Shortages in European supply means export opportunities for Chinese apples

"We are very positive about this year's export season for apples. Although India and Indonesia have started competing since last year, and have been implementing a few restrictive trade policies, which impacted the Chinese exports of apples to Indonesia to a certain degree, the European output of apples has been reduced by approximately 20% due to the hailfall in April. The supply on the local market and exports to East Asia and the Middle East have lowered substantially, so this might turn into a new business opportunity for the Chinese apples and cause the gross export of apples to increase substantially this year,", says Li Shuangchao from the company TransHigh in Jining city (Shandong province).

"Our company is located in Jining city in Shandong province, but we collaborate with processing factories in the provinces of Shaanxi, Gansu and Shandong. Together we monitor more than 333 hectares of apple orchards. The supply period of our products starts in September and continues until July the next year. All top quality apples are exported to South East Asia through the port in Qingdao. We have chosen to purchase from several regions, because we want to complement the unique quality of every region: the apple variations from Gansu, Shaanxi and Shandong are Hua Niu, Qin Guan and Fuji. The season varies across all countries, so this brings different requirements for all places. For example, years ago Huaniu and Qinguan were very popular on the Indian market, but nowadays there is more demand for Fuji apples. However, generally speaking, Fuji apples are the most searched for on South East Asian markets." 

"This year, weather conditions were stable all throughout the year in Shaanxi and Gansu, so the apple output in these regions has somewhat increased. However, in Shandong, there was a drought at the start of the year and subsequent stormy rains, which have reduced the output of apples there. It is still too early to say how this year's gross output will compare to last year's." 

Apples in boxes, waiting to be exported

'The price for apples is mainly decided by the consumer market. Last year there were 44 million tons of apples in total, but only 1 million was exported. Therefore we can say that the amount of exports does not play a decisive role when setting the price for apples. This year Indonesia has carried out restrictive trade policies and demand is low, which has had a direct impact on the sales of our apples. Exports have dropped by approximately 10% in comparison to previous years."

"After many years of effort, and relying on our good reputation and high quality products, we have a stable customer base in the Southeast Asian market, but considering the trade risks, we are thinking about expanding to other overseas markets. Our firm will participate in the Asia Fruit expo in Hong Kong between September 6th and 8th. We will be in the third expo room at stand number S17D. We are waiting for your visit."

Telephone number: +86 186 0537 7049 

E-mail address: bill@trans-high.com