promotion Board; and International® Truck. Named by Ad Age as an Agency of the Year and Best Places to Work, the firm can be found on Facebook, LinkedIn and Instagram.
The USDA’s Agricultural Research Service (ARS), in collaboration with the Ecological Forestry Applications Research Centre in Spain and North Dakota State University, conducted a comparison of the physiological and molecular processes involved in the summer and winter dormancy of Osmia lignaria, also known as blue orchard bee or orchard mason bee.
This analysis of gene expression is believed to be the first to compare the dormancy periods of this species in their natural habitat, and more importantly, it led to sequencing the first draft genome of this important pollinator for the almond industry.
According to the U.S. Forest Service, North America has 140 species of Osmia. Osmia lignaria, a solitary bee, follows a one-year lifecycle that includes two periods of dormancy. During summer, the bee develops to the prepupal stage (the stage of larva after its final molt), pauses, then finishes to developing to the adult stage before winter. Adult bees slow their metabolic activity while overwintering [second dormancy]. When spring arrives, adult bees emerge from dormancy and become highly active in pollination. Although this species does not produce honey, it is very effective in pollinating almond trees due to cross-pollination among different varieties, which leads to higher crop yields.
“This species inhabits a wide latitudinal range in North America, with populations in the north having different developmental rates and lengths of dormancy periods than those in southern populations,” said Alex Torson, a computational biologist with ARS’ Insect Genetics and Biochemistry Research in Fargo, North Dakota.
“In the future, we can use the genome presented in this study to start comparing the genomes of individuals from these different geographic populations. If these differences in development and dormancy can be traced to their genetics, then we could develop managed populations from different geographic locations, and time the characteristics of those populations with peak floral blooms for different types of crops.”
By aligning their emergence with the timing of crops, it would allow for better management and pollination, as this bee species emerges in the spring and is a significant pollinator of almond trees due to how it pollinates.
Understanding how this lifecycle occurs has become increasingly important due to changes in environmental conditions. A better understanding of the evolutionary relationships among populations of this species will be critical for developing managed populations we can use for pollination services.
The Agricultural Research Service is the U.S. Department of Agriculture’s chief scientific in-house research agency. Daily, ARS focuses on solutions to agricultural problems affecting America. Each dollar invested in U.S. agricultural research results in $20 of economic impact.
The Organic Center is thrilled to announce it is the recipient of almost $900,000 in federal funds through the U.S. Department of Agriculture’s Organic Agriculture Research and Extension Initiative (OREI) research program. The funds will enable The Organic Center to collaborate in four new important OREI research grant projects.
The projects announced by USDA will address a host of vital and diverse challenges facing today’s organic agriculture, including how to ensure food safety in organic production systems; the exploration of organic farming methods that increase resilience to climate change and also help fight pests; the benefits and challenges of livestock grazing in orchards; and ways to expand organic cotton production in the United States.
USDA awarded a total of more than $50 million in grants for 24 OREI projects and for 8 Organic Transitions Program (ORG) projects. ORG helps existing and transitioning organic livestock and crop producers adopt organic practices.
The OREI awards totaled a little over $43 million in funding. OREI helps support wide-ranging research projects that specifically address the most critical issues impacting organic growers. The 2018 Farm Bill approved increasing funding for OREI to $50 million per year by 2023, thus establishing permanent funding for the program.
“Our mission is to strengthen and advance organic farming through science-based research, and this unprecedented level of funding from USDA will do much to help us achieve our goal,” said Dr. Amber Sciligo, Director of Science Programs for The Organic Center (TOC). “We are extremely honored to be partnering with esteemed research institutions, universities, and non-profits in these projects, and to support the growth, expansion and continued improvement of organic.”
What the projects are
Developing Risk-assessment, Educational, and Communication Tools to Lower Food Safety Barriers for Organic Specialty Crop Growers.
