Gebbers Farm Bankruptcy
From the Ag Information Network, I’m Bob Larson with today’s Fruit Grower Report. A lot of attention in the tree fruit industry recently has been paid to the bankruptcy filing by Gebber’s Farms last month.
Jon DeVaney, president of the Washington State Tree Fruit Association, says it’s an industry problem that Gebbers has brought to light …
DeVANEY … “I think that it, it’s unfortunate that Gebbers has been put under a microscope as though they are uniquely troubled in this current ag economy because of that filing. But it really has actually been a service to the industry because we’ve had so many members of the industry, growers, packers who are in financial straights because of the multiple years of low prices and, you know, rapidly escalating production costs.”
And Gebbers, DeVaney says is not alone in these tough
economic times …
DeVANEY … “Plenty of other farms have had to sell and cease operations. And many operations across the industry have had to seek out outside investment to help shore up their operating positions, you know, sell essentially all or part of their farm.”
DeVaney says it gives outsiders a better understanding of what the industry is up against …
DeVANEY … “A sale to an outside investor can look like just choosing to cash in rather than an act of desperation under extreme pressure that wasn’t something that was a chosen course, but one of necessity.”
DeVaney says there seems to be a growing recognition of the strain the tree fruit industry, and ag in general, is under … and the State Department of Agriculture’s recently released Ag Viability Study should help lawmakers understand better.
