Michigan State University Extension
Ag Experiment Station Special Reports - SR599201
07/28/98
STATUS AND POTENTIAL OF MICHIGAN AGRICULTURE Vegetable Crops Robert C. Herner and John F. Kelly
Because of the wide range of vegetable crops and the differences in culture, harvest, utilization and marketing, these crops are reported herein with the following organizational format. The initial reports were a result of pulling together individual reports prepared by the Department of Horticulture faculty members with responsibilities in vegetable crops teaching, research and extension. These were revised and expanded through the pre-conference and conference review process but did not receive a wide review by industry representatives.
Reliable production and value statistics are not available for the full range of these crops. The most recently published industry-wide data can be found in the 1987 Michigan Department of Agriculture Commercial Vegetable Survey. This report and the most recent statistics from the MDA Agricultural Statistics form the basis for the data cited herein.
I. Vegetables Grown Primarily on Mineral Soils A. Fresh Market Warm Season Vegetables B. Miscellaneous/Specialty Vegetables C. Snap Beans and Tomatoes for Processing D. Asparagus E. Pickling Cucumbers
II. Vegetables Grown Primarily on Organic Soils A. Onion B. Carrot C. Celery D. Lettuce
Projections have been made for each of the crop groupings. Following are some of the projections which are likely to apply to all or most of the vegetable crops.
A. Production -Total production and acreage are not likely to change significantly. -Total number of growers is likely to decline, perhaps by 5-10%. This will probably include both profitable and efficient operators as well as marginal operators. -Current production areas will remain the centers of production. -The processing industry, despite constant competition and low prices, is likely to maintain its current level of production. This will be important in Michigan's overall labor market. New facilities will be needed to maintain competitiveness.
B. Profitability and prices -Profitability will continue to vary from season to season, but if recent price trends continue, overall profitability will decline and could result in significant declines in production and number of producers beyond the 10% estimated above.
C. Input requirements -Fertilizer use may decline as much as 20-25% as environmental awareness (e.g. water quality) increases and cost-cutting becomes more critical in determining profitability.
-Insecticide and fungicide use may decline by 20-30% if pest management practices are improved and as pesticides are removed from the market. A very limited IPM research effort at MSU will severely limit progress on developing pest management programs specific for Michigan vegetables.
-Herbicide use is likely to remain steady or to increase as reduced-tillage systems become more feasible.
-Irrigation is likely to increase by 10-20%, including new installations and expanded use of existing systems. Precision application of fertilizers through irrigation will contribute to overall reduced fertilizer usage.
-Fuel usage is likely to decrease slightly (5-10%) as reduced tillage and better management decreases vehicle use.
-Electricity usage may be reduced through better management, but may increase with increased use of irrigation and refrigeration to preserve quality. Probably there will be little net change.
D. Quality and handling -Better utilization of refrigeration, handling and improved packaging will be necessary to maintain a competitive stance. This will require investment in facilities. -Any expansion of Michigan markets will have to be preceded by an increase in quality, which already generally is considered to be high under "normal" weather conditions.
E. Varieties -Hybrids and other new genetic improvements will continue to provide growers with higher-quality, higher-yielding crops. The cost of seed is likely to increase significantly, perhaps as much as 50%. -Developing pest resistance in varieties will continue to play an essential role in pest management.
F. Management -Computers, crop consultants and extension-delivered technologies and problem solutions will be needed to address the need for more efficient management which will be required for profitability and stainability. There is likely to be increased demand for farm management software of various kinds for use on MS-DOS or Apple computers.
G. Marketing -Current markets will remain important. These extend beyond the state boundaries. Increased transportation costs and other costs of production unique to California (e.g. water) could give Michigan producers an edge in markets not currently within reach. -More coordinated marketing efforts will be needed before any large increase in marketing competitiveness occurs.
H. Technology -Packaging, storage and handling technologies, both new and currently available, will be employed more extensively as the market becomes more demanding of high quality vegetables convenient to the consumer. -Genetic improvements from conventional plant breeding will continue to be adopted readily by the industry. Breakthroughs in genetic engineering will finally begin to deliver improvements hitherto unavailable. -IPM technologies will be adapted as rapidly as they are developed, but unless the research in this area is accelerated, the problems of pest control with fewer available pesticides will overtake the industry. -Low-cost, low-technology innovations will be readily adopted to help solve problems such as runoff and erosion because of their general cost-effectiveness. -A long-term strategy is needed for developing cross- commodity support of research/technology development.
VEGETABLES GROWN PRIMARILY ON MINERAL SOILS Fresh Market/Warm-Season Vegetables
Although up-to-date and accurate acreage and production figures are not available for the 10 to 12 warm- season vegetable crops raised for fresh market, it is estimated that 35-40,000 acres are planted in Michigan each year with a value of about $55 million. Because many of these crops are grown in various combinations by individual growers, it is difficult to estimate accurately the number of growers involved--1,500 to 2,000 appears to be a reasonable estimate. These crops are grown in several counties, primarily in the lower half of the Lower Peninsula. Berrien and Van Buren counties in Southwest Michigan have the greatest diversity and the greatest number of growers; cucumbers, tomatoes, peppers and muskmelons are the leading crops. The growers there have access to the Benton Harbor market and the Chicago marketing area. By most standards, most of these growers operate small acreages. However, there are also other areas of concentration. Most of the sweet corn is grown for fresh consumption in Southeastern Michigan. Significant production of peppers and squash can be found in the Saginaw Valley, and both squash and tomatoes are shipped by growers in the area from Kent County north to Oceana County.
