Marysville, California — California peach farmers are facing severe financial losses after the collapse of Del Monte Foods left thousands of tons of cling peaches without buyers, forcing some growers to consider destroying orchards that took years and millions of dollars to establish.
Farmer Sarb Johl of Yuba County says he may have to rip out nine-year-old Ross cling peach trees planted under long-term contracts with Del Monte before the company filed for bankruptcy last year. The contracts reportedly represented investments totaling roughly $12,500 per acre.
Del Monte’s Chapter 11 bankruptcy in 2025 led to the closure and liquidation of its Modesto processing plant, eliminating one of California’s largest fruit processing hubs. The shutdown affected hundreds of full-time and seasonal workers while also leaving farmers with limited options for selling peaches, pears, and apricots.
Industry officials estimate growers delivered roughly 74,000 tons of cling peaches to Del Monte last year. With only two major processing plants remaining in Northern California, farmers say only about one-third of that volume may now be purchased, leaving massive surpluses with no market.
Many growers argue the problem extends beyond individual farms, impacting truck drivers, laborers, equipment suppliers, and surrounding agricultural communities. Some farmers described the situation as one of the worst disruptions to California’s peach industry since previous processor bankruptcies decades ago.
Federal officials have begun responding to pressure from California lawmakers. The U.S. Department of Agriculture recently approved $9 million in aid intended to help fund peach tree removal programs for struggling growers.
California remains the nation’s largest peach-producing state by volume.
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