FWD 2 US Drought of 2012 Expected to Impact Yields, Quality, and Prices of some Botanicals

HerbalEGram: Volume 9, Number 10, October 2012

US Drought of 2012 Expected to Impact Yields, Quality, and Prices of Some Botanicals

The unrelenting heat and lack of significant rainfall that settled over much of the country this summer made the 2012 drought the worst to hit the United States in half a century. By the end of July, more than 60 percent of the continental United States was experiencing moderate to extreme drought.1 The average monthly temperature for July was slightly higher than the all-time record set in 1936, when the country was enveloped by the Dust Bowl, making it the hottest month since records began in the late 19th century.2 August was equally unforgiving, with the National Oceanic and Atmospheric Administration (NOAA) citing it as the fourth hottest August since 1880 and the 330th month in a row with warmer-than-average global temperatures for the 20th century.3

As the season changes and temperatures begin to drop, the drought is less prominent in the minds of Americans, but months of above-average temperatures and sparse rainfall have caused irreversible damage to some crops — notably corn (
Zea mays) and soybeans (Glycine max). Plants have remarkable defense mechanisms, however, equipping them to survive less-than-ideal conditions, so consumers likely will not face any widespread shortages of plant-based products in the near future. Still, wholesale prices for some US medicinal botanicals such as goldenseal (Hydrastis canadensis) and ginseng (Panax quinquefolius) have begun to rise and other price increases are expected.

“Any and all crops [for] medicinal, food, or other uses are being impacted in the areas of the drought,” said Edward Fletcher, of Strategic Sourcing, Inc., a botanical supply company that specializes in quality control, research and development, and connecting clients to herbal suppliers (email, August 28, 2012). “Some of the cultivated crops can be irrigated which can help mediate the impact, but this additional labor and expense will add more cost to the end product. Even with irrigation, which cannot completely replace natural rainfall, the yields per acre or hectare will be down, so this will affect prices.”


How Plants Respond to Drought Stress

In periods of extreme or prolonged heat, plants restrict water use to maintain processes that are essential to survival. 

“When plants, particularly perennials, are adversely affected, they respond defensively just trying to survive, so they shut down, so to speak, in many different ways to protect themselves,” said Fletcher.

Soybeans are one of the United States’ leading agricultural exports and, of all the medicinally useful plants, the most data exists for this economically important crop. Although usually seen as a food crop, a small portion of the world’s soy is used in dietary supplements. According to recent econometric data, after cranberry (
Vaccinium macrocarpon), soy is the second highest-selling single herbal dietary supplement in the United States in the mainstream retail market.4 Brian Young, PhD, a professor of weed science and agronomy in the Department of Plant, Soil and Agricultural Systems at Southern Illinois University, described how soy plants respond to drought conditions. 

"Soybean plants will rotate their leaves under drought stress so that they have less leaf surface in direct sunlight which can help reduce transpiration and water use. Under extreme drought the lower leaves may prematurely senesce [age]
to restrict water use,” he said (email, August 24, 2012). “Soybean plants will also respond by aborting flowers, seed pods, or individual seeds in response to drought as well as producing smaller seeds than normal. The specific response depends on the timing and duration of drought stress relative to the soybean growth-stage."

Lack of water in particular can cause some plants to have increased concentrations of secondary metabolites, many of which have medicinal properties.
The increase in these compounds can improve a plant’s ability to defend against pests.

Chuck Wanzer of Botanics Trading LLC, a North Carolina-based wholesale supplier of medicinal plants from around the world, explained the potential benefits of drought-related stress. “Moderate drought may actually increase the production of defensive compounds in plants. We do drought stressing in growing Echinacea [Echinacea purpurea] to
increase the actives when we cultivate,” he said (email, September 6, 2012).

Wanzer noted, however, that the stress caused by moisture loss also can negatively impact the overall health of the plant as well as the growth of specific plant parts. “
This increased [compound] production can also add increased protection against pests, [but] this is not universal as moisture stress can make a plant more susceptible to insects and disease,” he said. “The quality of herbs and leaves will be lower since the plant does not have the energy to produce quality foliage or herbage. The root products will not be as affected by drought. The root may be smaller, but it will be more concentrated due to lack of water."

Although drought conditions vary from one region to another and can affect plant species in different ways, some trends are evident. Fletcher explained that the 2012 drought will have the greatest impact on annual crops. And regardless of the species, plants will be smaller than plants growing during ideal weather conditions.

“Annual crops have only one season to grow to harvestable sizes, so annuals will be the most adversely affected,” said Fletcher. “Perennial crops that are established will be able to survive the drought conditions better but still suffer, resulting in less-than-normal growth, perhaps stunting them for years to come.”