Fresh Market/Warm Season Vegetables No. of Acres Production Value growers planted Trend 1000 Cwt Trend $1000 Trend 1987 Sweet corn, 1990 783 13,000 Steady 802 Up $11,268 Fluctuates
Tomatoes, 1987 358 2,800 Down 250 Down 6,300 Steady
Cucumbers, 1987 160 4,500 4,000 est
Muskmelons, 1987 235 1,500 3,000 est
Bell peppers, 1987 231 2,300 4,000 est
Pumpkins, 1987 256 1,500
Summer squash, 1987 117 800
Winter squash, 1987 224 1,700
Green beans, 1987 127 2,500
Cole crops, 1987 438* 3,990 Down 4,000 est
Other Vegetable/Processing
Green beans 137 22,000 62,350 Up $10,350 Up
Cole crops 45 910
Peppers 23 1,400
All squash 39* 900
Tomatoes 96 5,750 Down 132,840 Down 9,671 Down
*Probable duplication.
Industry Strengths
Availability of large metropolitan markets (Chicago, Detroit), sandy soils with irrigation, experienced producers, an existing marketing infrastructure (buyers, brokers, packing houses, Benton Harbor market for small operations), the ability to produce high quality, general availability of migrant labor, diversification, and a generally favorable summer climate are the advantages held by this industry. Michigan generally has fewer insect and disease problems than states to the south and Mexico. The industry has relied heavily on MSU for cultivar, pest management and cultural information. The growers of Southwest Michigan are being served by the SWMREC and its staff in Berrien County. The center is charged also with generating crop data for all the southern tier of counties. Seed companies have kept growers supplied with new cultivars. MSU has trained second and third generation sons and daughters of established producers. Locally-grown vegetable crops offer a limited but significant opportunity for roadside/local marketing and U- Pik marketing.
Industry Weaknesses The greatest challenge to growers of fresh market vegetables has been the uncertainty of prices and the availability of markets. Annual crop acreages may increase or decrease quickly, but small amounts of overproduction can and do affect prices drastically. Back-to-back years of unprofitability drive significant numbers of growers out of this business each year, but many remain and through good management and diversification realize good levels of profitability. Melons, slicing cucumbers, squash and peppers frequently are profitable. Michigan's season is late--a potential advantage in that no states come into production after us, but more often a disadvantage when earlier-producing areas stay in the market and bring prices down. Michigan's fresh market/warm season vegetable producers are not organized for marketing or establishing reputations for high quality. Adding to this problem are the facts that some areas lack irrigation, and early season plant and stand establishment is often difficult because of the variable spring weather--frost, winds and heavy rains. Loss of effective pesticides threatens this segment of horticulture.
Environmental Situation Many Michigan families are involved and many seasonal laborers are dependent upon this generally unmechanized industry. These crops require high levels of irrigation and fertilizer and pesticide use. This segment of the industry, as are all others and most of production agriculture, is constantly challenged by a myriad of new and often complex regulations from local, state and federal government agencies. Producers need assistance in interpreting and complying with these regulations. Urban encroachment and potential contamination of ground water are becoming more important each year.
Industry Competition No other segment of farming can be subjected to such stiff competition as the summer fresh vegetable industry. All neighboring states and Canada and new producers in Michigan can get into the vegetable business almost overnight. New producers often operate at a loss, but their effect on the market can have an adverse effect on the whole industry. There is often very little to differentiate fresh vegetables from different areas, and the fresh vegetables can only have increased value-added benefit if they are specialty items with specific identities, unique packaging and extra high quality. Some of Michigan's fresh vegetables could be marketed via this route.
Research/Extension Strengths A well-trained, aggressive and cooperative group of county/district extension agents is still serving this industry. The weekly Crop Advisory Team meetings and periodic in-service training help to maintain this team. Good support is available from the Departments of Botany and Plant Pathology and Entomology. However, the number of personnel available is a severe limiting factor (e.g. one half faculty full time equivalent (FTE) in Entomology for all vegetables). The Southwest Michigan Research and Extension Center is continuing the tradition of service begun at the Sodus Station. The grower-stimulated work on cultivar testing has high visibility, and new IPM/tillage work at the station addresses anticipated environmental needs. To assure continuity in this work, permanent replacements for extension horticulturist and plant pathologist positions are essential. The new MSU thrust in natural products and their role in pest management adds a valuable new component to this group.
Research/Extension Weaknesses The lack of a horticulturist, nematologist, entomologist and a pathologist for IPM work weakens the support we can give this industry. The loss of a weed science position has severely restricted our ability to address weed problems--some work has been picked up by the Department of Horticulture's muck crop specialist, but his time and resources are limited. Increased marketing support would help address the most serious economic threat. Because of the diversity and generally minor level of production of these crops, pesticide/IPM issues will continue to be of major concern. These are not being addressed adequately.
Research/Extension Environment This industry needs IPM/food safety/pest management support from MSU because of public concerns and lack of understanding of issues related to pesticide use on fresh market vegetables. Strong extension leadership and better grower organization is needed, as is a program for education of the public on issues of nutritional value and safety of vegetables. The relationship of MSU to growers is good, but we are not communicating beyond those who participate in organized meetings.
