Escalating tensions in the Middle East are no longer a distant geopolitical concern for U.S. agriculture, they are increasingly showing up in fertilizer invoices, procurement strategies and, ultimately, grower decision-making.

The conflict involving Iran has injected a new level of volatility into global fertilizer markets, largely due to disruptions tied to the Strait of Hormuz, one of the world’s most critical shipping chokepoints. A significant portion of global fertilizer trade, including urea and sulfur, moves through that corridor and any interruption has immediate ripple effects.

According to estimates by The Fertilizer Institute, roughly 40% of global urea exports and more than half of sulfur exports pass through the strait, creating widespread concern about supply availability.

“There’s a huge impact with such a large volume of fertilizer produced out of that region,” said Corey Rosenbusch, president and CEO of The Fertilizer Institute. “[As of early April], disruptions have already driven noticeable increases in global prices.”

Even though the United States does not directly import significant volumes of fertilizer from Iran, the global nature of the market means domestic prices are still heavily impacted.

“Iran is the largest exporter of urea in the world,” Rosenbusch said. “It is a global commodity, so it affects growers right here.”

At the same time, the U.S. supply chain is facing its own constraints. Rosenbusch noted that while ammonia imports are largely sourced from Canada and Trinidad, urea imports are more exposed to global trade flows, including those affected by Middle East disruptions.

“The result is a tightening global market that is pushing prices higher and increasing uncertainty heading into key growing seasons,” he said.

Prices Spike and Supply Tightens

As spring arrived, California growers started seeing the effects show up both in price spikes and growing concerns about availability.

Chris Gallo, vice president of strategy and innovation at Deerpoint Group and a board member of the California Fertilizer Foundation, noted the current volatility echoes the disruptions seen during earlier global crises.

“It kind of goes back to 2022,” Gallo said. “The Russia war spiked fertilizer prices, and that really set a new baseline for volatility.”

Back then, nitrogen prices doubled, rising from roughly $300 to $350 per ton to as high as $600 to $650 per ton. While the markets eventually stabilized, the latest geopolitical shock has once again disrupted that equilibrium.

“When you fast forward to 2026, we were seeing a normal seasonal increase,” Gallo said. “And then all of a sudden overnight, the Iran war threw that into chaos because of the Strait of Hormuz.”

The result has been a rapid escalation in prices, with some nitrogen products jumping big figures in a matter of days in late March.

“Everything happened to where you had a $100 overnight increase,” Gallo said. “And now it’s pushing higher because there’s a concern of whether there’s enough material to supply the market.”

That concern is not unfounded. Globally, disruptions are already affecting procurement. Rosenbusch noted that millions of tons of urea remain unaccounted for in current supply projections, raising questions about where future volumes will come from.

“We still need about a million tons and that just doesn’t seem to be on the books anywhere right now,” he said. “As supply tightens, buyers are competing for available product, further fueling price volatility.”

As supply tightens, buyers are competing for available product, further fueling price volatility.

California Growers Face Mounting Cost Pressure

In California, where many crops are nitrogen-intensive, rising fertilizer costs are adding to already challenging economics.

James Sayre, a UC Cooperative Extension specialist in agricultural and resource economics at the University of California, Davis, noted the impact is being felt across virtually all major crops.

“Almost every major California crop is nitrogen intensive,” Sayre said, noting that fertilizer typically accounts for 7% to 11% of operating costs.

That share is increasing sharply. For instance, in almonds, fertilizer costs have historically averaged about $400 per acre. A 30% to 45% increase would add another $120 to $180 per acre, an increase that comes at a time when many growers are already operating at a loss.

“With net returns already deeply negative, these cost increases are just going to compound the challenging economics,” Sayre said.

With net returns already deeply negative, these cost increases are just going to compound the challenging economics.

Other crops face similar pressures. Walnuts, processing tomatoes and rice all require significant nitrogen inputs, meaning growers across the state are exposed to higher input costs.

“These shocks are going to hit broadly,” Sayre said.

At the same time, the structure of California agriculture limits growers’ ability to respond through acreage shifts.

“You can’t rethink crop mixes when it comes to permanent crops, you’re rooted,” Gallo said. “That reality makes cost management, rather than production shifts, the primary lever available to growers.”

Efficiency Becomes the New Priority

As fertilizer prices rise, growers are increasingly focused on improving efficiency rather than simply reducing inputs.

Sayre noted it is logical to expect some reduction in nitrogen use, but the changes are more nuanced than across-the-board cuts.

“What growers are doing is sharpening their nitrogen management,” he said. “More precise applications, better timing and avoiding over-application.”

Gallo sees a similar trend, with growers looking for ways to maximize the return on every unit of nitrogen applied.

“The higher the nitrogen price gets, the more open growers are to improving efficiency,” he said. “That includes strategies such as split applications, continuous spoon-feeding of nutrients and the use of products designed to improve uptake efficiency.”

Rather than applying a standard rate, growers are tailoring applications based on crop needs and conditions.

“There’s a push to make sure every unit of nitrogen is maximized,” Gallo said.

However, reducing nitrogen inputs can come with trade-offs.

“There might still be somewhat of a resulting yield hit for some producers,” Sayre said. “That risk is particularly important for perennial crops such as almonds, where decisions made in one season can affect productivity in future years.”

As a result, many growers are hesitant to make drastic cuts, instead focusing on incremental improvements that preserve long-term productivity.

Regulation and Economics Align

California’s regulatory environment is also shaping how growers respond to rising fertilizer costs. The state has implemented a range of programs aimed at reducing nitrogen runoff and improving nutrient management, requiring growers to track and report applications and meet specific targets.

While those regulations have sometimes been viewed as burdensome, Sayre noted that current market conditions are reinforcing the same behavior.

“The regulatory environment actually aligns with the economic incentive to use less nitrogen when prices are high,” he said. “If you’ve got a fertilizer price that’s so high, farmers don’t have the luxury of over-applying.”

In many cases, growers are already operating below historical application rates, driven by both regulatory requirements and economic pressures.

“I don’t see any environment where growers are still putting on the 20- or 30-year-old recommendations,” Gallo said. “That convergence of policy and economics may help buffer some of the impact of rising costs, but it does not eliminate the broader financial strain facing growers.”

Volatility Reshapes Planning

Beyond the cost increases people are seeing, the biggest challenge now is the growing uncertainty surrounding fertilizer markets and agricultural inputs more broadly.

“Supply chain disruptions, shifting trade flows and rising energy prices are creating a more volatile environment that complicates planning for growers and suppliers alike,” Rosenbusch said. “We’ve moved into a very just-in-time supply chain. Retailers are increasingly reluctant to procure product without firm commitments from growers.”

That shift reduces inventory risk for suppliers but increases exposure for growers who delay purchasing decisions.

“For growers who wait until the last minute, they’re going to be most impacted,” Rosenbusch said.

At the same time, broader macroeconomic pressures are adding to the uncertainty.

“I’m most concerned about the looming macroeconomic shocks of oil and energy prices,” Sayre said. “Higher fuel costs affect everything from transportation to irrigation, while broader economic slowdowns could reduce demand for higher-value crops. These shocks will take time to reverberate fully and will show up almost everywhere.”

As global events continue to reshape fertilizer markets, California growers are being forced to adapt, balancing cost pressures, regulatory requirements and long-term productivity in an environment where volatility may be the new normal.

As production challenges intensify, long-term profitability increasingly depends on strategic decisions about water, labor, capital and succession planning.

For most of agriculture’s history, success was measured by production. More acres. More tons. More boxes. More pounds. More yield. While production will always matter, I believe the most successful agricultural businesses in California are beginning to realize something important: The operations that win over the next decade won’t necessarily be the ones producing the most. They’ll be the ones making the smartest financial decisions.

Agriculture has entered a period where scale alone is no longer enough to guarantee success. Rising labor costs, water uncertainty, regulatory pressure, market volatility, increasing insurance costs and higher borrowing expenses are forcing growers and ranchers to think differently. Whether you’re farming almonds, pistachios, grapes, citrus, tomatoes, cotton, vegetables, forage crops or a diversified mix of commodities, the challenges facing agriculture today are larger than any single crop.

The reality is that farming has become one of the most capital-intensive businesses in America. The decisions made in the boardroom today may have a greater impact on profitability than the decisions made in the field tomorrow.

As I travel across California and meet with growers, lenders, processors, crop advisors and agribusiness leaders, five financial mistakes continue to surface. These mistakes aren’t costing operations thousands of dollars. In many cases, they’re costing millions.

Mistake No. 1: Treating Water as an Operational Issue

The first mistake is treating water as an operational issue instead of a long-term business asset. Water has become one of the most important factors influencing the future value of agricultural land in California. The discussion is no longer simply about this year’s irrigation schedule. It’s about long-term access, reliability and risk. Growers who understand their water position, invest in infrastructure, explore recharge opportunities and evaluate future water availability are positioning themselves for long-term success. Those who ignore these conversations may find themselves owning productive land with limited future flexibility.

Mistake No. 2: Allowing Labor Costs to Rise Without Investing in Efficiency

The second mistake is allowing labor costs to rise without investing in efficiency. Labor remains one of the largest expenses for many agricultural operations, and there is little indication those costs will decline anytime soon. The best operators are constantly looking for ways to improve efficiency through technology, mechanization, automation and better management systems. This isn’t about replacing people. It’s about creating a more sustainable business model that allows skilled employees to be more productive. Every operation should be asking itself one question: How can we produce more value with the resources we already have?

Mistake No. 3: Focusing on Production Instead of Profitability

The third mistake is focusing on production instead of profitability. Agriculture has always celebrated yield, but yield without margin is a dangerous metric. The most sophisticated operators know exactly which ranches, fields, varieties or commodities generate the highest returns. They understand their costs. They understand their margins. They understand where capital should be invested and where adjustments need to be made. In today’s environment, every acre, every field and every enterprise should earn its place in the operation. Successful businesses are increasingly managing by return on investment, not emotion.

In many ways, agriculture has become much more than producing a crop. It’s about building an enterprise.

Mistake No. 4: Keeping Too Much Capital Tied Up in Underperforming Assets

The fourth mistake is keeping too much capital tied up in underperforming assets. Every operation has assets that were once valuable but may no longer be serving the business at the highest level. It could be equipment, facilities, aging plantings, marginal ground or even business divisions that no longer align with future goals. Strong agricultural leaders are continuously evaluating where capital is deployed and whether those investments are producing acceptable returns. They understand that preserving wealth and growing wealth often require different strategies. The goal isn’t simply to own assets. The goal is to own assets that contribute to the future growth of the business.

Mistake No. 5: Failing to Prepare for the Next Generation

The fifth mistake is failing to prepare for the next generation of agriculture. Across California, many of the most successful agricultural businesses are family-owned enterprises that have been built over decades of hard work and sacrifice. Yet succession planning remains one of the most overlooked areas of business management. The challenge isn’t simply transferring ownership. The challenge is developing future leaders who can navigate increasingly complex business environments. The operations that thrive for generations are intentional about leadership development, governance, communication and long-term planning.

What to Do Next

Reading an article is easy. Applying it is where value is created. Here are three actions every agricultural business should consider before harvest.