Food safety is of paramount importance for every organic grower, but organic producers face unique challenges in trying to meet both National Organic Program standards and multiple food safety requirements. The Center’s biggest single award of almost $635,000 is for collaboration in a project led by the University of Rhode Island to equip organic growers and industry stakeholders – organic technical assistance/trainers/certifiers and food safety auditors/inspectors – with science-based tools and training to enable them to comply simultaneously with organic agriculture rules and food safety requirements. A key function of The Organic Center will be to host 10 regional, in-person workshops with farmers, organic inspectors and certifiers and food safety auditors and inspectors to help the organic experts understand the biggest food safety rules challenges and to educate the food safety specialists on organic practices, particularly those that may conflict with food safety rules.
Expanding Resilient Climate and Pest Protection Systems for Diversified Organic Specialty Crop Producers.
Dealing with insect pests, weeds and severe weather are challenges for every farmer, and even more so for organic producers who do not use chemical pesticides, herbicides and synthetic fertilizers. Organic vegetable growers are especially susceptible to invasive insects and weeds and the vagaries of today’s climate. The Organic Center has been awarded $101,000 to work with the University of Kentucky and the non-profit organization Organic Voices to help advance the awareness and most effective use of mesotunnel protection systems – fine-mesh netting barriers secured over specialty crops – that have been proven to provide a dual purpose protection system for organic vegetable producers, including small-scale farmers, homesteaders, and gardeners.
Influence of Orchard Grazing on Soil Health and Pest Control While Mitigating Food Safety Risk.
The benefits of grazing sheep or other livestock to help convert cover crops to manure are becoming more well known, and interest in grazing livestock on cover crops in nut orchards has shown a steady increase in recent years. However, there are concerns about food-borne pathogens and food safety with this practice. The Organic Center, with a $75,000 award, will collaborate with the University of California at Davis to help design and coordinate an integrated research-extension approach to assess the benefits of livestock grazing on cover crops on bacterial populations, soil health, pest control and economic outcomes, with the goal to enhance the value of cover crops while limiting food safety risks in organic orchards in two distinct nut orchard regions in California.
Expanding Organic Cotton Production in the US Cotton Belt Through Research and Outreach on Organic, Regenerative Practices.
The organic cotton sector in the U.S. is currently a $2 billion industry and is poised for rapid growth, fueled by consumer demands and growing interest among leading textile industry players to include organic cotton in their product portfolios. But organic cotton acreage in the United States remains small, and the need to increase domestic cotton production is critical. The Organic Center has been awarded almost $60,000 to work with Texas A&M University to help implement a coordinated research, extension and education program to promote and expand organic cotton production in the U.S. Cotton Belt.
“The OREI program provides the most important pool of funds to advance our work at The Organic Center,” said The Organic Center’s Sciligo. “While this pot of funding has seen tremendous growth through the implementation of the last farm bill, future bills need to continue to increase the funding dedicated to organic research. We have come a long way in the past few decades, but with the increased demand for organic in the marketplace and the initiation of several USDA programs aimed at significantly increasing organic transition, the need for current organic research is unprecedented.”
About The Organic Center
The Organic Center’s mission is to convene credible, evidence-based science on the health and environmental impacts of organic food and farming and to communicate the findings to the public. The Center is an independent non-profit 501(c)(3) research and education organization operating under the administrative auspices of the Organic Trade Association.
U.S. Department of Agriculture (USDA) Secretary Tom Vilsack today announced nearly $700 million in grants and loans to connect thousands of rural residents, farmers and business owners in 22 states and the Marshall Islands to reliable, affordable high-speed internet through the ReConnect Program,funded by President Biden’s Bipartisan Infrastructure Law. This program is uniquely designed to fund the most difficult high-speed internet projects in the nation, which are the most rural, remote and unserved communities.
Connecting all communities across the United States to high-speed internet is a central part of President Biden’s Investing in America agenda to rebuild the economy from the bottom up and middle out by rebuilding our nation’s infrastructure. This agenda is driving more than $500 billion in private-sector manufacturing investments, rebuilding America’s infrastructure, lowering costs, and creating good-paying jobs. And it’s transforming our country for the better – reaching communities in every corner of the United States, including those that have too often been left behind.