Research/Extension Competition Rather than viewing it as competition, the MSU vegetable team has sought input from co-workers in neighboring states and the seed industry. Through informal understandings/agreements among researchers, some of the responsibilities have been assumed by one state or another. For example, fresh market tomato, pepper and slicing cucumber work has been conducted in Michigan, while research on processing tomatoes and sweet corn is done in Ohio or Indiana. Such informal arrangements are facilitated by the annual Tri-State (Mich., Ohio, Ind.) vegetable researcher extension specialist/agent meeting.
Industry--Five-year Projection The industry is not likely to experience growth. Recent trends indicate continued decline unless pricing improves significantly. The industry is very volatile and could expand if marketing/pricing/quality were to improve. The Michigan advantages should permit Michigan growers to compete effectively with other areas which experience most of the same challenges. Michigan, with its skilled greenhouse growers, could become a regional center for producing high-quality vegetable transplants. There is abundant suitable land, good sites and high-quality water for expansion. Environmental impacts of pesticides, the loss of pesticides and public concern over these issues could limit expansion. The opportunity exists to meet the expressed demands of the public for "organic" or "semi-organic" vegetables or for specially produced, extra-high-quality, high-nutrition vegetables.
Research/Extension--Five-year Projection Despite the need for more research and extension inputs and leadership, no new resources are anticipated. The only way to garner new resources for this industry is to address the public's concerns and build the industry on its response to public needs. Fresh produce has a particularly high public visibility, so that quality and marketing must be major components of the research/extension agenda. Research/extension can play a major role in the success of the vegetable industry, especially if they can address the problems which cannot be addressed effectively at the grower level. This may involve technology development or "putting out fires".
Miscellaneous/Specialty Upland Fresh Market and Processing Vegetables In addition to the "mainstream" fresh and processed vegetables, Michigan growers produce a wide array of crops to meet special demands of the fresh market and seasonal niches which give the processors a more diverse line and a more continuous season. There are few current production statistics for these crops. Their combined value likely exceeds $10 million. Included in this diverse group are various types of peppers (1350 acres) and squash (900 acres) for processing, Chinese vegetables, greenhouse tomatoes and herbs, cauliflower for processing (500 acres), leafy greens (480 acres), pumpkins (1350 acres), fresh peas (200 acres) and several others grown by a few growers with specific markets.
Industry Strengths This segment of the industry enjoys the same advantages as the warm season/fresh market segment but has the advantage of more limited competition.
Industry Weaknesses There is no grower organization for these crops. The competitive advantage could be very short-lived if only a few new producers entered this production area. The rapid increase of broccoli production in several states is a good illustration of how a highly touted expansion crop rapidly became an overproduced item unable to compete in the long run with California producers. The lack of approved pesticides for minor crops is a major deterrent to expanded production or even continued production on any scale.
Industry Competition Growers of these crops can thrive only with a lack of excessive competition or through organization and external support for marketing efforts. Because the markets generally are limited, these producers would be unlikely to support a large research/extension program which would open their market to more producers. On the other hand, they have many problems which could be eliminated with a limited level of extension support. Like other industry segments, the enterprises which can muster essential support from their land-grant institution(s) are those which are likely to survive. Because of MSU's breadth of strengths, we could support effectively these enterprises at a maintenance level to assist in their survival or growth.
Research/Extension Strengths About the only advantage to research/extension programs in this area is the vast array of problems to be addressed and the potential for making major contributions, albeit to a very minor industry segment. Opportunity may exist for some IR-4-funded work as well as IPM approaches.
Research/Extension Weaknesses There is no direct grower support for research or extension. In fact, there are no grower-identified needs. The crops are so diverse that without specifically assigned faculty support, research and extension assistance to this group of growers is likely to be on a hit or miss basis. The last MSU support of note to this industry segment was a breeding effort which included Chinese cabbage, rutabaga and cauliflower. This program was lost due to a retirement.
Industry --Five-year Projection This segment of the industry has potential for limited growth, but without research, extension and marketing help it likely will decline, especially as research and extension support in other states strengthens their own highly specialized producers.
Research/Extension--Five-year Projection The funding projections from federal, state or industry sources do not indicate any potential for significant efforts in this area. Individually funded projects such as postharvest preservation of fresh herbs are short-term opportunities at best.
Snap Beans and Tomatoes for Processing Although snap beans and tomatoes each contribute about $10 million annually to Michigan growers, the two crops differ significantly in that the beans are both grown and processed in Michigan, contributing more than double the $10 million with the value added by processing. In fact, some beans are shipped into Michigan for processing before the Michigan crop matures. Tomatoes, on the other hand, are largely shipped to Ohio for processing--over half of the crop is raised in Lenawee and Monroe Counties.
Industry Strengths Snap bean processing fits well into the overall processing and farming operations of Michigan. Good yields of high quality machine-harvested beans are produced due to an abundance of good soil and irrigation water. The crop, being contracted, provides consistent, predictable farm income. The seed companies and processors give good support to growers, and disease and insect pressure is minimal. The crop does not require large chemical inputs, and the short growing season of the crop allows multiple plantings and an extended season. Processing tomato acreage remains relatively steady in Michigan despite the massive relocation of the processing tomato industry to California. Michigan soils can supply the needs of Ohio processors with early machine-harvested tomatoes because of the good drainage of southeast Michigan sites. The tomato contract with processors provides a predictable and consistent grower income.
