India's imported apple market is experiencing slightly above adequate availability, with the surplus putting pressure on prices, says Sanjay Aggarwal, Managing Director of Dev Bhumi Cold Chain Pvt. Ltd. He emphasizes the importance of increasing demand, especially in Tier 2 and Tier 3 cities, to help steady the market.
© Dev Bhumi Cold Chain Pvt. Ltd.
Aggarwal highlights a diverse mix of origins performing well among consumers. "Apart from domestic apples, imported apples from Chile, New Zealand, Poland, South Africa, and Turkey are well received." Dev Bhumi Cold Chain handles over 40,000 metric tons per year of popular varieties such as Gala, Red Delicious, and Granny Smith. "Quality is good from all these origins, but volumes are going up only marginally in view of India's bumper crop in Kashmir this season," Aggarwal mentions.
Price sensitivity continues to influence India's apple market dynamics. "The market still has to mature as oversupply and new entrants continue to drive price volatility. Whenever the price from any origin is attractive, volumes go up. If there are too many importers, oversupply occurs and prices crash," Aggarwal explains. "Prices across origins are consistent so far, despite the stress amid global growers. Another factor is that India absorbs sizes and varieties less favoured in Western markets, enabling revenue on crops that might otherwise fetch lower returns."
© Dev Bhumi Cold Chain Pvt. Ltd.
Aggarwal shares that under-invoicing continues to challenge India's apple import trade: "Some importers still indulge in under-invoicing to circumvent India's substantial import duties, often with the cooperation of overseas exporters. This not only undermines safeguards for local apple growers, but also relies on illegal remittance channels and exposes exporters to serious legal liability." Dev Bhumi counters this by maintaining transparency, working only with committed partners, and advocating for compliance with Indian laws.
Looking ahead, Aggarwal is keen to trial Jazz apples, which he believes will resonate well with Indian preferences. He acknowledges some damage in the bumper Kashmir crop but adds, "The large overall volume combined with expanded CA capacity will likely put downward pressure on imported apple prices in the weeks to come."
For more information:
Sanjay Agarwal
Dev Bhumi Cold Chain Pvt. Ltd.
Tel: +91 98 10 143 326
Email: [email protected]
www.devbhumiagri.com