Drought: Feds cut water to Central Valley farmers to zero Unprecedented action will also cost consumers, growers say

A sign is seen at an intersection near Cantua Creek, California in this February 14, 2014 file photo.The worsening drought in California will for the first time force a complete cutoff of federally supplied irrigation water to most farm districts in the state's Central Valley heartland this year, the U.S. Bureau of Reclamation said on February 21, 2014. REUTERS/Robert Galbraith/Files (UNITED STATES - Tags: BUSINESS ENVIRONMENT AGRICULTURE) less A sign is seen at an intersection near Cantua Creek, California in this February 14, 2014 file photo.The worsening drought in California will for the first time force a complete cutoff of federally supplied ... more Photo: Robert Galbraith, Reuters Photo: Robert Galbraith, Reuters Image 1 of / 3 Caption Close Drought: Feds cut water to Central Valley farmers to zero 1 / 3 Back to Gallery

Central Valley farmers took a crippling blow Friday when U.S. officials made the unprecedented announcement that they would get no irrigation water from the federal government this year because of the drought.

But growers in a region with the country's most productive soil said the loss of one of their chief water supplies won't be their problem alone: Consumers will be hit hard in the form of higher prices at the produce market.

California's unusually dry weather is forcing producers of fruits, vegetables, nuts and grains to make tough decisions about which crops to plant, and which ones not to plant due to a lack of water, leaving harvests that are likely to fall short of demand.

A recent estimate by an industry group, the California Farm Water Coalition, suggested that as much as 600,000 acres of land, or about 8 percent of the state's total, could be left fallow in the coming year.

"Before, when people asked me whether prices would rise, I'd say no," said Paul Wenger, president of the California Farm Bureau Federation. "But over the last two to three weeks, things have gotten so severe that it's got to affect the market."

U.S. Bureau of Reclamation officials said Friday that meager snow and rain in the Sierra Nevada means they won't be able to provide farmers any of the water they normally receive from the federally run system of reservoirs and canals fed by mountain runoff. The system supplies water for about a third of the state's agricultural land.

Snowpack 29% of average

If weather conditions change, the plans may change, federal officials said. But with Sierra snowpack at just 29 percent of average for this time of year, they expect runoff to remain scant and supplies in the Central Valley Water Project to remain insufficient.

"This low allocation is yet another indicator of the impacts the severe drought is having on California communities, agriculture, businesses, power, and the environment," said the reclamation bureau's commissioner, Michael Connor, in a prepared statement.

Farmers still reeling

While the announcement wasn't unexpected, it was more bad news for an agricultural industry in California that is the nation's most valuable, and is still reeling from last year's low water allocations.

The state's agricultural yield was estimated to be worth $44.7 billion in 2012.

In 2013, most Central Valley farmers who contract for federal irrigation water got just 20 percent of their normal water allowance. This year, their allocation is projected to be zero for the first time.

Growers will have to rely on local wells and stored water. Farmers in some parts of the state are in a better position to do this than others.

Officials at the State Water Project - which provides a lesser amount of irrigation water - said last month that they were also likely to provide nearly no water to farmers.

State's driest year

California is coming off its driest year since record keeping began in the 1800s, and the first part of the year has seen little rain. The past two winters have been abnormally dry, too.

Residents and business in many communities also rely on the state and federal water projects, as do wildlife such as sensitive fish populations. They're likely to suffer as well.

In the San Joaquin Valley, the state's most productive agricultural region, many growers have already ceased planting winter crops such as broccoli, tomatoes and lettuce because of the drought. Upcoming plantings of watermelons and cantaloupes also could be cut short.

"I don't know any farm in the area that's not affected by the drought," said Fresno County grower Don Cameron, who runs Terranova Ranch near the small town of Helm.

Valuable well water

Cameron has had to use valuable well water to nourish his carrots and tomatoes, which are normally supported by winter rains. The only good news for Cameron is that he has access to water outside the state and federal systems, meaning he's been able to sustain production.

"Everywhere I look, though, it's field after field with nothing in them and nothing being prepared to grow," he said.

Water experts say growers will direct what limited supplies they have to their most valuable crops. That means high-dollar products, such as almonds and grapes, won't disappear anytime soon while lower value items, like grains, are likely to fall off.

Specialty produce

Specialty vegetables and fruits also may become harder to find.

Jay Lund, who heads the Center for Watershed Sciences at UC Davis, said products from other parts of the world will fill some of the void, easing the impact on price.

"They'll go up a little bit," Lund said. "But I don't think it will be catastrophic. Time will tell."