Industry Weaknesses The snap bean processing industry's biggest weakness is the low profit margin. There is no grower organization. The processing tomato industry in the East and Midwest has shrunk because of the shift to California and overseas production and the conversion of major processors to utilization of tomato paste. Some tomatoes are processed fresh in Southwest Michigan. Tomatoes require large fertilizer and pesticide inputs.
Industry Competition The primary competition for processed tomatoes is from California. Snap beans are processed on a large scale in Wisconsin and New York as well as Oregon. Canned snap beans are a relatively low-value item, so a corporate decision of Michigan's single largest bean processor to consolidate in another state could drastically reduce bean contracts/acreage.
Research/Extension Strengths By mutual agreement with Ohio and Indiana institutions, Michigan has allowed those states to take the lead in research/breeding on processing tomatoes. This has worked well. MSU has maintained close contact with extension/research workers in those states. Excellent grower support is provided in Southeast Michigan.
Research/Extension Weaknesses With current staffing in the Department of Horticulture there is no campus-based leadership or out- state contact for either of these crops. MSU has had a minimal support role for Michigan snap bean growers.
Five-Year Projection--Industry No significant changes are anticipated, but corporate decisions could significantly reduce demand for either of these crops.
Five-Year Projection--Research/extension No new or expanded role is possible without specific industry requests and support.
Asparagus Michigan ranks third in asparagus production in the U.S. It is a $14 million industry with about 80-90% of the crop processed and 10-20% fresh-marketed. About 24,000 acres are planted in Michigan, although in 1991 there was a 500-acre decrease in annual planting, primarily in southwest Michigan. The value added to asparagus by processing is 2-3 times the farm-gate value, giving the Michigan crop a value close to $40 million.
Industry Strengths Michigan is the only regional source, and there is a strong processing industry in the state. The product is high quality, there are strong grower organizations for research and marketing and there is a research/marketing check-off scheme. The production is concentrated in two major areas of Michigan: Oceana County and the Southwest region. There is a good working relationship between MSU research and extension activities and the industry. Asparagus is a good fit for seasonal labor needs and efficiency in use of processing facilities. The crop requires low fertility and pesticide inputs, i.e., it is environmentally friendly. The product is nutritious and high in dietary fiber. Michigan harvests by snapping spears, whereas, other states do not. This procedure makes harvesting more efficient and would be amenable to mechanical harvesting, but the cost of development and manufacture of appropriate equipment would be prohibitive based on recent studies.
Industry Weaknesses The average statewide yields are low in general and are declining in older fields. There is limited profitability due to relatively unchanging contract agreements and high cost of stand establishment. There is a need for new varieties. Because the crop is perennial the change to improved cultivars is slow. Asparagus is highly susceptible to spring frosts. The fresh market image is weak and there is a lack of diverse products. It is worth noting that a comparison of Michigan to western yields is difficult because of the added weight contributed by western knife-harvested spears.
Environmental Situation The sandy soils are plentiful and acreage is relatively inexpensive. Climate is favorable to producing quality spears. There is relatively low pesticide and fertilizer application, although the needs may increase with the prevailing no-till practices. Annual frost risk is high, but even in frost damage years there is a crop, albeit reduced. There is drought susceptibility in dry years, but yield reductions due to drought have not been great. The processing industry is stable.
Industry Competition There is tough head-to-head competition with minor production in surrounding states and product from California and Washington. Mexico exported more asparagus to the U.S. in 1991 than Michigan produced. Year-round availability in the market has reduced the previous seasonal appeal.
Research/Extension Strengths There are established plant breeding and pathology programs. Limited entomology expertise is available. The grower farm at Hart, Southwest Michigan Research and Education Center, MSU Horticultural Research Center facilities, and collaboration with growers including variety trials are available. Research on the decline syndrome, with respect to biological control and natural products, is in progress. This project receives major federal funding, but its continuation is tenuous. Industry support is on line.
Research/Extension Weaknesses Extension effort is lacking. There is no long-term support, and more support dollars are needed. There is only an interim position collaborator in plant pathology. Funding is needed to explore long-term storage systems. There is a need for new product and package development.
Research/Extension Environment The voids in extension specialist staffing hinder liaison with the industry. Programs are needed in postharvest and product development and marketing. There is a need to develop an interdepartmental team approach. Field staff needs education on the crop.
Competition/Cooperation Rutgers University (New Jersey) and University of Guelph (Ontario) have breeding programs and share some materials. Our program is strong in spite of minimal funding.
Industry Five-year Projection The number of growers and acreage will slightly decline or remain static. Stability and growth is dependent on higher-yielding varieties. The fresh market opportunity needs full exploitation. New products/packaging/marketing are needed to maintain price/profitability. The federal decision on free trade with Mexico will have significant impact on the future of asparagus production in Michigan. Yields will increase appreciably with the introduction of new all-male varieties, but high-yielding bisexual types also would contribute effectively.
Research and Extension Five-year Projection Continued and increased funding is needed for breeding and Integrated Pest Management. An extension specialist is needed for training field staff, development research and to oversee variety introduction. Extension field staff should be exposed to cultural-management practices in the other major producing areas. Research is needed in postharvest/storage physiology. Exploration of new methods of bio-control and auto-toxicity should be conducted. Industry efforts to secure state and federal funding need support.
Pickling Cucumbers Michigan is the largest producer of pickling cucumbers for processing in the United States with approximately 25,500 acres planted per year and a net value of $25 million for the green stock. Michigan processes approximately 35% of all the pickled cucumbers marketed in the U.S., significantly more than are supplied by Michigan growers alone. Pickle processing enhances the value of the product as well as employs a relatively large labor force.
