Blue Diamond Almond Facts September-October 2021

This issue of Almond Facts highlights the co-op's presence at the Farm to Fork Festival in Sacramento, the introduction of two new regional managers, information from Project Apis m. on cover crops and water, and the shipping challenges in the Port of Oakland.

NEWS, VIEWS, AND INDUSTRY INSIGHT

SEPTEMBER–OCTOBER 2021

"Blue Diamond Blooms at Farm to Fork Festival” — Our Success at the Largest Event of its Kind

Meet BDG’s Newest Regional Managers: Kenny Miyamoto & Trent Voss

Cover Crop & Water Info from Project Apis m.

Port of Oakland Shipping Challenge Update

Blue Diamond Growers does not endorse or verify statements made by advertisers within this publication.

SEPT–OCT 2021

Contents

8 FIELD TEAM 10 NEWS IN A NUTSHELL 22 GROWING THE GOODNESS 26 ADVOCACY REPORT 34 CULTIVATING SUSTAINABILITY 36 IN YOUR ORCHARD 50 CLASSIFIED ADS

Features 6 President’s Corner

22 Meet Kenny Miyamoto and Trent Voss, New BDG Regional Managers Learn about Miyamoto’s and Voss’s rich histories in the almond industry and their excitement in joining Blue Diamond as regional managers. 28 An Update on Ongoing Shipping Challenges in the Port of Oakland The Almond Alliance’s, Elaine Trevino, discusses the details and difficulties surrounding shipping. We also congratulate Trevino on her nomination for Chief Ag Negotiator by the Biden Administration!

Mark reviews the 2020 Crop Return and is proud that we were able to substantially increase our competitive return, estimated at more than a $.20 per pound advantage. See the summary table following by a 2021 Annual Meeting format update. 14 Blue Diamond Blooms at Farm to Fork Festival Blue Diamond , Sacramento, had an electric presence at the 2021 Farm to Fork Festival. Attendees sampled our iconic Smokehouse almonds, spun a wheel to win fun Blue Diamond prizes, and chatted with BDG team members about our unique co-op.

ON THE COVER: Blue Diamond served as a sponsor for the wildly successful Farm to Fork Festival in Sacramento.

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BOARD OF DIRECTORS Dan Cummings, Chairman of the Board | Chico Dale Van Groningen, Vice Chairman | Ripon John Monroe | Arbuckle Kevin Fondse | Ripon

Stephen Van Duyn | Modesto Charles Crivelli III | Turlock Dan Mendenhall | Winton

Matthew Efird | Fresno Kent Stenderup | Arvin Joe Huston | Monterey

OFFICERS Mark Jansen, President and CEO Dean LaVallee, Chief Financial Officer

ALMOND FACTS STAFF Blue Diamond Growers Communications Department,

communications@bdgrowers.com Jillian VanTassell, Managing Editor Mel Machado, Contributing Photographer Gray Allen, Advertising Sales 916.783.4334 & 916.765.3234

Blue Diamond , the world’s largest processor and marketer of almonds, exports to over 100 countries. Almond Facts , established in 1922, is published bimonthly by Blue Diamond Growers , 1802 C Street, Sacramento, California 95811, phone: 916.442.0771. Address all correspondence to the Editor, Almond Facts , P.O. Box 1768, Sacramento, California 95812. Advertising subscription rates provided upon request. Blue Diamond is a registered trademark and marketing brand of Blue Diamond Growers . Other registered trademarks are The Almond People, Smokehouse, Golden State, Celebration, From the Valleys of California, Confetti and Almond Facts . Blue Diamond Growers does not endorse or verify statements made by advertisers within this publication. Blue Diamond reserves the right to refuse advertising. All rights reserved. Reproduction in whole or in part without written permission is prohibited.

© Blue Diamond Growers 2021

AlmondFacts.com

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PRESIDENT’S CORNER

2020 Final Crop Return This summer’s drought and continued COVID-19-related challenges have certainly tested the resilience of your Blue Diamond co-op and proven our collective tenacity to overcome. Despite supply chain and global shipping challenges over the last year, California almond industry shipments remained strong with an increase of 526 million pounds from the 2019 crop. Contributing to that success, our Global Ingredients sales increased by 36% to profitably move our record handle. I’m incredibly proud of the co-op’s hard work, including SVP Global Ingredients, Bill Morecraft, who has announced he will retire in December after 35 years with Blue Diamond. We are grateful for Bill’s leadership and legacy. I know most of you are currently deep in harvest and while the 2021 crop is not expected to be as large as last year’s, it will, nevertheless, be a significant one. I’m confident we’ve proven as a co-op that we can effectively receive, process, and market whatever size crop our growers entrust us to handle. As almonds are coming in, we’re starting to see that this year’s challenge may not be the size of the crop, but the size of the kernel impacted by trees stressed by higher temperatures and insufficient water during the growing season. Whatever the challenge, I assure you that our mission remains to maximize returns to you, our growers. One of the strengths of our Blue Diamond cooperative is the breadth of our product portfolio. Because of Blue Diamond ’s line of value-added products during this year of lower prices, we were able to substantially increase our competitive return, estimated at more than a $.20 per pound advantage, to help reduce the financial impacts to our grower families. The table on the right summarizes the final payments for all varieties - the actual rates earned by your deliveries are shown in the box on the last page of your grower’s statement. The Revolving Reserve for the 2020 crop has been set at 3.0 percent of the base payment rate.

