Trouble in the Valley to make apples costlier

Apple prices are 25%-30% higher than last year and may climb further if arrivals of the crop from Jammu & Kashmir, which produces about 70% of the country's apples, is delayed due to curfew and protests. Apples in New Delhi's wholesale market cost Rs 800 to Rs 2,000 for a 25-kg box. Currently, apples at all major markets come from the lower and middle heights of Himachal Pradesh, where the crop was damaged by hail and poor snowfall.

Major trading and procurement companies such as Adani Agrifresh, Concor, Dev Bhumi Cold Chain, Suri Agro Fresh, Mahindra & Mahindra and global players from the US, Australia, New Zealand, China and Chile are monitoring the situation, said MR Kriplani, president of the Chamber of Azadpur Fruit & Vegetable Traders and an apple trader.

"Compared to daily arrivals of 350 trucks of 12 tonnes of apples, we are now getting only 200 trucks. Prices are in range of Rs 800-2,000 for a 25 kg box," said Kriplani.

"Output is expected to be 1.5 crore boxes (20-22 kg) -- almost half of last year in Himachal," said Prakash Thakur, vice chairman of HP Horticultural Produce Marketing & Processing Corporation.

"Increase in rates is expected to hold out till Kashmir apples arrive. Long-term storage and trading margins will be affected as farmers will demand a higher rate due to lack of abundant supply throughout Himachal," said Rajiv Malhotra, CEO of National Agri-Food Consultants. Kumar Dhruva Aggarwal, vice-chairman of Dev Bhumi said prices will be 10-20% higher.

Protests in Kashmir Valley and more than a month of curfew may impact the Rs 7,000-crore industry as growers are unsure of how to go ahead with the harvest. Curfew has prevented traders from other states from visiting the Valley and thus rates are yet to be fixed.

"We are also part of this society and want peace. Harvest is going to be tough and may not be possible if this situation continues. Our mandi is closed for a month now," Mir Mohammad Amin, president of the fruit mandi in Shopian, told ET.

"Only political resolution would strengthen and stabilise business here. We are ready to sacrifice this year's crop if there would be some resolution," said Bashir Ahmad Bashir, president of the Kashmir Valley Fruit Growers' Association.

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