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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: RealMuLan who wrote (36626)7/27/2003 7:08:03 PM
From: RealMuLan  Read Replies (2) of 74559
 
LARGEST PRODUCER CHANGES COURSE
RANCH WILL BEGIN BUYING IMPORTS FROM CHINA RATHER THAN CONTINUE BATTLE
By Ken McLaughlin and Frank Sweeney
Mercury News

Christopher Ranch of Gilroy, the country's largest garlic producer, has hoisted a white flag. Rather than succumb to the weight of Chinese imports, the firm will begin buying garlic from China after fiercely battling its imports for a decade.

The result: Even less garlic will be grown in the self-proclaimed Garlic Capital of the World.

Like a pungent odor, word of the company's decision wafted through the town of 40,000 on Thursday, a day before the Gilroy Garlic Festival began its internationally celebrated three-day run. It's clearly another bit of bad news for wistful, longtime residents who have seen their town more than double in size in the last quarter-century.

``I think this little bedroom community is going to become part of San Jose,'' said Iris Lund, a Gilroy resident for two decades. ``I sometimes fear for our agricultural areas.''

Garlic growers and producers across California say they're being squeezed by Chinese competition, illegal imports, flaky California weather and the skyrocketing cost of land. Christopher Ranch spent hundreds of thousands of dollars in attorney and lobbyist fees fighting the U.S. Commerce Department over trade issues.

``We've lost all our battles,'' said Don Christopher, a third-generation garlic grower who founded Christopher Ranch in 1956. ``Now we're giving up.
bayarea.com

"We've held off the Chinese for 12 years, but now it's time to give up," Christopher said last week as he surveyed a dusty garlic plot in nearly 100-degree heat. "We know there's a market for California-grown garlic. But if you look at history, people always go for the least expensive price. There are no secrets to the garlic business — it's all about price."
seattletimes.nwsource.com
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