“Keeping the people of rural America connected with reliable, high-speed internet brings new and innovative ideas to the rest of our country and creates good-paying jobs along the way,” Secretary Vilsack said. “Thanks to President Biden’s Bipartisan Infrastructure Law, we are connecting rural communities to a global marketplace. These investments will support economic growth and prosperity for generations to come.”
Today’s high-speed internet investments are part of the fourth funding round of the ReConnect Program. Many residents and businesses in rural areas would not have high-speed internet service without the ReConnect Program, as the program is a key part of the Administration’s Internet for Allinitiative to connect everyone in America to high-speed internet by 2030. Today’s announcement includes $667 million in USDA investments in Alaska, Arkansas, Arizona, California, Illinois, Iowa, Kansas, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Mexico, North Carolina, Ohio, Oklahoma, Oregon, South Carolina, Texas, Virginia, Washington, Wisconsin and the Marshall Islands.
Today’s announcement includes several investments that will benefit people living in Rural Partners Network (RPN) communities. RPN works with hundreds of federal, state and local partners to address specific needs in rural communities that have long struggled to access government programs and funding. RPN helps these communities carry out locally driven plans to create jobs, build infrastructure and support economic growth and stability.
Examples of projects in this announcement include:
In North Carolina, Star Telephone Membership Corporation is receiving a $24.9 million grant to benefit 2,674 people, 84 businesses, 117 farms and four educational facilities in Bladen, Columbus and Sampson counties. Bladen and Columbus are part of an RPN community.
In Oregon, Pioneer Telephone Cooperative is receiving a $24.9 million grant to benefit 2,239 people, 50 businesses, 205 farms and one educational facility in Lincoln, Lane and Benton counties.
In New Mexico, SWC Telesolutions Inc. is receiving a $9.2 million grant to benefit 4,962 people, 106 businesses, 11 farms and 17 educational facilities in Doña Ana and Sierra counties. Doña Ana County is part of an RPN community.
Also, as part of USDA’s commitment to expand high-speed internet access, the Hood Canal Telephone Co. Inc. is receiving a $3.8 million loan through the Telecommunications Infrastructure Loan & Loan Guarantee Program. This investment will help construct 16 miles of fiber to provide high-speed internet access to 800 households and 10 businesses in Union, Washington.
Applicants to ReConnect Program funding must serve a rural area that lacks access to service at speeds of 100 megabits per second (Mbps) download and 20 Mbps upload. Applicants must also commit to building facilities capable of providing high-speed internet service with speeds of 100 Mbps (download and upload) to every location in the proposed service area. Additionally, to ensure that rural households that need internet service can afford it, all awardees will be required to apply to participate in the Bipartisan Infrastructure Law’s Affordable Connectivity Program (ACP). The ACP offers a discount of up to $30 per month toward internet service to qualifying low-income households and up to $75 per month for households on qualifying Tribal Lands.
Background: Bipartisan Infrastructure Law
President Biden forged consensus and compromise between Democrats, Republicans and Independents to demonstrate our democracy can deliver big wins for the American people. After decades of talk on rebuilding America’s crumbling infrastructure, President Biden delivered the Bipartisan Infrastructure Law – a historic investment in America that will change people’s lives for the better and get America moving again.
The Bipartisan Infrastructure Law provides $65 billion to ensure every American has access to affordable, reliable high-speed internet through a historic investment in broadband infrastructure deployment. The legislation also lowers costs for internet service and helps close the digital divide, so that more Americans can take full advantage of the opportunities provided by internet access.
USDA Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, tribal and high-poverty areas. For more information, visit www.rd.usda.gov.
Blue Diamond Growers has launched its USDA Partnerships for Climate-Smart Commodities Grant Program with its 3,000 grower-owners. The program is a major step in expanding the use of climate-smart practices in almond orchards.
