- Limoneira Company (NASDAQ:LMNR) has entered into a two-year fallowing and forbearance program at its Associated Citrus Packers ranch in Yuma, Arizona, with the Yuma Mesa Irrigation and Drainage District (YMIDD).
- The program will target about 400 acres of farmable land throughout the agreement. It will result in over 4,200 acre-feet (or more than 1.3 billion gallons) annually of the saved water.
- In addition to conserving natural water resources, LMNR expects the program to convert unprofitable acreage into profitable with an estimated annual increase of $1.0 million in operating results.
- Limoneira's Associated Citrus Packers ranch includes 1,300 acres of land with 900 acres of lemon orchards and 400 acres of other crops.
- With the fallowing program in place, Limoneira will have 700 acres of productive lemons, 400 fallowed acres, and 200 acres of other crops.
- The company plans to continue leveraging its supply chain for the 700 acres of lemons and add more grower partners in the Yuma, Arizona area into its supply chain in the coming year. The move would result in more lemon volume than Limoneira previously generated.
- Price Action: LMNR shares are trading lower by 2.30% at $11.04 on the last check Thursday.
- Photo Via Company
