- "An upward trend in apple prices would be beneficial"
Due to the harsh and damp weather conditions, German apple farmers are anticipating this year's apple yield to be the smallest in seven years. In certain farming districts, the harvest is nearly nonexistent. Will the prices increase as a result?
Christian Weseloh, Executive Director of the German Federation of Fruit and Vegetable Producers Associations (BVEO), spoke to stern: "Typically, lower yields would lead to higher prices." However, the primary buyer of apples in Germany is the food retail industry, which includes major supermarket chains like Rewe, Edeka, Kaufland, Lidl, and Aldi, along with discounters. "These large companies have a significant impact on prices."
Apples will likely be stored and imported from overseas
The German Federal Statistical Office predicts a harvest of around 734,000 tonnes of apples this year, which is approximately 26% less than the average of the past ten years and the lowest harvest since 2017.
Last year's apple yield was also scant. This year, it is predicted to be about 22% lower than the past ten-year average. In the southern federal states, there are substantial harvest losses of up to 90%, as reported by the statistical office further. For instance, in Saxony – the third-largest apple-growing region in Germany – an exceptionally low yield is expected.
Four significant German apple-growing regions
"The regions most affected by apple farming are those in eastern Germany, around Dresden," said Christian Weseloh. "Then there are the areas on the Lower Rhine, in Baden-Württemberg, and in the 'Alte Land' near Hamburg." Essentially, Germany has only four vital apple-growing regions. If one of these regions, like the current one, cannot yield much, it is noticeable.
"It would be beneficial if apple prices rose due to Germany's poor harvest," said Weseloh about the outcome. Not only to help fruit growers cover their expenses, but also because a price increase is necessary. In Northwestern Europe, particularly in Germany, factors like the minimum wage discourse, labor shortages, and expensive modernization measures are increasing production costs.
"In an advanced country like Germany, rising production costs are unavoidable. Therefore, an increase in the price level for apples is justified, especially when considering the origin." It is crucial that the retail trade also increases the prices for local products.
In light of the predicted low apple yield and high production costs, German fruit growers may rely more heavily on importing apples from overseas to meet demand. The anticipated increased prices for apples could also help cover the farmers' expenses and justify higher production costs in an advanced country like Germany.