The initial launch of the Blue Diamond USDA Climate-Smart Grant Program offers almond growers no-cost seed and a financial incentive for implementing cover crops and/or conservation cover on their land. These practices will not only work towards sequestering carbon but will also enhance the biodiversity of orchards, while improving soil health. As part of this program, growers will work with civil society technical partners, Pollinator Partnership and Project Apis m. to implement these practices.
“This is an exciting and unique opportunity for growers outside of the traditional federal, state, and local resources that are typically available to them,” said Dan Sonke, Sr. Director of Sustainability, Blue Diamond Growers. “We know that cost and technical barriers are the largest hurdles to overcome when implementing climate-smart practices. This project provides resources to accelerate our grower-owners’ advances in soil health, biodiversity, and climate-smart agriculture.”
The program will also work to identify almond-specific methods for quantifying the greenhouse gas (GHG) impacts of implementing climate-smart practices and will explore market-based mechanisms to reward growers for their stewardship work.
The USDA Partnerships for Climate-Smart Commodities Grant Program further extends Blue Diamond’s current Orchard Stewardship Incentive Program (OSIP). OSIP currently has more than 50% of Blue Diamond acreage enrolled, the largest amount of almond acreage in the world participating in a sustainability program, with over 15% of Blue Diamond’s acreage being Bee Friendly Farming (B.F.F.) certified.
“Not only does this program benefit growers, but food companies and retailers as well,” continued Sonke. “Customers can partner with Blue Diamond to support the use of climate-smart practices which benefit the climate, soil health, and orchard biodiversity, and thereby procure almonds with a measured GHG reduction quantification that helps meet their own climate and sustainability targets.”
With planning and grower communication underway now, Blue Diamond Growers will largely begin to implement the grant-related practices across California beginning in October, after this year’s harvest.
About Blue Diamond Growers® Blue Diamond Growers, a grower-owned cooperative representing approximately 3,000 of California’s almond growers, is the world’s leading almond marketer and processor. Established in 1910, it created the California almond industry and opened world markets for almonds. Blue Diamond is dedicated to delivering the benefits of almonds around the world and does so by providing high-quality almonds, almond ingredients and branded products. Headquartered in Sacramento, the company employs more than 1,800 people throughout its processing plants, receiving stations and gift shops. To learn more about Blue Diamond Growers, visit www.bluediamond.com.
The U.S. Department of Agriculture (USDA) today announced plans to purchase Almonds for distribution to various food nutrition assistance programs. Purchases will be made under the authority of Section 32 of the Act of August 24, 1935, with the purpose to encourage the continued domestic consumption of these products by diverting them from the normal channels of trade and commerce.
A Solicitation will be issued in the near future and will be available electronically through the Web-Based Supply Chain Management (WBSCM) system. A hard copy of the solicitation will not be available. Public WBSCM information is available without an account on the WBSCM Public Procurement Page. All future information regarding this acquisition, including solicitation amendments and award notices, will be published through WBSCM, and on the Agricultural Marketing Service’s website at www.ams.usda.gov/selling-food. Interested parties shall be responsible for ensuring that they have the most up-to-date information about this acquisition. The contract type is anticipated to be firm-fixed price. Deliveries are expected to be to various locations in the United States on an FOB destination basis.
Pursuant to Agricultural Acquisition Regulation 470.103(b), commodities and the products of agricultural commodities acquired under this contract must be a product of the United States and, shall be considered to be such a product if it is grown, processed, and otherwise prepared for sale or distribution exclusively in the United States. Packaging and container components under this acquisition will be the only portion subject to the World Trade Organization Government Procurement Agreement and Free Trade Agreements, as addressed by FAR clause 52.225-5.
Offerors are urged to review all documents as they pertain to this program, including the latest—
To be eligible to submit offers, potential contractors must meet the AMS vendor qualification requirements. The AMS point of contact for new vendors can be reached by phone at (202) 720-4237 or by email to NewVendor@usda.gov. Details of these requirements are available online at: https://www.ams.usda.gov/selling-food/becoming-approved. Once qualification requirements have been met, access to WBSCM will be provided. Bids, modifications, withdrawals of bids, and price adjustments shall be submitted using this system. Submission of the above by any means other than WBSCM will be determined nonresponsive.