First, conduct a strategic review of your operation’s biggest risks. Identify the factors that could have the greatest impact on profitability over the next five years, whether that is water availability, labor, market access, succession planning or debt structure. Understanding risk is the first step toward managing it.

Second, build a profitability scorecard for every major enterprise within your operation. Compare returns by ranch, field, commodity or business unit. The goal is simple: Understand where your best returns are coming from and where capital may be underperforming.

Third, schedule a leadership meeting focused entirely on the future. Bring together family members, partners, managers and trusted advisors. Discuss growth opportunities, succession plans, operational challenges and long-term goals. The best agricultural businesses don’t wait for change to happen to them. They plan for it.

The real crop isn’t just what’s harvested in the field; it’s the margin protected through disciplined management.

California agriculture has always been defined by resilience, innovation and optimism. The men and women leading today’s operations have weathered droughts, recessions, labor shortages, market disruptions and regulatory challenges before. They will overcome the challenges ahead as well.

But the next chapter of agriculture will reward a different kind of leadership. It will reward those who think strategically, allocate capital wisely and make disciplined decisions that strengthen their businesses for the long term.

In many ways, agriculture has become much more than producing a crop. It’s about building an enterprise that can create opportunity, withstand adversity and remain strong for generations to come.

And in 2026, the real crop may not be what you’re growing in the field. The real crop may be financial discipline.

For Tim Mueller of Riverdog Farm in the rural Yolo County town of Guinda, running a diversified operation spanning hundreds of acres, dozens of crops and more than 50 employees means he can’t rely on one single market. For farms like his, consistency in sales isn’t just about profit margins, it’s about maintaining payroll for the people who rely on it.

Programs like Harvest of the Month – a “farm to corrections” program – are starting to offer one more outlet.

Across the United States, these programs bring locally grown fruits and vegetables into prisons to improve the nutrition of incarcerated individuals while also supporting farmers. They also provide agricultural training and vocational skills, improving rehabilitation outcomes and expanding job opportunities after release, with the goal of reducing recidivism.

In California, Harvest of the Month has expanded rapidly in recent years, now reaching 29 adult correctional facilities across the state. On a recent tour for program stakeholders, incarcerated individuals at California State Prison Solano said the access the program has given them to fresh fruits and vegetables has changed the way they think about food, with many saying they have seen and felt improvements in both their physical and mental health.

It’s a win-win for both those who call the prison home and for the staff who oversee them. It’s also a huge win for the growers partnering with the program.

The California Department of Corrections and Rehabilitation (CDCR), which operates the state’s prison and parole systems, needs to serve food to approximately 90,000 incarcerated individuals each day, or about 270,000 meals. A 2022 law, AB 778, now requires prisons to source 60% of their food from California-grown products, helping to open a new institutional market for growers through programs like Harvest of the Month.

Other institutional markets such as schools, hospitals and food service programs already represent a growing outlet for California growers. Harvest of the Month in the carceral context builds on that model, offering the potential to expand into a more consistent and meaningful market for California agriculture.

A New Outlet for Diversified Operations

Mueller said the biggest problem he hopes the program will solve for his Capay Valley farm is consistency and stability.

“Having regular customers with good communication and a commitment to buying local food makes a big difference,” he said.

But the program isn’t replacing other channels, it’s just adding to them.

Riverdog Farm currently participates in CSA, wholesale and restaurant sales. Altogether, those markets help support a year-round workforce. Having a variety of outlets like these for the diverse crops Mueller grows can make a significant difference, he explained.

Having a variety of outlets like these for the diverse crops we grow can make a significant difference.

Partnering with an entity like CDCR can provide a stable home for larger volumes, allowing growers like Mueller to move a substantial portion of a crop while selling the remaining volume through other channels. For operations of his size, that kind of consistency matters.

How the System Works

Spork Food Hub in Davis was the first food hub to help launch the Harvest of the Month pilot in 2023. Originally created to support school food procurement during the COVID-19 pandemic, the hub now supplies locally grown products to schools, universities, hospitals and other institutional buyers across the region. Harvest of the Month highlights one California-grown fruit and vegetable each month and distributes them to the state’s prisons, pairing growers with institutional buyers like CDCR and creating a structured pathway for local produce to enter the system.

Unlike traditional wholesale markets, the Harvest of the Month model relies on coordination between multiple farms and a central distributor. Food hubs like Spork procure products from different growers, standardize packing and handle distribution, allowing institutions to source from many farms through a single, centralized channel.

With the help of a third-party carrier, Spork now delivers produce to 29 CDCR facilities, according to co-founder Hope Sippola.

“We’re selling about $20,000 a month to each site, which has equated to roughly a million pounds of produce over the last three months,” Sippola said.

That volume is spread across a network of growers. Spork works with roughly 120 farms statewide, with about 10 to 15 growers contributing to each Harvest of the Month distribution, depending on the crop and season.

We’re working with farmers who have never grown in the winter, but because of this program they now have an outlet and can expand their business.

For those farms, the program isn’t just another buyer, it’s a signal that consistent institutional demand can support changes in production. Having a defined outlet for specific crops, even on a seasonal basis, allows growers to plan differently and potentially expand into new production windows.

At the same time, the system is built around coordination, and that’s where complexities can begin to surface.

Institutional Demand Meets Real-World Constraints

Individual growers often lack the volume, consistency or logistical capacity to supply large institutional buyers like CDCR on their own. The aggregation provided by outlets like Spork solves part of that problem, but it also introduces some challenges. The product must be sourced from multiple farms, align in timing and quality, and be delivered in a way that meets institutional requirements.

The model also reflects the type of farms currently participating. Spork primarily works with small- to medium-scale growers, many of whom are already diversified and flexible in how they market their crops. While that structure allows the system to function, it’s still evolving to align with the needs of larger-scale producers, who require high-volume and consistent outlets.

Expanding beyond that network would require additional infrastructure, including increased aggregation capacity, more coordinated production planning and systems that can handle larger, more uniform volumes.

Those factors help explain how, despite significant institutional demand, the system is still evolving to move more California-grown product through programs like this.

Expanding the program has also required coordination on the institutional side. CDCR officials noted that sourcing California-grown produce comes at a higher cost than traditional purchasing, requiring collaboration across departments and agencies to meet procurement goals under AB 778.

Officials also pointed to cases where the program has connected with growers at risk of losing crops, allowing products to be purchased and redirected into the system. For some growers, that can create an opportunity to move product that may not have had a market otherwise.

What It Would Take to Scale

The Nutrition Policy Institute (NPI), in partnership with the nonprofit Impact Justice, acts as the research and strategic engine behind Harvest of the Month. While partners like Spork handle the physical deliveries, NPI (an institute under University of California Agriculture and Natural Resources) provides the data, funding coordination and expertise needed to make the system work.

For larger-scale growers looking for new market possibilities like this “farm to corrections” approach, expanding the program to meet institutional demand will require changes in how food is sourced and supplied, according to Wendi Gosliner, project scientist with NPI.

“In order to provide more whole, fresh produce items to these facilities, the scale does need to increase,” said Gosliner, principal investigator on the California Department of Food and Agriculture specialty crop block grant supporting the project. “It probably can’t be only small farmers providing the fresh produce if we want to see a lot more.”

In order to provide more whole, fresh produce items to these facilities, the scale does need to increase.

She noted that cost remains a key factor, and expanding access to California-grown produce at scale will require balancing price, volume and supply chain efficiency. The program’s early expansion has also been supported in part by grant funding, pointing to the need for continued investment as it grows.

For growers like Mueller, it raises a broader question about where operations of his scale fit into the system.

As Harvest of the Month continues to expand, its long-term opportunity for larger-scale growers will depend on whether it can deliver the kind of consistency those operations need.

In short, it could work if key gaps are addressed.

“If we can have a stable market for local produce,” Mueller said, “we’ll grow more vegetables.”

California agriculture has always operated in a challenging environment. Farmers face rising water costs, labor shortages, weather extremes, increased regulation and global competition. In recent years, another major concern has climbed to the top of the list for growers and farm labor contractors alike: PAGA claims.

The Private Attorneys General Act, commonly known as PAGA, allows employees to sue employers for alleged labor code violations on behalf of themselves, co-workers and the state of California. The law was designed to strengthen labor law enforcement at a time when state agencies lacked resources to investigate workplace violations. But across California’s agricultural industry, many farm operators now argue that PAGA has evolved into one of the most expensive and disruptive legal threats facing agriculture today.

Why Agriculture Is Especially Vulnerable

California farms rely heavily on seasonal labor, large workforces and fast-paced harvesting schedules. Labor-intensive operations such as vineyards, berry farms, citrus groves, dairies and vegetable harvesting crews often employ hundreds of workers during peak seasons. Because of this complexity, agriculture is particularly exposed to wage-and-hour compliance issues. Even minor technical mistakes involving meal breaks, rest periods, wage statements, travel time or timekeeping procedures can trigger PAGA lawsuits.

Unlike traditional lawsuits, PAGA allows a single employee to seek penalties for alleged violations affecting many workers. Critics say this creates enormous financial exposure for employers, even when the underlying mistakes are clerical or unintentional.

According to the California Labor and Workforce Development Agency, more than 10,000 PAGA notices were filed in 2025 alone. That does not include the nearly 9,500 filed in 2024 and 7,500 filed in 2023.

For agriculture, where profit margins are often thin and labor costs already account for a major portion of operating expenses, the financial impact can be severe.

Small Errors, Large Consequences

One of the biggest frustrations among growers is that PAGA claims are frequently tied to technical violations rather than intentional abuse. For example, an employer may provide compliant meal breaks but fail to properly document them on payroll records. Another farm may incorrectly calculate pay stub information for field workers moving between ranch locations. Even a payroll software issue can potentially trigger penalties that multiply across an entire workforce and over multiple pay periods.

Agricultural employers say the cumulative penalties can quickly become overwhelming. A single claim involving hundreds of workers over several years may expose a farm operation to hundreds of thousands of dollars in penalties, attorney fees and settlement costs. Many growers also note that defending against PAGA claims is expensive regardless of whether the employer ultimately prevails. Legal defense costs alone can place substantial strain on family farms and midsized agricultural businesses.

Even minor payroll or documentation mistakes can expose California farms to massive financial penalties under PAGA.

Increased Enforcement Climate

At the same time PAGA litigation has increased, California labor enforcement efforts have also intensified. Earlier this year, the California Labor Commissioner’s Office announced a $6 million settlement involving wage-and-hour violations affecting more than 10,000 farmworkers employed through a California-based agricultural operation. The case involved allegations related to paid sick leave notices, wage violations and worker protections during the COVID-19 pandemic.

Federal labor enforcement has also increased scrutiny on agricultural employers. Recent cases involving migrant farmworker transportation safety, wage disclosures and compliance have added to industry concerns over rising legal exposure. For growers, the combination of labor shortages, immigration uncertainty and expanding litigation risk has created a difficult operating environment.

California agriculture employs hundreds of thousands of farmworkers annually, many in seasonal or temporary positions. Managing compliance across such a large and shifting workforce is an enormous administrative challenge, especially for operations already dealing with rising production costs.

