According to the latest market reports by the Research Institute of Agricultural Economics, fruit prices increased dramatically on the Hungarian market this summer. The mean fruit price increase is 141% The price increase of apple is 89%, lemon 45%, orange 43%, banana 12%. Compared to the figures of July 2019, the fruit with the largest increase in price is apricot (96-150%), followed by idared apple (141%), and peach (75-141%). The price of gooseberry, golden apple, plum and muskmelon doubled this year. The most expensive fruits are raspberry (€8.64/kg), gooseberry (€4-5.16/kg), and apricot (€2.9/kg). An interesting effect is the correlation between the price of apples and the price of tropical fruits - As a thumb rule, apple prices "drag" the price of banana, citruses and other tropical fruits along with them.
The main reason of the fruit price surge is the frost damages domestic plantations and orchards suffered throughout the spring (more on frost damages here and their effect on the food industry here). While fruit imports usually help manage prices, this year there isn’t enough fruit produce in Europe to make up for the lost domestic volume and keep the prices down.
In the case of apples, the harvest will commence later in the season, and last year’s harvest yields were lower both domestically and in the case of import, in the largest European producer country, Poland. The available produce in storage was further diminished by pandemic stocking sprees in the spring.
The muskmelon season started late and fewer plants were cultivated due to pandemic labor shortages. In the case of watermelon, the lower availability of supply on the European market provided domestic producers with an opportunity to export at a rate of €0.23-0.30/kg instead of the usual €0.15-0.16, which meant that domestic prices increased too.
According to analysts and stakeholders, due to decreased EU subsidy levels, greening, the price increase of labor, and unpredictable weather, fruit prices can be expected to stay higher in the long term.
Source: Agroberichtenbuitenland.nl