Mark Jansen President & CEO

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A L M O N D F A C T S

Overall Average

Average of High Quality

Maximum Possible

Variety

Nonpareil & Sonora Inshell

$1.99

$2.00

$2.02

Nonpareil /Supareil Meats

$1.87

$1.89

$1.93

Sonora Meats

$1.86

$1.88

$1.90

Independence Inshell

$1.79

$1.83

$1.84

Independence Meats

$1.71

$1.74

$1.76

Carmel & Winters

$1.83

$1.84

$1.86

Monterey /Neplus

$1.81

$1.82

$1.85

California /Price /Fritz /Wood Colony

$1.82

$1.83

$1.85

Butte & Padre

$1.81

$1.83

$1.85

Mission

$1.71

$1.74

$1.76

Note: The above rates do not include Volume Premiums, Sustainability Incentives, Domestic Production Activities Deduction (DPAD) or IC-DISC advantages.

Your Board of Directors and Blue Diamond Leadership Team have made the decision to switch the 2021 Annual Meeting on November 17 to an online format, similar to last year’s event. With significant current restrictions for large events, such as vaccination verification, masking, potential limitation on meals, outside security and reduced attendance, the quality of an in-person event would be substantially impacted. Additionally, most growers who responded to our poll in early September were not interested in attending an event with significant COVID-19 restrictions and requirements. As was done last year, we’ll make every effort to create a virtual Annual Meeting experience that combines the year’s highlights with the relevant business reflection you’ve come to enjoy at our annual gatherings. I wish you all the best with the rest of your harvest activities.

Mark Jansen President & CEO

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FIELD TEAM

Regional Managers

Vice President Member Relations Mel Machado

Glenn, Butte, Tehama, Placer, Yuba & Sutter ( DISTRICT 1 & 2 ) Christine Ivory, (530) 518-9109 Colusa, Yolo & Solano ( DISTRICT 2 ) John Aja, (530) 338-6440 Sacramento ( DISTRICT 2 ), Calaveras, Alameda & San Joaquin West of Austin Rd ( DISTRICT 3 ) Ben Goudie, (209) 225-0413 Stanislaus County North of Tuolumne River & West of San Joaquin River ( DISTRICT 5 & 6 ) Justin Elam, (209) 303-7306 San Joaquin East of Austin Rd; Stanislaus South of Tuolumne, East of San Joaquin River & West of Hwy 99; Merced North of the Merced River, West of Hwy 99 ( DISTRICT 3 & 4 ) KC Stone, (209) 596-5375 Stanislaus South of Tuolumne River, East of 99 & Merced North of Merced River, East of 99 ( DISTRICT 6 & 7 ) Brian Noeller, (209) 417-2010 Merced County, West of 99 & South of Merced River, East of 99, North of Hwy 140 ( DISTRICT 7 & 8 ) Trent Voss, (209) 470-5981 Merced County, South of Hwy 140 & Madera County, North of Ave 12 ( DISTRICT 8 ) Membership Office, (209) 545-6225 Southern Madera County & Northern Fresno County ( DISTRICT 8 ) Ashley Correia, (559) 356-1584 Southern Fresno & Kings Counties ( DISTRICT 8 & 9 ) Meggie Gilbert, (559) 470-9731 Tulare & Kern Counties ( DISTRICT 9 ) Jeremy Basich, (209) 446-2107 South Valley Training & Development Mike Griffin, (559) 779-6400 Membership Office Jennifer Claussen – Membership Coordinator (209) 545-6225 Daniel Dekeyrel – Membership Assistant ( Delivery Tags ) (209) 545-6261 Grower Accounting Joe Lavagnino – Grower Accounting Manager (916) 446-8591 Kristie Ezell – Grower Accounting Coordinator (916) 446-8368 Erika Martin – Grower Accounting Assistant (916) 446-8385

(209) 545-6222 – Salida (209) 531-6352 – Cellular Director, Northern Region Ben Goudie (209) 225-0413 Director, Southern Region Jeremy Basich (209) 446-2107

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A L M O N D F A C T S

2021 Grower Liaisons

LEGEND

DISTRICT 1

DISTRICT 2

Brian Erickson Stacy Gore Jerry Montz Kevin Davies John Nock Raymond Antonowich Darren Rice P. Samantha Lewis

