Record Year for Washington Apples, Exports Up


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Mon. April 8th, 2013

<p style="text-indent:0px; line-height:12px;"><span style="font-weight:bold;line-height:130%"> Yakima, WA</span><hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">By ANUK Staff<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">4.8.13</p><hr class="legacyRuler"><hr class="invisible minimal-padding"><p> On the heels of a frost-damaged eastern crop, Washington apple marketers have set weekly shipment records 16 times this season and growers are enjoying higher average prices, according to the Yakima Herald.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">The crop is 18 percent larger than the previous year, an estimated 130 million boxes. The fast pace is needed to move the record crop.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">As damaging frosts hit eastern states including Michigan, New York and Canada, Washington was able to gain market share.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">The East’s and Midwest’s disadvantage last growing season likely won’t translate into Washington’s advantage again, creating a challenge for local growers to maintain profitability. As a result, the Washington State Apple Commission has decided to pump more money into export promotion to try to boost sales abroad next season.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">“This year we are fortunate. People will get more healthy than they have been for a while and prepare for the future,” said Dan Kelly, assistant manager of the Washington Growers Clearing House in Wenatchee, which tracks shipments and prices for its 2,000 grower members.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Peter Verbrugge, president of Sage Fruit Co., which markets for three warehouses, said the Washington industry was able to get an early start because of the shortages elsewhere.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">“Overall, sales are pretty good and prices are pretty good with the Eastern crop being down. That helped us out early,” he said.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Through last week, the industry had shipped 81 million boxes of apples to domestic and export markets, a pace that is averaging about 3 million boxes per week. At this time last year, the industry had shipped 70 million boxes.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Kelly said average prices for the season for all varieties, grades and sizes are $25.65 per box, compared to $22.29 per box last marketing season, a 15 percent increase.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">“We are definitely getting the pricing,” he said.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Prices have softened on Red Delicious and Fuji, both around $20 to $21 per box.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Honeycrisp continues to be extremely popular. Season average prices for the variety have been at $57 per box with few supplies left to be sold.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">The successes in the domestic market are being repeated for exports.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Todd Fryhover, apple commission president, said exports are 6 percent above last year’s 36 million-box export level.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Part of the growth can be attributed to the frost-damaged crop in Canada. Exports to Canada, the second leading market for Washington apples after Mexico, are up 28.5 percent at 3.9 million boxes this year. Canada imported 5 million boxes last year.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Likewise, Mexico is buying more apples. Sales there are up 36 percent to 6.6 million boxes.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">With continued large crops in the future and the domestic market taking an average of 73 million boxes per year, the export market provides opportunities to sell more fruit, Fryhover said.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">“It is clear to us sitting here that the U.S. domestic market demand is relatively stable. Any big increases in production will have to be targeted to foreign markets,” he said.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">To that end, the commission, made up of growers and marketing representatives, will commit an additional $500,000 to its existing $6 million budget next year. Much of the promotion budget includes federal funds under the Market Access Program that assists domestic producers market their products abroad.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">One major possible market is China. Washington state has been unable to ship apples there since last August, when China raised concerns about diseases being introduced with the fruit.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Some fruit is reaching the mainland through Hong Kong, which is a 2 million-box market for Washington apples. But that channel has been closing.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding">Fryhover said China could be a 5 million-box market if the trade issue could be resolved.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href="http://www.yakimaherald.com/home/1002702-8/a-growing-need-in-record-year-for-washington" target="_new">Washington Apple Report</a></p><hr class="legacyRuler"><hr class="invisible minimal-padding">