Inquiries may be directed to the Contracting Specialist, Samantha Klagenberg via email at samantha.klagenberg@usda.gov
To participate in this opportunity and for more information about becoming a registered vendor with USDA, visit THIS GUIDE from Almond Board of California.
“We’d like to thank USDA for accepting the Almond Alliance’s request for this program, and for the departments continued support and partnership in solutions our almond farmers, industry, and communities.” — Almond Alliance of California
As news to our New Mexico pistachio and pecan growers, the U.S. Department of Agriculture (USDA) Secretary Tom Vilsack today announced that the Department is investing $40 million to provide high-speed internet access for people living and working in rural areas in New Mexico.
Today’s investments are made possible because of funding from President Biden’s historic Bipartisan Infrastructure Law, which provides $65 billion to expand reliable, affordable, high-speed internet to all communities across the U.S. The announcement reflects the goals of President Biden’s Investing in America agenda to rebuild our economy from the middle-out and bottom-up through investments such as the Bipartisan Infrastructure Law.
“The Bipartisan Infrastructure Law has given USDA unprecedented resources to close the digital divide in rural America,” Secretary Vilsack said. “Connecting rural Americans to reliable, high-speed internet helps farmers and businesses operate more efficiently and break into new markets. It helps build and keep wealth in rural communities. USDA is committed to making sure that people, no matter where they live, have access to high-speed internet. That’s how you grow the economy – not just in rural communities, but across the nation.”
The $40 million in grants comes from the fourth funding round of the ReConnect Program. The Department will announce additional investments in the coming weeks. USDA has invested $1.7 billion since the beginning of the Biden-Harris Administration through the ReConnect Program to bring high-speed internet access to rural Americans.
The three projects being announced today in New Mexico are:
The Western New Mexico Telephone Company Inc. is receiving a $23.8 million grant to deploy a fiber-to-the-premises network to provide high-speed internet access to people in Catron County. The company will make high-speed internet affordable by participating in the Federal Communications Commission’s (FCC) Lifeline and Affordable Connectivity Programs (ACP). It also will provide a $34.99 monthly plan with 75 megabits per second upload and download speeds for subscribers within the project area who are enrolled in the ACP.
The E.N.M.R. Telephone Cooperative is receiving a $2.6 million grant to deploy a fiber-to-the-premises network to provide high-speed internet access to people in De Baca, Guadalupe, Harding, Quay, San Miguel, Socorro and Union counties. E.N.M.R. will make high-speed internet affordable by participating in the FCC’s Lifeline and Affordable Connectivity Programs. This project will serve socially vulnerable communities in De Baca, Guadalupe, San Miguel and Socorro counties.
The Peñasco Valley Telephone (PVT) Cooperative is receiving a $13.9 million grant to deploy a fiber-to-the-premises network to provide high-speed internet access to 550 people, 48 farms and 11 businesses in Chaves, Eddy, Otero and Lincoln counties. PVT will make high-speed internet affordable by participating in the FCC’s Affordable Connectivity Program (ACP). PVT also offers a program that can provide free internet for households participating in the ACP. This project will serve socially vulnerable communities in Chaves, Eddy and Otero counties.
Background: ReConnect Program
To be eligible for ReConnect Program funding, an applicant must serve an area that lacks access to service at speeds of 100 megabits per second (Mbps) download and 20 Mbps upload. The applicant must also commit to building facilities capable of providing high-speed internet service with speeds of 100 Mbps (download and upload) to every location in its proposed service area.
Background: Bipartisan Infrastructure Law
President Biden forged consensus and compromise between Democrats, Republicans and Independents to demonstrate our democracy can deliver big wins for the American people. After decades of talk on rebuilding America’s crumbling infrastructure, President Biden delivered the Bipartisan Infrastructure Law – a historic investment in America that will change people’s lives for the better and get America moving again.
