Massive production season after season has led to oversupply for the U.S. apple industry. While prices improved in 2024, they remained depressed as supply outstripped demand. (Capital Press file photo)

After the best harvest ever in 2023-24, the U.S. apple industry experienced strong production in 2024-25.

Although it’s early for predictions, most Washington regions experienced a strong bloom this spring, indicating the possibility of another hefty crop, said Michael Schadler, president of Washington Apple Commission.

The massive production season after season has led to continued oversupply, experts said.

“Market pricing has remained depressed, while at the same time, input costs and the cost of production have continued to be very high,” Schadler said.

“It’s frankly not sustainable and anybody who grows apples and sees their returns knows that,” he added.

Schadler hopes the industry will right-size supply and increase demand, but experts said reaching equilibrium will be a lengthy process.

Export and imports

There’s hope on the horizon as tariff tension has calmed and President Donald Trump’s trade negotiations could open new markets.

About 25% of the domestic apple crop is exported — that’s been closer to 30% for Washington, the nation’s top producer.

After hitting a low point in 2022-23, U.S. apple exports grew 47% to roughly 47 million bushels during the past year. That’s still 13% below the record from 2014-15, said Christopher Gerlach, USApple’s vice president of insights and analytics.

“We need to keep our foot on the gas,” Gerlach added, in an online presentation May 15.

The U.S. has a $300 million positive trade balance on apples, with juice from Turkey and China accounting for most imports.

“That is absolutely something we want to protect and expand,” Gerlach said.

With U.S. tariffs on imports, prices will increase for growers of domestic processing apples and American manufacturers of apple juice concentrate, he said.

Washington processing apple prices have surged 320% in the past six months.With tariff levels of 30% on China, the country will remain a cheap and ample source of apple juice.

Acreage already declining

Gerlach said national apple acreage has declined about 10% or nearly 33,000 acres over the past decade.

“People are seeing the writing on the wall,” he said, adding that farmers were mainly removing processing blocks that had been underperforming.

Fresh apples represent about 70% of national production but 90% of value.

Washington’s apple acreage, however, increased 8% over the past decade and yield improved 17%.

California acreage dropped 27% since 2015 and Oregon apple orchard acres have dipped 8%.

Storage stats

The nation also is better at storing apples, with some fruit reaching consumers 18 months after harvest.

Cosmic Crisp, the Washington State University developed apple, had 8.2 million bushels in storage in May, up 35% from a year ago, leading to discounted prices, Gerlach said.

Overall, the U.S. had 72 million apples in storage on May 1, down 5% from the previous year but 16% above the five-year average.

Best apples ever

Jon DeVaney, president of Washington State Tree Fruit Association, said there’s a lot of weather and grower choices before harvest.

“There’s a potential for another big crop. But that’s potential,” he said.

Farmers may consider the cost of labor, which consumes about 99% of gross returns, and take actions to trim their crop.

“Maybe you’re going to be instructing your crew to pick fruit of the premium sizes and great color,” DeVaney said.

“We’ve had great weather to start the year, but that doesn’t mean we’re locked into all that fruit hitting the market,” he said.

Schadler said the apple industry is going through a reckoning right now, but remains important economically and has a bright future with new and exciting varieties for consumers, including Cosmic Crisp.

We’re growing the best apples we’ve ever grown,” he added.

 

By the numbers

Apple stats, 2024 compared to previous year

National (top seven states)

Production — 10.5 billion pounds, down 5.5%

Value — $2.9 billion, up 1.6%

Acreage — 299,500, down slightly

Price — 27.6 cents per pound, up 7.4%

Washington

Production — 7.5 billion pounds, down 2%

Value — $1.95 billion, up 7%

Acreage — 174,000, unchanged

Price — 27.2 cents per pound, up 10%

California

Production — 157 million pounds, down 34.5%

Value — $60 million, down 14%

Acreage — 9,800, down 4%

Price — 38.2 cents per pound, up 30%

Oregon

Production — 120 million pounds, down 24%

Value — $28 million, down 24%

Acreage — 4,600, down 2%

Price — 23.6 cents per pound, down 1%

Source: USDA National Agricultural Statistics Service Fruit and Nuts 2024 Summary, released May 6