Don Bransford Ryan Finnen Brian Cahill Michael F. Doherty Kelli Evans Jim Peart Brook Bachmann Cathy Marsh Sid La Grande

Chairman Vice-Chairman Ex-Of ficio Director Appointed (Member-at-Large)

Almond Board Alternate Almond Board Director Almond Board Chair

Chris Alves Luke Konyn Robert Thill Dan Cummings W. Howard Isom Steve Carlos

Joe Martinez Sarah Pippit t John Monroe

Elaine Rominger Gerald Rominger Maryann Warmerdam

DISTRICT 3

DISTRICT 4

Don Van Vliet Rick Phillips Louie Tallerico

Kevin Van Laar Rick Morris Paul Adrian Will Drost Wes Eisenga Robin Giuntoli Joe Gasper John Almeida

Michael M. Petz Lloyd Van Dyken Bruce Oosterkamp Craig Miller Ian Koetsier Nick Alta Chris Rishwain Jack Dalton Dale Van Groningen

Phil Mohler Jake Sonke Bryan Van Groningen

For Grower Liaison contact information, please contact your regional manager.

Kevin Fondse Kenneth Roos Wayne Bruns

John Thoming Mike Boget ti

DISTRICT 5

DISTRICT 6

DISTRICT 8

DISTRICT 9

DISTRICT 7

John De Visser Manuel Furtado Lucas Van Duyn Jack Hoekstra Sonny Johns Sid Miller Gary Darpinian Eric Heinrich Naomi A. Layland Alex Vanderstoel Ryan Valk Stephen Van Duyn Neil Van Duyn Grant Ardis

Frank Borba Trent Voss Michael Mora

Ryan Indart Lee Erickson

Gurcharon Dhillon Kyle Balakian Keith Gilbert David Snell

Galen Miyamoto Joe Sansoni Jimmi Atwal Jim Snyder Victor Yamamoto Bobby Deol Alan Sano Frank Fagundes Jef frey Baize Tim Lohman Rick Scoto Dan Mendenhall Robert J. Weimer Louie Bandoni

Norman Pretzer David Massaro Jerry Rai Anthony Basila Dan Wat tenbarger David Tolmosof f Robert Allen Jens Finderup RJ Maan Mat t Efird George Goshgarian Aldo Sansoni Steve Bains

Richard Gemperle David M. Genzoli Paul Lara Darryl Starn Christine Gemperle Don Clark Jared Serpa Hal Carlton Charles Crivelli III Steve Vilas Bill Brush Paul Danborn

John Allen Don Davis

Chris Vanborg Mark Fanucchi Doug Kindig Ray Van Beek Kent Stenderup Clinton Shick Karamjit Jhandi

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NEWS IN A NUTSHELL

Blue Diamond Provides Red Cross Western Wildfire Relief California wildfires ripped through the state again this year. According to CAL FIRE, 2021, has brought 7,377 wildfires that have burned over 2.2 million acres in California. In response, Blue Diamond has, once again, partnered with the American Red Cross to raise funds to support the firefighting efforts. Blue Diamond matched grower and employee donations, dollar for dollar, up to $10,000, and together, we reached a total of $29,950 in contributions. Blue Diamond also donated product to two shelters — one in Yuba City, and one in Reno — to provide much-needed nourishments to evacuees. Finally, Blue Diamond accepted donations from growers and team members to help provide necessities and food to families displaced by the disasters. Some in our grower and workforce community have been directly impacted or know someone who has been directly impacted by these fires. Thank you to each of you who donated and supported the recovery of these affected California communities.

$19,950 Donations 67 Contributions

7,618 Incidents Number of Wildfires

2,359,871 Acres Acres Burned

3 Fatalities Confirmed Loss of Life

3,289 Structures Structures Damaged or Destroyed

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A L M O N D F A C T S

TV Tokyo Story on Blue Diamond As a market that depends on California for more than 90% of its almond imports, Japan was exceptionally interested in visiting California to see how Blue Diamond was managing throughout the hot summer. The crew from TV Tokyo spent some time with Mark Jansen at the Sacramento campus and learned that despite the climate challenges that have impacted California growers, Blue Diamond is still doing great work to provide for the large almond demand in Japan.

Desert Almond Farmer California native, Mary Kaye Godde Stamets has a unique story to tell. Her grandfather, Frederick Godde, was a California homesteader who — with his family — transformed a portion of the Mojave Desert into a thriving almond orchard. Godde became one of the original members of The California Almond Growers Exchange, which is known to us now as Blue Diamond Growers . This informative, entertaining window into a vital time of agricultural history unveils the incredible challenges that this almond farmer and his family faced and the innovative spirit with which they relied on to overcome. It is amazing to see the relatability because, to this day, many of those challenges remain. To top it off, there are quite a few fun facts within this read and colorful illustrations that will be enjoyed by children and adults alike. What a lovely tribute to Frederick Godde’s footprint on ag history in this California almond origin story.

