Chile's apple exporters should target Russia, says report

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Chile's apple exporters should target Russia, says report

The Chilean apple industry needs to improve its marketing to raise its low presence in key markets such as Russia, according to a study by the Office of Agricultural Studies and Policies (ODEPA).

The Russian market accounted for 15.2% of world imports in 2010 but despite it's importance Chile only achieved 3% of imports, the report said.

Report author Jaime Bravo Mina said the industry should work on being more cohesive.

"The apple industry lacks an organizational structure that allows you to act jointly to the new challenges imposed by consumer markets," he said.

Mina added the industry could learn from the success of other sectors such as the Chilean Avocado Committee and the Chilean Kiwi Committee.

However, the report said the industry had improved its competitiveness significantly improving production per hectare and the percentage of exportable fruit.

"But they must develop new packaging, incorporate new production process technologies and develop innovative marketing strategies," it said.

Other import markets with great potential included Indonesia, Thailand and Middle Eastern countries like Saudi Arabia.

The 10 largest exporters of apples account for almost 80% of exports in the year with China commanding a 14.2% share followed by Chile (11.4%), Italy (10.9%), the U.S. (10%) and Poland (9.2%), according to International Trace Centre data for 2010.

International Commercial Centre (ICC) statistics showed worldwide apple exports increasing by more than 50% to 7.9 metric tons (MT) 2001-2010.

Gobal imports of apples have increased by 55%  with the value increasing by 140% to US$5.882 million from 2001 to 2010.

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