Global Cooling and Crop Failures

I think it's time to get the car out and drive around the block to create more greenhouse gasses to try and save agriculture... Have you wondered why the price of tomatoes has gone up 30% and the quality has gone down? Blame global cooling (LINK to REUTERS)!

"Mexico's No. 1 tomato producing state says up to 70 percent of its tomato crop was wiped out by a cold snap this month, potentially causing price rises in produce on U.S. grocery shelves..." (op cit Reuters)

It wasn't only tomatoes, but bell peppers, eggplant and corn crops were also more or less wiped out by the cold. Moreover, there are Mexican farmers who are very concerned about future failures of crops that may be attributed to the global cooling crisis. (Where is Al Gore when you need him?)

I've been discussing starting a business with Mexican tomato growers who are interested in hedging their crops by beginning hydroponic tomato and garlic growing operations in the US. A hydroponic farm can produce 450 tons per hectare (2.5 acres) where the best a standard farm can be expected to produce is about 1/4th that amount. They are interested and so am I. I don't know if it's going to happen, but let's think about this whole situation for a moment.

NOW, where would you site such a business? Pure water is necessary for hydroponic growing operations and so water studies would seem to be a first step. BUT the other issue is taxation. California is out. The price of land, wages and taxation have placed them completely off the map. Utah is a right-to-work state, which means that people won't be pushing for auto-worker level wages, there is available manpower and Utah's economic development plan allows for minimal to no state taxes for the first several years of operation if you meet the criteria, hire over 30 local people, etc. The Reno, Nevada area is also a possibility.  Utah is the front runner now because Southern UT is close to I-40, I-70 and I-15 transportation corridors. The Mexican grower/investors also hedge their bets with fuel prices skyrocketing. It's a shorter drive to market from the Southwest US than it is from the Mexico City latitudes.

How can it be that a business would choose to locate itself in an area with LESS taxes and MORE government cooperation (meaning less interference) with the development of a new business? What a concept, Barak!

Are people from UTAH crazy? How do less taxes on a business equate to job growth and prosperity? 

(1) Workers pay taxes, and they spend their money locally and those people pay taxes. Each earned dollar changes hands about 14 times according to the studies they've done so the taxes roll swell.

(2) Eventually the businesses will pay taxes once they're established and profitable.

(3) Agricultural businesses are good for the environment, they produce goods that people want, feeding us all, and as they grow and expand, they end up paying a LOT of taxes on their PROFITS.

(4) A business such as this one can sell its crops on the futures markets during summer months when the prices traditionally dip protecting the grower's price and offering a guaranteed supply to factories that make tomato products. This means more jobs, more prosperity. And more taxes are paid. 

I wouldn't understand a liberal or the president of the United States to grasp these few concepts of business generation, job generation or taxation.