Impact on Farm Operations

The growing threat of PAGA litigation is changing how farms operate. Many agricultural employers are now investing heavily in labor compliance programs, payroll audits, digital timekeeping systems, human resources staff and legal consultations. While large agricultural corporations may have resources to absorb these costs, smaller family-run operations often struggle.

Some growers report spending significant amounts annually on preventative compliance measures simply to reduce litigation risk. Others say fear of lawsuits has changed hiring practices altogether. Some farms have reduced workforce expansion plans or shifted toward mechanization where possible. Crops that require large labor crews may become less attractive to producers facing mounting labor liability concerns. Industry leaders warn that these pressures could accelerate consolidation in California agriculture, making it harder for smaller independent farms to survive.

Supporters Defend PAGA

Worker advocates and labor organizations strongly defend PAGA, arguing the law remains necessary because labor violations in California still occur frequently, particularly in industries dependent on vulnerable workers. Farmworker advocacy groups note that many agricultural employees are immigrants or seasonal workers who may hesitate to report violations directly.

PAGA gives workers a legal mechanism to enforce labor laws when government agencies lack sufficient resources. Supporters argue that without PAGA, many wage violations would go unaddressed. Organizations representing farmworkers also point to cases involving unpaid wages, unsafe transportation, denied breaks and inadequate housing conditions as evidence that strong enforcement tools are still needed in agriculture.

To labor advocates, PAGA is not merely about penalties. It is about accountability and ensuring lawful treatment of workers who are essential to California’s food supply.

Recent PAGA Reforms

Recognizing mounting criticism from businesses across California, lawmakers approved major PAGA reforms in 2024. Gov. Gavin Newsom signed reform measures including AB 2288 and SB 92, which modified several aspects of the law. The reforms introduced new opportunities for employers to cure certain violations before litigation escalates.

Businesses that proactively audit payroll practices, train supervisors and fix compliance issues may now qualify for reduced penalties. The changes also attempted to reduce abusive litigation practices while preserving protections for employees. Agricultural organizations generally welcomed the reforms, though many growers say additional changes are still necessary. Some industry groups believe the reforms are already helping reduce frivolous claims and encouraging faster resolution of disputes. Others argue that litigation risks remain substantial and continue to drive up costs across the agricultural sector.

The Future of Labor Relations in Agriculture

California agriculture has long depended on a delicate balance between worker protections and economic sustainability. Farmworkers perform some of the most physically demanding labor in the country, and few dispute the importance of fair wages and safe working conditions.

At the same time, growers operate in one of the most regulated agricultural environments in the world. The rise of PAGA claims reflects broader tensions within California agriculture surrounding labor, immigration, regulation and economic survival. For some farms, PAGA represents a necessary enforcement tool that improves accountability. For others, it has become a costly legal burden that punishes technical mistakes and fuels excessive litigation.

What remains clear is that labor compliance is now one of the most important business priorities facing California agriculture. Farms that fail to invest in accurate payroll systems, supervisor training, documentation procedures and labor law compliance increasingly face substantial financial risk.

As California continues debating the future of workplace enforcement, agriculture will likely remain at the center of the conversation. The challenge for lawmakers, growers and labor advocates alike will be finding a balance that protects workers while ensuring that California farms can continue producing the food that feeds the nation.

With enforcement expanding, growers must move beyond written programs and focus on execution across crews, locations and labor contractors.

Earlier this year, AgSafe hosted its annual ACTIVATE conference in Monterey, California, bringing together agricultural leaders to focus on safety, health and leadership development across the industry. State and federal agencies shared regulatory priorities and program updates, and attendees heard directly from Cal/OSHA’s Agricultural Enforcement Task Force and Outreach Unit program manager and Cal/OSHA Consultation about citation trends and enforcement priorities since 2025.

The message is clear: California’s agricultural industry is operating under heightened regulatory attention. With the establishment of a dedicated Agricultural Enforcement Task Force and Outreach Unit in 2025, Cal/OSHA has intensified its presence across agricultural regions.

Additional inspectors are conducting proactive surveillance inspections, and recent citation data show the five most frequently cited standards in agriculture are heat illness prevention, field sanitation, injury and illness prevention programs, recordkeeping and electrical safety. Employers should anticipate an increase in agency visits to agricultural worksites.

The enforcement focus is not abstract. Citation trends reveal clear patterns in where employers fall short and where inspectors concentrate their efforts. Understanding these areas of exposure allows agricultural operations to prioritize corrective action before an inspection occurs.

No. 1 Heat Illness Prevention

Heat illness prevention, governed by Title 8, California Code of Regulations, Section 3395, continues to rank first. California maintains one of the nation’s most comprehensive heat standards, reflecting the state’s climate and the outdoor nature of agricultural work.

Core requirements include:

Citations often stem from implementation gaps. Shade structures may be too far from the active work area, water may not be replenished during peak heat, and high-heat procedures are not consistently documented or enforced. Acclimatization practices for new employees are also frequently informal rather than systematic.

With expanded enforcement presence, heat illness compliance will remain a visible and high-priority inspection focus across both field and indoor environments.

Don’t Forget About Indoor Heat Illness

While much of the focus remains on outdoor agricultural work, employers should not overlook California’s indoor heat illness prevention requirements. Packing houses, cold-storage transitions, processing facilities and other indoor operations may fall under Cal/OSHA’s indoor heat standard when temperatures reach regulatory thresholds.

As enforcement activity expands, inspectors are evaluating both field and facility environments. Heat illness compliance is no longer limited to outdoor crews. It applies anywhere employees are exposed to elevated temperatures.

No. 2 Field Sanitation

Field sanitation, governed by Section 3457, ranks second. The requirements are straightforward and highly observable during inspections.

Employers must provide:

Citations frequently arise from maintenance lapses. Inspectors commonly identify missing supplies, unsanitary portable units or facilities located beyond the required distance. Because these conditions are immediately visible, field sanitation remains one of the most consistently cited standards in agriculture.

No. 3 Injury and Illness Prevention Program

The injury and illness prevention program, or IIPP, required under Section 3203, serves as the foundation of California’s workplace safety system.

A compliant IIPP must include a written program specific to the employer’s operations, procedures to identify and correct hazards, systems for employee communication, and training for employees and supervisors.

Citations often occur when programs are outdated, generic or not actively implemented. Missing training documentation and lack of periodic hazard assessments can expose employers to violations.

A strong IIPP functions as the operating system behind compliance in all other safety standards.

No. 4 Recordkeeping

Recordkeeping, governed by Section 14300 and related provisions, remains a significant enforcement area. Employers are required to record work-related injuries and illnesses, maintain Cal/OSHA logs and post the Form 300A annual summary from Feb. 1 through April 30.

Common violations include failing to post required summaries, misclassifying recordable cases or failing to update logs in a timely manner.

In addition, expanded personnel record obligations under Senate Bill 513 now include employee training and education records. For agricultural employers, this reinforces the importance of maintaining consistent, accurate documentation of safety training activities.

Incomplete or inconsistent records can create both labor code exposure and Cal/OSHA risk, particularly during inspections that expand beyond initial findings.

No. 5 Electrical Safety

Electrical safety rounds out the top five cited standards. Regulations are found in Title 8, Sections 2299-2989. Agriculture increasingly relies on powered equipment, irrigation systems and temporary power sources, which increases exposure.

The standard requires proper installation and maintenance of electrical equipment, protection from damaged cords and exposed wiring, and use of qualified personnel for electrical work.

Citations frequently involve damaged extension cords, improper grounding or unqualified employees performing repairs. Routine inspections and clear restrictions on electrical work can significantly reduce risk.

Compliance is no longer about having a plan on paper. It is about consistent execution across every crew, every location and every day.

What This Means at Scale

For larger agricultural operations, compliance risk is increasingly tied to consistency across crews, locations and labor structures. As Cal/OSHA expands proactive inspections, regulators are looking beyond written programs to how effectively they are implemented in the field.

Variability is where exposure occurs:

Inspections are also becoming more comprehensive. What may begin as a focused review can expand into a broader evaluation of training, documentation and overall program implementation.

For larger employers, compliance must be managed as a system, with standardized processes, clear expectations and ongoing verification.

What to Prioritize Now

Across the industry, several recurring gaps continue to drive citations:

Farm labor contractor and temporary staffing oversight. Growers should verify that contractors are implementing required safety programs, conducting training and maintaining proper field conditions. Contractor compliance is viewed as part of the grower’s responsibility.

Supervisor execution. Supervisors are the front line of compliance. Breakdowns often occur when expectations are unclear or training is not reinforced in real-world conditions.

Internal audits and mock inspections. Proactive employers are identifying issues before regulators do through internal audits and simulated inspections. These efforts help ensure programs are functioning as intended.

Documentation consistency. Incomplete or inconsistent records, particularly for training and heat illness procedures, remain a leading source of citations. Standardized documentation practices across operations are essential.

Enforcement Is Increasing

The enforcement environment has shifted. With increased inspection activity and a growing emphasis on consistency and accountability, agricultural employers should expect more frequent and more comprehensive evaluations.

Now is the time to move beyond written programs and focus on execution, ensuring supervisors are trained, labor contractors are vetted, and internal systems are in place to verify compliance across every crew and location.

Employers that prioritize proactive audits, standardized processes and strong field-level leadership will be best positioned to navigate this evolving enforcement landscape.

AgSafe is a nonprofit 501(c)(3) organization (EIN 68-0259724) established in 1991 and recognized as an educational leader in agricultural safety, human resources and leadership development. The organization provides training, education and practical tools to support agricultural employers, supervisors and workers in promoting safe workplaces, regulatory compliance and effective leadership practices. Headquartered in California, AgSafe delivers programs nationwide, including Hawaii and the Pacific Islands, through in-person instruction, virtual learning and partnerships with industry organizations. Agricultural employers seeking additional information about AgSafe and its services can visit www.agsafe.org, email safeinfo@agsafe.org or call 209-526-4400.

Water has always been California growers’ most precious and most precarious resource. But as drought cycles intensify, groundwater regulations tighten and input costs rise, growers across the state have been forced to rethink how they irrigate.

Thankfully, new technology has been a lifesaver. From soil sensors and plant-based monitoring to AI-driven automation and predictive weather modeling, water management tools are rapidly evolving and improving conditions for many in the ag industry.

For many growers, especially those producing high-value specialty crops, these new technologies are not just optional, but are becoming essential for maintaining productivity, profitability and compliance.

“We’re seeing a real shift toward more sophisticated irrigation management,” said Daniele Zaccaria, associate agriculture water management specialist in cooperative extension at UC Davis. “The higher the value of the crop, the more growers are investing in technology and using advanced tools to fine-tune how and when they irrigate.”

The Stakes Behind Smarter Irrigation

The urgency behind these technological advances becomes clearer when looking at the scale of water use in California agriculture. According to the California Department of Water Resources, in an average year, farming accounts for roughly 40% of the state’s total water use and about 80% of all developed water supplies — water that is actively managed and delivered through reservoirs, canals and groundwater systems.

That water supports approximately 9.6 million irrigated acres across the state and requires an estimated 34 million acre-feet of water annually, underscoring just how dependent California’s agricultural economy is on irrigation.

At the same time, pressure on those water supplies is intensifying. Climate variability, groundwater depletion and regulatory mandates like the Sustainable Groundwater Management Act are forcing growers to produce more with less. Still, even small efficiency gains can have an outsized impact.

