Foreign apples break backbone of J&K economy, crisis in Valley’s orchards

MASROOR AHMAD

SRINAGAR: The apple industry in Kashmir, a cornerstone of Jammu and Kashmir’s economy, is facing an unprecedented crisis as low demand and an influx of foreign apples flood the Indian markets.
An estimated 20 percent of the total apple production remains unsold in Controlled Atmosphere (CA) stores, leaving farmers and traders grappling with mounting losses and financial distress.
The introduction of CA stores in Kashmir had initially promised a solution to the age-old problem of market flooding during harvest season.
Farmers could now store a significant portion of their crop, releasing it gradually when market supply dwindles, theoretically ensuring better prices. However, this strategy has backfired in the face of current market conditions.
Chairman, All Kashmir Fruit Growers cum Dealers Union, painted a grim picture of the situation.
“Currently, apple prices outside J&K have plummeted by around 70 percent. The growers exporting apples are barely able to recover CA store costs, which means they are incurring substantial losses,” he said.
Chairman attributes this price crash to the influx of foreign apples in Indian markets. “There’s a huge influx of Iranian, Washington, and South African apples, which has eaten into our market share,” he explained.
The Union has repeatedly appealed to the authorities to impose import duties on foreign apples to protect the local industry.
“We are keeping our eyes on the upcoming budget, hoping the Finance Minister will impose duties on outside apples to safeguard the local industry,” he said. The crisis has sent shockwaves through the apple-growing community.
Muhammad Iqbal, a local grower, estimates that the industry has incurred losses amounting to hundreds of crores of rupees. The situation has plunged both cultivators and traders into deep debt and financial distress.
Apple growers and traders are highlighting the stark economics of the current market.
“An apple crate is sold between Rs 1000 to Rs 1100, and a grower has to pay Rs 500 to 600 as CA storage charges,” Iqbal said.
After deducting these charges, farmers are left with a mere Rs 500 to 600 per crate. Many traders report buying crates during the harvest season for Rs 1000 to 1100, only to sell them now at a significant loss.
Growers from north Kashmir, voiced the long-standing opposition of local farmers to apple imports. “We have always been against importing apples from Iran and other countries, as such imports were bound to impact domestic produce,” he said.
The crisis threatens to undermine a sector vital to J&K’s economy.
Horticulture generates approximately Rs 10,000 crore in annual revenue and supports the livelihoods of 35 lakh people, directly and indirectly. It contributes about 7 percent to the Gross State Domestic Product (GSDP) of J&K.
Despite the current challenges, the horticulture industry in J&K has seen significant growth over the past two decades. The area under fruit cultivation has expanded from 2.21 lakh hectares in 2001 to 3.33 lakh hectares in 2020-21.
During the same period, fruit production has nearly doubled, rising from 10.9 lakh metric tonnes to 20.35 lakh metric tonnes. As the industry is on the brink of a major downturn, all eyes are on the upcoming budget.
Growers, traders, and industry representatives alike are hoping for swift governmental intervention to protect this crucial sector of Kashmir’s economy. The introduction of import duties, market intervention schemes, and other supportive policies could prove vital in safeguarding the livelihoods of thousands of families dependent on apple cultivation in the region.