CROP UPDATES: APPLE JUICE - Q4 2023

The factories have struggled to run at full capacity this season due to high pricing and a lack of fruit. As we approach the end of the season, processors are currently running at just 10-20% capacity. The 2023 processing season is expected to be finished within the next couple of weeks, but factories will continue to run limited supplies from cold stores into next year as usual.

There are reports that many buyers, particularly in the US, still need to secure supplies for the first quarter of 2024. Traders in Europe say they are receiving regular enquiries from customers looking to fix contracts at lower price levels, however, there are no large volumes available in Poland now and so prices look relatively firm. If the supply from China is insufficient to meet demand in the US and if there are still large open positions with US buyers, then analysts suggest there is still an upside price risk for European apple concentrate.

CHINA

Strong competition for fruit in China has been seen since the beginning of the season due to a lower available supply of fruit to the juice industry. The volume of apple juice concentrate being produced this season in China is now estimated at 300,000- 350,000 MT. In a usual year the industry there could expect to produce 500,000 MT. Only the three large producers in China are currently offering supplies.