Relief to fund peach tree removal for growers affected by cannery closing

USDA has allocated $9 million to fund relief for California growers affected by the closing of the Del Monte cannery in Modesto.

The cannery closure, reported in January, will affect around 600 year-round employees and another 1,200 seasonal workers. The facility, in California’s Central Valley, processed peaches, apricots and pears.

The USDA funding will the removal of up to 420,000 clingstone peach trees — approximately 3,000 acres. The tree removal program aims to address the economic harm facing producers who were left under defunct long-term contracts after Del Monte Foods filed for bankruptcy on July 1, 2025.

“We appreciate our elected officials’ support in securing this funding. It offers a glimmer of hope after a devastating period, ensuring California farmers can transition to new crops and stay on their land,” California Farm Bureau president Shannon Douglass said in a statement.

The California Canning Peach Association also welcomed the news.

“We’re grateful for the swift action taken to protect peach growers, the peach industry, their families and the rural communities that depend on this industry,” association CEO Rich Hudgins said.

Ranjit Davit is chair of the California Canning Peach Association and a peach grower in Sutter County.

“This funding gives growers the opportunity to make choices about growing a different commodity,” Davit said. “Without it, we were looking at abandoned orchards and generational farming operations coming to an end.”

Del Monte Foods Inc., a privately held U.S. company owned by a parent organization in Singapore, has no operational ties to Fresh Del Monte Produce Inc., an independent, publicly traded company headquartered in Coral Gables, Florida.