| April 2005 - Page 2 | Volume 12 - No. 4 |
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Canker Eradication Program Undergoing Review
As the number of detections of citrus canker rise throughout Florida, anxiety rises in growers and program officials. Approximately $100 million is due to growers whose groves have been or are soon to be destroyed by the eradication program. Besides an increased need for compensation, program costs have skyrocketed due to the mere size of the program. Eradication efforts are underway in several urban areas of the state as well as many commercial production areas. Each find means more surrounding groves need immediate survey. Each quarantine brings higher numbers of citrus acres to be surveyed more frequently. Survey requires personnel, vehicles, fuel and many other associated costs.
As cost rise, USDA officials in Washington have become sensitive to the need for appropriations during a time when the administration is trying to reduce the budget deficit. Yet, the citrus industry remains optimistic that the program will successfully control the rash of outbreaks since last summer’s hurricanes and those appropriations will be forth coming.
The Citrus Canker Task Force met recently to discuss the program and many changes could be forth coming. The regulatory and scientific committees will meet in the next few weeks. Items up for discussion include: 1) How the compensation is paid. Whether all growers receive a portion of the appropriated amount or the appropriations are received in order of the date of the Immediate Final Order. 2) How compensation is calculated. (Reducing the payment) 3) The size of the quarantine around each incidence of Canker. Discussion is up to five miles, instead of the current 3,800 ft arc squared. 4) Whether there is an overlap in fruit loss compensation between the canker compensation and disaster payments. 5) Replanting within the quarantine. 6) Creating a grower self inspection program, where the grower will submit a canker business plan with his compliance agreements each year.
Industry representatives are working together to assure each of these items are handled appropriately. Of specific concern to our membership is the ability to replace trees in canker free groves, disbursement of the $30 million already appropriated by Congress and the size of the quarantine areas.
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The Florida Department of Agriculture has continues to sporadically find canker in DeSoto County. The finds seem to be contained in the same area and same ownership as previous finds. While this is tragic for the impacted parties, it does seem to indicate canker within DeSoto County is contained and has not spread to new areas. Historically, most incidences of citrus canker have been found in the fall months, following the summer growth pattern. If this holds true, it may be several months before we feel confident the disease is under control in this area.
The University of Florida IFAS Extension has completed a Citrus Canker Eradication Program Benefit-Cost Analysis of the program. The analysis reviews the impacts of the program and its associated costs. In conclusion, the analysis states:
The results of the benefit-cost analysis clearly suggest that benefits of the CCEP outweigh the costs of the program, thereby recommending that the program continue. The total net benefits of the program in the long run are estimated to be $2.3 billion. The discounted net benefits of the program proved to be even more persuasive of the effectiveness of the CCEP without the “stop-and-go” approach to eradication. If the CCEP had been allowed to continue without interruption from the beginning, the total net benefits of the program in the long run would have been $2.5 billion.
If the CCEP were repudiated, citrus canker would become endemic to the industry. The industry would not only face the loss of net benefits associated with the program, but the entire structure of the industry would be changed forever. Results of this analysis suggest that swift action is the best policy if citrus canker were somehow reintroduced into Florida in the future. If another breakout should occur after Florida has been certified canker-free, the best policy would be immediate eradication according to the 1900-foot rule. It is best to eradicate as quickly as possible to minimize the costs to Florida, the federal government, and the citrus industry. In addition, the need to eradicate residential trees, if any, would be minimal in the future.
The analysis also recognizes the effects of the 2004 hurricane season is unclear and if the program goes past 2008 another analysis would be necessary.
To obtain a copy of the report or for further information, please do not hesitate to contact the association office.
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