Aug 29, 2013

Michigan processing apple prices announced

The Michigan Processing Apple Growers (MPAG) Marketing Committee has negotiated the following minimum processing apple prices with several processors for the 2013 crop (sizes 2.5 inches and up):

• Jonathan – $14/cwt.
• JonaGold, Ida Red and Crispin – $13.25/cwt.
• Spy – $12.50/cwt.
• Hard varieties (including Rome and Golden) – $12.50/cwt.
• Soft varieties – $10/cwt.

Coloma Frozen Foods, Gerber Products Co., Knouse Foods, Peterson Farms, Pinnacle Foods, Smeltzer Orchard Co. and Sill Farms Market agreed with the minimum price schedule. Processors that opted out of negotiations were Burnette Foods, Cherry Growers, Indian Summer and Materne USA, according to MPAG.

After evaluating the juice apple market, MPAG’s marketing committee chose not to negotiate a minimum juice price or undersize price for the 2013 season. Gerber Products and Coloma Frozen Foods decided not to purchase juice apples this year. The juice market is expected to be very competitive because of processors attempting to regain markets lost after last year’s devastating crop loss. The bidding process could come at growers’ expense, according to MPAG.

Current juice prices are at $12/cwt., but are expected to decline once harvest is in full swing, according to MPAG.

Aseltine Cider Co., Heinz USA and Peterson Farms will purchase juice apples (and determine prices at the time of sale), according to MPAG.