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Imperial County Declares Economic Emergency Following Spreckels Sugar Plant Closure

-Editorial

The Imperial County Board of Supervisors voted Sept. 9 to declare a state of economic emergency in response to the closure of the Spreckels Sugar Company plant, warning that the loss of the last sugar beet processing facility in California could have far-reaching consequences for the region’s agricultural economy and workforce.

The plant, located along Highway 86 between Imperial and Brawley, had been a cornerstone of the local sugar beet industry for decades. It directly employed about 249 full-time equivalent workers and supported more than 700 jobs across the regional economy when factoring in farming, processing, and indirect employment, county officials said.

In approving the resolution, supervisors pointed to the plant’s significant role in sustaining Imperial Valley’s agricultural economy. Processing operations generated an estimated annual impact ranging from $164.8 million to more than $865 million, depending on market conditions, while farming contributed an additional $77.8 million. Together, the industry represented roughly $242 million in annual economic activity.

“This closure represents a sudden and severe disruption to Imperial County’s agricultural base and workforce,” the resolution stated. “The loss of this facility threatens the stability of farming operations, local jobs, and county revenues.”

County data shows the facility contributed more than $549,000 in annual property taxes, including about $127,000 earmarked for county services. It also generated nearly $28 million in wage-related activity each year. With unemployment already at 16.4% as of April — among the highest in California — county leaders said the closure adds to an already fragile economic situation.

Sugar beet farming in Imperial Valley has averaged more than 23,000 acres annually in recent years, producing about 1 million tons of crop valued at more than $57 million. Without a local processing facility, supervisors said the future of sugar beet cultivation in the valley is uncertain.

The resolution directs county staff to work with state and federal agencies, local jurisdictions, workforce development partners, and industry representatives to pursue emergency resources and financial assistance. It also calls on the U.S. Department of Agriculture and the State of California to provide direct support to stabilize the regional economy and help farmers and workers transition.

The Spreckels facility had long served as one of the few remaining links in California’s sugar beet industry, which has dwindled in recent decades as processing plants closed across the state. Its shutdown leaves Imperial County farmers without an immediate market for their crop and threatens ripple effects throughout the valley’s agriculture sector.

County officials said they would also seek recovery programs for displaced workers and explore opportunities to diversify the regional economy. “We must act quickly and collaboratively to address this crisis,” the resolution noted, emphasizing that the loss is not only economic but also cultural, as the sugar beet industry has been a fixture of Imperial Valley agriculture for generations.

The declaration does not itself provide funding but is intended to strengthen the county’s case for state and federal support.

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