Industry Strengths Numerous pickle processing companies are located within Michigan. These companies have been attracted to the region because: 1) environmental conditions are conducive to producing high quality fruit; 2) fertile soils and water for irrigation are readily available; 3) the incidences of disease and insect pests are relatively low; 4) there is the potential for either machine harvest or multiple hand-harvested production; 5) high yields can be achieved; and 6) there has been good research and extension support. The pickle industry continues to be retained in Michigan in part due to the efforts of an active industry organization, Pickle Packers International. From a grower perspective, pickling cucumbers are a desirable crop to produce because: 1) the market demand and pricing are stable, thus providing a relatively consistent profit potential; 2) pickling cucumbers require relatively low inputs in terms of capital investment, fertilizers and pesticides; 3) the crop production season is relatively short and does not conflict with the planting and harvest schedules of other fruit and vegetable crops, thus allowing for efficient use of labor; and 4) varieties have been developed which are adapted to the Midwest cultural conditions.
Industry Weaknesses The primary weakness of the pickling cucumber industry is the limited potential for growth due to a limited market demand. The low value of the crop also limits profit potential, thus requiring the use of efficient cultural management practices. Although summer environmental conditions are typically favorable for production, short periods of low rainfall adversely affect both fruit yield and quality if irrigation is not provided. Pickling cucumbers are highly sensitive to drought stress. Moderately low temperatures (<50øC) in late May and June can cause chilling injury, leading to problems in field establishment. Hand-harvest of pickling cucumbers is very labor- intensive, making the industry vulnerable to labor shortages. On the other hand, the cucumber harvest schedule fits well into the overall need for seasonal labor in Michigan. Insects are managed effectively, and only a single insecticide is involved, but its use has been cancelled on almost all other crops for environmental reasons. Importation of the Varroa and trachael mites into Michigan has killed many honeybee colonies and will affect pollination and yield in 1992 and beyond. Government regulations that do not allow share- cropping may force out hand-picking production.
Environmental Situation Few environmental problems are associated with pickling cucumber production due to the low inputs of fertilizer and pesticides. Disposal of salt used in brining is a problem for processors.
Industry Competition Due to the difficulty in mechanically harvesting small size-graded fruit, a significant amount of pickling cucumber production has been established in Mexico where labor is readily available. In addition, a high priority of processors is to select growers with the capability to irrigate a crop. Certain areas of Indiana and other nearby states with irrigated land are thus competing strongly with Michigan growers for contract acreage.
Research/Extension Strengths An interdisciplinary team of researchers, the MSU Pickle Research Committee, is organized and active in addressing current and long-term research needs of the pickling cucumber industry. This team is comprised of a geneticist, plant physiologist, weed management specialist, postharvest physiologist, food scientist, plant pathologist, agriculture engineer, and an entomologist. (Note: These researchers and extension specialists are the same persons mentioned in the previous sections. They are spread thinly over all these areas.) Excellent interaction exists between this university-based research team and industry, both at the state and national levels. The industry, through the Pickle and Pepper Research Committee for MSU and the Seed Research Foundation, provides support for several research projects each year. However, the level of funding is low relative to the size of the industry. Michigan State University has been viewed traditionally by the industry as a center of research excellence in machine-harvest technology and in cultural management for machine-harvest production. In addition, research programs have been established in basic genetics and in environmental physiology and growth/development of pickling cucumbers. Weed management research also continues to be a strong component of the pickling cucumber research program at MSU.
Research/Extension Weaknesses The major weakness is the lack of an extension program for pickling cucumbers and integrated research on cultural management. These two deficiencies arose as a result of the loss of a vegetable extension position from Department of Horticulture in 1990. An active extension program is essential to provide the necessary support needed to maintain the competitiveness of one of Michigan's largest vegetable industries. Funding for research and extension activities on pickling cucumbers also is considered inadequate because individual grants are generally insufficient in amount ($5,000 to $7,000 maximum) and duration (one to two years) to finance graduate assistantships. Consequently, it is difficult to achieve long-term research goals and maintain consistency of effort on projects. Research/Extension Environment Considering the value and strength of the industry in Michigan, the industry should be able to make a greater financial commitment to research and extension on pickling cucumbers.
Competition/Cooperation The primary public research programs on pickling cucumbers are located at North Carolina State University, Ohio State University, University of Wisconsin (USDA), Texas A & M University and Michigan State University. These programs interact and cooperate at the national level as evidenced by the activities of the Pickling Cucumber Improvement Committee. Because of the similarities in environmental conditions and cultural practices, the research priorities of ARS/USDA program at the University of Wisconsin are more similar to those at MSU, although their main focus is on genetic improvement. Because of the number of public research programs nationally, there is some competition for research grant support, primarily in the areas of plant breeding and genetics. Less funding is committed to physiological and cultural research.
Industry Five-year Projection It is projected that the pickling cucumber industry will continue to remain strong and relatively stable in Michigan. Since the market demand for pickling cucumbers is not likely to increase much in the future, only small growth, if any, is anticipated. Profitability of production and processing systems relative to other regions of the country ultimately will determine the long-term future of this industry within the state.
