Major Florida Grower to End Citrus Operations after Years of Hurricanes and Tree Disease
Alico Inc. to Wind Down Citrus Operations Due to Decline in Production
Alico Inc. has announced that it is planning to wind down its citrus growing operations, citing the significant decline in production over the past decade. The company, based in Fort Myers, Florida, owns 53,371 acres of land across eight counties in the state and 48,700 acres of oil, gas, and mineral rights. As a result, about a quarter of its land holdings will be redeveloped for commercial or residential projects in the near and long-term future.
Impact of Hurricanes and Tree Disease
The company’s citrus production has declined by 73% over the past decade, primarily due to the impact of hurricanes and tree disease. The recent hurricanes, including Irma in 2017, Ian in 2022, and Milton in 2024, have further weakened trees already affected by years of citrus greening disease. According to John Kiernan, Alico’s president and CEO, “the headwinds Florida’s signature crops are facing have led Alico to conclude that growing citrus is no longer economically viable for us in Florida.”
Workforce Reduction and Notification to Tropicana
Alico is expected to reduce its workforce by up to 172 employees and has notified juice producer Tropicana about its decision. The company has also notified the U.S. Securities and Exchange Commission (SEC) about the planned changes.
Florida’s Citrus Production Decline
Florida’s citrus production has been declining for the past two decades due to citrus disease and other factors. Last month, agriculture officials announced a 20% drop in orange production for the 2024-2025 season, reflecting damage from Hurricane Milton. If the 12 million-box prediction holds, it will be 33% less than last season’s final production.
Conclusion
The decision by Alico to end its citrus operations reflects the significant challenges faced by citrus growers in Florida. The combination of hurricanes and tree disease has made it difficult for many growers to maintain viable operations. While some growers are exploring alternative uses for their land, others are facing the reality of declining production and economic viability.
FAQs
* What is Alico’s reason for ending its citrus operations?
Alico is ending its citrus operations due to the significant decline in production over the past decade, primarily caused by the impact of hurricanes and tree disease.
* How many acres of land will be redeveloped for commercial or residential projects?
About a quarter of Alico’s land holdings will be redeveloped for commercial or residential projects in the near and long-term future.
* How many employees will be affected by the workforce reduction?
Alico is expected to reduce its workforce by up to 172 employees.