The Bipartisan Infrastructure Law provides $65 billion to ensure every American has access to affordable, reliable high-speed internet through a historic investment in broadband infrastructure deployment. The legislation also lowers costs for internet service and helps close the digital divide, so that more Americans can take full advantage of the opportunities provided by internet access.
USDA Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, tribal and high-poverty areas. For more information, visit www.rd.usda.gov.
The U.S. Department of Agriculture (USDA) is seeking nominees for the American Pecan Promotion Board. Nominees are needed to fill six seats for members whose terms end on Sep. 30, 2023, and one vacant seat with a term that ends on Sep. 30, 2024.
The American Pecan Promotion Board is seeking nominees for the following seats:
Four producer seats representing the Western Region
Two importer seats
One vacant producer seat representing the Central Region
Members appointed to the producer and importer seats will serve three-year terms. The member appointed to the vacant seat will serve a one-year term.
The Western Region consists of Arizona, California, New Mexico, Alaska, Hawaii, plus any states in the U.S. whose land mass is in the Mountain or Pacific Time zones, plus any U.S. territories in the Pacific Ocean. The Central Region consists of Arkansas, Kansas, Louisiana, Mississippi, Missouri, Oklahoma, Texas, plus any U.S. state with the majority of its land mass is in the Central Time Zone.
The board is made up of 17 industry members including ten producers and seven importers.
To serve on the board, producers and importers must have produced or imported more than 50,000 pounds of inshell pecans (25,000 pounds of shelled pecans), on average, for four fiscal periods. Producers who produce pecans in more than one region may seek nomination only in the region in which they produce the majority of their pecans.
AMS policy is that diversity of the boards, councils and committees it oversees should reflect the diversity of its industries in terms of the experience of members, methods of production and distribution, marketing strategies, and other distinguishing factors, including but not limited to individuals from historically underserved communities, that will bring different perspectives and ideas to the table. Throughout the full nomination process, the industry must conduct extensive outreach, paying particular attention to reaching underserved communities, and consider the diversity of the population served and the knowledge, skills and abilities of the members to serve a diverse population.
Since 1966, Congress has authorized industry-funded research and promotion boards to provide a framework for agricultural industries to pool resources and combine efforts to develop new markets, strengthen existing markets and conduct important research and promotion activities. The Agricultural Marketing Service (AMS) provides oversight to 22 boards. The oversight ensures fiscal accountability and program integrity, and is paid for by industry assessments.
The sun is rising again for increased U.S. export trade opportunities in “Land of the Rising Sun”. Japan has a well-developed food retail market that demands high-quality, high-value agricultural and food products. Despite reduced economic activity during the COVID-19 pandemic, trade data show that agricultural imports have remained resilient (with growth opportunities for California tree nuts in particular). As Japan’s top supplier of agricultural products, the United States is a stable and reliable partner with a long-standing relationship. Although competition in Japan has intensified in recent years, U.S. suppliers can find many opportunities to market consumer-oriented products that follow Japanese retail trends. The U.S. Department of Agriculture’s (USDA) Foreign Agricultural Service (FAS) maintains a website to help U.S. food and beverage exporters to navigate the Japanese market: USDAJapan.org.
Macroeconomic Perspective
Japan is a high-income country with a population of 125.7 million people. It is one of the most highly urbanized countries in the world with more than 90 percent of the population living in urban areas. With the third-largest economy in the world, behind only the United States and China, Japan has a highly diversified manufacturing and service economy. According to household data from IHS Markit, 95 percent of Japanese households, approximately 51.6 million households, have incomes higher than $20,000 at purchasing power parity. In 2021, Japan had a gross domestic product (GDP) per capita at purchasing power parity of $42,940. According to the latest International Monetary Fund forecast, real GDP growth is projected at 1.6 percent in 2023 and 1.3 percent in 2024.