Impacts on Medicinal Plants and Wild-Harvested Herbs

Although most available data examines cultivated crops, drought conditions will also affect wild-harvested herbs, which experience varying weather conditions depending upon geographic location. 

“Wildcrafted botanicals are ‘weeds’ so they are hardy plants and can [usually] adapt to drought conditions,” explained Wanzer.

Although wildcrafted botanicals are often hardier than cultivated crops, the less-developed aerial parts
— like those of goldenseal which guide harvesters to the plant’s roots, will make them more difficult to find.

Some herbaceous perennials will simply die back early to reduce transpiration so when the wildcrafter searches for them at the usual time of season he or she may not be able to find them, resulting in shortage in supply which generally increases prices,” said Fletcher. 

Goldenseal — a medicinal plant that has traditional and folkloric uses for colds, respiratory conditions, and diarrhea — has been impacted by the drought for these reasons.
5

“Goldenseal root production this year will drop slightly,” said Wanzer, “but there will be very little goldenseal tops [aerial parts] harvested this year.”

Fletcher noted that the drought’s effects on additional wild-harvested herbs can already be seen. “Some of them are
Scutellaria lateriflora [skullcap], Echinacea purpurea, Monarda didyma (which prefers moist conditions) [Oswego tea], Hydrastis canadensis, and Panax quinquefolius to name a few,” he said. “We are concerned about several crops that are showing the effects of the drought in terms of yields, but we really will not know the full extent of the impact until they are harvested, cleaned, dried, packaged, and weighed.

Similarly, Steven Foster, author, photographer, and chair of the Board of Trustees at the American Botanical Council, noted a number of typically wild-harvested herbs that will be impacted by the summer’s dry conditions. “Basically, in terms of woodland herbs that are harvested in the Midwest and Eastern deciduous forest, things like ginseng, goldenseal, black cohosh [Actaea racemosa]
 much of their range was heavily stressed this summer,” he said. “It meant that the vegetative period was relatively short so the plants went back to root. That is, they went dormant earlier than they normally would have. Then it got really hot, so I suspect fewer people were out there harvesting.”

Allen Lockard of American Botanicals, a manufacturer and seller of North American herbal products, 
said he expects the drought to impact skullcap and saw palmetto (Serenoa repens) berries. Because berries and other fruits require substantial water and energy, they are particularly vulnerable to drought. “No water – no growth,” he said (email, August 27-30, 2012). “[There will be] no berries because [there are] no blooms.”


Yields Decrease While Prices Rise

Prices of drought-damaged plants are expected to rise and, in some cases, have begun doing so. “I am already seeing prices for skullcap increase due to crop failures in the areas of production along with
Echinacea purpurea herb and root,” said Fletcher. “Also American ginseng seed prices are spiking due to low [stocks of] seeds and those that are available are testing with lower germination rates.”

The full extent of the impact on botanical prices may not be known for some time.
“The impact on wild-crafted botanicals will be more difficult to appraise and may not actually be noticed for years to come,” said Fletcher. “It will affect the seed production for this season and this will not exhibit itself for years either, depending on the lifespan of the species.”

Foster explained that although there may be some shortages in select herbs, the relative yield size of medicinal plant crops compared to soybeans, corn, or other major US agricultural crops will limit the overall impact on the market.

“Most [medicinal] plants [are] relatively short tonnage items,” he said. “There may be a few hundred or a few thousand pounds of them harvested, but not anything that would significantly impact the market or supplies in a measurable economic sense, unless you’re looking at soybeans.”

The effects of the drought on soybeans can be stated with more certainty due to records kept by government agencies such as the United States Department of Agriculture (USDA). “The drought is definitely impacting the expected soybean production for the Corn Belt and, thus, the United States,” said Travis Thorson of the USDA’s National Agricultural Statistics Service (NASS) (email, August 24, 2012). “You can tell from the September 1 soybean forecast where the US yield was forecast well below last year’s (35.3 bu/ac [bushels per acre] versus 41.5 bu/ac last year). This is largely due to the drought.”

According to NASS statistics, soybean pod counts are significantly lower than those from one year ago. “The September objective yield data for the combined 11 major soybean-producing States … indicate a lower pod count compared with last year, as hot, dry weather during bloom hampered development of the crop in many areas,” wrote the authors of the September 2012 Crop Production report.
6 “Compared with final counts for 2011, pod counts are down in all published States. As of September 2, 30 percent of the United States soybean crop was rated in good-to-excellent condition, 26 percentage points behind the same week in 2011.”

