Sky high juice prices are threatening the availability of class II apples for UK wholesale markets for months to come in a scenario described as the worst for a generation.
A shortage of apples for juicing in key producing regions has put pressure on global supply. “As the juice market is very robust, [apple] prices are only going to go one way unless wholesalers want to pay a firm price,” warned Steve Maxwell of importer Worldwide Fruit. “Those that want class I fruit are paying for it, but there won’t be much distress fruit going to wholesale markets, it will all be going to juice.”
According to one industry insider, the writing was on the wall even before the 2010 northern hemisphere harvest was complete. “Then we were looking at slight increases in pricing because the Chinese were targeting more apples at the fresh market and so their apple juice concentrate production reduced. Then the Polish crop was reduced by 50 per cent year on year.”
The knock-on effect has been spiralling prices for apples for processing in the UK and continental Europe, which have reached £170 a tonne in the UK - 70 per cent up year on year - and €240/t on Dutch auctions this week - double levels seen this time last season. Growers are said to be tempted to send fruit for processing rather then pay to grade and pack it for wholesale.
One industry operator told freshinfo: “One grower told me that if the continental juicing price goes up by another £20 a tonne he will send all his apples - 400 tonnes - to the Continent for juicing.”
The situation is affecting Bramley apples and dessert varieties too. “The last time we had a situation like this was in 1990,” said the operator.
Northern Ireland Bramley growers are reportedly already shipping their fruit to continental Europe for juicing, which could bring about a swifter end than usual to the Bramley season for fresh fruit. And with sterling weak and world apple juice concentrate stocks low, Maxwell forecasts it coud be two years before the market settles.
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