To purchase or learn more about the book, visit the website: desertalmondfarmer.com

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NEWS IN A NUTSHELL

Blue Diamond Leadership Program — Apply Now!

In 1994, Blue Diamond developed the Blue Diamond Leadership Program, intended to educate potential young almond growers between 21–40 years of age. The program still encourages leaders within that age bracket but is open to growers of all ages who are interested in participating. Designed to prepare participants for leadership roles, the program will:

Participant selections for the 2022 Leadership Program will be made by a committee consisting of the local Board member, Advisory/Liaison Committee members, and the field supervisor representing your district. If you are interested, please submit your application by October 15, 2021 !

• Develop communication and leadership skills.

• Familiarize participants with the structure and operations of Blue Diamond . • Educate participants on the advantages of Blue Diamond membership.

• Acquaint participants with other almond growers.

Please download the application here: bluediamondgrowers.com/wp-content/uploads/2021/ 09/2022-Blue-Diamond-Leadership-Application.pdf

• Encourage participation in Blue Diamond activities.

• Assist participants in the development and operation of a successful farming business. • Familiarize participants with external factors that affect their business.

Or scan this QR code with your smartphone.

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A L M O N D F A C T S

FARMING FOR OUR FUTURE

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NEWS IN A NUTSHELL

Blue Diamond Blooms at Farm to Fork Festival On a breezy Saturday morning in September, Blue Diamond team members volunteered at a beautiful booth at the 2021 Farm-to-Fork Festival in downtown Sacramento. The booth featured images of our growers to help guests get to know who is producing their favorite almond products. The booth also showcased Blue Diamond ’s newest products including XTREMES, Tasty Little Cup™, and Baking Mixes to provide attendees with a look at Blue Diamond ’s commitment to innovation so they understand that there is always something new coming. The festival welcomed thousands of attendees who enjoyed sampling Blue Diamond ’s iconic Smokehouse almonds, learning more about the co-op from our team members, and spinning a prize wheel to win a variety of fun Blue Diamond treats and swag. Visit Sacramento facilitated a Facebook Live interview with Blue Diamond ’s Director of Corporate Communications Lynn Machon, where she discussed Blue Diamond ’s role as a co-op, connection to its growers, and

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A L M O N D F A C T S

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NEWS IN A NUTSHELL

presence at the festival. This was a fantastic opportunity to raise awareness of the brand and its locally sourced almonds to members of the Sacramento community and to allow them to personally engage with Blue Diamond as a Sacramento staple. Many guests even expressed their plans to visit the Nut and Gift Shop to purchase more new products following the festival. The phrase, “I love almonds!” was on the lips of nearly every guest who visited the Blue Diamond booth.

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A L M O N D F A C T S

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NEWS IN A NUTSHELL

#WeAreBlueDiamond Social Media Activity

In September, we remembered the 20th anniversary of the tragedy of 9/11, never forgetting those who were lost that day. We also took a look at several of our growers’ shakers hard at work throughout the season while celebrating the excellent almond harvest.

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A L M O N D F A C T S

BLUE DIAMOND INVESTMENT PROGRAMS Current Investment Rates available as of August 8, 2021

Blue Diamond Growers offers members short-term and long- term investment programs. The objective of these programs is to serve as a competitive investment alternative for our members and provide Blue Diamond Growers with a steady source of funds. The interest rates effective August 8, 2021, for the program are listed here:

Short-Term Investment Certificate (STIC)

Long-Term Investment Certificate (LTIC) (Maturity Date of 6/30/2024)

Initial Investment Required

$1,000

$50,000

Interest Rate

1.00%

1.875%

(Variable, subject to change)

(Fixed rate)

For more information, contact your local Regional Manager, or Member Services at (209) 545-6225.

This summary does not constitute an offer to sell or a solicitation to purchase investment certificates. We will provide a package of documents for the programs to those members who are California residents and who express an interest in participating in the program.

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NEWS IN A NUTSHELL

Pumpkin-Sage Ravioli Bake Prep Time: 45 minutes Cook Time: 45 minutes Difficulty: Easy Serves Up To: 6 Cheese ravioli studded with spicy sausage and bathed in an earthy-sweet cream sauce — this bake is easy enough for a weeknight but special enough for company.

