"The growing prices of apples in Poland at the end of the season are probably the result of a fairly significant reduction in supply. Although WAPA estimates that in Poland, on 1 April, stocks of apples were 1.4% higher, the strong rise in prices could, however, mean that they are actually much lower than a year earlier," said Mariusz Dziwulski, an analyst at BGZ, to www.sadyogrody.pl.
While he affirms that apple exports have dropped by just over 15%, "a significant portion of apples could have benefitted from the development of the domestic market through programmes aimed at the withdrawal of a part of the production, with greater volumes devoted to processing and domestic purchases on the rise," explains the expert.
Since the beginning of the embargo, great efforts have been made to withdraw part of the fruit from the market. As part of the mechanism of the "temporary extraordinary support for fruit and vegetable producers," the European Commission allocated 82 million Euro to support apple and pear growers and reduce the impact of the embargo.
Additionally, in early 2015, another CAP mechanism was introduced: "Further temporary support for fruit and vegetable producers," which is allowing Polish producers to withdraw over 150 thousand tonnes of apples and pears for free distribution from 16 February 2015 up until 30 June 2015.
Furthermore, larger volumes of apples have been shipped to processing plants. "Between September 2014 and February this year, production of juice concentrates (mainly apple) in the country increased by over 40 thousand tonnes, which means that during this period the processing sector could have used approximately 200 thousand tonnes of apples more than a year ago," adds Mariusz Dziwulski.
Consumption in the domestic market has also increased. Apples have become a product that has gained popularity after the introduction of the Russian embargo, with low prices stimulating sales in the first half of the season.