At its August 27 meeting, the Almond Board of California (ABC) Board of Directors met to discuss the salable and reserve percentages to be recommended to the USDA Secretary for FY 25/26. Under the marketing order 981.49, the Board is required to make this recommendation to the Secretary by September 1.
After a review of the salable and reserve calculation, the Board unanimously voted to recommend to the USDA Secretary that the FY 25/26 crop be 100% salable.
Historical Context
Bryce Spycher, ABC’s Senior Manager of marketing order services, reviewed a detailed history of reserves in the almond industry. “The volume regulation has been part of the marketing order since its inception in 1950,” Spycher explained. “From 1950 through 2000, reserves were used in 32 of those 50 years to smooth out major swings in supply. The last time a reserve was enacted was the 1999–2000 crop year when production was just over 800 million pounds.”
Several growers questioned the data and formula used in the calculations, including how carryover was determined. It was pointed out that the calculation has been used for many years and utilizes the same factors. For the past 25 years, the crop was considered to be 100% salable.
Several industry members who experienced the last time there was a reserve raised concerns about how such a program would function today, commenting that the program is likely outdated and unenforceable. Their point was that the almond industry left that tool in the toolbox 25 years ago; today production is far larger and demand more stable than when reserves were last used.
A Unanimous Decision
After hearing from stakeholders, the Board members unanimously recommended to the Secretary that the FY 25/26 crop be 100% salable.
Objective Measurement Comments
In parallel, industry questions were raised about the need and purpose of the Objective Measurement. ABC is gathering input on industry views, encouraging all feedback and comments. Recommendations will be compiled and shared in the coming months with Committee and Board of Directors for consideration, and any future action.
