W6: Weekly Apple Update
Europe
European Apple Stocks in January Were 6% Lower Than in 2022 (Feb 7)
The World Apple and Pear Association (WAPA) published the stock figures as of January 1, 2023. The figures show that in Europe apple stocks decreased -6% compared to 2022 to 4,051 ,645MT, while those of pears fell by 19% to 648,071MT. In the United States, apple stocks as of January 1, 2023 stood at 1,604,469MT (-4.1% compared to 2022), while those of pears show a decrease of 168,353MT (-2.2% compared to 2022). According to WAPA data, the 6% decline in European apple stocks was mainly due to reductions in the following varieties: Golden Delicious (-20.1%), Idared (-19.2%), Jonagold (- 23.3%), Gala (-15.5%) and Fuji (-7.5%). Cripps Pink increased 28.8%, Granny Smith grew 15.9% and Red Jonaprince 23.1%. In the US, Fuji stocks were down -3.6%, Granny Smith were down -25.6%, Honeycrisp -7.9%, Red Delicious -16.6%, Golden Delicious -16.7%. For its part, Gala's stock grew +7.5%, Cosmic Crisp's +66.7%, and Empire's +31.1%.
China
Chinese Apple Production Fell by 15-20% In 2022 (Feb 6)
Chinese apple production fell by 15-20% in 2022. This tight supply kept apple prices at high levels throughout the year, leading to a drop in exports due to the sensitivity of most overseas markets for Chinese apples to price hikes. In 2022, China exported 823K MT (-24% YoY) valued at USD 1.04B (-27% YoY) worth of fresh apples, with the main export destinations being Indonesia (156K MT, -2.5% YoY), Vietnam (145K MT, -19.9% YoY), Bangladesh (116K MT, -35.6% YoY), Thailand (115K MT, -16.7% YoY) and the Philippines (107K MT, -33.5% YoY).
Price of Chinese Apples From Different Areas After the Spring Festival (Feb 7)
After the Spring Festival ended, apple trading in producing areas began. On February 2, 2023, the following prices will be in effect for the apple-producing areas in China:
Shanxi Linfen Fuji 75 (pieces): USD 0.83-1/kg (RMB 5.6-6.8/kg)
Yantai Qixia Fuji 75 (pieces): USD 0.97-1.42/kg (RMB 6.6-9.6/kg)
Shanxi Luochuan late Fuji 70 (pieces): USD 0.74-1.09/kg (RMB 5-7.4/kg)
Chile
Chilean Apple Exports Drop in Both Volume and Value in 2022 (Feb 8)
Chilean apple registered shipments of 602,478MT, equivalent to USD 518.4M FOB, registering a decrease of 6.4% in volume and 15.7% in value, compared to the previous year with shipments to various countries, such as Colombia (14%), the US (12%), and Brazil (10%).
South Africa
South Africa Predicts Average Top Fruit Harvest (Feb 6)
The 2023 harvest of apples and pears in South Africa is in full swing and growers are predicting a slightly lower export harvest than last season. The lower export volumes are due to hail in November and December in the Ceres and, to a lesser extent, Langkloof growing areas. Despite the hail, the rains during the same period relieved the growers and ensured sufficient irrigation water for the fruit to develop. Compared to last year, the season has been brought forward a week with good quality apples and pears. Exports of apples are expected to fall by 1% and pears by 3%. Late season apple varieties such as Cripps Pink/Pink Lady® and Cripps Red/Joya® will increase by +2% and +7% respectively, due to new varieties with better yields being introduced in recent years.
Poland
Export of Polish Apples in January 2022 and 2023 (Feb 6)
January 2023 in the export of dessert apples outside the European Union brings good and bad news. As we remember, Belarus introduced the embargo at the beginning of December 2021, thus, January 2022 was the first full month without access to the local market. In January 2023, Poland still cannot export to their eastern neighbor (except for pears). It is therefore worth noting that total exports are 13% higher YoY. On the other hand, it is still 3K MT less than 2 years ago, when Poland actively exported apples to Belarus. Two main conclusions can be drawn from the data. First of all, Poland is getting better and better at exporting apples to new markets with the simultaneous lack of access to the Belarusian market. However, it is still not enough for the domestic production potential. The most negative are the figures for Egypt (-48%). Comparing YoY, exports fell from 16.1 to 8.3K MT. The largest increase is recorded in the case of the Indian market (+233%), from 2.0 to 6.9K MT.
