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In W3 in the apple landscape, some of the most relevant trends included:

  • Adverse weather, including frosts and heavy rainfall (e.g., Germany, South Korea), and favorable recovery conditions (e.g., South Africa), play a critical role in influencing harvest volumes and quality.
  • Countries like Chile are leveraging genetic advancements (e.g., Geneva rootstock) and transitioning to high-density orchards to improve productivity and combat aging plantations.
  • Brazil is introducing apple cultivation in non-traditional regions, selecting varieties suited to local climates to diversify crops and boost farmer income.
  • Countries like South Korea and Chile are focusing on export markets by enhancing quality and supply chain management, while localized production supports both domestic and institutional programs (e.g., Brazil’s PNAE).

1. Weekly News

Brazil

Apple Production Expands in Southern Minas Gerais, Brazil

As part of a diversification initiative led by the Minas Gerais Technical Assistance and Rural Extension Company (Emater-MG), a new apple crop is emerging in the traditionally coffee-growing region of Southern Minas Gerais, Brazil. This project aims to increase farmers' income, with the first harvest yielding 30 tons of apples. Moreover, this project spans municipalities such as Alfenas, Guaxupé, and Monte Santo de Minas, focusing on collaborative seedling purchases and providing farmers with comprehensive technical support. Varieties like Eva and Princesa, selected for their ability to thrive in the region's milder winters, have been planted. Demonstration Units have also been established to allow other farmers to observe and learn from the initiative. While primarily serving the regional market, the project also has potential for inclusion in institutional programs like the National School Feeding Program (PNAE), further expanding its impact.

Chile

Advancing Apple Production in Chile and Latin America with Genetic Innovations

Chile is leveraging genetic advancements like the Geneva rootstock to enhance apple orchard productivity and competitiveness. With 27% of Chilean apple orchards considered outdated, transitioning to high-density plantations using modern genetics is essential. Trials with the Geneva rootstock have yielded promising results, including improved yields, larger fruit size, and increased resistance to pests like the woolly aphid. Combined with varietal replacements and shared expertise from Brazil’s experience with varieties like Gala Purple, these innovations are expected to revitalize apple production across Latin America. Chilean producers are scaling these innovations to ensure the long-term success of apple farming.

Germany

Germany's Apple Harvest Declines Due to Adverse Weather Conditions

Despite a 12.4% decline in the 2024 harvest, apples remain Germany's dominant fruit, with production falling to 872 thousand metric tons (mt), the lowest since 2017. This drop, which is 7.4% lower than last season, was caused by adverse weather, including late spring frosts and heavy rainfall, which led to significant crop losses in eastern regions. However, Baden-Württemberg, Germany's leading apple producer, saw a bumper harvest with a 19.4% increase, contributing 45% of the total. Of the total harvest, 73.2% were sold as dessert fruit, while the rest were processed. Apples comprised 87.6% of Germany's total fruit harvest of 995.6 thousand mt, far surpassing other fruits such as plums and pears.

South Korea

Chungju Apples Exported to the US with Strong Support for Global Competitiveness

Chungju, South Korea, continues its successful apple export journey, with 5 tons of high-quality Fuji apples shipped to the United States (US) on January 14, 2025, valued at USD 18.7 thousand (KRW 27 million). These apples were harvested the previous year and have been consistently exported to the US since 2011, supported by 100% contract farming to ensure top-notch quality. Despite challenges like poor weather conditions, including hail and cold damage, Chungju remains committed to supporting local farmers and enhancing the global competitiveness of its apples.

Ukraine

Apple Prices in Ukraine Experience Decline Following Holiday Demand Drop

Apple prices in Ukraine have dropped, with the average cost ranging from USD 0.64 to 0.72 per kilogram (UAH 27 to 30/kg), down from USD 0.79 to 0.81/kg (UAH 33 to 34/kg) a few weeks ago, following a reduction in demand after the New Year holidays. While local apple supplies remain high, prices are not expected to decrease significantly over the next three to four months unless there is a notable increase in imports. However, severe frosts could lead to a 5 to 10% price increase due to higher storage and energy costs. As the spring-summer season approaches and import volumes rise, prices may decrease further, potentially reaching around USD 0.60 to 0.72/kg (UAH 25 to 30/kg).

