Prospects are good
"The largest cause of the high prices is the fact that there were a lot less European apples on the market," Fissette explains. "Last August we had established that there would be less apples. There was a 25% decrease estimated, especially for the big producers. That's when you know you're pretty much set, but you still have to wait and see." According to the manager it looks good for next season too. "The European harvest has been estimated to be slightly bigger, but we still expect good prices. Over the last few weeks there has been heavy hail in Germany, Italy and France, so this could influence the total figures. The European harvest is expected by mid September and then there will be an empty market. This means that the high prices will be around for a while."
He indicates that the New Zealand growers are also satisfied. "They are going to make their highest prices in years, the only problem is the rate. These prices should have meant that they got their weight gold in New Zealand but it's not happening. The dollar is too high. Or the Euro is too low, it depends on how you look at it. That's a shame, because they could have made up for the damage done in previous years. Now they're happy with a good season, but they're still missing out due to the exchange rate."
Customer stop
Tony would rather have had the New Zealand Jazz season to connect to the French and Italian season. "But the demand was bigger than the supply, so we couldn't do it. Of course, it's great that there's so much interest, but it's very frustrating that you can't meet the demand as a company. We can supply our current customers but have to disappoint new ones. When building up Royal Gala and Braeburn in Europe we could see no problem, but we have had to do a customer stop on the Jazz apple for two years. We won't let down our current customers, but others can also see that we have a fantastic product. We can't have a new retailer for the next 3 or 4 years. We expect and extension in production in Europe within the next three years and within five years in New Zealand. It takes longer there because it's hard to convince growers. The cost price for cultivation is high. That's why Europe is growing faster. They don't have the exchange rate problem."
American market
The American market has also been very good this year. "Our new variety Envy made a record price of 60 dollars per colli in America. Enzafruit had a great season there. The price ratios were as follows: first there was Envy with 60 dollars, then Jazz with 50, then Pink Lady with 40 dollars, and finally Braeburn with 35. So you're not going to send a variety like Envy to Europe. Of course we can't say that we just supply the markets on which we get better prices. As Enzafruit we decided that we will continue to supply our regular customers every year and split our turnover. This is very important to us and our customers."
Potential for Jazz and Envy
It's obvious that there is potential for the Jazz apples to grow. "Customers all think it's a great apple and want to buy more every year. We want to grow faster, but we can't at the moment. We have high hopes for Envy too. There's not enough volume for Europe yet and we're getting good prices in America and Asia. But they will be available in Europe in a few years. Envy has also been planted in Italy, and we expect them to be on the market there within two years. This variety is slightly darker in colour and a little sweeter than the Jazz apple. The reactions that we're getting already are very enthusiastic. There's not really anything negative to report about our products or the season. We're going to enjoy it for now," concludes the manager, laughing.
For more information:
Enzafruit New Zealand
Tongersesteenweg 135
3800 Sint-Truiden
Belgium
Tel: +32 11 68.99.41
Fax: +32 11 68.81.09
info@enzafruit.be
www.enzafruit.be