Indonesia Has Opened Up to Polish Apples (Feb 10)
The Ministry of Agriculture announced on Feb 10 that the procedure of opening the Indonesian market for Polish apples was successfully completed. The Ministry added that other producers and exporters interested in exporting should notify the field units of the State Plant Health and Seed Inspection by April 30, 2023 of their intention to grow apples for the Indonesian market in the 2023 season.
Belgium
Belgian Fruit Growers Spilled Apples in the Country’s Capital as a Sign of Protest (Feb 8)
Belgian fruit growers sold apples at auctions on Feb 8 for USD 0.32- 0.37/kg (1.43 - 1.67 PLN). In supermarkets, the same apples went USD 2.12- 2.65/kg (9.50 - 11.90 PLN). For this reason, a protest was organized on Feb 6 in Brussels against the low prices that fruit growers receive for their fruit. Fruit growers drove a column of tractors in front of the headquarters of the Belgian trade federation Cameos. They expected talks with representatives of the largest supermarket chains.
Argentina
Argentinian Producers and Exporters Demand a Special Exchange Rate for Apples and Pears (Feb 7)
During W5, Argentinian exporters and producers of apples and pears demanded the national government a differentiated exchange rate for the exports of their products, as done with other commodities. Exporters and producers ask for the exchange rate for their exports to be settled at USD 1 for ARP 350, instead of the official exchange rate, which is USD 1 for ARP 188. The devaluation of the Argentine peso has made production more expensive, decreased competitiveness, and dropped the earning margins.
Ukraine
The Most Suitable Regions of Ukraine for Growing Apples Have Been Determined (Feb 10)
According to the results of seven-year research on the dependence of the quality properties of apples of the most common varieties on the growing region, scientists of the National Academy of Agrarian Sciences of Ukraine named the regions most suitable for growing the fruit. It was added that the largest areas under apple trees are occupied in Vinnytsia, Chernivtsi, Khmelnytskyi, Zakarpattia, Lviv and Kharkiv regions.
United Kingdom
Climate Breakdown Could Cause British Apples to Die Out, Warn Experts (Feb 11)
Classic British apples may die out and be swapped for varieties from New Zealand and Japan, as climate breakdown means traditional fruits are no longer viable. Apples such as pippin or the ancient nonpareil, grown in Britain since the 1500s, are struggling in the changed climate because there are not enough “chilling hours” for the trees to lie dormant in winter and conserve energy for growing fruit. Scientists at Royal Botanic Gardens, Kew, are planting 40 apple trees, a third of which are heritage varieties that once grew in its Georgian kitchen gardens. Another third are new varieties bred to need less cold over winter, and the final third are from warmer countries including South Africa. The varieties will be compared to see which has the best crop in London’s warming temperatures.
Australia
In the period of 2017-2021, Australia's import of fresh tamarind, apple, jackfruit, lychee, plum, passion fruit, star fruit (HS 081090) grew by an average of 11.6%/year, reaching an average of USD 7.7M/year. In 2021, Australia's imports of fruit with HS code 081090 reached USD 8.8M, down 6.8% compared to 2020, but up 50.8% compared to 2017. In the first 11 months of 2022, Australia's imports of fruit with HS code 081090 reached USD 8.2M, up 3.1% over the same period in 2021.
Russia
24% Reduction in Russia’s Apple Imports Over 11 Months of 2022 (Feb 6)
According to the results of 11 months of 2021, the volume of apple supplies to Russia amounted to 777K MT. For the same period of 2022, this figure decreased by 24% to 592K MT. 12 out of 20 countries, the main foreign suppliers of apples, have reduced their exports to Russia this year. The main supplier of apples to the Russian market for several years, Moldova, has been gradually reducing the volume of sales of fruit and vegetable products over the past few years. If in 2019 Moldova exported 355K MT of agricultural products to Russia, while 250K MT were apples, then by 2022 this volume has significantly decreased. As of December 6, 2022, a total of 215K MT of vegetables and fruits were delivered, of which about 160K MT accounted for apples.
