Posts Tagged “Washington state apple shipments”
by Columbia Marketing International (CMI)
Wenatchee, WA – Despite some of the earliest shipments on record, a smaller Washington apple harvest is driving tighter supplies and higher prices—particularly on larger-sized fruit and managed varieties. The result has been slower sales on many traditional varieties as supermarkets look to fill shelves with high demand new crop apples like Honeycrisp and Ambrosia.
Washington State apple shipments through November 2nd are 19.3% below the same period in 2014, but nearly 9% higher than two years ago. Early season predictions of smaller-sized fruit and supply reductions, particularly in Gala, Red Delicious and Golden Delicious are proving to be accurate.
Apple category growth continues to be propelled by the newer managed varieties and brands. The overall decline in apple category performance was offset by double digit sales increases among many emerging varieties. Honeycrisp, Pink Lady, Ambrosia™ Sweetango and KIKU® brand apples all posted strong sales increases over last year for the four-week September start-up period.
Some traditional popular apples showed significant sales declines. Gala (-8.0%), Red Delicious (-16.9%), Golden Delicious (-12.1%) and McIntosh (-9.9) all lost sales dollars in September compared to the same period last year.
Don Patella, Regional Marketing Director for CMI, noted that McIntosh sales dropped by nearly 10% year over year despite having one of the lower retail price points in the category. Conversely, Ambrosia had the largest sales increase in the category while selling at roughly $2.40 per pound, one of the higher retail prices of any apple in the month of September.
by Columbia Marketing International (CMI)
Recently released crop estimates for the 2015 Washington state apple shipments predict a decline of 10.5% from the record harvest in 2014. According to some industry experts, the predicted decline in the overall crop is a reflection of significant changes occurring at the orchard level.
The report released last week estimates significant production increases in Honeycrisp and sharp declines in Red and Golden Delicious—two apples that have been icons of Northwest apple growers for more than 50 years.
The late summer crop estimate is issued each season by the Washington State Tree Fruit Association. This year’s report reveals a total apple shipments estimate of 125,210 million cartons compared to a 140 million box crop last year, a decline of over 10%. The report predicts in the coming year that production of Honeycrisp will leap by 33%, Red Delicious will drop by 26.2% with Goldens declining by 24.5%. Gala is predicted to decline by 3.5%, Fuji will drop 5.8% with Granny Smith production unchanged.
According to Steve Lutz, Vice President of Marketing at CMI, the industry report reflects significant changes growers have made over the last few years in response to market conditions and shifting consumer demand. “Market prices for apples send very clear signals to our growers on what varieties they should expand and which apple trees should be removed,” said Lutz. Lutz says that it is not uncommon to see a decline in total production in the year immediately following a bumper crop like the Washington industry experienced in 2014.
Lutz added that production trends at CMI are consistent with the statewide estimate. “Our growers are reporting they expect production declines in Reds and Goldens to be larger than the state average,” he said. “We will have significant increases in Honeycrisp, particularly from newly planted orchards with high-colored fruit, so we’re really excited to bring these apples to our customers.”
“The hidden news in the 2015 crop report is that newer variety apples continue to make up for the erosion in production of the legacy varieties,” said Lutz. “CMI growers have made huge investments so that we have plenty of high-colored Honeycrisp on the way. To maximize the success of this variety, we’re introducing our new Happy Bee™ Honeycrisp pouch bag program, which will drive retail excitement this Fall. We’ll also have significant increases in production of our popular branded apples like Ambrosia™, KIKU® and Kanzi®.”
Lutz says organic apple and pear production also appear to be a bright spot in the coming year. “CMI leads the organic apple and pear category with our #1 Daisy Girl brand. Our growers estimate that in the coming year our production of our Daisy Girl Organic apples and pears will jump by about 10%.” He added, “That’s great news because organics have been the hottest growth driver in the category.”
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Columbia Marketing International (CMI) is one of Washington State’s largest growers, shippers and packers of premium quality cherries, apples, pears and organics. Based out of Wenatchee, WA, CMI delivers outstanding fruit across the U.S.A. and exports to over 60 countries worldwide.
Here’s an update on projected shipments of Washington apples, as well as a glimpse at Asian pear loadings out of California.
Washington state apple shipments are forecast to be their third largest on record. Loadings totaling 125.2 million 40-pound boxes of fresh apples are expected to be shipped. While this would be down approximately 10.5 percent from the 2014 record crop of 140 million boxes, it is just behind the state’s second-largest season of 128.3 million boxes shipped during the 2012-13 season.
Red Delicious remains the variety with the most shipments, representing a projected 25 percent of the crop. Gala is close behind at 23 percent, followed by Fuji at 13.7 percent and Granny Smith at 13 percent. This season, Honeycrisp is forecast to come in at 7 percent of the total crop, which would move it past Golden Delicious to become the fifth-ranked variety by production volume in Washington state.
