BAKERSFIELD, Calif. (KBAK/KBFX) — As dry weather continues to grip California, concerns are mounting over its potential impact on the Central Valley’s agricultural economy.
Experts warn that prolonged drought conditions could lead to significant economic repercussions.
Brad Rubin, sector manager at Wells Fargo Agri-Food Institute, said, “There are so many inputs that go into farming that when one input gets fairly expensive, farmers are looking to be potentially more efficient.”
The dry spell follows a moisture-lacking December, prompting drought concerns across the state. Rubin emphasized that the relationship between rainfall and market prices is complex.
“No one is out there to price gouge,” Rubin said. “Everyone is out there to make a reasonable amount of income based on the product that they create.”
Dr. Gokce Soydemir, Foster Farms Endowed Professor at Stanislaus State University, highlighted the economic impact of drought conditions, noting that in 2021 alone, the impact was close to $1.3 billion.
“It can affect manufacturing, hydropower generation, job losses, crop losses, revenue losses for farmers,” Soydemir said. “The ripple effects are higher energy costs and job losses in every sector leading to lower output overall.”
Soydemir expressed concern that if the dry patch becomes a prolonged dry spell, it could hurt not only grocery shoppers but also other Central Valley industries. Kern County is currently operating with around half the watershed numbers it typically has each year.
Meanwhile, Rubin suggested that Californians might feel more at ease if the state improved its water retention efforts.
“Allowing water to just escape into the ocean without getting captured is something that we continually need to address,” Rubin said.