Zaccaria noted because agriculture uses such a large share of the state’s water, even incremental improvements in efficiency can translate into significant savings. That reality is driving the rapid adoption of digital irrigation tools.

The goal is no longer just conserving water, it’s maximizing productivity per drop, ensuring that every gallon contributes to crop yield, quality and long-term sustainability.

A Shift Toward Precision

Over the past several decades, acreage has steadily moved away from lower-value annual crops like grains and forage toward permanent crops such as almonds, pistachios, citrus and vineyards. These crops require long-term investment and far more precise water management.

At the same time, irrigation systems themselves have evolved. Traditional surface irrigation methods have increasingly been replaced by micro-irrigation systems, including drip lines and micro-sprinklers.

“We are now at about 60% of the acreage irrigated with micro-irrigation systems,” Zaccaria said, noting that this trend has been building for decades.

While these systems don’t necessarily reduce total water use, they significantly improve efficiency by delivering water directly to the root zone and minimizing losses. But they also require more precise control and monitoring, opening the door for digital tools.

Today’s irrigation management typically relies on three core approaches: weather-based models, soil moisture measurements and plant-based sensing.

Weather-based irrigation, often referred to as evapotranspiration, or ET, modeling, estimates how much water crops are using based on environmental conditions. Soil sensors measure how much moisture is available in the root zone. Plant-based methods, meanwhile, assess how the plant itself is responding to water availability.

“The plant-based method is the new kid on the block,” Zaccaria said. “Rather than relying on indirect indicators, plant-based sensing measures the physiological condition of the crop, offering a more precise view of water stress.”

Some New Tech

One emerging approach gaining traction is plant-based sensing, which measures how crops themselves respond to water conditions in real time.

“Soil moisture sensors measure how much water is in the ground, and weather-based models estimate how much water plants should be using,” said Michael Santiago, CEO of FloraPulse. “But neither tells you how the plant is actually responding.”

FloraPulse’s technology measures stem water potential directly inside the tree, capturing the signal that drives plant stress and crop performance.

“A plant can show severe stress even when the soil appears well-watered,” Santiago said. “By measuring the plant directly, growers know exactly when, and when not, to irrigate.”

According to Santiago, many growers are surprised by what they discover once they begin using plant-based sensors.

Across our customer base, growers typically find they’ve been overwatering early in the season and underwatering at peak stress periods.

Correcting those imbalances can deliver significant results. In one case, a prune grower documented a $700-per-acre revenue increase alongside a 40% reduction in water use compared to previous practices.

Experts say the most effective irrigation strategies don’t rely on a single tool, but instead combine multiple data sources.

Zaccaria recommends using plant-based sensing to determine timing, weather-based models to calculate how much water to apply and soil moisture sensors as a feedback mechanism.

“Integration is the key,” he said. “Each method has strengths, and together they provide a much more complete picture.”

This approach is becoming increasingly important as growers face tighter margins for error. Overirrigation wastes water and energy, while underirrigation can reduce yields and crop quality.

As data collection becomes more sophisticated, automation is also playing an increasingly important role. Companies like Farmblox are focusing on integrating sensors, equipment and control systems into unified platforms that allow growers to monitor and manage irrigation remotely.

“Farmblox gives growers the tools to build their own farm automation system,” said Marc Printz, co-founder and vice president of business development for the company. “The system combines soil moisture sensors, weather data, pump controls and other inputs into a single interface, accessible via smartphone or computer. Growers can quickly see conditions and make adjustments or automate the system entirely.”

Automation can also help reduce labor demands, a growing concern across the industry. Instead of manually checking fields and turning pumps on and off, growers can rely on alerts and automated triggers.

“Farmblox saves growers hours of time checking on their land, their equipment and turning pumps on or off,” Printz said. “The system can even detect leaks or equipment failures in real time. In one vineyard, Farmblox sensors identified a major 150,000-gallon water leak that had gone unnoticed for hours.”

Newer entrants are also pushing the boundaries of irrigation technology, particularly around data integration and artificial intelligence. Platforms like Agro-AI are designed to connect disparate irrigation systems and generate real-time water-use recommendations, while tools such as Tule Vision allow growers to assess plant water stress using smartphone imagery.

The Role of Forecasting

Another major advancement in the industry is the use of predictive data.

Historically, irrigation decisions were largely retrospective, based on how much water crops had used in the past. Today, growers are increasingly using weather forecasts to anticipate future needs.

“Now growers can look ahead seven to 10 days and estimate how much water the crop will use,” Zaccaria said.

Tools like forecasted evapotranspiration data allow growers to plan irrigation schedules in advance, improving efficiency and coordination, especially when working with irrigation districts. This shift from reactive to proactive management represents a significant step forward in how water is managed on the farm.

Barriers to Adoption

Despite the many advancements that have come along in recent years, adoption is not without challenges. Cost remains a factor, particularly for smaller operations. But usability and trust may be even bigger hurdles.

“We had to make sure the technology was not only accurate but also easy to understand,” Santiago said. “Translating complex data into actionable recommendations is critical for adoption.”

Printz points to the importance of flexibility and not being stubborn about old ways.

“Growers don’t like being told what to do by technology companies,” he said. “They want tools they can customize to their specific needs.”

There are also technical challenges, particularly when integrating multiple systems and data streams. Still, as water constraints intensify, the pressure to adopt these tools continues to grow.

Regulation and Accountability

Regulatory requirements are another major driver of change. Under California’s Sustainable Groundwater Management Act, many growers must now demonstrate responsible water use. Therefore, technologies that track and document irrigation practices can provide critical support.

“Growers who can show exactly when and why they irrigated are far better positioned for compliance,” Santiago said.

Automation platforms can also generate detailed records, helping growers meet reporting requirements.

“Farmblox provides a clear record of water use for farmers to show as proof of their compliance,” Printz said.

Looking Ahead

While today’s tools are already transforming irrigation, industry insiders believe the next wave of innovation is just beginning.

Zaccaria points to advances in automation, energy management and plant-based sensing as key areas of growth. He also sees potential in satellite-based monitoring, though the technology is not yet ready for widespread use.

“Right now, it can be inaccurate by 20% to 60%, which is too risky for irrigation decisions,” he said.

Santiago noted that data will play an increasingly central role, particularly as sensor technology improves and costs decline.

“Over the next five to 10 years, sensors will become cheaper and more reliable, enabling monitoring of every irrigation block,” he said.

He also expects AI-driven irrigation systems to become more common, though he cautions that they must be grounded in real-world plant data to be effective.

Ultimately, the future of irrigation in California will depend on how well growers can integrate these tools into their operations. The goal is no longer simply to conserve water, but to maximize its productivity, along with energy and labor.

“The target today is resource-use efficiency across water, energy and labor,” Zaccaria said. “For growers navigating an increasingly complex landscape, technology offers a path forward.”

June and July are two of the most important months in California agriculture. This is the point in the season where pressure begins building across nearly every aspect of an operation. Water demand increases, labor pressure intensifies, equipment starts running harder, pest pressure escalates, and markets continue shifting in real time.

For California’s largest agricultural operations, these are not just summer months. These are decision months.

The operations that navigate June and July with discipline are often the operations that protect margins, maintain efficiency, and position themselves for a stronger finish when harvest season fully arrives.

What makes this year even more important is the level of uncertainty growers are managing simultaneously. Rising operating costs, labor regulations, market volatility, water challenges, and global competition continue forcing agriculture to evolve at a rapid pace. At the same time, California agriculture remains one of the most productive and valuable agricultural regions in the world.

That means the opportunity remains enormous for operations willing to stay proactive instead of reactive.

Whether you farm permanent crops, row crops, citrus, grapes, vegetables, forage crops, or diversified commodities, here are the five biggest areas that deserve serious attention during June and July.

1. Operational Efficiency and Cost Control

Efficiency is no longer a luxury in agriculture. It has become a necessity.

Across California, growers continue facing elevated fuel costs, labor expenses, equipment costs, insurance increases, and input volatility. Operations that fail to control inefficiencies are finding margins disappear quickly.

June and July are ideal months to evaluate how efficiently the operation is running. That means reviewing equipment downtime, labor productivity, irrigation scheduling, spray timing, trucking logistics, maintenance programs, and communication systems across the ranch.

The largest and most successful operations are obsessed with reducing wasted motion. They understand that even small inefficiencies multiplied across thousands of acres become major financial losses over time.

Strong operators are also leaning heavily into systems, accountability, and planning. They are investing in technologies and operational structures that allow management teams to make faster and better decisions under pressure.

The farms that stay organized during summer chaos are often the farms that perform best financially by year’s end.

2. Water Strategy and Resource Management

Water continues to shape the future of California agriculture.

June and July place enormous pressure on irrigation systems as temperatures climb and crop demand accelerates. At the same time, SGMA regulations, groundwater concerns, and rising pumping costs continue forcing growers to become more strategic with every irrigation decision.

The strongest operations are not simply applying water. They are managing water like a business asset.

Precision irrigation, moisture monitoring, evapotranspiration tracking, pressure evaluations, and field observations are becoming increasingly important across all commodities. Whether it is permanent crops, vegetables, forage, or row crops, timing and efficiency matter more than ever.

Operations that maximize water efficiency while protecting crop performance are gaining a significant competitive advantage.

The goal is no longer just conserving water; it’s maximizing productivity per drop.

The reality is simple. Water strategy is no longer just about surviving this season. It is about positioning operations to remain sustainable and profitable for the next generation.

3. Workforce Stability and Leadership

Labor continues to be one of the biggest stress points in California agriculture.

During June and July, heat, long hours, and peak operational demands create even greater pressure on crews and management teams. At the same time, competition for experienced employees remains intense throughout the state.

The best agricultural operations are recognizing that workforce stability starts with leadership and culture.

Employees want consistency, communication, organization, and respect. They want to work for operations that are professional and well-managed. Farms that operate in constant confusion or disorganization often struggle to retain quality people during the moments they need them most.

Successful operations are improving scheduling, communication, safety procedures, and accountability systems while creating stronger team environments throughout the organization.

Many growers are also investing more heavily in technology and automation to improve labor efficiency while reducing unnecessary stress on crews.

In today’s environment, building a stable workforce may be one of the most valuable long-term investments an agricultural business can make.

4. Risk Management and Market Awareness

California agriculture remains deeply connected to global markets, economic conditions, and regulatory changes.

That means growers today must think far beyond the field.

Commodity pricing, export demand, freight costs, interest rates, input availability, weather events, and trade issues all have the potential to impact profitability quickly. June and July are important months for growers to evaluate risk exposure before harvest expenses and market pressures intensify further.

The strongest operations are closely reviewing cash flow projections, financing structures, insurance coverage, marketing plans, inventory needs, and long-term capital decisions.

More importantly, they are operating with discipline.

The growers positioned for long-term success are not simply chasing production. They are protecting liquidity, managing risk, and creating flexibility inside the business.

Agriculture has always involved uncertainty, but today’s environment demands a higher level of business awareness than ever before.

5. Harvest Preparation and Timing

One of the biggest mistakes operations make is waiting too long to prepare for harvest.

