U.S. apple crop a bit smaller than in 2004
U.S. apple crop a bit smaller than in 2004
CHICAGO At the U.S. Apple Association 2005 Apple Crop Outlook & Marketing Conference, held here at the Four Seasons Hotel Chicago Aug. 18-19, James R. Cranney Jr., vice president of the hosting group, told the audience of apple marketers that the total U.S. apple crop this season will be down 6 percent over 2004 and should total about 234.2 million bushels, which is, however, 3 percent above the five-year average.
Broken down by region, the East will produce 57.329 million bushels (down 4 percent); the Midwest, 27.483 million bushels (up 3 percent); and the West, 149.405 million bushels (down 8 percent).
In the East, New York leads the way in production volume with a forecast 27.381 million 42-pound units (down 10 percent from 2004), followed by Pennsylvania with 10.238 million (up 6 percent) and Virginia with 7.619 million (up 7 percent). In the Midwest, Michigan leads with 19.524 million 42-pound units (up 8 percent from 2004), then Ohio at 2.095 million (down 2 percent) and Wisconsin 1.405 million (up 4 percent). And finally in the West, Washington leads with 133.333 million 42-pound units (down 7 percent from 2004), followed by California at 9.762 million (up 5 percent) and Oregon at 3.095 million (down 20 percent).
Many factors caused reductions in crops around the country including hail damage that was often localized but extremely destructive where it occurred, adverse weather during bloom, or simply an alternate bearing cycle.
This year, about 39 percent of the U.S. apple crop is comprised of Red Delicious and Golden Delicious, which is the lowest percentage of these varieties ever. The continuing shift is due to the increasing popularity of other varieties, especially Galas. Mr. Cranney said, "The Fuji popularity has been eclipsed by the popularity of Granny [Smith] and Galas." About 20 percent of the domestic crop are the Gala and Fuji varieties, and Granny [Smith] is on a growth trend, looking at a 21 percent increase over the variety's five-year average, Mr. Cranney said.
The 2005 apple crop should move quickly, Mr. Cranney said, noting that there will be very little product carried over from the 2004 season, it is a bit of a smaller crop than 2004, snow pack in the West was not as plentiful as usual, and apples and apple products are positioned perfectly to provide solutions for obesity and health-interested consumers, who are an increasingly large demographic.
Foreign apple production remains a concern for U.S. apple exporters. With 2.5 million tons, Poland is the biggest apple producer in the European Union followed by Italy (2 million tons) and France (1.7 million tons), according to Jacques Vanoye, president of the European organization Interfel. He added that European production is in general forecast to be down 4 percent compared to the 2004 season. There are concerns that Poland could reach production of 3 million tons, but discussions are underway between the country and the European Union to curtail production and for Poland to receive subsidies from the European Union. Additionally, Conference variety pears are extremely popular in Europe, so apple acreage is often rededicated to growing that item, further helping to limit apple production.
China presents an ever-increasing threat to U.S. growers of many products, not the least of which is apples. According to Michael H. Choi, president of Zhonglu America Corp. in Commerce, CA, 36 percent of worldwide apple production is in China, whereas the North American portion is about 9 percent. About two-thirds of the increase in world apple production over the past 10 years occurred in China, which last year produced 23.7 million tons.
This year, however, China forecasts a production total of 19.5 million tons. Mr. Choi said, 2004 was such a big year, and attributed the reduction in the 2005 crop to the combination of factors including an alternate-bearing cycle, bloom was bad this year, there was a drought in western China and an early frost in the east. Production totals in Chinas apple-producing provinces compared to 2004 figures ranged from 10 percent down to as much as 30 percent down. This crop is one of the smallest crops in seven years, Mr. Choi said. Apple crop plantings have been decreasing since 1996.
However, Red Fuji production is increasing rapidly, he added. About 62 percent of Chinese apples are Red Fuji apples, Mr. Choi said, which is about 14.5 million tons of apples.
About 20 percent of the apples China produces are used for juicing and concentrating. In 2004, about 50 percent of apple juice concentrate exports from China went to the United States. However, for 2005, the figure is expected to fall to 38 percent.
Fresh apple exports have been increasing. In 2003, 600,000 metric tons of fresh apples were exported from China to markets around the world, but especially to Russia, Mr. Choi said. In 2004, that figure rose to 775,000 metric tons.
Kay Swartz Rentzel, director of U.S. Apple Associations National Apple Month program, presented NAMs 2005 Apple Merchandiser of the Year Award to San Antonio, TX-based H. E. Butt Grocery Co. It was accepted by the chains Vince Walker.
Recognized for 52 weeks of apple promotion, the family-owned chain, which is celebrating its 100th anniversary in business this year, has 270 outlets in Texas and 25 in Mexico. It has done extensive research on its customers to best meet their needs, custom-tailoring its stores to best serve the demographics that shop H.E.B. and customizing its apple marketing efforts. H.E.B. has promoted heirloom apples for special programs in its stores, and its buyers primarily source the chains apples from Washington and California, but also New York, Texas and other producing states.
With customer perception in mind, H.E.B. converted its bagged apple offerings from poly bags to mesh to improve customers perception of the fruit. The mesh bags allow shoppers to better smell the apples and to feel and touch them more like they would in a bulk display.
