October 08 WAR

October 2008, World Apple Report Highlights

Slight Increase Expected for World Apple Crop
The World Apple Report presents its first estimate of the world apple crop for the 2008-09 marketing year. Apple production could exceed 65 million metric tons for the first time. While apple production will be lower in Western Europe and North America, it is expected to rebound in China and in Eastern Europe. There could be a shortage of good quality apples for the fresh market in some regions, but the pipeline for processed apple products should be replenished in the coming season.

Significant Changes in U.S. Food Markets
Major significant changes are under way in U.S. food markets. That was the consensus of the main speakers at the 2008 US Apple Association annual Outlook and Marketing Conference in Chicago in August. Some of these changes are in response to greater concerns about food safety, environmental quality and other social issues. However, many are a direct response to the worsening economic climate. Consumers are struggling with stagnant incomes, rising prices of oil, food and other necessities, and declining prices of housing and other assets. As a result, they have changed their patterns of transportation, dining out and food shopping. They have switched to more discount shopping, purchase of private labels, value packs, use of coupons and other thrifty habits.

Special Review of the 2007-08 Marketing Year: Superb
This article examines various aspects of the 2007-08 marketing year including crop size, competing supplies, exports and imports, prices and marketing margins, and outcomes in the fresh and processing segments. In general, prices for apples around the world maintained the gains that had been made in the previous season. The outlook for the 2008-09 season is bright provided the economic slowdown does not unduly dampen demand and quality of fruit can be maintained.

Special Statistics

World: Apple Production, by Region, 2005-07 and Forecast 2008 (table).
United States: Share of Production that is Fresh Varieties and Share Utilized Fresh, 1983-2007 (chart).
Competitiveness Rankings in Apple Production and Success in the 2008 Olympic Games (table).
World: Exports of Agricultural Products, by Selected Countries, 2002-06 (table).
United States: Marketing Margins for Red Delicious Apples, 2006-08 (chart).

The authoritative guide to the world apple business today.

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