Ingredients • 8 oz. ground Italian sausage • 2 cups Almond Breeze Original almondmilk or Almond Breeze Unsweetened Original almondmilk • 3 tbsps. all-purpose flour • ½ cup canned pumpkin • ½ tsp. ground sage • ½ tsp. salt • ¼ tsp. ground black pepper • Cooking spray • 1 package (25 oz.) frozen cheese ravioli; regular size or mini • 1 cup part-skim mozzarella cheese; shredded • Coarsely ground black pepper; optional • Chopped fresh sage; optional

Directions 1. Preheat oven to 400°F. 2. In a large skillet over medium-high heat, cook sausage until done; drain and set aside. 3. Combine almondmilk and flour in a large saucepan. Bring to a boil over medium-high heat and cook 2 minutes or until thickened, stirring constantly. Remove from heat. Stir in pumpkin, sage, salt and pepper. 4. Cook ravioli according to package directions to just al dente. Drain and return to pot. Add reserved sausage and cream sauce; fold gently to combine. 5. Transfer mixture to an 11”x7” glass baking dish lightly coated with cooking spray. Top with mozzarella. 6. Bake, uncovered, at 400°F for 20 minutes or until cheese is beginning to brown and sauce is bubbling. Top with pepper and sage, if desired.

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A L M O N D F A C T S

Coconut Cupcakes or Sheet Cake with Chai Frosting Dairy-Free Cooking Time: 34 minutes Difficulty: Easy Serves Up To: 12 The spices in the Chai Frosting pack a punch; start small and add to taste. To prepare this recipe as a sheet cake use a 13”x9” pan coated with cooking spray and reduce the bake time to 20 minutes. If you' d like to keep things dairy free, substitute a vegan butter for regular in the buttercream part of the recipe. For a more pronounced coconut f lavor, add coconut extract.

Ingredients • 2¼ cups all-purpose flour • 1 cup sugar • 1½ tsp. baking powder • ½ tsp. baking soda • ¾ tsp. salt • 1 cup Almond Breeze Almond Coconut Blend almondmilk • ½ cup canola or vegetable oil • 1 tsp. coconut extract; optional • 2 cups powdered sugar • ¼ tsp. cinnamon • ¼ tsp. nutmeg • ⅛ tsp. ground cloves • ⅛ tsp. ground cardamom • ½ cup unsalted butter; softened • 1 tbsp. Almond Breeze Almond Coconut Blend almondmilk • Toasted coconut; optional

Directions 1. Preheat oven to 350°F. 2. Combine flour, sugar, baking soda, baking powder, and salt in a large bowl with a whisk. 3. In a separate bowl combine the almondmilk, oil and extract, if using. 4. Add wet ingredients to dry; stir just until combined. Divide evenly among 12 muffin cups lined with muffin liners, lightly sprayed with cooking spray. 5. Bake 22 minutes at 350°F or until a toothpick inserted in the center of a cupcake comes out clean. Cool in pan for 5 minutes. Remove to a wire rack to cool completely. 6. To prepare frosting: combine powdered sugar and spices. Add butter; beat until combined. Beat in almondmilk until smooth. Frost tops of cupcakes. Sprinkle with toasted coconut, if desired. 7. Refrigerate leftovers.

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GROWING THE GOODNESS

Meet Trent Voss, New Blue Diamond Regional Manager Almond Facts (AF): Could you tell us a bit about yourself ? Where were you educated and how did you get involved in the ag industry ?

Trent Voss (T): I grew up in the Hughson area in the valley where my family has been farming almonds and peaches. I’m fourth generation in the area. I went to Hughson High School, then MJC, then transferred to Stanislaus State and got my Bachelor’s in Ag Studies. While I was going to school, I got my PCA license and my CCA license. I was a PCA for Wilbur Ellis for the past 10 years in Hughson. As a PCA I wrote recommendations to farmers on what to use for their crops: chemicals, fertilizers, nutrition and helped with any questions they had. This (regional manager) position opened and I was happy to have a better conversation with growers. It’s a better fit for my personality. AF: Could you share a specific highlight or something you love about working in ag ? T: The best thing is that I still help on the family farm with my dad and brother. Being able to farm all together is the best thing for me. It’s great! My kids (ages 4 and 1) go out there me and so do my brother’s kids. It’s nice that we all do it together. That’s my favorite!

The Voss Family: Spencer, Cash, Arlo, and Trent.

T: I get to represent growers and the almond industry. As a PCA you’re always thought of as a salesman, but with Blue Diamond , you’re thought of as a partner. You’re not there to push anything, you’re there the help them get the best return for their product. My family is Blue Diamond Growers . I remember growing up, my parents had relationships with their field reps for years and that was important to me. It’s a lifelong relationship rather than just a business deal. AF: What led you to transition from a PCA to a regional manager ? T: I’m able to farm with my parents but I needed to do something else

too. This way I can still be a part of farming and not have the same risks that go with it. AF: Can you expand more on some of your passions for the ag industry and what drives you to go deeper ? T: My heritage drives me. My grandfather was California State Secretary of Ag and President of the Farm Bureau in the late ‘80’s, early ‘90’s, so he was part of ag politics. Being involved in ag has always felt like something I wanted to do, since it’s “in my blood.” My dad is a bit of the opposite of my grandfather; he just wants to go out and work on the farm, and that’s it. He pushed me to

AF: What brought you to Blue Diamond ?