For these and many other reasons, USApple chose H.E.B. as Marketer of the Year for this years National Apple Month program, which will be highlighted by a retail display contest, which is set to kick off Sept. 1.
Broken down by region, the East will produce 57.329 million bushels (down 4 percent); the Midwest, 27.483 million bushels (up 3 percent); and the West, 149.405 million bushels (down 8 percent).
In the East, New York leads the way in production volume with a forecast 27.381 million 42-pound units (down 10 percent from 2004), followed by Pennsylvania with 10.238 million (up 6 percent) and Virginia with 7.619 million (up 7 percent). In the Midwest, Michigan leads with 19.524 million 42-pound units (up 8 percent from 2004), then Ohio at 2.095 million (down 2 percent) and Wisconsin 1.405 million (up 4 percent). And finally in the West, Washington leads with 133.333 million 42-pound units (down 7 percent from 2004), followed by California at 9.762 million (up 5 percent) and Oregon at 3.095 million (down 20 percent).
Many factors caused reductions in crops around the country including hail damage that was often localized but extremely destructive where it occurred, adverse weather during bloom, or simply an alternate bearing cycle.
This year, about 39 percent of the U.S. apple crop is comprised of Red Delicious and Golden Delicious, which is the lowest percentage of these varieties ever. The continuing shift is due to the increasing popularity of other varieties, especially Galas. Mr. Cranney said, "The Fuji popularity has been eclipsed by the popularity of Granny [Smith] and Galas." About 20 percent of the domestic crop are the Gala and Fuji varieties, and Granny [Smith] is on a growth trend, looking at a 21 percent increase over the variety's five-year average, Mr. Cranney said.
The 2005 apple crop should move quickly, Mr. Cranney said, noting that there will be very little product carried over from the 2004 season, it is a bit of a smaller crop than 2004, snow pack in the West was not as plentiful as usual, and apples and apple products are positioned perfectly to provide solutions for obesity and health-interested consumers, who are an increasingly large demographic.
Foreign apple production remains a concern for U.S. apple exporters. With 2.5 million tons, Poland is the biggest apple producer in the European Union followed by Italy (2 million tons) and France (1.7 million tons), according to Jacques Vanoye, president of the European organization Interfel. He added that European production is in general forecast to be down 4 percent compared to the 2004 season. There are concerns that Poland could reach production of 3 million tons, but discussions are underway between the country and the European Union to curtail production and for Poland to receive subsidies from the European Union. Additionally, Conference variety pears are extremely popular in Europe, so apple acreage is often rededicated to growing that item, further helping to limit apple production.
China presents an ever-increasing threat to U.S. growers of many products, not the least of which is apples. According to Michael H. Choi, president of Zhonglu America Corp. in Commerce, CA, 36 percent of worldwide apple production is in China, whereas the North American portion is about 9 percent. About two-thirds of the increase in world apple production over the past 10 years occurred in China, which last year produced 23.7 million tons.
This year, however, China forecasts a production total of 19.5 million tons. Mr. Choi said, 2004 was such a big year, and attributed the reduction in the 2005 crop to the combination of factors including an alternate-bearing cycle, bloom was bad this year, there was a drought in western China and an early frost in the east. Production totals in Chinas apple-producing provinces compared to 2004 figures ranged from 10 percent down to as much as 30 percent down. This crop is one of the smallest crops in seven years, Mr. Choi said. Apple crop plantings have been decreasing since 1996.
However, Red Fuji production is increasing rapidly, he added. About 62 percent of Chinese apples are Red Fuji apples, Mr. Choi said, which is about 14.5 million tons of apples.
About 20 percent of the apples China produces are used for juicing and concentrating. In 2004, about 50 percent of apple juice concentrate exports from China went to the United States. However, for 2005, the figure is expected to fall to 38 percent.
Fresh apple exports have been increasing. In 2003, 600,000 metric tons of fresh apples were exported from China to markets around the world, but especially to Russia, Mr. Choi said. In 2004, that figure rose to 775,000 metric tons.
Kay Swartz Rentzel, director of U.S. Apple Associations National Apple Month program, presented NAMs 2005 Apple Merchandiser of the Year Award to San Antonio, TX-based H. E. Butt Grocery Co. It was accepted by the chains Vince Walker.
Recognized for 52 weeks of apple promotion, the family-owned chain, which is celebrating its 100th anniversary in business this year, has 270 outlets in Texas and 25 in Mexico. It has done extensive research on its customers to best meet their needs, custom-tailoring its stores to best serve the demographics that shop H.E.B. and customizing its apple marketing efforts. H.E.B. has promoted heirloom apples for special programs in its stores, and its buyers primarily source the chains apples from Washington and California, but also New York, Texas and other producing states.
With customer perception in mind, H.E.B. converted its bagged apple offerings from poly bags to mesh to improve customers perception of the fruit. The mesh bags allow shoppers to better smell the apples and to feel and touch them more like they would in a bulk display.
For these and many other reasons, USApple chose H.E.B. as Marketer of the Year for this years National Apple Month program, which will be highlighted by a retail display contest, which is set to kick off Sept. 1.
