Rotarian Keith Smith presented Kenneth Parker, a 6th generation Plant City native, and Executive Director of the Florida Strawberry Growers Association.
Ken presented three “hot topics” related to the strawberry industry.
1. Property rights
2. Unfair subsidies for foreign growers
3. Legal, affordable work force
The families that produce strawberries represent over $1 billion of economic impact in Plant City. Their challenges are our challenges.
1. Property Rights
On average, it costs a grower $30,000 per acre to produce strawberries. It is a capital-intensive business, and for many growers, the value of their land allows them to obtain critical loan funds to support that working capital need.
Hillsborough County wanted to do an “overlay” to preserve agriculture by fixing farmland zoning so that it can never be changed. An unintended consequence of this rigid zoning classification is a 30-50% reduction in that property’s marketable (and therefore lendable) value.
FSGA is opposed to this initiative.
2. Unfair subsided trading practices of Central Mexico
Central Mexico and Plant City share the same strawberry growing season. Subsidies have allowed Central Mexico growers to unfairly compete with local growers.
For example, 15 years ago, there was about 125 acres of strawberries under protective structures. Today, there is 40,000 acres of strawberry farms in Central Mexico under protective structures. This growth could not have been afforded with normal market forces.
FSGA is working with legislators on modifying these subsidy programs to try to level the playing field. This is an uphill battle, and is a lower priority than other trade modification initiatives.
3. Legal, reliable, affordable labor force
Today, over half of the labor used to harvest strawberries comes from the H2A program. While expensive, this program is necessary due to insufficient domestic workers (even in this current high unemployment environment). Kenneth said, “We can either import our food, or import our workers.” Kenneth said he would rather import our workers to ensure the production and distribution of safe and healthy foods.
After Ken’s presentation, he answered a number of questions from the membership, including:
- How the proposed minimum wage proposal would devastate growers.
- A discussion of “farm banks” in an effort to preserve farm land.
- His brother-in-law.
- The impact of the pandemic on the strawberry industry in 2020.
- Automatic / Robotic harvesting.
Thank you, Ken, for your leadership at FSGA, and for updating the club on this important industry!
