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Investing in Florida Citrus

Investing in Florida Citrus. Optimism in spite of HLB. Rob Atchley General Manager of Citrus Groves, A. Duda and Sons, Inc. Early HLB Experience . Disease was found on the LaBelle property in 2006 Began calendar-based psyllid control program immediately

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Investing in Florida Citrus

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  1. Investing in Florida Citrus Optimism in spite of HLB Rob Atchley General Manager of Citrus Groves, A. Duda and Sons, Inc.

  2. Early HLB Experience • Disease was found on the LaBelle property in 2006 • Began calendar-based psyllid control program immediately • Removal of HLB positive trees implemented • Tree removal strategy abandoned after a (final round) scouting cycle resulted in removal of 19,000 HLB-positive trees • First attempts at psyllid scouting using yellow sticky cards • Ability to raise new trees in doubt

  3. Desire to Replant • Over 2,000 acres of our LaBelle grove was fallow due to the Canker eradication program • 55,000 resets also removed under the program • Need to replace the lost acreage and regain production and efficiencies • Made decision to focus on solid-set replanting • 200-300 acres per year • Solid plantings would enable better tree care and psyllid control • Planting initiative resulted in roughly 1,000 acres of solid plantings (between 2007- 2011) • Raising resets in existing groves doubtful

  4. Early Plantings • Projects began in 2007 • Partial blocks resulting from canker arcs prioritized • Primarily early/mid oranges on Carrizo and Swingle root stocks • Traditional row spacing • Drill spacing tightened to 8’-9’ • Cultural program included additional psyllid control measures (nowhere near todays levels) • Passive pest scouting through yellow sticky card only

  5. Coke/Peace River Products/Duda Project • Opportunity to fill out and expand the citrus footprint in LaBelle with the stability of long-term pricing support • Construction began in December 2012 • 2,870 net acres in size • Mixture of familiar rootstocks as well as new selections • US 897, US 812, US 802, US 942, X639 • 50% micro-jet irrigated and 50% seepage irrigation • Focus on increasing planting densities • Built using GPS technology from the beginning

  6. Moving ahead • Some growers have viewed the Coke offering as not attractive enough to make the investment • Inflation? • Prices too low compared to market potential • Buying and developing land too risky • Confidence in producing the crop drives risk tolerance • Our experience with post canker plantings are one of the many things that have given us confidence to move ahead with this opportunity in this growing environment

  7. CHMAs Work! • Low psyllid numbers are normal in areas where growers work together with coordinated sprays • Easier when fewer growers control large acreages • More difficult but just as effective in areas with fragmented ownership • Aerial, low-volume, and air-blast sprays all can contribute • The CHMA you are located in is just as important to your success as the soil and irrigation sources you have to work with

  8. Post Canker Replanting Performance • Not every planting has been successful • We learn more with every generation • Early yields at sustainable levels have been the norm • Increasing planting densities is driving early yields • Enhanced nutrition (foliar and granular) is resulting in harvestable yields as much as a year earlier than expected • HLB detection is at manageable levels

  9. New Grove Design Advantages • New groves have allowed higher planting densities • Traditional densities of 125-150 trees per acre replaced with 227 to 303 trees per acre • Opportunity to match rootstock to soil type • GPS used for all swale and tree row layout • Immediate money savings • All lines within the grove are perfectly square • Enables the use of auto-steer technology to improve efficiencies and application quality • Tighter design tolerances result in better ability to manage moisture

  10. New Tools In the Toolbox • Research will bring us new options to fight HLB • Resistant varieties and rootstocks • New chemistries • Systemic products to fight psyllid or the pathogen • Compounds that repel the psyllid • Chemistry with new SAR effects • We must combat the disease using conventional methods while researchers look for options • HLB is a very old disease that has touched many areas of the planet • We should be realistic about the time needed for research

  11. Become a farmer • Grow citrus as intensively as any other specialty crop • Intensive nutritional program and evaluation • Map soil zones to enable precision treatment of problem areas • Utilize targeted soil and leaf sampling to evaluate programs • If the trees are telling you something LISTEN and adjust • BUY QUALITY MATERIALS!!!! • Dedicated scouting commitment • Use active methods to seek out and identify pests • When pests are identified respond rapidly • Everyday is Monday morning for our trees

  12. Become a farmer • Give irrigation the focus it deserves • Water quality and quantity • Frequency • Remember you are not an accountant and your accountant should not be your farmer! • A common denominator with people experiencing success in the current environment is their willingness to spend money on their trees.

  13. Manage Tree Stress • Managing stress on trees is critical to surviving with HLB • Stresses beyond your control: • Extreme temperatures • Drought conditions • Stresses within your control: • Nutritional levels • Pest pressures • Soil moisture levels • We can improve our situation greatly by eliminating stresses on our trees

  14. Why should we plant • Industry preservation • Production down to 104 million boxes • 2014-2015 season?? • We need to maintain a critical mass • 50,000 acres of new plantings with an average yield of 500 boxes/acre would have moved this years crop to only 129 million boxes! • Time is a luxury we don’t have!

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