USA - California farms face $3 billion loss from historic drought

28.11.2022 1065 views

California’s worst drought has left growers in the top US agricultural state facing losses of $3 billion, just as producers brace for more widespread cuts to water supplies.

The state’s driest three-year period on record resulted in the crop revenue losses after growers left a total of 1.3 million acres unplanted over 2021 and 2022 as compared with 2019, according to a study commissioned by the California Department of Food and Agriculture. That’s the most idled acreage in recent memory, with effects cascading down the food industry.

California’s Central Valley -- which grows about a quarter of all US food, including 40% of fruits and nuts -- is bearing the brunt of the losses so far. Things could still get worse, with the state’s southern farming areas reliant on water from a shrinking Colorado River likely to see more fallowing in 2023, said Josue Medellin-Azuara, a University of California Merced professor who led the analysis.

“Strategic short term land idling was the most common cropping decision adaptation in this drought,” researchers said in the report. “Some crops such as rice, and other field and grain crops showed extensive idling,” while beef and milk productions were “lower than they would have been.”

The estimated 752,000 acres of fallowed fields in 2022 alone represent nearly 10% of California’s irrigated land examined by researchers. Growers also faced extra energy costs due to the need to pump water. The study is based on “water” years that run from October through September. 

California’s so-called senior water rights over other states have helped shield farmers who depend on the Colorado River from severe water cuts. 

But with the basin that provides water for 40 million people from Denver to Los Angeles contending with a megadrought, states are being tasked by the US government to figure out a plan to conserve water. Federal officials also are considering action that would allow them to mandate restrictions. 

“The pressure is on for cutbacks,” Medellin-Azuara said in a telephone interview. Looming water restrictions for farming in Southern California and Arizona are especially of concern because those regions grow lettuce and other vegetables heavily relied by the rest of the country during winter months.

At least 70% of irrigated land in the Colorado River Basin is used to grow feed for livestock, and the drought already is boosting prices for such crops, according to the study.

The report’s findings weren’t all grim. Statewide economic impacts on farm income were “softened considerably” by measures such as increased groundwater pumping, switching crops, water trading and insurance payments. 

Source - https://www.ajot.com

30.08.2026

Serbia's Drought Halves Crop Yields, Few Farms Insured

Drought in July and August 2026 cut yields by more than half in parts of Serbia, but only 15 percent of farmland is insured. A corn policy costs about 4,500 dinars per hectare.

30.08.2026

India - Maharashtra Approves ₹23.33 Crore Aid For 17,245 Farmers Hit By Crop Damage

The Maharashtra government has sanctioned ₹23.33 crore in relief for 17,245 farmers whose crops were damaged by floods, excessive rainfall, cyclones and hailstorms. 

30.08.2026

South Korea - Daedong launches soybean-specialized combine DSF85 to cut cracking, crop loss

Daedong has unveiled a new full-feed combine focused on reducing soybean cracking and crop loss during harvest.

30.08.2026

UK drought tightens its grip on potatoes, but scale of crop losses remains uncertain

England and Wales are experiencing an exceptional drought, with potato growers facing reduced tuber growth, irrigation restrictions and increasingly difficult harvesting conditions. The evidence supports serious concern—but not every alarming headline can yet be translated into a national crop-loss figure.

30.08.2026

India Overhauls Farm Insurance Scheme with AI and Satellite Tech

India is upgrading the Pradhan Mantri Fasal Bima Yojana (PMFBY) using AI, drones, and satellite mapping to accelerate insurance claim settlements. 

30.08.2026

Kenya turns to digital livestock IDs to improve animal health, traceability

The system will capture information including an animal’s origin, ownership, health status, vaccination history and movements.

27.08.2026

Crop Insurance Add-Ons Surge as U.S. Farmers Expand Subsidized Coverage Nationwide

U.S. farmers sharply expanded area add-on crop insurance in 2026 after federal subsidies rose to 80%, reshaping coverage and federal costs.

27.08.2026

China grain imports in focus as crop damage hits key producing regions

Extreme heat, heavy rain and flooding across key Chinese farming regions are putting global grain and cotton exporters on alert, as markets assess whether crop damage could increase China’s import needs.