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The Honolulu Advertiser
Posted on: Wednesday, October 13, 2004

EDITORIAL
Despite setbacks, state needs diversified ag

The closing of two important agricultural processing facilities on O'ahu in recent weeks has been sobering to those who dream of an agriculturally self-sufficient Hawai'i.

First, Pacific Poultry Co. stopped processing locally grown chicken, which caused the last two O'ahu broiler chicken farmers to shut down.

Now, all chicken processed here comes from the Mainland.

And on the heels of that news, Foremost Dairies-Hawai'i announced it was shutting down its milk-processing plant. That leaves Meadow Gold as the only dairy processor on O'ahu.

In both cases, the companies said they just could not make a profit processing local milk or chickens. And as much as we want a robust local agricultural industry, businesses also have to be profitable to survive.

Already, slightly more than half our milk supply comes from the Mainland. Given the importance of milk to every family's diet, this is a basic product that should not be totally dependent on Mainland shipments.

Meadow Gold's survival depends on whether it can find stability and solid long-term economic prospects, which depend on a stable supply of locally produced raw milk.

This will involve a number of players, ranging from the unions — which have just signed a solid five-year contract — to the state, the county (which sets tax policy for agricultural businesses) and the consumers.

The state is pressing ahead on an initiative to get more locally grown feed or silage into the market. Today, dairy farmers must import most of their feed at significant expense.

There may be farmers who are interested in growing silage. Guaranteeing these farmers reasonably long land leases for their operations and a fair county tax policy would give them incentive to do so.

The state is decades behind in defining the importance of Hawai'i's agricultural land. The concept was written into our state Constitution more than 20 years ago. At that time, the plan had been to pinpoint our most important ag lands and then set them aside, permanently, for agriculture.

Sadly, what started as a sensible plan has run afoul of competing political interests and conflicting long-term plans by landowners and investors.

But consumers have a big role to play, too. The state has a well-established local fresh marketing campaign, but it only works when consumers respond to it.

If prices are reasonably comparable, it pays to buy local. Local consumers shouldn't be expected to pay more to prop up inefficient local industries. And while each family's budget dictates what winds up in the shopping cart, buying locally produced goods not only supports farmers and small businesses here, it also reduces our reliance on imported staples, making us less vulnerable in the event of dock strikes or other shipping interruptions. And it keeps dollars circulating in the local economy.

There have been many successes in diversifying and strengthening our local agricultural industry. Because of land prices (particularly on O'ahu) and the pressure of development, it has been a struggle.

But considering the benefits, it's a struggle worth pursuing.