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Saturday, June 7, 1997

Valley growers coping with latest crop crisis

By PAULINE ARRILLAGA / Associated Press Writer

SAN BENITO, Texas (AP) - Friday morning at the local branch of the federal Farm Service Agency was too quiet for Cristobal Perez.

Perez, who oversees the office, is responsible for lobbying the U.S. Department of Agriculture for loans to help farmers struck by disaster.

But his job doesn't get done until the farmers come in and report their losses. And on this day, there wasn't a soul in sight.

"We need to know what their losses are. If it's significant, that could increase the amount of loans they're eligible for," Perez said.

His message is especially significant as Rio Grande Valley farmers struggle to cope with their latest blow from Mother Nature.

This time downpours, not drought, did the damage, destroying thousands of acres of melons and vegetables and dealing a $66 million economic blow to one of the state's most impoverished regions.

Perez is working with local officials to obtain federal loans for growers who are eligible - those whose revenues are less than $2 million.

In addition, state Agriculture Commissioner Rick Perry is urging President Clinton to declare four Rio Grande Valley counties disaster areas, which would give growers access to additional loan money.

For growers ineligible for those programs, industry officials are examining whether they can obtain loans from other sources, such as a fund earmarked for projects related to the North American Free Trade Agreement.

"We are working to see what other alternatives are out there," said Ray Prewett, executive vice president of the Texas Vegetable Association and Texas Citrus Mutual.

After three dry seasons in a row, Mother Nature pulled a fast one earlier this year and finally sent some rain to the Rio Grande Valley. But it was excessive and ill-timed.

Melon and vegetable growers, who were getting ready to harvest their crops, had to hold off because the fields were so wet. Then disease set in.

"We had the best crop we've ever had. Then we started noticing spots coming up on the melons," Robert A. Peterson, president of Starr Produce in Rio Grande City, said of his 1,400 acres of cantaloupe. "It was just devastating us, devastating our crops."

Peterson estimates he lost 70 percent of his cantaloupe crop to disease. More than half of his 1,000-acre onion crop and 60 percent of his 900 acres of honeydews also were destroyed.

The company, which usually grosses about $25 million annually, will lose millions, he said. And the outlook for next season may be even grimmer.

"I'm scrambling to find somebody to finance us again," said Peterson, whose revenues make him ineligible for federal assistance. "If I don't get financing, we're going to have to close the operation down. There's no other way to do it."

Regionwide, melon and vegetable growers lost up to $45 million in production alone, a total economic impact of $66 million, said Jason Johnson, an economist for the Texas Agricultural Extension Service.

Besides the dollar losses, an estimated 2,000 people lost work because of the disaster, he said.

Cantaloupe and onion growers suffered the brunt of the damage, with up to 90 percent and 60 percent of those respective crops destroyed. Honeydew melons, carrots, cabbage and other vegetables also were ruined.

The wet weather also hurt cotton growers, who were forced to delay planting for three months, pushing harvest time further into the unpredictable tropical storm season.

Some fear the ongoing problems - whether they be drought, downpours or disease - may be taking their toll on the Valley's agriculture industry.

"The good Lord gives and the good Lord takes away. All we can do is live with it," said Peterson. "A lot of people are going to throw up their hands, but somebody's going to pick it up." Send a Letter to the Editor about This Story | Start or Join A Discussion about This Story
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