The harvest started at the beginning of August for early varieties. Production typically peaks in September and October, finishing in November.
Yakima Valley apple shipments – grossing about $6000 to Orlando.
California Asian Pear Shipments
There has been a good transition from the Chilean season that is winding down to the California Asian pears in the second half of August. Shipments will continue into at least January, with similar volumes to last year out of the San Joaquin Valley.
In the Northwest, sweet onion shipments get underway within a few weeks. Meanwhile, plenty of Washington apples remain in storage for shipping.
Walla Walla Sweet onions from Washington state will begin shipments in mid-June and running into August. Growing conditions have been good this spring and the onions are sizing up well. The crop is trending heavily to jumbos and colossal.
Apple Shipments
However, the big mover remains with Washington state apple shipments, even though we are entering the last leg of the season before new crops start coming on in August. About 45 million bushels of U.S.-grown fresh market apples had yet to be shipped as of May 1, 28% more than last year at the same time.
The May total also was 38% higher than the five-year average, according to the May Market News report from the Vienna, Va.-based U.S. Apple Association.
Washington accounted for 40.9 million bushels of apples still in storage on May 1. New York had 1.45 million bushels, Michigan 1.24 million bushels and Pennsylvania 555,000 bushels.
Holdings of almost all major varieties were up from last year. Red delicious holdings increased from 13.6 million to 18 million bushels; galas from 4.2 million to 6.9 million bushels; golden delicious from 4.2 million to 5 million bushels; fuji from 3.3 million to 4.3 million bushels; Pink Lady from 913,000 to 1.4 million bushels; and Honeycrisp from 71,000 to 306,000 bushels.
Granny smith holdings fell slightly, from 5.41 million to 5.4 million bushels.
Yakima Valley apples and pears – grossing about $4500 to Chicago.
Here’s a round up of big-time apple shipments from New York, Pennsylvania, Michigan, and the leader — Washington State.
New York
This year’s expected record-breaking apple crop has left many New York growers with fruit still on the trees and not enough storage space after the harvest. Still, there should be record loading opportunities for apple haulers this season.
The bountiful 2013 growing season left many growers without enough workers to harvest the apples, not enough bins to place them in and not enough cold-storage capacity. Last summer, New York apple shipments were estimated at a record-setting 32 million bushels, nearly double last year’s harvest that was devasted by freezing weather. That figure for this season could even be low. Some observers see New York apple shipments topping 34 million bushels when all the figures are final.
New York apples – grossing about $2000 to Atlanta.
Pennyslvania
But New York isn’t alone when it comes to record apple shipments this year. In Pennsyvlania, one of the largest operations, Rice Fruit Co. in Gardners, is reporting number setting volume with its apple shipments. Pennsylvania apple shipments should continue through July, until the new crop is harvested starting in August.
Michigan Apple Shipments
Looking at Michigan, its biggest apple shipper, Riverridge Produce Inc. in Sparta is reported record setting loadings. The state should have record volume by the end of the season next summer.
Michigan apples – grossing about $3000 to New York City.
Washington State Apple Shipments
Finally, in Washington state, which ships as many apples as the rest of the states combined, should move about 110 million boxes of fruit this season. That’s down about 9 million boxes from original estimates, but it will still be one of the biggest apple crops on record.
Washington state apples – grossing about $5400 to Dallas.
There will be about 7 millions fewer boxes of Washington state apples shipped from the Yakima and Wenatchee valleys this season, but it still should end up next August being the second largest crop of all time.
Last year’s record apple loadings hit 128.2 million fresh boxes, and is competing with larger New York and Michigan shipments, after devasting freezes hit those states in 2012.
As of December 1, 28 million boxes had been shipped compared to 31.5 million at the same time last year and 25.3 million two years ago. Loadings are still clipping along at 2.7 million boxes per week and should remain at that level into spring, possibly peaking around 3 million per week in January.
The crop’s current standing at 113.3 million boxes is up .1 percent from the November 1 storage report, down 5.5 percent from the August 1 forecast of 119.8 million boxes and pff 11.7 percent from the record 128.2-million-box 2012 crop.
Exports are down 10 percent from a year ago at 8.4 million boxes as of December 1 compared with 9.4 million at the same time in 2012 and 7.8 million in 2011.
Mexico and Canada are Washington’s largest apple export markets.
Mexico normally takes 10 million to 11 million boxes annually but hit 13.6 million last year. Canada averages 5 million to 6 million and last year took 6.35 million boxes.
Thus far this season, Canada is at 1.2 million boxes and Mexico is just getting started at 1 million
Washington state apples – grossing about $6700 to Orlando.