Research and Extension Weaknesses The use of chemical pesticides in pickling cucumber production will continue to be a major concern of the processing industry. Alternative strategies for weed, disease and insect management will be needed, with only a few pesticides currently registered on cucumbers and the prospect of losing even some of these in the future. Several pickle processing plants are old and need renovation. With improved postharvest handling technologies, it may become economical to transport green stock to newer, more centrally located processing plants in the Midwest. In addition, the industry has been highly volatile in recent years as a result of frequent company mergers. Changes in company ownership often are accompanied by changes in priorities. The availability of labor for hand harvest and government restrictions will continue to be limiting factors. Labor-associated concerns may contribute to increased acreage being planted for machine harvest and elimination of cucumber acreage on some farms. (This is already happening.)
Industry Competition Production acreage will continue to increase in Mexico as long as they produce a high quality product. Research/Extension Five-year Projection A position committed at least in part to pickling cucumber extension and cultural management research is critical if the future needs and problems of the industry are to be addressed adequately. This position would not only serve as an interface between the Agriculture Experiment Station programs and the industry but also would function to provide leadership to the pickle research team on campus. Significantly increased outside financial support from the pickling cucumber industry and associated service organizations (e.g., seed companies, chemical companies, etc.) is essential for continuing our current research commitment. The susceptibility of pickling cucumbers to environmental stresses (drought, low temperature) needs to be addressed. Due to the relatively few insect and disease problems associated with pickling cucumber production, excellent potential exists for developing cultural management strategies with limited use of pesticides. With the appropriate research, pickling cucumber cultural practices could be developed to the point where pickling cucumbers would be considered an environmentally "safe" crop.
VEGETABLES GROWN PRIMARILY ON ORGANIC SOILS The major vegetable crops grown on organic (muck) soils are onions (8,000 acres, $17 million), carrots (7,000 acres, $17 million), celery (3,500 acres, $14 million), radish (5,500 acres, $7 million), and lettuce (1,000 acres, $4 million). Other muck vegetable crops include parsley, parsnip, leaf lettuce (610 acres), turnip (290 acres), and cole crops. The muck crops together return about $60 million to the growers, out of the total return for Michigan vegetable production of $140 million. Most of the muck crops are packed for shipment within and outside of Michigan, east of the Mississippi River. There are several major muck production areas and several smaller areas. The major areas are in Newaygo County (Grant), Ottawa County (Hudsonville), Kent County (Byron Center), Allegan County (Fennville and Gun Marsh), Ingham County (Stockbridge), and Lapeer County (Imlay City). Other counties with significant muck vegetable production are Van Buren, Calhoun, Jackson, Ionia, Clinton, and Kalamazoo. Onions, radishes, and lettuce are grown only for fresh market. About 30% of the carrots produced and 25% of the celery are processed. As a group, the muck crops are produced by sophisticated growers with many years of experience. Most of the muck farms in Michigan have been owned by the same families for several generations. The production is packed well, cooled, and shipped in large quantities. Some growers pack their own produce, and some rely on cooperatives or independent packer-shippers to move their produce. As a rule, the quality of these vegetables is good to very good.
Industry Strengths The muck vegetable industry has a history of producing high quality produce. Growers are experienced and understand their crops well. They also understand the need for research, and have formed research committees and support research at MSU (carrot, celery, onion), although at modest levels. Michigan has good soil and adequate water to produce these crops. Most growers use irrigation to grow produce with consistent quality and yields. Our climate is ideal for production of these crops. Michigan generally is within a two-day drive of 60% of the U.S. population and has a shipping advantage compared to many other states. We have had adequate labor to meet production demands. These crops are highly mechanized (except lettuce), so the major labor need is in packinghouses.
Industry Weaknesses The single greatest threat to muck vegetable production is marketplace competition. Other states (primarily California) ship produce into eastern markets throughout the year to maintain their customers and market share. They often sell at a considerable loss to undercut other producers and maintain their market position. In the past, western growers dropped out of the seasonal markets, leaving a profitable window for our producers. However, many of our growers are suffering financial distress as a result of low prices. Although our climate is ideal for these crops, it can be irregular. Droughts or floods have occurred during five of the past ten years. These tend to disrupt supply and quality, and send buyers to more reliable areas. Vegetable crops are minor crops in the world of agriculture. Chemical companies register fewer pesticides for these crops, and many pesticides have been lost in the reregistration process. Consumer concerns for pesticide residues often are aimed at fresh and processed fruits and vegetables, and some processing and packing companies demand that certain pesticides be excluded from use. Without adequate pesticides, it is difficult to grow many of these crops. Long-term production in the same areas and mono- cropping have led to pest problems. Nematodes, weeds, and soil-borne diseases especially tend to increase with limited crop rotation. Several pests have developed resistance to available pesticides. Muck soils decline in productivity when farmed for a long time. The organic matter erodes away or oxidizes in the air, and about one inch of depth is lost per year. Some shallow mucks are already, in reality, high-organic mineral soils.
Industry Competition Our primary competition for most crops is California. Onions are produced in other western states and New York. Celery and leafy greens are produced in Florida, but mostly in the winter months. Muck crop production in neighboring states is more complementary than competitive.
Industry Five-year Projection Major muck crops should be able to maintain production at current levels with adequate help from MSU. Quality control has to be improved so that all Michigan produce will have an excellent reputation in the marketplace. Michigan produce needs to meet standards set by western growers. If MSU is unable to provide adequate support, the industry could decline over the next five years.
