While the pandemic has tested the apple industry up and down the supply chain, it has also presented unique opportunities notes a new report released by the U.S. Apple Association today at the organization’s 126th annual Outlook Conference.
The conference is an in-person, two-day meeting showcasing growers, apple business leaders, high-profile speaker and topics.
Kicking off the conference, agriculture secretary Tom Vilsack spoke to attendees via video. Vilsack spoke of challenges facing the apple industry, including the need for further work to resolve outstanding trade commitments and tariff disputes. He also commended the apple industry for its work on the bipartisan Farm Workforce Modernization Act.
“This legislation provides farm workers, many of whom have lived in this country for years, an opportunity to earn citizenship,” said Vilsack. “It will also reform the H-2A program and provide more flexibility for employers and streamlines the visa process.”
As for those aforementioned opportunities, and despite a challenging 18 months, apple production is expected to exceed 11 billion pounds this crop year.
USApple’s Industry Outlook 2021, authored by Chris Gerlach, USApple director of industry analytics, provides current data and analysis on U.S. and global apple production, utilization and trade.
Production
According to a USApple analysis of Agriculture Department data, total U.S. apple production for the 2021-22 crop year will exceed 11.1 billion pounds or 265.4 million bushels. This represents a 2.7 percent increase compared to 2020-21 crop year production of 258.6 million bushels.
Gala is expected to retain the top spot with almost 49.3 million bushels produced, accounting for around 19 percent of the U.S. apple market. Rounding out the top five are Red Delicious (35.7 m bu), Honeycrisp (31 m bu), Fuji (29.1 m bu) and Granny Smith (27.2 m bu). In 2020, the top five varieties were: 1) Gala 2) Red Delicious 3) Fuji 4) Honeycrisp and 5) Granny Smith.
Trade
The U.S. retains a positive trade balance. In the 2020-21 crop year, the U.S. exported almost 41 million bushels of fresh apples while only importing around 5.2 million bushels. These net exports (35.6 m bu) are valued at almost $773.8 million
“Year-over-year, while the balance of trade has declined with respect to quantity, it has increased in value,” said Gerlach.
Labor
“We are losing domestic workers faster than we can replace them. Increasingly, growers have turned to seasonal migrant labor, H-2A workers,” said Gerlach.
From 2014 to 2020, average annual crop production employment fell by three percent and, in orchards, it declined by 20 percent.
Consumer Trends
Throughout the pandemic, apple packers and marketers responded by offering bagged apples giving consumers added peace of mind by reducing product handling. The most significant trend to come out of the pandemic was the rate at which shoppers embraced e-commerce grocery shopping, which aided apple sales.
For more information:
Tracy Grondine
U.S. Apple Association
Tel: +1 (703) 442-8850
[email protected]
www.usapple.org