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California Almond Growers Struggle Amid US-China Tariff Battle

Courtesy of the Almond Board of California

California almond growers are likely to see their largest-ever harvest this August. But the surge comes at an unfortunate time as their second largest importer imposed a 50 percent tariff on their product. 

 

California almond growers are celebrating the upcoming harvest this fall, which is expected to be record breaking. But in retaliation for tariff’s issued by the Trump Administration, China imposed a 50% tariff on U.S. almonds – 100% of which come from California.

 

This means a $3 package of almonds would now cost Chinese consumers $4.50. That buck-fifty difference could cause customers to find cheaper nut alternatives, growers in California to lose massive profits, and commodity brokers to do less business – like Jerry Magdaleno who trades almonds and other nuts at Terra Nova Trading Inc. in Oakland. 

 

“It makes business more hard, it’s not just one person,” he said.  “It’s the entire supply chain. It hurts.”  

 

Magdaleno said if China doesn’t participate in the U.S. almond market – growers might have to start cutting their prices.  

 

“We need China very active to move these crops,” he said. 

 

Harvesting season won’t jumpstart until August and the true effects of China’s tariffs on the almond industry won’t be seen for several months. But fourth-generation farmer Jake Wenger said he’s concerned. 

 

“We already have the inconsistencies of weather, fuel, and fertilizer. Inputs that we put in that are constantly going up and down in price and so to add one more thing in there it is one more thing that growers have to be concerned of,” he said. 

 

Wenger says he wants to see the Trump administration focusing on opening doors of opportunity to the California almond producers…not closing them.  

 

This story was originally published by Capital Public Radio.