Research/Extension Strengths Michigan has the largest muck soil research station in the northern U.S. There are faculty at MSU in the Departments of Horticulture, Crop and Soil Sciences, Botany and Plant Pathology, and Entomology (.25 FTE from Entomology) who address the problems of muck crops. There are also several Extension agents in the field with expertise in muck crops. Several vegetable commodity groups assess themselves on a per container basis and use the proceeds to support research at MSU.
Research/Extension Weaknesses It is difficult to service the industry with inadequate personnel. All the production-related departments are currently understaffed due to resignations and retirements. Without innovative research and extension, Michigan's position in the market may continue to erode. Research/Extension Five-year Projection Resources for the next five years probably will be about static, or may decline. If personnel resign or retire, they probably will not be replaced unless the industry expresses its concern to the administration. Thus, without new resources, there will be a net decline in research and extension to support the vegetable industry.
Onion Michigan ranks ninth in U.S. production of onions, with 8,000 acres and $17 million value. Michigan onions are used almost entirely for fresh market. Most of them are pungent storage onions which are marketed from August to April. There is some production of sweet onions from transplants for marketing off the field.
Industry Strengths Michigan is the nation's second largest producer of northern storage onions, after New York. Michigan growers have a long history of production of generally high-quality onions, and marketing channels are well established with Michigan being close to major population centers. Onion consumption has increased steadily over the past 10 years, since onions have been promoted as a healthy, nutritious food. Although profit margins are small, onion growers as a group have maintained profitability. The industry supports research at MSU through a production assessment.
Industry Weaknesses The fastest growing segment of the onion market is for large, sweet onions. Michigan's climate and growing season are not well suited for production of most current cultivars of this type. Western onion producers ship their small onions east at low prices, competing directly with Michigan onions. It is relatively easy to get into and out of onion production, so the market often is saturated. High prices and profits usually occur when adverse weather wipes out a significant portion of the crop somewhere in the U.S. Packinghouse waste disposal is becoming a major problem.
Industry Competition Michigan competes with all onion growing regions of the U.S. The most serious competition is from small western onions.
Industry Five-year Projection The industry should remain at current levels of production during the next five years. With new large, sweet cultivars developed for Michigan, production may increase. There is a trend toward a shift of acreage from marginal mucks to sandy mineral soils.
Research and Extension Strengths There is currently research at MSU on plant breeding, disease modelling for control recommendations, disease control, weed control, crop nutrition, cultivar evaluation, and storage. Growers support research with an assessment based on production.
Research and Extension Weaknesses Insufficient time and funding are impediments to more effective research on onions. More work needs to be done on cultivar development, precision seeding, integrated pest management, nematode control, storage, market development, and waste handling and disposal.
Research and Extension Five-year Projection Anticipated faculty and staff retirements may leave major gaps in our ability to respond to grower needs. Growers may increase their level of funding for research and promotion.
Carrot Michigan ranks third in carrot production in the U.S., with about 7,000 acres and $17 million value. Seventy percent of carrots are packed for fresh market and 30% are processed. Cull carrots sold for deer food have become a significant portion of the total crop value.
Industry Strengths The Michigan industry has a long history of producing good quality carrots. Marketing channels are well established. Muck soils are well suited for carrot production. Most fields have sufficient water for irrigation. Seed companies have developed many good cultivars for Michigan conditions. The growers assess themselves to support research at MSU.
Industry Weaknesses Competition from California has eroded some traditional markets. Continuous production on the same land has led to serious nematode problems in some areas. Most nematocides have been removed from the market because of environmental concerns, making it difficult to grow carrots on heavily infested soil. Irregular weather during recent years has resulted in irregular carrot quality, which has made marketing even more difficult. Many growers are in serious financial shape.
Industry Competition Carrot production and marketing in the U.S. are controlled by several large firms based in California. They have continued to increase their share of the market, making it difficult for smaller operators to compete. This trend is likely to continue.
Industry Five-year Projection Michigan carrot production is likely to decline somewhat if markets and profitability do not improve. Loss of pesticides and nematocides will make it more difficult to produce carrots in the future. Closeness to markets will help maintain Michigan's share if transportation costs increase.
Research and Extension Strengths MSU faculty have been involved in carrot research for many years. There is current research on weed control, insect control, plant disease forecasting and control, nematode control, and crop nutrition. The industry has recognized the need for research and assesses itself on a production basis to support research at MSU.
Research and Extension Weaknesses Funding for research is limited. It will be difficult to overcome the major limitations facing the industry, ie., increased competition, irregular weather, and nematodes.
Research and Extension Five-year Projection Priorities in research and extension will be crop management to improve production with fewer pesticides. Improving quality and maintaining markets will also be important. The level of activity will be similar to current levels.
Celery Michigan ranks third in celery production in the U.S., with 3,500 acres and $14 million value. Most of the crop is packed for fresh market; about 25% is processed into juice, soup, or precut stalks and crescents. Industry Strengths Michigan has a long history of celery production. Most growers have been in the business for many years and know how to grow their crop well. Marketing channels are well-established. Most growing areas have sufficient water for irrigation. Growers of about 50% of total production belong to a marketing cooperative that helps maintain quality and prices. The industry assesses itself on a production basis to support research at MSU.
Industry Weaknesses Because celery has been grown on the same land for many years, nematodes and soil-borne diseases are persistent problems. Fusarium yellows is an especially serious soilborne disease that threatens the industry. Highly resistant cultivars need to be developed, along with cultural strategies for managing the causal fungus. Celery requires high amounts of fertilizer and pesticide inputs, which may lead to groundwater concerns.