By the time harvest pressure fully arrives, most critical decisions should already be made.

June and July are the months to inspect equipment, secure labor, coordinate trucking, communicate with processors and buyers, review logistics, and identify potential operational bottlenecks before they become expensive problems.

Harvest efficiency often determines profitability, especially across large-scale operations where timing matters immensely.

The best growers are proactive. They are running preventative maintenance schedules, organizing crews early, building contingency plans, and tightening communication across departments before peak pressure begins.

Technology is also playing a larger role in harvest management. Many operations are implementing maintenance tracking systems, operational dashboards, and digital communication platforms to improve accountability and response time.

The goal is not perfection. The goal is preparedness.

California agriculture continues evolving rapidly, and the operations that thrive moving forward will be the ones that stay disciplined during the moments that matter most.

June and July represent a critical stretch of the season where leadership, operational execution, financial discipline, and strategic thinking all come together at once.

The growers who stay proactive in these five areas will likely position themselves for stronger yields, better operational efficiency, improved workforce stability, and greater long-term profitability in an increasingly competitive agricultural environment.

If you spend enough time around agriculture, you start to realize something pretty quickly. Most farms are not just businesses. They are legacies.

A grandfather cleared the land. A father planted the orchards. And now the next generation is doing everything they can to keep it going.

In California agriculture, that story is everywhere. But something we do not talk about enough is the pressure that comes with carrying that legacy forward, especially during hard times.

And on larger operations, that pressure extends beyond the farm itself. It reaches employees, families, lenders and long-term business viability. Right now, a lot of people in agriculture are feeling that weight.

Farming Was Always Hard. But Today Feels Different

Farmers have always dealt with challenges. Weather, pests, markets and unpredictable seasons have been part of the job forever.

But the stack of challenges today feels heavier than it did even 10 or 15 years ago.

Water uncertainty. Higher labor costs. More regulations. Rising input prices. Commodity markets that do not always keep up.

Margins are tighter. Risk is higher. And every decision carries more weight than it used to.

That does not just affect the bottom line. It affects how and when decisions get made, from investing in new plantings to managing labor to planning for the next generation.

And while the financial pressure is visible, the emotional pressure is the part most people never see.

The Question Many Farmers Quietly Carry

There is a question that sits in the back of a lot of farmers’ minds.

“Can I keep this thing going?”

Because when your farm has been in the family for decades, the stakes feel completely different.

You are not just managing acreage. You are protecting something your family built. And the last thing anyone wants to be is the generation that lost it.

The last thing anyone wants to be is the generation that lost it.

That responsibility can weigh on people more than most realize.

Legacy Is Powerful. But It Can Also Be Heavy

Legacy is one of the most powerful parts of agriculture. It represents independence, perseverance and a long-term relationship with the land.

But it can also come with pressure.

When someone steps into running a farm, they inherit more than fields and equipment. They inherit expectations, reputation and responsibility. Sometimes they inherit the fear of letting people down.

That pressure does not always show up dramatically.

Sometimes it shows up as long nights staring at numbers. Sometimes it is the stress of making decisions when the margin for error keeps shrinking. And sometimes it is simply the feeling of carrying everything on your shoulders.

When the Heat Turns Up

If you’ve spent any time in the orchard lately, you can feel it. The heat is starting to build. Not just in the weather, but everywhere.

Spray timing tightens up. Water decisions get more critical. Input costs are still staring you in the face. Markets are doing what markets do. And somewhere in the middle of all that, you’re expected to keep the operation moving forward like nothing changed.

This time of year has a way of turning up the pressure.

Stress builds. Patience gets shorter. Decisions feel heavier. And if you’re not careful, you start carrying more than just your own load.

In agriculture, we are wired to push through. Solve the problem. Get the job done.

That mindset has built incredible businesses and strong families. But it also comes with a cost if we do not check ourselves once in a while.

The Leadership Burden

Farmers wear a lot of hats.

They are business owners, agronomists, mechanics, employers and family leaders.

A grower might be worried about crop prices while also wondering whether the next generation even wants to farm. A farm owner may feel responsible for dozens of employees and their families.

Those pressures do not stay isolated. They influence how decisions are made across the entire operation.

That kind of responsibility is real. But it is rarely talked about.

Agriculture Values Toughness, But Awareness Matters

Agriculture is built on resilience. That mindset has helped the industry survive droughts, recessions and major shifts.

But recognizing stress is not weakness. It is awareness.

Just like soil health or water management, the long-term sustainability of agriculture depends on the people running it.

If the people leading farms are carrying overwhelming pressure with no support, that is not sustainable.

Using Your Strength to Support Others

One of the fastest ways to stabilize your mental state during high-pressure times is to shift your focus outward.

Every one of us brings something to the table. Experience. Relationships. The ability to stay calm under pressure. The ability to see the bigger picture.

There are moments when someone you work with or care about needs to hear something honest. Not from a place of ego, but from a place of responsibility.

That might look like telling a colleague they are heading in the wrong direction. Or recognizing when someone is burning out.

It is not always easy. But it matters.

Because most people are carrying more than they show.

Strong Community, Bigger Conversation

One of the best things about agriculture is the network around it.

Growers talk with other growers. Crop consultants work closely with farmers. Ag retailers and industry partners are constantly in the field solving problems together.

But most conversations stay focused on operational issues.

There is also room for a bigger conversation about the human side of agriculture.

Because behind every orchard, vineyard and field is a person carrying a lot of responsibility.

Five Practical Ways to Manage the Pressure

When the weight of legacy starts to feel overwhelming, the most important thing is not to carry it alone.

Talk to someone who understands agriculture. Start with someone inside the ag community. A grower, PCA, advisor or mentor. Talking through challenges can relieve a significant amount of pressure.

Break the problem into smaller decisions. Focus on the next season, the next crop plan and the next step. Progress comes from managing the next decision well.

Involve trusted advisors earlier. Financial advisors, lenders or experienced operators can provide perspective and help identify options.

Protect time away from the farm. Even small breaks can reset perspective and bring clarity to difficult decisions.

Remember legacy is bigger than one season. Every farm goes through difficult periods. Legacy is defined by resilience over time, not one tough year.

A Simple Challenge

Look around.

Who on your team or in your network might be feeling the heat right now?

Reach out. A phone call. A check-in. A simple “How are you really doing?”

At the same time, give yourself permission to do the same.

Strength is not silence. Real strength is knowing when to lean on others.

As things heat up in the orchard, in the markets and in your business, do not forget to manage what is happening between your ears.

Help someone else carry the load. And if you need it, let someone do the same for you.

That is how agriculture gets through the hard seasons.

Agricultural theft has become one of the most persistent and costly threats to California farmers, particularly across the Central Valley, and experts say the crisis is taking a heavier toll each year. After all, what used to be considered an unavoidable nuisance has now evolved into a widespread economic menace, straining farmers, insurers and law enforcement agencies alike. The financial fallout reaches far beyond the farm.

Theft losses cause costly downtime, delayed harvests, higher repair bills, labor inefficiencies and elevated insurance premiums. In some counties, the economic impact even threatens long-term operational stability for growers.

"It's not a question of who's been affected," said Ryan Jacobsen, CEO of the Fresno County Farm Bureau and a fourth-generation farmer. "It's who hasn't been affected at this point because it's so widespread and prevalent."

In Tulare County, a region with more than $8 billion in annual agricultural production, Lt. Rady Gunderman, who leads the Sheriff's Ag Crimes Investigations Unit, sees clear seasonal patterns.

"As we go into winter, battery and fuel thefts from wind machines are increasing," Gunderman said. "As we head into the spring, beehives will be targeted. Equipment and vehicle theft is constant and copper wire theft doesn't stop."

The same trends are appearing throughout the Central Valley, including in Fresno, Kings, Kern and Stanislaus counties, which are major hot spots for metal and equipment theft. Gunderman noted the farther farms sit from main roads, the more emboldened criminals become.

Copper Theft Has Become More Destructive

Copper wire theft remains the No. 1 and most damaging crime across the region.

"Criminals are still committing the same types of theft with the same type of tactics," said Bobby Rader, a 16-year law enforcement veteran and one of California's top ag crime experts. "The biggest change is the amount of damage. Over the last 10 years, we've seen them using vehicles to rip the copper out of the ground, which results in massive and very expensive damage to the infrastructure."

Jacobsen has watched the same trend unfold in Fresno County.

"On average, they're going to steal $20,000 to $60,000 worth of copper," he said. "But the damage can cost anywhere from $2,000 to $15,000 to repair because of the complexities of going back and putting the wire back in."

In many cases, the metal itself is worth less than the destruction left behind, which includes broken pumps, mangled wiring systems, disabled irrigation sites and halted operations. Those secondary losses can sometimes exceed the value of the crop itself, especially for high-water-demand commodities like almonds, citrus and grapes.

Organized Crews Target High-Value Equipment

While many thefts are opportunistic crimes, the most profitable operations are run by organized crews who know the equipment they're after.

"The reason ag equipment is targeted can be attributed to a couple of things," Gunderman said. "It's expensive to purchase, continues to increase in value, and it's versatile. Small tractors, construction equipment, they all hold value."

But it's not just your run-of-the-mill bad guy doing the crime. The crews stealing them are usually highly knowledgeable.

"They're employing people who know equipment makes, models and operations," Gunderman said. "They go after newer, low-hour equipment and know where factory-installed GPS units are attached. They remove them on site, move the equipment, let the trail go cold and then load them into unconventional tractor trailers for transport."

These thefts aren't limited to Tulare. Kern, Kings and Stanislaus counties have seen similar incidents, often linked across county lines. That's why Tulare participates in the statewide California Rural Crime Prevention Task Force and a regional partnership with Fresno, Kings and Kern counties.

"With the networking we've created, we have great relationships with agencies across the state and are able to get assistance when needed," Gunderman said.

Why Many Thefts Go Undetected

One of the biggest challenges for deputies in fighting ag theft is timing.

"Often the realization of the theft is days or weeks old by the time it's reported," Gunderman said. "Evidence has disappeared or been damaged, or it simply isn't reported at all. If we don't know, we can't help and it becomes harder to establish patterns."

That delay gives criminals a wide window of opportunity. Rader noted thieves know that remote farms create perfect cover.

"I've interviewed these criminals countless times," he said. "They tell me, 'I'm not worried. Nobody can hear me. I'm surrounded by almonds or grapes or walnuts. The cops won't even get involved for weeks because the farmer won't know until they drive by and see it.'"

Their confidence has only grown in recent years, and that makes things even more worrisome.

The Financial Fallout

The cost of stolen property is only the beginning.

"The financial impacts are massive and difficult to describe," Rader said. "They're so big and so common that we're seeing insurers leave the state. Deductibles are rising to a level where each farmer has to decide at what level they self-insure."

That can be devastating and can ruin a farm for good.

"I know farmers personally who've had $50,000, $80,000, $100,000 thefts that they paid for out of pocket because they'd probably be dropped as a client once it's paid," Rader said.

For that reason, many growers simply opt out of filing claims altogether, preferring to absorb the loss rather than risk rate hikes or policy cancellations.

Law enforcement budgets are stretched thin as well, so there's not always enough money to fight the problem.

