George Snyder:

Walker and his extended family — kids and grandkids who help him with the annual apple harvest, which is just winding to a close — are among the last of a hardy breed who for decades put Sebastopol and the fertile hills surrounding the town on the map as the apple capital of the world.
“Thousands of tons of apples used to be shipped out of Sebastopol all across the country,” said Walker, who produces about a thousand tons and 25 varieties of the fruit annually, 70 percent of it processed into juice or vinegar and apple sauce, with the rest sold as fresh fruit. “I grew up with my dad raising apples,” he added, “and it’s very difficult to keep up changing amid all the changes. There’s been a tremendous change in the last 15 years in terms of keeping up with regulations and agriculture and the markets,” he said.
“There used to be a lot of people to sell to, like food stores, but a lot of the chains have consolidated and often demand more volume than many growers can provide. There’s been a disruption of the whole industry,” he said.

Years (decades!) ago, I worked briefly for a bank. I recall that ag lending was, at the time, at best a poor stepchild to commercial lending. This Economist article provides a fascinating look at Rabobank’s (Dutch Bank) acquisition of Farm Credit Services – a US Government sponsored lending entity. Perhaps some Wisconsin Financiers should think about this…

AGAINST THE GRAIN
Aug 26th 2004
Why is a Dutch bank moving into agricultural finance in America?
WHAT on earth is Rabobank up to? This Dutch co-operative bank has been
busily expanding its franchise in farm-finance, an area American banks
have done everything to avoid since a meltdown in the 1980s. If that
was not odd enough, Rabobank’s most recent move is truly unique. At the
end of July, it reached an agreement to buy Farm Credit Services of
America, an institution that is a component of America’s odd network of
government-sponsored entities (GSEs). That agreement has unleashed an
unholy row.

(more…)

Stephanie Hemphill discusses the growing demand for organic food and the implications for farmers:

People are choosing organic food in a big way. Sales of organic food have been increasing steadily. You’d think having more demand for your product would be great. But for people who grow organic food, it’s a mixed blessing. When you can’t supply as much as the customer wants, it can be difficult. Some farmers are trying creative ways to fill the demand.

Gorgeous flowers from the Dane County Farmer’s Market.