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Fresh Apple Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

Fresh Apple Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

  • March 2021
  • 143 pages
  • ID: 6036751
  • Format: PDF
  • Mordor Intelligence LLP

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The global production of fresh apples was 872 million metric ton in 2019, and is projected to register a CAGR of 4.0% during the forecast period (2021-2026).

Due to the pandemic, the fresh apple sector has suffered in terms of production, consumption, and staggered market performance. The lockdown restrictions have led the sector to suffer from insufficient labor and a decrease in production efficiency. Due to transport problems, the market supply chain systems are broken resulting in poor market performance.

Fresh apple consumption in China is driven by a gradual increase in income and health consciousness among the population, dietary changes, marketing innovations, and improvements in cold-chain logistics. Additionally, developments in e-commerce, chain fruit stores, and We-chat merchandising have made fruit consumption more accessible and convenient, thereby, increasing the consumption value in third and fourth-tier cities in China. During recent years, increasing health consciousness among the population has raised the sale of fresh organic apple produce in high-end supermarkets and health food stores, targeting upscale consumers with specialized eating habits. Food manufacturers are increasing the volume of organic apples used in their processed products, such as cereal bars and organic juices, which is, in turn, driving the overall consumption of apples in the country.

Key Market Trends
Growing Preference for Organic Apples

The demand for organic apples is gaining traction among consumers across the globe, bolstered by consumers’ growing concern for health and wellness. In comparison with other fruits and conventionally-grown apples, organic apples are naturally lower in sugar and higher in fiber. Therefore, this variety is witnessing immense demand from global consumers, especially in the United States and the European region. The higher-income groups in these regions are even willing to pay additional amounts, with an aim to safeguard their health conditions. While US acreage and production of apples have declined in recent years, consumer demand has spurred a fast-growing organic apple sector. Apples managed under certified organic farming systems now account for about 7% of total US apple acreage. While conventional apple yields tend to be higher than organic yields, organic apples commanded a price premium at every level—farm-gate, wholesale, and retail—of the supply chain. Despite the drop in total apple production over the last decade, the US apple sector has seen fast-growing demand for new varieties of apples and for organically produced apples that garner price premiums.

Asia-Pacific Leads Apple Consumption

Asia-Pacific leads the global consumption of fresh apples, with a share of 62% of the global market. China is the largest producer of apples in the world. Apples are the most popular fruit consumed in China. China remains the largest apple-consuming country worldwide, with a consumption rate of 40 million metric ton, which comprises approximately 48% of the total volume. Moreover, apple consumption in China exceeded the consumption recorded by the United States by tenfold. China was the second-largest consumer, with 4 million ton of apple consumption. In 2019, South Korea’s per capita consumption increased by 12% due to the increased domestic supply and consumers’ high preference toward apple fruit due to various health benefits over other domestically grown fruits. According to the Ministry of Agriculture, Food, and Rural Affairs (MAFRA), in 2019, the per capita consumption of apples in South Korea is 10.3 kilogram, which is second-highest after citrus.

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