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Inflation and labor shortages might put future of US apple orchards in jeopardy

This year, the US apple harvest comes with a unique set of challenges, including inflation and labor shortages. Inflation is squeezing industries of all sorts, but the apple industry is seeing a perfect storm down the supply chain that is hitting growers hard. The industry relies heavily on international migrant workers using H-2A visas, whose wages are set by the federal government and vary state by state.

However, growers have seen the wage for H-2A workers increase 10% from last year, up to $15.78 an hour. Across the U.S., H-2A wages have been going up 5-10% a year. The U.S. Apple Industry Association estimates total labor costs have spiked 30% this year. Apples, on average, also cost 6% more this year.

This means that most apple farmers said they aren't seeing more money in their pockets, though, despite the cost increase. To weather the economic storm, many farmers are trying to entice people to buy from the orchard itself, cutting out the middlemen. The orchards can offer you a lower price and get a bigger profit if you pick apples directly off the trees than off a grocery store shelf.


Source: kpax.com

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