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Specialty Crops: Mounting Cost Pressure, Limited Risk Protection

By Daniel Munch

For specialty crop farmers, 2025 has offered little relief from mounting financial pressures. Markets that once promised stable margins are now defined by volatility, with production expenses outpacing price gains and exports at risk under global trade uncertainties. Despite contributing over $75 billion in farm-gate value — over a third of all U.S. crop sales — specialty crop producers have fewer risk-management and safety-net options to help weather these challenges. The result is a widening gap between cost and revenue that threatens profitability across much of the farm economy.

crops

Specialty crops encompass more than 350 commodities, from almonds and apples to lettuce and lemons, and account for roughly one-fifth of U.S. agricultural cash receipts across 220,000 farms. Yet the diversity that defines the sector also amplifies its vulnerability. Each crop relies on distinct production systems, marketing channels and labor demands, making it difficult to design one-size-fits-all safety nets or risk-management tools.

These structural realities compound the challenges growers face from unique weather and pest pressures, evolving regulatory requirements and the often-perishable nature of their products. Many specialty crops are sold in markets with few buyers and limited price transparency, leaving producers unable to hedge against downturns or forecast cash flow with confidence. Buyers of specialty crops often look for the lowest price in the global marketplace to ensure consumers have access to cost-effective produce, putting high-cost American production at a disadvantage. Growing consumer expectations for fresh produce in every season have led to more fruits, vegetables and nuts being imported, putting added pressure on U.S. specialty crop farmers. The absence of robust insurance or futures markets further amplifies exposure, while complex marketing systems often delay disaster aid for years after losses occur.

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New research chair appointed to accelerate crop variety development

Video: New research chair appointed to accelerate crop variety development

Funded by Sask Wheat, the Wheat Pre-Breeding Chair position was established to enhance cereal research breeding and training activities in the USask Crop Development Centre (CDC) by accelerating variety development through applied genomics and pre-breeding strategies.

“As the research chair, Dr. Valentyna Klymiuk will design and deploy leading-edge strategies and technologies to assess genetic diversity for delivery into new crop varieties that will benefit Saskatchewan producers and the agricultural industry,” said Dr. Angela Bedard-Haughn (PhD), dean of the College of Agriculture and Bioresources at USask. “We are grateful to Sask Wheat for investing in USask research as we work to develop the innovative products that strengthen global food security.”

With a primary focus on wheat, Klymiuk’s research will connect discovery research, gene bank exploration, genomics, and breeding to translate gene discovery into improved varieties for Saskatchewan’s growing conditions.