2. Weekly Pricing

Weekly Apple Pricing Important Exporters (USD/kg)

* All pricing is wholesale * Varieties: US and Italy (Gala), Chile, South Africa, and France (Granny Smith)

Yearly Change in Apple Pricing Important Exporters (W3 2024 to W3 2025)

* All pricing is wholesale * Varieties: US and Italy (Gala), Chile, South Africa, and France (Granny Smith) * Blank spaces on the graph signify data unavailability stemming from factors like missing data, supply unavailability, or seasonality

Italy

Italy's apple prices dropped slightly by 1.20% week-on-week (WoW) to USD 1.64/kg in W3, with a 4.65% month-on-month (MoM) decrease and a 14.14% year-on-year (YoY) decline. The price decline is due to continued high supply levels, resulting from an extended harvest season that has kept the market oversaturated. Despite the reduced stock levels in Nov-24, the overall apple supply remains high, heightening downward pressure on prices. Additionally, strong competition from other European apple producers, and a weaker-than-expected recovery in post-holiday demand, have further contributed to the price drop. The YoY decline is also influenced by the relatively higher prices observed during the same period last year.

United States

In W3, apple prices in the US held steady at USD 1.21/kg, unchanged since W50. This reflects an increase of 5.22% YoY. This is due to a combination of factors, including strong demand for premium apple varieties like Honeycrisp and Evercrisp, which have sustained higher market value. Despite balanced supply and demand dynamics, the slight price increase can also be due to tighter supply conditions caused by a smaller national crop. Additionally, limited international availability and persistent export challenges have contributed to the constrained supply, while market shifts toward European apples following an October port strike further heightened the demand for US apples.

Chile

Chilean apple prices increased by 0.47% WoW to USD 2.16/kg in W3, showing a 4.85% MoM increase due to steady post-holiday demand and strong export activity to primary international markets. The moderate price rise reflects a continued tightening of supply as inventory levels remain under pressure to meet market needs, particularly for premium apple varieties. However, there is a 35.91% YoY decline in apple prices due to the stabilization of production and supply levels, correcting from the exceptionally high prices recorded in 2023, which were driven by severe global supply shortages and heightened demand. This YoY drop indicates a normalization of market conditions as the apple industry adjusts to a more balanced supply-demand dynamic.

South Africa

Apple prices in South Africa remained stable with no WoW change at USD 1.03/kg in W3, reflecting a 9.57% MoM increase due to the positive impact of increased production, driven by young orchards coming into production and higher-yielding varieties. The recovery from the 2023 hail and flood impacts, and more favorable weather conditions, have led to a stronger supply, supporting the price stability. However, apple prices dropped by 20.77% YoY due to the high prices in the same period last year, which were influenced by supply constraints resulting from adverse weather events and lower production volumes.

France

France's apple prices fell by 15.29% WoW to USD 1.33/kg in W3, marking a 12.50% YoY decrease due to reduced demand following the post-holiday season, and with the impacts of lower export volumes, especially to third countries. The price decrease can also be due to the continued decline in exports, which fell by around 15% compared to the previous year. However, there is a 6.40% MoM increase in apple prices due to a seasonal tightening of supply, with improved quality and the market readiness of stored apples, which have stimulated local and European market demand, providing some upward pressure on prices.

3. Actionable Recommendations

Mitigate Supply Challenges and Boost Market Position for German Apples

Apple producers in Germany should implement targeted weather risk management strategies, such as frost protection and water conservation techniques, to mitigate the impact of adverse weather conditions on future harvests. Focus on promoting premium-quality apples from regions like Baden-Württemberg, which experienced a bumper harvest, to differentiate them in the market. Producers should also explore diversifying their sales channels by increasing processed apple product offerings and emphasizing the local apple's heritage and quality to maintain market share despite production challenges.

Strengthen Export Strategy for South Korean Fuji Apples

Chungju apple producers should focus on enhancing their export strategy by improving quality control measures to ensure consistent top-tier apples, especially under challenging weather conditions. Strengthening partnerships with international buyers through long-term contracts will help sustain the flow of Fuji apple exports to key markets like the US. Additionally, increasing investment in advanced farming techniques and weather-resistant practices can minimize crop damage and ensure reliable supply. This will help maintain the global competitiveness of Chungju's apples while further supporting local farmers.

Sources: Tridge, Agropolit, Bigcountrynewsconnection, CanalRural, Fruittoday, Hortgro, Portaldelcampo, Sinor, Unian, Yna

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