Since the initial response to the COVID-19 outbreak in 2020, the Government of Japan’s containment measures and consumers’ risk-averse behaviors limited economic activity. However, in the third quarter of 2022, Japan loosened border controls, boosting economic activity and seeking to reconnect with the world. Since October 2022, visa-free tourism resumed for U.S. citizens While Japan’s economic recovery continues, challenges remain. Japan’s lack of natural resources, including agricultural land, makes the country susceptible to external pressures such as food and energy prices. For example, price shocks from Russia’s war in Ukraine and supply chain disruptions have impacted domestic purchasing power. Increased prices have subdued household confidence and real income. Also, from a demographic perspective, Japan not only has an aging population but also a declining population. This trend continues to limit economic growth and presents fiscal policy challenges.
Japan & Agricultural Trade
Despite various challenges and an uncertain global economic environment, Japan’s agricultural trade, particularly agricultural imports, has been resilient because these imports play a crucial role in Japan’s domestic food supply. According to Japan’s Ministry of Agriculture, Forestry and Fisheries annual report, Japan’s food self-sufficiency ratio on a caloric basis was 37 percent in 2020, suggesting that many food items depend on imports to boost food availability. In particular, imported livestock products and animal feed supplement Japan’s limited domestic agricultural production.
In 2022, Japan imported $70.2 billion of agricultural products, a 16.4-percent increase from pre-COVID 2019 and also surpassing record-level agricultural imports of 2011 and 2012. Although rising food prices contribute to higher unit prices, putting downward pressure on real income and purchasing power, Japan is an advanced economy where demand for high-quality food is relatively stable compared to emerging economies.
The United States is a dependable agricultural trading partner of Japan. Despite supply chain disruptions and economic shocks from the COVID-19 pandemic, the United States has continued to supply safe, high-quality agricultural products. With the implementation of the 2020 U.S.-Japan Trade Agreement (USJTA), U.S. agricultural exporters remain competitive, from a tariff perspective, with Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) member countries. However, macroeconomic conditions, including Japan’s economic recovery and exchange rate dynamics, affect U.S. export competitiveness. As the U.S. dollar strengthened during 2021 and 2022, U.S. exports to Japan became more expensive. However, since October 2022, the Japanese yen has rebounded somewhat, increasing purchasing power for Japanese importers.
As Japan’s top agricultural supplier, the United States exported $14.6 billion of agricultural products in 2022, with consumer-oriented products making up almost half ($6.8 billion) of the agricultural exports. Japan was the fourth-largest market for U.S. consumer-oriented products.
Exports Opportunities for Consumer-Oriented Products
Japan’s highly developed food retail market allows consumers to have several options to meet their food needs, whether it is dining at a restaurant, shopping at supermarkets and convenience stores, or retailing via e-commerce, where customers have quality groceries and food delivered to their doorsteps. Customers continue to seek out high-quality food, emphasizing convenience and accessibility, such as ready-to-eat meals and on-the-go packaged food. Also, Japan’s demographic shift has opened the door for increased demand for health food. Japan’s older population generally has more spending power and influence regarding household consumption patterns, and the health-conscious population are willing to pay more for high-quality, nutritious foods Food products that consumers believe support health and dietary and functional needs are promising for the foreseeable future.
In October 2019, the United States and Japan signed the USJTA, which provides for limited tariff reductions and quota expansions to improve market access. Japan agreed to reduce or eliminate tariffs on about 600 agricultural tariff lines (e.g., beef, pork, and cheese), and expand preferential tariff-rate quotas for a limited number of U.S. products (e.g., wheat). Opening Japan’s highly protected agriculture market and reaching parity with exporters from Japan’s free trade agreement partners was a major priority for the U.S. agriculture sector.
Consumer-oriented goods with strong prospects for growth include the following:
Beef and Beef Products: Despite higher beef retail prices, beef shipments to Japan in value and shipment volumes have remained steady. Higher prices may shift consumer preferences from fresh or chilled beef to frozen beef, or from beef products to pork and poultry products. However, beef consumption is expected to increase in 2023 as Japan’s reopening to foreign visitors further supports the hotel, restaurant, and institutional (HRI) sector’s recovery. As a result of the recently revised agreement with Japan regarding the beef safeguard mechanism, U.S. beef exports are less likely to trigger safeguard tariffs in the coming years even with increased shipments. In 2022, the United States exported $2.3 billion of beef and beef products to Japan, nearly matching the previous year’s record of $2.4 billion.
