Shipping numbers promise profits for apple growers
Thursday, November 12, 2009
YAKIMA — Record shipments of fresh Washington apples this season are raising hopes for better returns for growers over the next year in the face of competition and a slow economy.
The industry had shipped 17.6 million boxes of apples from the 2009 crop through Nov. 1, according to industry organizations that track those figures.
Shipments are ahead of last year’s 15 million boxes and the three-year average of 15.3 million boxes.
The industry got some good news Wednesday when the U.S. Department of Agriculture announced the government will spend $18.6 million buying apples and apple products for a variety of federal programs such as school breakfast and lunch programs.
Industry sources suggest the purchase could result in up to 3 million boxes of apples.
“That is a positive for the apple industry,” said Keith Mathews, chief executive officer of FirstFruits Marketing of Washington and former executive director of the Yakima Valley Growers-Shippers Association.
The early shipment momentum should help market a smaller 2009 apple crop. This year’s fresh crop is estimated at 102.3 million boxes, the third-largest crop, said Kirk Mayer, manager of Washington Growers Clearing House. The crop is down from last year’s record 108 million box crop.
“Washington state continues to be the number one producer of organic apples,” noted Mayer. “We have a record crop of organic fruit.” The organic apple crop (included in overall numbers) is at 6.8 million boxes, 1.2 million boxes higher than last year.
The industry saw lower prices in moving the larger 2008 crop during the economic slowdown. Mayer attributed some of the lower prices from last year to smaller-size apples. Last year’s prices have carried over into marketing the 2009 crop. “This year prices have begun a little bit lower,” Mayer said.
This year, though, the apples are high quality and well-sized. “We’ve got a good variety mix going into storage,” Mayer said. This year’s smaller crop, high quality and strong movement to date bodes well for prices later in the year. Season-average prices for all varieties are about $20 per box, about $4 below last year at this time.
“We’re generating record sales at this particular time so were establishing a firm market structure,” Mayer said. “We’re expecting prices to improve.”
World staff writer Rochelle Feil Adamowsky contributed to this report.
For more Yakima Herald-Republic stories, go to yakima-herald.com.

















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mavulous (mav ulous) says...
>Shipping numbers promise profits for apple growers<
Shipping numbers promise sales--not grower profits! Big difference between top line numbers and bottom line profits. All growers are not created equal and this year's market has started off with much lower FOB price quotes compared to last year.
November 12, 2009 at 6:55 p.m. ( permalink | suggest removal )