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A L M O N D F A C T S

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do this saying that we always need representatives, they need people to show up for them and put themselves in front of those who don’t understand the ag industry. I want to be sure their voices are heard. AF: As you begin your career with Blue Diamond Growers , tell us something you’re looking forward to or what you’re most excited about ? T: I am most excited about getting out in front of the growers in my area face to face so they can get to know me and so I can learn about them and their operations. I’m also excited for harvest. I came in at the busiest time of year and I’m looking forward to seeing how intense it can get. AF: What is your favorite Blue Diamond product ? T: The product I use the most is Unsweetened, Original Almond Breeze . The one I like the most to snack on is the Honey Roasted snack nuts. AF: What do you use the Unsweetened, Original Almond Breeze for ? T: Coffee and cereal! And anything that requires milk! AF: What are some of your hobbies ? T: I like to workout at my home gym in the garage. My boys love it, too; they go out there and jump around. My family and I also love to ride quads at Pismo Beach.

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AF: Is there a final thought you’d like to leave with our growers ? T: I always have their best interest in mind. Growing up as a farmer’s kid you understand that everybody’s farming off a budget, and you understand the hardships farmers go through. I want you all to know I’ve been there; I’ve seen it and I’m here now to help in any way I can.

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GROWING THE GOODNESS

New Regional Manager, Kenneth Miyamoto, Shares His Family History and Passion for the Almond Industry

Almond Facts (AF): We love that you come from a family of Blue Diamond growers. Could you tell us a little bit about your family history in the almond industry ? Kenneth (K): My family have been Blue Diamond almond growers for four generations. My great grandfather emigrated here from Japan and raised my grandfather’s family on a farm. My grandfather followed in his footsteps and started farming following his service in World War II. He raised my uncle, father, and aunt on a forty-acre almond farm. My dad and his older brother formed a partnership and have

onto the elevator, and our primary focus was to grab as many sticks as possible out of the trailer before they made their way into the double with the almonds. Now everything is so much more streamlined and mechanized. The process is less laborious, safer, and more efficient. I don’t think I’ll ever be as excited as the first time I was able to operate an enclosed sweeper. AF: What was the greatest appeal that brought you to Blue Diamond ? K: Blue Diamond is an industry leader with worldwide brand recognition, but beyond that the role of Regional Manager allows me the best of both worlds. I get to be out in the field working with our growers and not only be a resource, but a conduit of information. AF: What helped you decide to become a Blue Diamond regional manager ? K: Having worked at the Agricultural Commissioner’s office for over seven years as an Agricultural Biologist, I knew I enjoyed working with growers. The Blue Diamond employees I’ve met over the years and growers ultimately made my decision easy. I knew I couldn’t pass up this once in a lifetime opportunity. AF: What is one of your greatest passions in this industry ?

continued farming almonds for Blue Diamond to this day. Growing up I remember seeing the big billboards with the slogan “A can a week, that’s all we ask.” AF: Could you share an exciting highlight about your life in the almond orchard ? K: I’m happy with the progress and technological advancements that have been made in the industry, primarily when it comes to harvesting equipment and implements. We would walk the windrows and pull sticks out by hand. During harvest the tractors would back the trailers

Kenny’s family, L to R: Giuseppe (brother-in-Law), Luca (nephew), Minda (twin sister), Kenny, Melba Miyamoto (mother), Allegra (niece), Galen Miyamoto (father)

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K: Farming is constantly evolving and changing. It’s never stagnant or boring. Farmers are some of the greatest stewards of the land and the industry is constantly pushing the envelope through the ever-changing demands and constraints. This excites me and I’m passionate about making a difference. AF: What are you looking forward to the most as you begin your career with Blue Diamond ? K: I’m looking forward to working with a solid team, my growers, industry professionals and developing lasting relationships. AF: What is your favorite Blue Diamond product ? K: My favorite Blue Diamond products would be chocolate covered almonds or some of the bold flavors like Habanero BBQ.

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AF: What are some of your hobbies ?

K: I enjoy spending time with family and friends or anything outdoors. I like to get outdoors for recreational activities ranging from camping, hiking, fishing, and snowboarding. AF: Is there anything else you would like our growers to know about you ? K: I’m excited to be a part of the BDG family; and I can’t wait to meet all of you.

