In many apple production areas, such as Qianxian in Shaanxi as well as Yuncheng, Yiyuan, and Yantai in Shandong, prices have recently increased. There are two main reasons for this development:
1. Apple farmers are unwilling to sell. In western production areas large volumes of fruit, including apples, have suffered from the cold weather and farmers are not happy with current low prices. Fuji apples can be as low as 1 yuan [0.16 USD] per 0.5 kg. Fruit farmers who sell at those prices suffer a loss. Fruit farmers are holding out until the prices rise above 1 yuan, especially now that the production volume will be smaller.
2. The production volume of high-quality apples decreased in many production areas. This has caused some traders to start looking for other sources. There are signs that some have considered moving their businesses, which in turn increases the price.
Source: apple.com.cn