Usually, after the hectic Christmas sales, the fruit and vegetable market cools down somewhat in January. Not so with apples. Traditionally, business regarding domestic dessert apples really picks up after the turn of the year, fueled by strong exports. This year was no exception. Sales of domestic produce increased by a further 20% on the already strong level of the previous month.
Even though the evaluation of the main varieties Gala, Golden Delicious and Jonagold showed more or less increases, it is regrettable that the average AMA wholesale price for conventional apples, calculated over all varieties surveyed, did not even reach the previous year's level in January, averaging 0.92 EUR/kg (-6%). At least for the time being, it will probably not be possible to push through higher prices, or only selectively.
Stocks significantly above last year's level
Without a doubt, this is a very challenging situation for the sector. The AMA inventory for dessert apples (conventional and organic) was 82,698 tons as of January 1. Compared to the corresponding period of the previous year, this is an increase of almost 19%. Nobody in Europe has to fear the New Zealand overseas season this year. Cyclone Gabrielle left massive damage in the main growing area for export apples, Hawke's Bay, and wiped out entire growing regions. It will take years to revitalize the plants. Exports worth up to EUR 600 million could have fallen victim to the floods in the case of apples alone. In terms of these forces of nature, the effects of late frosts or hail are nevertheless decidedly put into perspective.
Source: AMA