"We spend an enormous amount of resources on manpower, time and equipment trying to combat ag crime and help farmers," Rader said. "There are maybe 15 ag crime units in the state of California."

Farmers Fortify Their Properties

Growers are using every tool available to protect their operations, but it's not always enough. That's why more and more are investing in new ways to deter the thieves.

"Harden your target," Gunderman said. "Locks, fences, lights, cameras, alarms, guard dogs. If your place is a fortress, the criminal may bypass it."

Jacobsen recommended other ways farmers can protect themselves, including installing concrete sleeves and barriers on pumps, switching from copper to aluminum wiring, applying unique paint or owner-applied numbers to metal equipment, using GPS tracking on high-value equipment, or adding camera systems with cellular connectivity.

But even with these precautions, Jacobsen noted theft trends ebb and flow with commodity prices.

"When copper rises, thefts go up," he said. "There's a very high association with drug users when it comes to metal theft. As prices go up, the willingness to steal increases."

After years of feeling one step behind thieves, Rader reached a breaking point.

"Two years ago, 3:30 in the morning, I'm drinking coffee in my kitchen and I'm mad," he said. "Thinking about cases we're working and trying to find a solution."

He sketched an idea on a napkin, a tamper-triggered alert system that would notify farmers and law enforcement the instant a theft attempt began. That concept became COP-R-LOCK, now being piloted by Farmblox and several large growers.

"What sets COP-R-LOCK apart is that it's the only one of its kind," Rader said. "If you install it throughout your infrastructure, there's no way they can begin cutting wire or opening panels without the system initiating."

The system triggers loud alarms, sends immediate alerts and creates enough panic to disrupt the crime in progress. After all timing is everything.

"Getting law enforcement involved in the first 90 seconds instead of two weeks is an unbelievable game changer," he said. "It gives us a real shot at finding and stopping these criminals before they keep going."

Rader hopes COP-R-LOCK sparks a broader technological wave.

"My hope is that people recognize what we've done and build new ideas," he said. "There's been a lack of innovation in the ag crime space because nobody considered it a space. People just got used to it."

Jacobsen agrees that growers want to see proven solutions like this and that technology could eventually help reverse crime trends if tools are reliable.

While Gunderman sees promise in a future where farmers have stronger defenses and law enforcement can respond in real time rather than long after the fact, he knows that technology alone isn't going to be the answer.

California's policy choices, particularly bail reforms and sentencing guidelines, have reduced deterrence and emboldened repeat offenders.

"With reduced sentences, zero bail and little to no consequences, the criminal element has all the opportunity," Gunderman said. "Insurance premiums will climb, cost of goods will elevate and the bottom line for the producer will decrease."

A Crisis Too Costly to Ignore

As theft becomes more brazen and more organized, California agriculture is confronting an uncomfortable truth: the economic stakes are rising faster than the solutions.

The impact, from stolen copper to six-figure repairs, from rising insurance premiums to law enforcement strain, ripples across the entire rural economy. For now, growers, law enforcement and innovators are fighting the same battle from different angles, fortifying properties, building technology, coordinating across counties and pushing for policy changes, hoping to create a better world for the farmers.

Artificial intelligence has been a game changer in recent years for a wide variety of industries, so it's no surprise that AI tools are transforming crop management as well.

Farmers are now leveraging advanced technologies such as drone surveillance, predictive analytics and automated irrigation systems to optimize crop health and increase yields. These groundbreaking innovations not only improve efficiency but also reduce water usage and pesticide application, making orchards more sustainable.

That's why growers are optimistic that embracing AI-driven solutions will help them meet growing demand while protecting the environment, signaling a new era of smart farming in the industry.

Across California's orchards and vineyards, companies developing vision systems, autonomous vehicles and aerial imaging platforms are racing to prove that their tools can handle the complexity, variability and scrutiny that come with high-value crops. The technology is advancing quickly, but so is the demand for transparency about how well AI performs.

The Road to Reliability

The International Fresh Produce Association has tracked the shift from experimental pilots to commercially deployed AI systems across specialty crops.

"AI is moving from hype to application," said Sarah Gonzalez, director of communications and public affairs for International Fresh Produce Association. "Farm-level uses range from vision systems and robotics to genomics-assisted breeding and quality assurance."

Part of that shift is tied to the mainstream adoption of biological inputs, which have gone mainstream in recent years.

"This is an area being shaped heavily by data and automation," Gonzalez said. "Biological inputs are used by roughly two-thirds of specialty crop growers to boost quality, stabilize yields and meet tightening residue limits."

IFPA expects 2026 to bring more clarity and more consistency to how AI and biologicals work together. Standardized programs, better spore-trap analytics and the rise of AI scouting are giving growers earlier indicators of potential issues and enabling more precise interventions.

We are asking these businesses to entirely change the way they collect and consume a data source that is used to run the entire operation.

"Leading growers are redesigning fields for automation and pairing AI scouting with biologicals to enable earlier, lighter interventions," Gonzalez said. "The results are improved quality, reduced inputs and stronger sustainability claims for buyers."

In tree nuts and other orchard systems, autonomous machinery is becoming more common.

"In California's orchards, autonomous systems for shaking, harvesting and in-row navigation are gaining investment," Gonzalez said. "And for berries and soft fruit, robotic harvesters are entering commercial use, often with human crews providing quality checks."

But field-level AI still faces variability across crops, canopy architecture, microclimates and operations, which makes reliability as much a design challenge as a technological one.

Plant-Level AI

The reliability of AI ultimately comes down to what is being measured and how consistently.

That's where Pittsburgh-based Bloomfield Robotics comes in. The company uses AI-powered imaging to deliver continuous, plant-level insights on fruit size, color, disease and canopy health.

"We use AI to measure what we see in an image taken by our devices: how many oranges do we see, what is the color of that blueberry, what is the size of that grape, etc.," said Hayden Wolf, CEO of the company. "Performance can be measured against human counts in the images or against final harvest numbers."

But the human benchmark is not always as solid as growers assume.

"People have a hard time admitting this, but humans aren't even very good at ground truthing," Wolf said. "It's difficult work, it's repetitive, and it's hard to verify if the work was done correctly or done at all."

Bloomfield Robotics' models perform best where the business has focused its engineering resources, currently blueberries, grapes and citrus, which continue to evolve as new datasets accumulate. Even variability in trellis systems is surmountable, Wolf said.

He noted that adjusting to new conditions is often a simple workflow shift, not a major algorithm overhaul.

"A good example of site variability affecting additional calibration would be in grape trellising where you point the cameras up instead of horizontally, so it's a five-minute fix," Wolf said.

The real hurdle is not whether the AI works. It's whether the grower's organization is ready for the transformation that comes with plant-level digitization.

"We have some customers that trial for six weeks and make a commitment to move to 100% coverage inside of the same season, but we also have customers who we have been working with for more than three years," Wolf said. "We are asking these businesses to entirely change the way they collect and consume a data source that is used to run the entire operation."

The company's philosophy is that AI's value lies in precise assessment, not predictions that claim too much.

"We've learned that customers are willing to pay for an excellent picture of the present, and so that is what we focus on."

Looking ahead, Wolf sees major progress in assessment and analysis but noted true robotic execution is still developing.

"There is no way to replace the intimate knowledge a grower has of their production, but the key is to figure out how to incorporate that into the AI decision-making process," he said.

Imagery, Autonomy and the Path to Scale

The AI orchard ecosystem is broad, and autonomy companies are pushing reliability forward in a different dimension with consistent, safe execution of physical tasks.

Bonsai Robotics, which specializes in vision-based autonomy for vineyards, is building systems that can navigate dusty rows, changing terrain and fragile crops like table grapes.

"For grape growers, this means reliable automation that enhances efficiency and consistency in day-to-day tasks like hauling, spraying and mowing," said Joanna Normoyle, product and program manager for the Woodland, Calif.-based company. "Grapes require gentle handling and precise navigation to avoid damaging fruit and vines. Our system's advanced perception allows for safe operation in tight vineyard rows and minimizes crop impact."

Autonomy is expensive to deploy, but rapid payback is becoming a selling point. Normoyle noted growers typically recoup costs quickly.

"The efficiencies gained can begin offsetting upfront costs immediately, especially in times of labor shortages," she said.

The company is currently running commercial trials for spraying, weeding, mowing and harvest logistics, all core pressure points in California vineyards.

Aerial AI

Aerial AI adds another layer of reliability by giving growers a top-down understanding of plant stress, nutrient issues and irrigation uniformity at scale.

San Francisco-based Ceres Imaging has AI systems to help global farming enterprises protect yield and increase resource-use efficiency.

"Ceres' insights are rooted in over a decade of high-resolution aerial imagery, proprietary sensors and ground-truth data," said Anubhav Sharma, head of marketing for the company. "Our AI models are trained and validated on more than 17 billion plant-level measurements."

Collaborations with UC Davis and major agribusinesses have strengthened those models across millions of acres.

Sharma noted that imagery doesn't replace field measurements, it amplifies them.

"Imagery shows where to look and how widespread the issue is," he said. "Probes, pressure tests and scouting confirm why it's happening and how to fix it."

The company also integrates confidence layers into every map so growers know how much trust to place in a given insight.

"Each map is delivered with metadata that includes signal quality and model confidence," Sharma said. "That transparency can support decisions ranging from irrigation adjustments to risk assessment for insurers and lenders."

Ceres performs most consistently in almonds, pistachios, walnuts and grapes — high-value perennial crops where canopy structure is stable and data volume is deep.

"We serve more than 30% of California tree nut growers," Sharma said, noting that the biggest accuracy challenges occur in newly planted blocks, highly variable canopies or areas with heavy weed pressure.

The Road Ahead

The reliability of AI in orchard management is steadily improving, but according to Gonzalez, the nature of the technology means it succeeds most when paired with human expertise, consistent data flow and clear expectations about what AI can and cannot do.

"Growers want accurate, timely information, and AI is pushing the industry closer to plant-level, real-time intelligence," she said. "But they also want reassurance that the insights they receive are trustworthy, transparent and operationally relevant."

Across California agriculture, something significant is happening.

The farms that feed our communities and power our economy are becoming larger, more sophisticated and more complex than ever before. Enterprise operations now manage thousands of acres, advanced irrigation systems, massive equipment investments, labor teams and constantly shifting regulatory and market conditions.

Running an operation like that requires more than hard work. It requires the right information, the right technology and the right relationships.

Yet many growers will tell you that the places where they are supposed to find those answers are not always designed for real conversations.

Trade shows are valuable, but they can also be overwhelming. Hundreds of booths, thousands of attendees and a race down crowded aisles often make it difficult to sit down and have meaningful discussions about the real challenges facing modern farming.

That is exactly why the Enterprise Ag Summit was created.

The Enterprise Ag Summit is not another trade show. It is a curated gathering designed specifically for enterprise-scale growers and the companies developing solutions for the future of agriculture. Instead of walking a busy expo floor, participants engage in focused conversations, structured meetings and peer discussions that allow real ideas to surface.

The Enterprise Ag Summit brings together the growers and innovators shaping the future of large-scale agriculture.

A Different Kind of Ag Event

The concept behind the Enterprise Ag Summit is simple.