As some corn crops have been abandoned or converted to livestock feed due to unfavorable conditions, soybean crops may face a similar fate in the hardest hit areas such as Nebraska and other states in the Farm Belt.
7 “It’s possible there will be a larger portion of the acreage that will be abandoned this year as well, which would be reflected in a lower Harvested/Planted ratio,” Thorson continued. “But that may not be truly known until harvest is complete this fall.”

Amid the uncertainty, soybean prices have increased since the beginning of the drought. “Monthly prices for soybeans have increased the last several months as the drought has worsened,” said Thorson. “The monthly prices at the US level that NASS publishes for the last few months have increased from $13.00 for March to $15.60 which was our preliminary price for July.”

The preliminary price of soybeans in August increased slightly to $15.90 per bushel, marking the seventh straight month of increased prices.
8 More information about the extent of the drought’s impact on American crops will be available in January 2013, when the USDA releases its Annual Crop Production report.


Preparing for an Uncertain Future

Although it is not an option for wild-harvested plants, irrigation is one of the only options to help counter the effects of intense heat and lack of rain.

"Irrigation, which is limited to a small fraction of US soybean acres, is the only practice that may help plants overcome drought,” said Prof. Young. “If drought is anticipated annually, such as having dry conditions in August, a grower may attempt to plant soybeans earlier in the Spring so that the majority of soybean growth and reproduction has occurred prior to the onset of drought conditions."

Lockard of American Botanicals says that maintaining adequate inventory is essential in times when crop production is threatened. However, he cautioned against exaggerating the potential effects of the drought. “Every year some products are short and some are long,” he said. “Every manufacturer should carry one year of stock. One thing worse than too much inventory is [having] nothing to sell.”

As record heat and unpredictable weather patterns continue, Fletcher advises manufacturers and distributors of botanicals to be as prepared as possible. “This should be a warning to all purchasing arms that some things are beyond our control,” he said. “So for botanicals that are significant to their bottom line, they should consider stocking additional material to prevent interruptions in production and loss of sales.”

Although yearly fluctuations in weather are to be expected, trends toward warming and extreme conditions are not ideal for plant cultivation and are especially a concern in the United States, where agriculture is the country’s leading industry.

“Long term drought is the real problem,” said Wanzer. “Plants are wonderfully resilient and can survive, but if the drought conditions continue, then the plant becomes weaker and less able to recover and regrow when conditions are better, and will finally die. Climate change is the real game-changer as this is the continuing condition that will change whole populations of plants.”


—Tyler Smith


References

 

1.    Foster JM. What cornfields show, data now confirm: July set mark as U.S.’s hottest month. New York Times. August 8, 2012. Available at: www.nytimes.com/2012/08/09/science/earth/july-was-hottest-month-ever-recorded-in-us.html?ref=drought. Accessed August 31, 2012.

2.    State of the climate, national overview: July 2012. National Oceanic and Atmospheric Administration National Climatic Data Center website. Available at: www.ncdc.noaa.gov/sotc/national/2012/7. Accessed August 31, 2012.

3.    State of the climate, national overview: August 2012. National Oceanic and Atmospheric Administration National Climatic Data Center website. Available at: www.ncdc.noaa.gov/sotc/national/2012/8. Accessed September 14, 2012.

4.    Blumenthal M, Lindstrom A, Ooyen C, Lynch ME. Herb supplement sales increase 4.5% in 2011. HerbalGram. 2012;95:60-64. Available at: http://cms.herbalgram.org/herbalgram/issue95/hg95-mktrpt.html. Accessed September 28, 2012.

5.    Herbs at a Glance: Goldenseal. National Center for Complementary and Alternative Medicine website. Available at: http://nccam.nih.gov/health/goldenseal. Accessed: September 21, 2012.

6.    Crop production (September 2012). United States Department of Agriculture’s National Agricultural Statistics Service website. Available at: www.usda.gov/nass/PUBS/TODAYRPT/crop0912.pdf. Accessed September 21, 2012.

7.    Davey M. Searing sun and drought shrivel corn in Midwest. New York Times. July 4, 2012. Available at: www.nytimes.com/2012/07/05/us/for-midwest-corn-crop-the-pressure-rises-like-the-heat.html?ref=drought. Accessed August 31, 2012

8.    Agricultural prices (August 2012). United States Department of Agriculture’s National Agricultural Statistics Service website. Available at: http://usda01.library.cornell.edu/usda/current/AgriPric/AgriPric-08-31-2012.pdf. Accessed September 21, 2012.