What has become clear since early August is that the short crop in Europe and good crop in China is still affecting the AJC market. After the bad crop in 2018, China reports a good crop this year, resulting in the drop of AJC prices than compared to the crop of 2018.
Chinese producers are all set to supply substantial quantities to their target market being the USA from the crop of 2019 even after 25% duty implied on Chinese AJC in the USA.
Poland, the dominating apple producing country in Europe, accounts for about 30 % of this year’s crop in Europe and it has been keeping a high price level for industrial apples throughout the harvest season.
Crop production in Europe has significantly dropped with very little quantities of apples arriving at the processing plants. Total AJC production in Europe significantly dropped compared to last year.
Production of AJC in spring 2020 from Polish warehouse apples cannot be estimated at present. Experience shows that most of the warehouse apples go into production of apple direct juice (NFC).
Price level for AJC in Europe is much higher than in the Middle East markets.