Industry Competition California ships high quality celery into eastern markets throughout the year. In recent years California shippers have protected very aggressively their markets. Thus, it has been difficult to maintain or expand Michigan's share of the market.
Industry Five-year Projection The industry is expected to maintain itself at present levels or decline slightly. Cultivars resistant to Fusarium yellows are essential to maintain the industry. In the longer term, the industry may decline as family members leave the farms and environmental concerns cause increased pressure for less use of pesticides near inhabited areas.
Research and Extension Strengths There are currently ongoing research projects at MSU in celery breeding and genetics, disease forecasting and control, integrated pest management, weed control, crop nutrition, and cultivar evaluation. This research is supported by the Michigan Agricultural Experiment Station, U.S. Department of Agriculture, and celery growers. Support for a celery IPM program from Campbell Soup has ended. MSU has excellent facilities in laboratory, greenhouse, and field to conduct research. Field Extension staff have some expertise in celery production.
Research and Extension Weaknesses Funding is always limited. Faculty are spread across many commodities so they have limited time for each crop.
Research and Extension Five-year Projection Sufficient funding is needed to maintain current programs. If current trends continue, funding will decline. An anticipated research/extension faculty retirements within the next five years would leave a void in the plant pathology and plant breeding area (an interdisciplinary effort between the Departments of Botany and Plant Pathology and Horticulture). Refilling this position with a qualified pathologist is essential to continue celery work. Marketing and market development will be important to maintain our current market share.
Lettuce Lettuce (head and leaf) is a relatively minor crop in Michigan, with about 1,000 acres of head and 600 acres of leafy types. Total value is about $6 million. Much of the production is used within Michigan, and some is shipped to markets in the eastern U.S.
Industry Strengths Lettuce is one of the most popular vegetable crops, so the market demand is always high. Michigan has good soil for lettuce production, and most fields have irrigation. Michigan head lettuce is of a different type than California lettuce and fills some niche markets. Michigan leaf lettuce is of good quality and has good acceptance in the trade.
Industry Weaknesses The industry is small and unorganized. The quality of Michigan head lettuce is erratic due to uncertain weather conditions. There are insufficient pesticides available for good lettuce production. Competition from other states tends to keep prices low.
Industry Competition California and other dry, western states produce most of the head lettuce consumed in the U.S. They control the market, leaving little space for local product. Many states produce leaf lettuce, including Ohio, Illinois, and New Jersey.
Industry Five-year Projection Production of head lettuce will probably remain constant or decline. There will be little chance for increased production as long as California dominates the market. Leaf lettuce production should remain constant or increase slightly.
Research and Extension Strengths Extension personnel are knowledgeable in lettuce production and are able to help farmers solve problems.
Research and Extension Weaknesses Very little research on lettuce is currently being done at MSU and there is no industry funding for research on these crops. Since lettuce is a relatively minor crop, the lettuce industry is served on an ad hoc basis rather than as part of a full-time program.
Research and Extension 5-year Projection These crops should continue to be served on an ad hoc basis. There is little justification for spending time and money when other, more important crops also need attention.
SUMMARY
STATUS AND POTENTIAL OF MICHIGAN AGRICULTURE VEGETABLES
Michigan vegetable crops are discussed in two major groupings, those grown primarily on mineral soils and those grown primarily on organic soils. Within these the major crop groupings are fresh market warm-season vegetables, miscellaneous/specialty vegetables, snap beans and tomatoes for processing, asparagus, and pickling cucumbers (mineral soils); and onion, carrot, celery and lettuce (organic soils). For each category, both industry and MSU strengths, weaknesses, environmental situations, and competition are analyzed and discussed. 10-year projections for the industry as a whole include: little change in production, acreage or location, variable annual profitability with potential for decline based on recent trends in prices received, reduced usage of inputs except for irrigation which should increase, increased emphasis on quality, continued need for and adoption of new varieties, more computer-driven management, expanded marketing emphasis, and rapid adoption of new technologies. Warm-season vegetables are especially vulnerable to low prices received. Growers of these crops are poorly organized. The diversity of crops with a high labor requirement make these growers highly vulnerable to environmental, pesticide and labor regulations. Opportunities exist to expand in specialty crop production. Processing vegetables fit well into Michigan's vegetable picture, but there is limited opportunity for growth. Asparagus markets are threatened by large production in Washington, California and Mexico--the Mexican Free Trade Agreement could offer a serious challenge. New plantings of hybrid varieties are essential to competitiveness. Pickling cucumbers will remain an important Michigan crop despite very high levels of production in many other states. Michigan's consistent production, high quality and processing facilities are a distinct advantage. However, growth is unlikely. Michigan's "muck growers" are backed by a generation of experience and a reputation for high quality as well as a good geographic location relative to climate and markets. Competition from other areas and low prices are the greatest threat, followed by environmental concerns and loss of soils by oxidation and erosion. Most major muck crop acreages are likely to remain steady or decrease. MSU's strengths lie in a core of state and county researchers/extension workers who have established strong ties to the various clientele groups. The limitation of research funds and especially the lack of industry support by the less organized facets of the industry severely restrict the addressing of industy problems. Very limited extension funds and the inability to fill vacant extension positions will be a serious problem in the years ahead, and this may become even more severe as retirements occur. Areas of concern common to all of agriculture which will require major research efforts include loss of registered pesticides, ground and surface water contamination, and food safety (residues).