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Is concentrated apple juice export "frozen"?

foodmate 2018-11-26
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Concentrated apple juice is the main product of Chinas apple processing industry. about 67% of the apples purchased for processing end up as concentrated apple juice. However, the price of concentrated apple juice has been in decline for many years and a price increase seems unlikely. What is the cause of this development? Can the apple processing industry continue along this road?

China is an important apple producer and the cost price of concentrated apple juice is relatively low. China is therefore one of the main exporters of concentrated apple juice. Nearly 95% of the concentrated apple juice production volume is exported, more than 50% of which goes to North America.

The price of concentrated apple juice began to fall four years ago. Zhuochuang data analyst Yang Jun points out that the global economic crisis caused a decline of concentrated apple juice export in 2014-2015. Although the export volume increased again in 2016 and continued to grow in 2017, the price kept falling as a result of competition in the global concentrated apple juice market and the overall condition of global economy. The simultaneous growth of export volume and decline of export prices continued in 2017.

Yang Jun also points out that the price decline is on the one hand a result of increased production volume and low prices of raw material. On the other hand, while the annual export volume grows, there is still a surplus in stock from excess production in recent years.

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