Bring the right growers together with the right companies in an environment designed for meaningful conversation. Rather than a massive event focused on volume, the summit focuses on quality. Participation is limited so that every person in the room adds value to the experience.

Enterprise growers attending the summit are leaders managing large-scale agricultural operations across California's specialty crop sector. These are growers constantly looking for better ways to operate, whether that means improving water efficiency, integrating new technologies, optimizing labor or strengthening crop management strategies.

On the other side of the table are agricultural suppliers bringing forward new solutions. These include companies developing precision agriculture platforms, biological inputs, automation technologies, irrigation systems, financial tools and management software designed to support large-scale farms.

When these two groups sit down together in a focused setting, powerful conversations happen.

One-to-One Meetings That Actually Matter

One of the defining features of the Enterprise Ag Summit is the structured meeting format.

Every participating grower sits down with a select group of suppliers during scheduled one-to-one meetings. These are not quick introductions or rushed conversations. Each meeting provides time to explore real operational challenges and discuss solutions in detail.

For growers, this means learning about tools and technologies that could meaningfully improve their operations. For suppliers, it provides the opportunity to speak directly with decision-makers responsible for large farming operations.

The meetings are curated to ensure the conversations are relevant and productive for both sides.

Instead of hoping to find the right connection in a crowded trade show environment, the summit brings the right people together intentionally.

Growers Learning From Growers

Another important part of the summit experience is the time growers spend with each other.

Agriculture can be a lonely profession. Many growers face complicated decisions every season about crop strategies, labor management, water resources and long-term business planning.

Those challenges are not always easy to talk about in public industry settings.

The Enterprise Ag Summit creates a space where growers can have honest conversations with peers operating at a similar scale. These discussions often turn out to be some of the most valuable moments of the event. Growers share what is working, what is not working and what changes they are seeing across the industry. When experienced operators exchange ideas in a relaxed environment, new strategies and perspectives often emerge.

It is a reminder that agriculture moves forward not just through technology, but through shared experience.

Education Focused on the Real World

Alongside meetings and networking opportunities, the Enterprise Ag Summit also includes focused educational sessions.

These sessions are designed around the real challenges growers are facing today.

Topics may include areas such as:

Speakers are selected not for theory, but for their experience solving real problems in agriculture.

The goal is to ensure every grower attending leaves with insights they can apply immediately to their operations.

A Hosted Experience for Growers

One of the most unique aspects of the Enterprise Ag Summit is that qualified growers attend the event at no cost. The summit is designed to respect the value of a grower's time.

Selected growers receive a fully hosted experience that includes:

The goal is simple. Growers should leave the summit with new relationships, new ideas and new strategies that can help strengthen their operations. By removing the cost barrier, the summit makes it easier for growers to participate and focus on what matters most: learning, collaboration and innovation.

Why Suppliers Value the Summit

For agricultural companies, connecting with the right growers can be one of the biggest challenges in the industry. The Enterprise Ag Summit creates an opportunity for suppliers to meet directly with growers responsible for large-scale farming operations.

Instead of trying to capture attention in a crowded trade show environment, suppliers participate in scheduled meetings with growers who are interested in exploring solutions. This allows suppliers to explain their technologies, understand the needs of growers and begin building relationships that can lead to long-term partnerships.

It is a more thoughtful and productive approach to connecting innovation with agriculture.

Built on Relationships and Shared Vision

Agriculture has always been built on trust and relationships, and the Enterprise Ag Summit was designed with that idea in mind. When growers and suppliers spend time together in a focused environment, conversations naturally move beyond product features and marketing pitches. Participants begin discussing long-term strategy, operational challenges and opportunities for collaboration.

These are the types of conversations that drive progress in agriculture.

Many of the relationships formed at events like this continue long after the summit ends. Because the Enterprise Ag Summit focuses on quality interaction rather than large attendance numbers, participation in the event is limited.

Growers are invited based on the scale of their operations and their interest in innovation and strategic growth.

Suppliers are selected based on their ability to provide solutions that can support the future of enterprise farming.

However, the organizers are always interested in hearing from growers and suppliers who believe they would benefit from participating. Enterprise growers who are interested in attending future summits are encouraged to apply for consideration. Qualified growers may be selected to attend as guests and receive the full hosted summit experience. Agricultural suppliers developing technologies or services designed to support large-scale farming operations are also welcome to express interest in participating.

The goal is to continue building a room filled with forward-thinking leaders who care about the future of agriculture.

If you are a grower or supplier who believes you should be part of that conversation, we would love to hear from you.

When the right people come together to share ideas, agriculture moves forward.

Jason Giannelli has some hard decisions to make. Farming in Kern County, where groundwater restrictions are reshaping what's possible, he's weighing which acres stay in production and which he'll fallow. Knowing he still has to pay taxes on idle ground and carry overhead and financial risk, it's not a decision he takes lightly.

These choices are deliberate, planned well ahead of the season and driven first by determining how much water is realistically available and how reliable it is. From there, everything else, like crop mix, acreage and investment, follows.

As California's Sustainable Groundwater Management Act, or SGMA, moves from long-term mandate to everyday reality, growers like Giannelli across the state are being forced to make planning and investment decisions earlier, with less certainty and fewer workable options. From deciding which acres stay in production to determining how much risk a farm can absorb, water has become the primary constraint shaping agricultural decision-making, often before labor, inputs or market conditions enter the equation.

Nobody wants to leave their ground fallow, because you're still paying taxes on it. It's costing you money whether you're making money from it or not.

As he looks to prioritize his land, he said they're mainly looking at what ground is most valuable and leaving ground out that's not as valuable to maximize production with less water. Like many other parts of the state, water planning has had to become strategic, and it's being increasingly dictated by continuing groundwater limits rather than annual variability.

Even in years when rain and snowpack appear strong, allocation realities don't always follow. For Giannelli, the question isn't whether water will arrive but how much, and whether that number will be enough to sustain a season.

"Are we going to have 30% allocation? 40%? We're already at 10%," he said.

The unpredictability adds another layer of stress.

"We're looking at the rain and snow and thinking, this doesn't make sense," he said. "We should be at 70% right now."

That disconnect between visible supply and actual allocation forces growers to plan conservatively, often assuming less water than optimism might suggest.

Of course, water uncertainty doesn't stop at the edge of the field, it also follows growers to the bank. In basins facing long-term groundwater limits, lenders are increasingly underwriting acreage based not only on yield potential but on the reliability of its water supply.

"You've got banks not lending money unless you've got enough capital to back yourself up," Giannelli said. "They're not going to loan money on marginal ground."

Efforts to pivot to alternative crops don't necessarily provide relief either, Giannelli said. Financing for new plantings often requires secured contracts and demonstrated market stability, raising the bar for growers attempting to adapt under tightening water constraints. The result is a compounded risk of constrained water allocations, more conservative lending standards and fewer economically viable alternatives, each reinforcing the next and further narrowing operational flexibility.

A Statewide Shift

Giannelli's story isn't unique.

Across California, UC ANR irrigation and soils farm adviser Moneim Mohamed said growers are now putting water at the very front of their planning conversations, often before labor availability, input costs or market conditions.

"Water is the first thought in the grower plan," Mohamed said. "Growers are asking, 'How much water do I realistically have, and how reliable is it?' Once that's clear, they can decide acreage, crop load strategy and how aggressive they can be with other inputs."

The shift has pushed many decisions that were once adjusted midseason into the months before planting even begins. Mohamed said growers are increasingly building entire seasonal strategies around expected allocations and pumping constraints instead of hoping to adapt later.

He said a lot of the midseason adjustments are now being decided preseason.

"Growers are asking, 'What's my likely allocation? What are my pumping constraints? How much risk am I willing to take?' Then they build a seasonal strategy around that," he said.

As water becomes more limited or uncertain, Mohamed said growers are also prioritizing orchards and fields more aggressively than in the past. Decisions are being driven by crop value, orchard age and overall risk, with lower-performing or higher-risk blocks often receiving less water or being considered for removal.

Those collective pressures are also shaping longer-term investment decisions. While growers continue to invest in projects that improve water productivity, Mohamed said many are holding back on expansion or major redevelopment when the water outlook remains unclear.

"I'm seeing growers invest in system upgrades, automation and monitoring," he said. "But they hesitate on expansions or major redevelopment if the water outlook is still unclear."

The result, Mohamed said, is a growing focus on fewer acres managed more intensively, with the goal of reducing risk rather than maximizing footprint.

"Some growers are reducing the acres they farm at peak intensity and focusing resources on fewer, better blocks to reduce risk," he said.

Planning Amid Uncertainty

Growers are no longer planning around a number; they're planning around uncertainty. As planning decisions move earlier and flexibility narrows, access to timely, accurate water information has become its own challenge. For many growers, staying current on groundwater allocations, pricing and policy updates requires time they just don't have during the season.

That's a gap Tomo Kumahira set out to address when he co-founded WaterOne.AI. The company attends GSA and water board meetings on behalf of its users and distills hours of discussion into short summaries, podcasts and a searchable database growers can reference when questions arise.

"They can get accurate information without having to sit through three hours of meetings," Kumahira said.

One of the platform's tools, called ChatGSA, allows users to ask specific questions drawn from verified meeting records, such as deadlines, eligibility requirements or policy updates. Some growers, including Giannelli, are already using the tool to track how groundwater agencies across the region are approaching their plans.

"It just helps me see what is going on in other GSAs, how they are handling their plans and whether the decisions are going in the right direction," Giannelli said.

Kumahira said the goal isn't to replace direct engagement with GSAs but to help growers filter information quickly and decide when follow-up conversations are necessary.

"Sometimes you just want to ask a very simple question, like when is the deadline," he said. "Instead of trying to chase someone for days, you can start there."

He and his co-founder, Ryo Takanashi, personally review meeting transcripts to ensure accuracy before summaries are released, but Kumahira is careful to emphasize that WaterOne.AI is designed as a decision-support tool and isn't a substitute for human judgment.

"Our stance is not that AI is universally useful, it has its own limitations," Kumahira said. "That's why we spend time reviewing the transcripts and double checking anything that doesn't sound right."

He also stressed the importance of maintaining a constructive relationship with GSAs, noting that most agencies are actively trying to engage growers and work through challenges collaboratively.

"Our goal is not to attack GSAs or agencies," he said. "Most of the time, they're working really hard to reach out to growers, and it's a win for everyone when those conversations happen sooner rather than later."

For growers already planning around uncertainty rather than fixed numbers, Kumahira said tools that streamline information can help reduce delays and support more confident decision-making, especially when water availability ultimately determines how much risk a farm can afford to take.

Taken together, these perspectives show a structural shift in California agriculture. Farming fewer acres, deploying capital more cautiously and making decisions earlier aren't temporary adjustments anymore but part of a new operating model shaped by groundwater limits.

"We've been planning for it for a while," Giannelli said. "It's not reactive. It's just how can we keep things running while dealing with SGMA."

California specialty crop agriculture operates at global scale. The state produces nearly half of the fruits and more than three-quarters of the vegetables in the United States. In 2024, California agriculture generated $61.2 billion in cash receipts and $23.8 billion in exports.

That scale creates influence, but it also creates exposure.