Cheese: The United States exported $231.8 million of cheese products to Japan in 2022, a 23.4-percent increase from a year ago. Prior to the COVID-19 pandemic, cheese products were generally marketed and consumed in dining options outside of the home. However, consumers taking advantage of expanded retail options in supermarkets during the pandemic have continued to consume cheese products beyond the stay-at-home period. According to cheese consumption data from the Agricultural Trade Office at the U.S. Embassy in Tokyo, Japan’s per capita cheese consumption is significantly lower than other advanced economies. From a marketing perspective, elevating the cheese consumption experience with cheese pairing guides will be important. Although the European Union (EU) suppliers enjoy a degree of marketing advantage (product differentiation) by promoting their geographical indications, import demand for most cheese products continues to rise.
Tree Nuts: In 2022, Japan imported $826.5 million of tree nuts, of which 51.0 percent (approximately $421.1 million) were from the United States. Elevated unit prices in 2022 did not negatively impact shipment volumes, suggesting that demand for tree nuts is stable. The United States almost exclusively supplies almonds and walnuts, the top two imported tree nuts (not including mixed or prepared tree nuts). Another positive development is shelled pistachios, which had a higher import value than in-shell pistachios. Japan imported $28.3 million of shelled pistachios in 2022, a 35.9-percent increase from 2021’s record-breaking imports ($20.8 million). Combined with in-shell pistachios, Japan imported $50.9 million worth of pistachios, and the United States supplies almost 90 percent of shelled and in-shell pistachios. With an image of “guilt-free” snacking, tree nuts have great potential as a stand-alone product as well as ingredients for other prepared food.
Processed Fruit: Processed (frozen, prepared, or preserved) fruits are essential ingredients in bakery products and snack foods. Although consumers have generally regarded fresh fruit as a premium product, consumers are shifting from fresh fruit to processed fruit. The link between processed fruit’s longer shelf life and perceived “freshness,” or the lack thereof, is less significant, especially among the younger generation. Also, processed fruit allows consumers to enjoy seasonal products year-round and to take advantage of many more fruit options that aren’t available from domestic production. While the United States has a strong presence in the dried fruit market (raisin and dried prune products), frozen fruit competition continues to intensify.
Distilled Spirits: After record-high imports in 2019 ($817.1 million), the premium drink market experienced decreased sales with disruptions to the HRI food service industry in 2020 and 2021. During this slump, however, distilled spirits observed a consumption trend shift, where the COVID-19-induced trend of at-home drinking made distilled spirits more accessible. As consumers seek a premium experience, whether at home or from a bar, spirits-based, ready-to-drink beverages have growth potential. Imports from the United Kingdom, for example Scotch whiskey, make up more than 60 percent of the whiskey market share, but name recognition for American whiskeys, namely bourbon and Tennessee whiskey, is growing. In 2022, U.S. whiskey exports were up 7.2 percent in value during the past year.
Looking Ahead
Japan’s declining agricultural production and evolving consumption trends indicate that agricultural imports will continue to play an integral role in meeting Japan’s food demands. Japan has emphasized import diversification and stabilization to secure food supplies, including through trade liberalization. Accordingly, Japan signed significant trade agreements with major U.S. competitors in recent years, notably the CPTPP and the Japan-EU Economic Partnership Agreement. As more economies in Asia and South America continue to join the CPTPP, Japan will continue to diversify trade partners for its food supply. Nevertheless, given U.S agriculture’s reputation for safety and reliability, the United States is well-positioned to continue as the leading agricultural product supplier.
As competition intensifies in the food retail market, crafting a marketing strategy to cater to Japan’s consumer preferences will be essential for U.S. suppliers to remain competitive in a Japanese market that seeks quality, value, and convenience. — By theUSDA Foreign Ag Service