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WM-AlmondFacts1/2v-7510.indd 1

12/3/19 5:17 PM

ADVOCACY REPORT

Almond Alliance of California’s Elaine Trevino Nominated as U.S. Chief Agricultural Negotiator

In mid-September, the Almond Alliance’s very own Elaine Trevino was nominated by President Biden as Chief Agricultural Negotiator for the United States Trade Representative. This position is responsible for conducting and overseeing international negotiations for trade of American agricultural products, and is a crucial role for exported crops, like almonds. During Elaine’s tenure, the Almond Alliance leveraged its industry’s economic value, commitment to stewardship and its 7,600 family growers to promote and protect almond farming in California. Her efforts brought needed attention to almonds and in turn all specialty crops garnering these farmers direct payment assistance from USDA for the first time when retaliatory tariffs were crippling their operations.

Photo: California Almond Alliance

Although Elaine will be missed here in California, she will be an excellent voice for American agriculture, and we look forward to the great work she will do in Washington. Blue Diamond will continue our work with the Almond Alliance during Elaine’s transition and will welcome her successor when named. CO-JACK Rodent Control System

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ADVOCACY REPORT

Industry Alert: An Update on Ongoing Shipping Challenges at the Port of Oakland

The Congestion Issue Summary: The transportation crisis continues for agriculture exporters and seems to be worsening as the holiday season nears. Increased costs, rescheduling, cancellations, detention, and demurrage charges up 300% and lost markets are some of the realities the industry is facing. Based on numerous sources, over 20% of sales cannot be completed due to ocean carrier rates, declining to carry export cargo, unreasonable demurrage and detention charges, and other practices. As an industry that is international holiday focused, this issue continues to be a top priority for almonds. The Almond Alliance continues to focus on this issue and work closely with AgTC, several stakeholder organizations, logistic companies and of course the Port of Oakland. Here is a summary of recent efforts related to port congestion and related Almond Alliance action items. Federal Maritime Update (FMC): The FMC launched an expedited inquiry into the timing and legal sufficiency of ocean carrier practices with respect to certain surcharges. There are eight ocean carriers being asked to provide the Commission’s Bureau of Enforcement (BOE) with details about congestion or related surcharges they have implemented or announced. This action was taken in response to communications received by the Commission from multiple parties reporting that ocean carriers are improperly implementing surcharges. The companies contacted are CMA CGM, Hapag-Lloyd, HMM, Matson, MSC, OOCL, SM Line; and Zim. Each ocean carrier was identified as having recently implemented or announced congestion or related surcharges. Ocean carriers are subject to specific requirements related to tariff changes or rate increases, including providing a 30-day notice to shippers and ensuring that published tariffs are clear and definite. The FMC has indicated that they are committed to transparency and Chairman Maffei has said, “As Chairman, I want to know the carriers’ justifications for additional fees, and I strongly support close scrutiny by the FMC’s Bureau of Enforcement aimed at stopping any instance where these add-on fees may not fully comply with the law or regulation.”

In summary, the FMC is working on the below items:

• The Fact Finding 29, led by Commissioner Rebecca Dye, to identify operational solutions to cargo delivery system challenges.

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• FMC Ocean Carriers Audit Program which will analyze the top nine carriers by market share for compliance with the Commission rule interpreting 46 USC 41102(c) as it applies to detention and demurrage practices in the United States. Other focus areas of the audit process may include practices of companies related to billing, appeals procedures, penalties assessed by the lines, and any other restrictive practices. Lucille Marvin, the Commission’s Managing Director, is leading the audit. • FMC is committed to transparency facilitating ongoing stakeholder discussions and roundtables. The Commission can initiate enforcement actions for improperly established tariffs based on their findings. We will let you know when the inquiry on Shipping Act violation findings is released. If you want to file a formal complaint, please contact the Almond Alliance and we will walk you through the process. The Federal Maritime Commission recently announced their National Shipper Advisory Committee. The Committee is comprised of 24 members, evenly divided between those who export cargo from and those who import cargo to the United States, that will advise the Commission on policies relating to the competitiveness, reliability, integrity, and fairness of the international ocean freight delivery system. Joshua Woods from Blue Diamond Growers will serve on the advisory committee. The Almond Alliance will continue to communicate industry challenges to the Commission and newly formed advisory committee. ACTION ITEM: The Almond Alliance continues to engage with the FMC staff and will be transmitting a letter to the commission regarding the impacts to the California almond industry and our requests for action. In addition, we alerted the FMC that due to the delays at the Port of Los Angeles and Port of Long Beach the number of vessels that have bypassed the

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Port of Oakland, we believe due to time constraints, has soared. The number of vessels that have bypassed the Port of Oakland in comparison to last year is approximately 40 (from July 2020 to July 2021) which furthers the challenges that almond exporters are facing.