In 2026, three structural forces are reshaping how serious operators think about labor, global markets and enterprise discipline. The growers who recognize these shifts early will not just adjust. They will strengthen their long-term position.

1. Workforce Evolution Is Accelerating Operational Modernization

Specialty crops remain labor-intensive. Harvesting, pruning, thinning and packing require skilled workers, and labor costs represent a significant share of operating expenses for many fruit, vegetable and nut producers.

The H-2A guest worker program has continued to expand nationally in recent years, reflecting increasing reliance on structured labor pathways across U.S. agriculture. At the same time, federal funding for specialty crop mechanization and automation research has grown, signaling recognition at the policy level that labor innovation is critical to long-term competitiveness.

This is more than a workforce challenge. It is a modernization catalyst.

The growers who build hybrid labor systems now, combining structured guest worker programs, strong retention strategies and targeted automation investments, are building predictability into their operations. Labor planning is becoming a year-round enterprise discussion rather than a seasonal reaction.

Volatility is forcing innovation. And innovation favors operators who invest early and think long term.

2. Global Trade Realignment Is Shifting Market Leverage

California remains one of the largest agricultural exporters in the world, shipping $23.8 billion in agricultural goods in 2024. That export footprint makes specialty crop growers highly connected to global economic conditions.

In recent years, tariff adjustments and trade shifts involving Canada, Mexico, China and the European Union have reshaped export flows. While these changes have created short-term disruption in some markets, they have also accelerated diversification.

Almonds provide a strong example. California produces roughly 80% of the world's almond supply, making it one of the most globally exposed specialty crops. Trade tensions in prior years, including retaliatory tariffs from China, forced exporters to expand into alternative markets.

Mexico has strengthened as a trading partner across multiple commodity categories. Southeast Asian markets continue to grow in importance. Buyers are increasingly spreading sourcing risk across regions.

The broader takeaway is clear. Trade volatility redistributes demand. It does not eliminate it.

Growers who cultivate diversified export relationships gain leverage. They reduce concentration risk and strengthen negotiating power with buyers. Global awareness is no longer a secondary function. It is a core enterprise capability.

3. Enterprise Discipline Is Becoming the Competitive Divider

Specialty crops account for more than one-third of U.S. crop sales and exceed $75 billion in annual farm-gate value. With that economic weight comes complexity.

Rising input costs across almonds, berries, lettuce, apples and other specialty crops have compressed margins in recent years. Fertilizer, fuel, compliance, insurance and labor costs have all contributed to tighter operating environments.

Leading growers are responding with structure.

Enterprise operators are implementing quarterly export and pricing reviews, labor forecasting aligned with harvest windows, capital allocation models that account for volatility and formal risk dashboards reviewed at the ownership or board level.

This level of governance is no longer reserved for publicly traded companies. Large private operations are institutionalizing these practices to improve financial clarity and long-term resilience.

Discipline increases lender confidence. It strengthens succession planning. It improves enterprise valuation.

In a more volatile environment, structure compounds.

The growers who recognize these shifts early will not just adjust. They will strengthen their long-term position.

The Strategic Reality for 2026

California specialty crop growers sit at the intersection of workforce evolution, global trade realignment and rising enterprise complexity. These are not temporary disruptions. They are structural shifts.

The growers who thrive in 2026 and beyond will treat labor as a strategic system, diversify export exposure before volatility forces urgency and formalize governance before complexity erodes margins.

California agriculture has always led through innovation. The difference today is the speed of change and the level of global integration.

The three forces reshaping California specialty crops are not signals to retreat.

They are signals to lead.

A partnership between Treehouse California Almonds and biochar producer Sitos Group will soon result in a new production facility in Delano, California. The facility, housed in a 20,000-square-foot metal building on five acres, will include three continuous pyrolysis reactors to turn almond shells into biochar.

Biochar is a form of charcoal created through thermal decomposition and used to improve soil aeration, fertility and pH balance while reducing greenhouse gas emissions. Its use in agriculture dates back more than 1,000 years, when the Kuikuro tribe in the Amazon enriched soil with it to create nutrient-dense "terra preta," or dark earth.

Toward Commercial Launch

If everything stays on schedule, the facility will be operational by July, according to Jessica Bronner, director of business operations at Sitos Group.

More than 70 companies in the U.S. produce biochar, most commonly using gasification or fast pyrolysis. Both methods thermally decompose organic material into energy or biochar, but gasification uses limited oxygen at higher temperatures. Bronner said gasifier-produced biochar is common in Northern California and Oregon.

"The biochar we hope to produce is around 85-plus % carbon, and carbon is nonbiodegradable," Bronner said. "Unlike compost, which you apply year after year because the soil microbes eat it and use it as energy, biochar is inert. It's not going to be eaten by a microbe, but it will provide a 'house or condominium' for microbes to grow and populate."

Growers often make mistakes when using biochar, said Steve McIntyre, Sitos Group co-founder and president of Monterey Pacific.

"The biggest mistake is applying raw biochar to soil without compost," McIntyre said. "Biochar provides a stable structure for microbes, but compost provides the food. Without both, you don't get the full benefit. Raw biochar only supports the life already present in the soil, which is why we recommend 'pre-charging' it with compost to add more life."

The facility will also include a commercial-scale dryer powered by excess energy generated through exothermic equipment.

"They create more energy than they use," Bronner said. "We'll use that to support a microgrid or boiler system, and also to dry feedstock from 40% moisture down to 5% to ensure consistency."

Mayo Ryan, Sitos Group co-founder and CEO, said the system is designed with sustainability in mind.

"Once it reaches operating temperature, it largely sustains itself," he said. "It produces virtually no emissions aside from hot air, which we can reuse to generate renewable energy or steam."

Beyond production, the site will include an educational center. Sitos is partnering with the Butte County Office of Education to build a training program and will offer presentations and facility tours for growers and visitors.

"If someone just wants to know about biochar, we'll lead tours onsite, talk about how it performs in the soil, and do a presentation," Bronner said.

What Growers Need to Know About Biochar

Bronner said she advises growers to ask three key questions when sourcing biochar: What's the carbon content? How is it made? And what is the feedstock?

"The carbon content can vary from 50% to over 90%, and that matters from a grower's perspective," she said. "How it's made, whether it's batch-based, slow pyrolysis or gasification, affects the biochar's electrical charge and ash content, which all impact the soil."

"The carbon in biochar creates a stable home for beneficial microorganisms in the soil," McIntyre added. "Those microbes drive nutrient cycling and ultimately support healthier, more productive plants. The more carbon, the more stability for those microbes to populate and thrive."

Sitos uses slow pyrolysis, which retains the natural pore structure of the feedstock. Bronner said feedstock selection also plays a role in biochar performance.

"Slow pyrolysis exposes pores that are already existent in a feedstock," she said. "Hardwood has fewer pores than softwood or nutshells. Almond shell is naturally really porous. Thinking of a sponge, if you have really compact clay soils and you put a sponge in there, it's going to create a lot more aeration and be able to hold water."

According to Bronner, almond and coconut shells produce the highest quality biochar.

"Coconut shell is probably the highest-grade feedstock you could use. They even use it in lithium batteries because of the carbon quality," she said. "But almond shell is next on the list because of its porosity."

Sitos plans to use all of Treehouse Almonds' annual 15,000-ton almond shell output, sourcing an additional 9,000 to 11,000 tons from a local farmers co-op to meet their yearly production goals.

"We can customize biochar," Bronner said. "We can change pH values, use different feedstocks, change ash content. If somebody needed a lot of alkalinity in their soil, needed a high-ash biochar, we could make that."

Soils are highly variable, so biochar shouldn't be one size fits all.

"Our technology allows us to adjust properties like pH, water-holding capacity and cation exchange capacity by controlling temperatures at different stages of the pyrolysis process. These temperature changes create distinct biochar characteristics that can be matched to specific soil needs. Our equipment is also feedstock agnostic."

Bronner added that most producers offer just one type of biochar based on a single feedstock.

"With these other producers, you get what you get and you don't throw a fit," she said. "Our focus is biochar. We can tailor it to soil needs up and down the state, high pH, low pH, high cation exchange capacity, low EC."

Biochar in the Field

Location was no accident. The Delano facility sits just east of Highway 99, nestled between Tulare and Kings counties, two of the top three ag-producing counties in the U.S.

"Shipping is probably just as expensive as the material itself," Bronner said. "That's why we're trying to be closer to agriculture. We're the first biochar producer with a direct tie to ag, using ag byproducts and returning biochar to ag lands. We're the only one we know of doing that to date."

Sitos Group was formed by Ryan, who developed the company's pyrolysis technology, and McIntyre, a longtime grower. McIntyre had been using biochar in vineyards for a decade before teaming up with Ryan. As a subsidiary of Monterey Pacific, Sitos produces biochar that's used in the company's own vineyard operations.

"We're directly tied to ag," Bronner said. "We're a team of growers. We don't just sell biochar, we follow up, help apply it, check soils. That's our approach."

In a 10-year vineyard trial by Monterey Pacific, biochar led to a 35% increase in crop yield. The trial also showed improved soil water-holding capacity and fertilizer retention, reducing leaching during heavy rains.

"One of the biggest benefits the wine industry saw was crop resiliency," Bronner said. "We had a really bad crop year, and the biochar compost-amended plots just kept going like business as usual."

Sitos is now conducting its first in-house orchard trial and expects similar outcomes. While the company hasn't conducted its own citrus or vegetable crop trials, Bronner said that Central Valley citrus and avocado growers have used biochar for more than a decade. She noted that several external studies support its use in those crops.

This magazine was created for one simple reason: agriculture has become more complex, more capital-intensive, and more consequential than ever before. The decisions made in farm offices today ripple far beyond a single season. They shape families, employees, land stewardship, communities, and the long-term future of our food system.

Enterprise Ag exists to help you think bigger.

Not louder. Not trendier. Bigger.

Big-picture agriculture means looking beyond yields and inputs and into leadership, strategy, risk, technology, labor, finance, policy, and legacy. It means understanding how today's choices affect tomorrow's opportunities. It means treating farming not just as a job, but as an enterprise.

I grew up with a deep respect for agriculture and the people in it. Over the years, that respect has only grown. Farmers, growers, advisors, and ag professionals are some of the best people on the planet. They are resilient, principled, innovative, and willing to shoulder risk most industries never see. They deserve information that matches the level of responsibility they carry.

This magazine is not about headlines. It is about clarity.

You will not find fluff here. You will find perspective. You will find insights designed to help you make smarter decisions, ask better questions, and see around corners. Whether it is markets, technology, management, succession, or the future of California agriculture and beyond, our goal is to help you lead with confidence.

At the core of this publication is something deeply personal to me.

I built my career around content, sales, and events because I believe education and connection change outcomes. I believe bringing people together makes industries stronger. I believe agriculture should be left better than we found it. And I believe leadership starts with service.

My faith has shaped that belief. I try to be a good servant of God by putting others before myself, by helping where I can, and by creating things that genuinely add value. Enterprise Ag is an extension of that commitment.

This magazine is for you. For your business. For your family. For the future you are building.

Thank you for trusting us with your time and attention. I hope this publication becomes a resource you rely on, a perspective you respect, and a conversation you want to be part of.

Welcome to Enterprise Ag.

Sincerely,
Jason