Showing posts with label Water Supplies. Show all posts
Showing posts with label Water Supplies. Show all posts

Friday, February 17, 2017

California's Wine Exports Reach Record-Breaking Levels



Of the various foods that California produces for export, many have faced hard times over the past couple of years, mainly due to the scarcity of water throughout the state. Almonds, California's largest export, grow on trees that require gallons of water to grow properly. Those almond trees have suffered over the past couple of years, and, even though rainfall has increased, the trees may not recover, at least not any time soon. Fortunately, even though the almond market has hit rough times, other exports from California have reached record levels. In his L.A. Times article, Geoffrey Moan discusses increased exports of American wines in 2016, led by California's brands.

Even with the increased strength of the dollar, a limited water supply, and high tariffs, which all had limiting effects on the wine exports, foreign trade revenue still increased from $1.49 to $1.62 billion in 2016. Of all of the wine exported from the United States, around 90% came from California. Not only did the volume of wine increase, so too did the prices of those wines. Golden State labels have gained higher prestige in foreign markets, and vintners take advantage of that "premiumization" to mark up the wines. It seems to be a good business strategy that hasn't negatively impacted demand while still increasing revenue.

The single country that imported the largest amount of U.S. wine was Canada, accounting for $431 million in table wines. Behind them came Germany and Britain who, along with the rest of the countries in the European Union, imported a total of $685 million in American wines. Behind them came Mexico, Switzerland, and several Asian countries, who collectively accounted for the remaining portions of U.S. wine export revenue. Wine exporters have faced some difficulties with laws in British Columbia and other areas that prevent retailers from carrying foreign wine brands, but exports have still increased despite such restrictions.

Exporters throughout the U.S. expect that the demand will continue increasing, so limits on foreign retailers could pose future issues. While some exporters are working with foreign governments to try to gain equal access to their markets, other exporters make "trade tours" through the countries that import the most product, to renew their relationships and remind importers of their company's commitment to the wine market. While American wines have plenty of domestic demand, which is why the wine industry depends much less on exports than other industries, vintners are focusing on foreign markets mainly because they represent the best opportunity for fast growth. Their work right now will help to define their growth in the industry in years to come.

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Friday, January 22, 2016

New Research Involves Renewing Groundwater Supplies, Not Filling Reservoirs



In a test on a potential new way to reduce the effects of California's recurring drought conditions, researchers are looking not to expand reservoirs, but rather find a way to funnel the excess rainwater from the El Nino winter back into the groundwater, where it can be put to better use during the drier seasons. Currently, the majority of rain runs off into the ocean, simply because a large portion of the land is covered in concrete or asphalt, which doesn't allow rainwater to permeate. Through this ongoing experiment, depicted in Geoffrey Mohan's L.A. Times article, the water is instead redirected to the fields of involved farmers, where the water is able to seep into the soil.

While creating new reservoirs and expanding existing reservoirs could accomplish the same goal, the experiment aims to show that it can be accomplished more naturally and cheaply. Simply by harnessing the power of gravity, storm runoff could be forced into irrigation channels. From the irrigation channels, several fields in succession can be watered before the rest of the runoff can make it to nearby lakes and rivers. Once upon a time, farmers used only surface water and groundwater to tend to their crops. In this day and age, the groundwater levels are so depleted, especially during drought seasons, that there isn't enough water to make that system feasible.

That system could once again become helpful for farmers and common folks alike, once the groundwater levels have been put back to normal. Through a large-scale application of the concepts present throughout the experiment, everything from wells to reservoirs could be filled with the rainwater that would normally be wasted as runoff to the ocean. Unfortunately, not very many people have volunteered to be a part of the study. Some are, quite reasonably, simply unwilling to risk their trees in the event that the experiment ruins them. More often, state or federal agencies control the water in dams and canals and put up a lot of red tape due to their worries that the water may benefit people who aren't paying for it.

The research is risky, but well worth it in the long run. The water might spur fungal disease in the trees, but it also might kill off worms and mites. The test measures whether the concentration of contaminants like nitrogen-based fertilizers increases in the total groundwater and what effects that might have on the ecosystem. In general, the experiment is looking to make sure whether this would be an effective way to store water for use in drier times. From what has been measured so far, the irrigation hasn't ruined the test trees, but it will still be a while before significant results can be found.

According to researchers' approximations, there are about 3.6 million acres of agricultural land in California alone that have the proper characteristics to make them usable in groundwater-refilling projects. The only issue is that everyone would have to work together to make this concept a reality. For the first few years, crop yields will likely decrease due to the plan, which will make many farmers want to drop out. However, if they all stick it out to the end, the groundwater levels would eventually become properly equilibrated, which would extremely dampen the effects of future drought conditions in the area. It would just take a lot of cooperation between individual farmers and governmental agencies, as well as a unified belief that renewing the environment will have far more positive effects, both economically and otherwise, in the long  run than making a quick buck today.

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Find out more about us at www.sepulvedaescrow.net. Any Questions? Contact our Escrow Expert! Sepulveda Escrow Corporation (818) 838-1831. Follow our company on Facebook, Twitter, LinkedIn, and Google+.
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