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ADVOCACY REPORT

Recent Roundtables Facilitated by FMC: Port of Oakland on August 30, 2021: Oakland Port executives, with Federal Maritime Commissioner Carl W. Bentzel, California State Transportation Agency Secretary David S. Kim, importers, exporters, and stakeholders discussed the port congestion challenges and how to strengthen Oakland’s place in the global supply chain and strengthen the state and federal economies. Attendees asked for support from maritime leaders to streamline seaport operations and communications and collaborate on making the supply chain transparent for customers and operators. FMC and CalSTA asked for recommendations on how to alleviate the port congestion and improve communication between importers, exporters, the Port of Oakland, logistics and carriers. The Almond Alliance requested longer night gate hours,

requirements on the percentage of empty containers returning on a vessel, improved notifications from carriers on early calls and blank sailings, explanation of increased fee methodology and compensation for third party fees on storage and chassis. While our requests are ambitious, our goal is to push for transparency on the issues important to our exporters. Port of Long Beach on September 1, 2021: The Long Beach roundtable focused on supply chain transparency and how equipment and operations move cargo in and out of the largest port complex in the United States. Commissioner Bentzel was joined by Congressman Alan Lowenthal, who has represented the LA/LB port complex at the local, state and now federal level for decades. Long Beach and Los Angeles Port Directors Mario Cordero and Gene Seroka also joined as well as representatives of rail lines, trucking, chassis, container lines, and terminals.

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ACTION ITEM: The Almond Alliance was asked to summarize and update the impacts that the port congestions have had on almonds. We are in the process of drafting and will submit soon. We need to hear from our handlers if expanding night gate hours for truckers at the Port of Oakland will be helpful and utilized. Please email us and express your support. This will help our effort to expand gate hours at the Port of Oakland.

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Cover More Ground with HOBOnet!

Port Update: Port of Oakland: A year-long cargo surge slowed and volume dipped at the Port of Oakland in July. The Port recently reported it expected containerized cargo volume growth to resume as peak shipping season arrives. Though business dipped in July, the Port said year-to-date import volume has increased 16 percent. Total volume in the same period is up 9 percent. According to the Port, cargo volume declined 3.5 percent in July compared to the same month a year ago. Here’s the breakdown: • July containerized imports down 1.7 percent year- over-year; • July containerized exports down 4.7 percent Y-O-Y; and • July total volume, which includes imports, exports, and empty container repositioning, down 3.5 percent Y-O-Y.

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The Port attributed the declines to record cargo volume in the first half of the year. It explained that surging shipments stacked up on docks causing delivery delays. The Port said that as a result, shipping lines omitted several voyages to Oakland, leading to lower volumes. The Port said that cargo volume should increase again from August through October. Those are peak shipping months for retailers building holiday inventories. Oakland has introduced two new vessel services to Asia in the last month which should also boost volume. The Port said new services demonstrate continued reliance on Oakland as a key global trade gateway. ACTION ITEM: The Almond Alliance is working with the Port of Oakland to encourage longer hours of service at the night gate, with an early opening time. If you have an opinion on this issue, please contact the Almond Alliance.

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ADVOCACY REPORT

Union Negotiations: All our almond exporters are concerned with the upcoming labor negotiations which are set to begin in January 2022. Given the existing conditions at the Port of Oakland, an impasse would be devastating. While labor negotiations impact the Port of Oakland, the two parties negotiating are the International Longshore and Warehouse Union (ILWU) and the Pacific Maritime Association (PMA). The Almond Alliance is meeting with ILWU and PMA and will continue to monitor contract negotiations and update on the progress. Legislation of Interest: Congressmen John Garamendi and Dusty Johnson are authors of the Ocean Shipping Reform Act of 2021 “OSRA21.” The Act’s provisions address the unreasonable detention and demurrage charges, export cargo bookings, and other carrier practices that are essential to allow US agriculture to remain competitive in global markets. The Almond Alliance strongly supports provisions in the bill to gain reasonable and fair ocean carrier practices consistent with the Federal Maritime Commission’s Interpretive Rule on Demurrage and it imposes upon carriers the obligation to self-police compliance with that Rule. In addition, the bill obligates

ocean carriers to carry export cargo, to the extent they can do so safely. It addresses carrier practices limiting efficient use of containers, chassis, and other equipment. The Almond Alliance will continue to work on advancing and strengthening this bill as it proceeds through the legislative process. The Ocean Shipping Reform Act of 2021: www.congress.gov/bill/117th-congress/house-bill/4996 The Ocean Shipping Reform Act of 2021 Factsheet: almondalliance.org/wp-content/uploads/2021/09/ OSRA21-Section-by-Section-Summary.pdf ACTION ITEM: Below are the California representatives already listed as co-sponsors. If your congressional representative (or one that you know) is not on the list of co-sponsors of OSRA21, please contact them directly to request they co-sponsor the bill.

A current list of co-sponsors of OSRA21: •  •  •  • 

Blue Diamond Growers does not endorse or verify statements made by advertisers within this publication.

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