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is also increasing its plantings of avocados (currently 6,100 acres) and its limes (currently 3,300 <br /> acres). In addition, Florida has planted sizeable acreage in jack fruit, keylime, mamey sapote, <br /> sapadillo, passion fruit, guava and most of the other exotic tropical fruits being planted in Hawaii. <br /> <br /> There are between 850 and 900 acres of longans and lychees of which approximately 80% aze less <br /> <br /> than 4 years (not yet mature) and lychee plantings are expected to increase. Florida currently uses <br /> a cold treatment on star fruit, but are not under quarantine for shipping lychee and longans into <br /> <br /> California, Texas and Arizona. In comparison, Hawaii had a total of 415 acres in exotic tropical <br /> fruit production (atemoya, star fruit, lychee, mango, rambutan, cherimoya, specialty pineapple) in <br /> 1995. How do we expect to compete with Florida with its lower labor and transportation costs as <br /> its production capacity increases? How do we expect to compete with foreign production as trade <br /> <br /> barriers protecting domestic production are dropped? <br /> 14) Who will benefit from this facility besides the six farmers that comprise the Hawaii Tropical <br /> <br /> Fruit Growers Cooperative and a couple large independent papaya growers? How will Hawaiian <br /> consumers benefit? If benefits are to accrue to both consumers and producers simultaneously, this <br /> can only be done at the expense of taxpayers. Why should the County of Hawaii taxpayers direct <br /> resources towards a project which will benefit a handful of growers statewide, ultimately benefit <br /> producers worldwide through market development, will not create any significant additional <br /> employment opportunities, and provide consumers in Hawaii zero benefits since all product is <br /> directed at export markets? <br /> 15) The fanners of this county are operating without an infrastructure for diversified agriculture. <br /> Farms need basic provisions such as water, energy sources, and roads. We have an inadequate intra- <br /> state marketing network for expanding the state's ability to provide import substitution of fresh <br /> foods. Has the County looked at all the direct and indirect economic impacts which could be <br /> realized if this $2 million were spent on establishing better domestic markets? (See attached). <br /> 16) Many possibilities exist for processing (such as juicing), dehydrating (through the use of solar <br /> technology) and creating value-added products from our fresh fruits. Has an analysis been done to <br /> calculate the benefits to our local economy from allocating a $2 million appropriation toward low- <br /> interest/no-interest loans for prototype processing businesses? A standard economic analysis would <br /> always calculate the opportunity costs (the value derived from alternative uses of funds) of this <br /> proposed appropriation. Has this type of analysis been performed? <br /> Government funds directed at establishing a much needed infrastructure for diversified <br /> agriculture will provide greater multiplier effects (indirect effects) for our economy. <br /> Expenditures directed at promoting import substitution and producing value-added products <br /> will create jobs, provide more spending of dollars in the state (income multiplier effect), and <br /> provide some buffer for our weak economy. We need to make self-sufficiency more of a reality, <br /> especially in regards to the $2 billion Aawaii spends annually to import fossil fuels to supply <br /> our energy needs (energy crops). A strong agricultural base, directed at both domestic and <br /> export markets can provide that economic self-sufficiency. Increased production would result <br /> from public policy directed at improving local agriculture's ability to provide import <br /> substitution and value-added products. Developing sustainable markets for value-added <br /> products will attract lower-cost transportation options and a greater quantity of agricultural <br /> support services. <br /> 3 <br /> <br />