Monday, February 20, 2012

APPLE GROWERS DOUBLE ADVERTISING CORE FOR BETTER PROMOTION


   New York's apple growers want to better promote their $100 million industry so they will double their self-imposed advertising assessments from eight to 16 cents per bushel of fresh apples.
   The 16-cent assessment compares with 15 cents per bushel that Michigan apple growers have been paying and 25 cents that Washington state apple growers pay.
   The huge Washington state apple industry has a reported $25 million promotion budget, compared to about $500,000 for the New York growers, with the new assessment.
The 192-123 vote in a mail referendum represented a 61.8 percent approval rate of those voting.
   "The vote means that New York apple growers have accepted the challenge of expanding their market," said Michael Durando, president of the New York Apple Association, the growers' promotional body.
   Paul Baker of Ransomville, an association vice chairman, echoed Durando's view:
"The New York apple industry has been lagging in its market development efforts for a long time. I am excited that we are now putting an increased emphasis on building the necessary demand for our apples. The industry must invest in new markets or all of our other investments are in vain."
   The Apple Association was created in 1994 by merging the former Western New York Apple Growers Association, whose members raise about two-thirds of the state's apples, and Eastern New York growers, formerly affiliated with a New England group.
   The unit promptly adopted an "Apple Country" logo.
   Durando said that the new assessments will be retroactive to July 1 once the required regulatory machinery is in place.
   He expects that an additional $250,000 will become available this year, but that $600,000 will be added to the promotional funding in subsequent years. The current promotional budget has been listed as $382,000.
   New York's 1995 apple crop whose earliest varieties are now being picked and sold is estimated to reach 26.9 million bushels, up 3 percent from the 1994 level. About 12 million bushels are pegged for fresh market sale under the "Apple Country." logo.
   With its new funds, markets in New York, New Jersey, Pennsylvania and the Atlantic    Seaboard will be targets for consumer promotion.
   Durando also said that consumers in one other major market where New York apples have limited or no presence also will be made aware of "Apple Country" apples. He declined to identify that market.
   Jeffrey Crist, the Orange County apple grower who is chairman of the New York Apple   Association called the successful referendum "a great moment for the New York apple industry."
   "We have accepted the challenge of finding new markets," he said. "The last several years have been tough on New York apple growers. Increasing generic market promotions is one of the best decisions growers could make to help return them to profitability in the years ahead."

No comments:

Post a Comment