Agronometrics in Charts: Rising costs and inventory shifts pressure US apple growers

Each week, the series ‘Agronometrics In Charts’ looks at a different horticultural commodity, focusing on a specific origin or topic, and visualizing trade market factors that are driving change. Check out our entire archive.

US apple growers continue to face margin pressure as production costs rise while farm-gate prices decline, according to the US Apple Association. Christopher Gerlach of the association said growers have experienced several consecutive years of negative returns as expenses for fuel, labor, and other inputs increase, while prices paid to growers fall.

Export challenges have added to the strain. Gerlach noted weaker export volumes and the loss of access to the Indian market, while retail prices have remained relatively stable. As a result, much of the pricing pressure has been absorbed at the grower level rather than passed on to consumers.

Source: USDA Market News via Agronometrics. (Agronometrics users can view this chart with live updates here)

Labor remains the largest cost component in US apple production, driven by the scale of hand harvesting required each season. While potential changes to H-2A wage rates could offer limited relief, labor costs continue to weigh heavily on grower economics.

US apple exports remain steady

At the same time, inventory data points to shifting market dynamics. USApple’s January 2026 AppleTracker report shows US fresh-market apple holdings at 100 million bushels as of January 1, down seven percent year-over-year, while processing apple holdings increased seven percent to 47 million bushels.

Fresh US apple exports are tracking above last season and the five-year average, while imports remain near historical norms. Taken together, the data highlights a market where supply remains ample, but rising costs and uneven pricing power continue to challenge grower profitability.

Source: USDA Market News via Agronometrics. (Agronometrics users can view this chart with live updates here)