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California farmers are struggling to sell grapes as demand for wine drops

389 points · 987 comments · randycupertino

  1. legitster · · focus · HN ↗
    My parents live in a massive fruit growing region of the country. Just this year, 2 of the major packing firms in the county both declared bankruptcy. It's not just the trade war, but years of shrinking seasonal workers that fell off to a trickle as well.

    The knock on effect is massive. The seasonal workers supported a large permanent workforce - and more importantly tax revenues in the county are collapsing.

    But the really important thing to understand is that once the industry is gone, it's gone for a long time. The other markets competing with the US are already expanding their industries to fill the void. Once those trees are planted, they produce fruit for several decades to come.

    1. dorfsmay · · focus · HN ↗
      Why has the seasonal workforce shrunk?

      Usually most staffing issues can be solved with higher wages. Could it be a solution here?

      1. aprilthird2021 · · focus · HN ↗
        Higher wages means higher prices. At a certain point your price is uncompetitive with imports. You can use tariffs to protect a local product against an imported one, but that would require a competent leader who doesn't get emotional and declare a war (bomb-based or trade-based) when his feelings are hurt
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