Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu has urged the Union Government to increase import duty on foreign apples from 50% to 100% and impose a seasonal ban on apple imports between July and November. The demand aims to protect the livelihoods of nearly 2.5 lakh apple farmers in Himachal Pradesh, where apples account for about 80% of total fruit production.

This issue has gained prominence in the backdrop of India reducing import duty on New Zealand apples under a recently concluded Free Trade Agreement (FTA).

Background: India–New Zealand Apple Import Duty Cut

Under the India–New Zealand FTA, India has reduced the import duty on New Zealand apples:

• From 50% to 25% during April–August
• Under a quota system, starting at 32,500 metric tonnes (MT) in the first year, rising to 45,000 MT by the sixth year
• Imports must meet a Minimum Import Price (MIP) of $1.25 per kg
• Shipments beyond the quota continue to attract a 50% duty

Apple growers fear that this concession overlaps with India’s peak marketing season.

Importance of Apple Economy in India

Apple cultivation is concentrated in Jammu & Kashmir and Himachal Pradesh, making these states highly vulnerable to import competition.

• India’s total apple production: ~28 lakh metric tonnes (LMT)
• Jammu & Kashmir: ~20 LMT (₹12,000 crore economy)
• Himachal Pradesh: 5–6 LMT (₹4,500 crore economy)
• Remaining production comes from Uttarakhand and North-Eastern states

Farmers’ Concerns Over Import Timing

• In India, apples are harvested between July and November
• Off-season sales depend on cold storage and Controlled Atmosphere (CA) facilities
• New Zealand harvests apples from January to May, allowing it to export fresh apples when Indian farmers are selling stored produce

The April–August duty cut directly affects Indian farmers during peak marketing months.

Impact on Domestic Prices and Market Share

• Lower import duty will make foreign apples cheaper than domestic produce
• High-density varieties like Gala reach Indian markets in June, while Royal Delicious peaks by September
• Cheaper imports may:
  • Depress domestic prices
  • Reduce farmers’ market share
  • Lower farm incomes during both peak and off-season periods

Structural and Environmental Challenges Facing India’s Apple Sector

1. Climate Change and Weather Extremes

Apple orchards in Himachal Pradesh and Jammu & Kashmir are increasingly affected by:

• Reduced and erratic snowfall, impacting chilling hours
• Irregular rainfall patterns and prolonged dry spells
• Frequent floods, cloudbursts, hailstorms, and landslides

These changes have weakened orchard health, shortened fruit size, and lowered overall productivity.

2. Rising Disease and Pest Incidence

Changing climatic conditions have led to a surge in diseases such as:

• Fire blight
• Apple scab
• Powdery mildew
• Sooty blotch
• Bitter rot

Increased water stress and higher temperatures have further aggravated pest attacks, raising production costs and crop losses.

3. Production Loss and Quality Deterioration

• In 2023, Himachal’s apple production declined to 4.84 LMT, nearly 28% lower than 2022, due to devastating floods
• Although output recovered to 6.87 LMT in 2025, excessive rainfall adversely affected fruit quality
• Nearly 1 LMT of produce was rejected due to poor size, colour, and shelf life

4. Infrastructure and Transport Bottlenecks

• Recurrent landslides on the Jammu–Srinagar National Highway (NH-44) disrupted supply chains
• Hundreds of trucks were stranded during peak harvest, causing delays, spoilage, and financial losses

5. Inadequate Storage and Post-Harvest Infrastructure

• Limited cold storage and Controlled Atmosphere (CA) facilities
• High storage costs force distress sales
• Small farmers lack access to modern grading and packaging units

6. High Input Costs and Limited Policy Support

• Rising costs of fertilisers, pesticides, labour, and transportation
• Limited crop insurance coverage and inadequate subsidies
• Absence of a robust Minimum Support Price (MSP)-like mechanism for apples

Farmers’ Demands and State Governments’ Stand

Farmers’ groups in Himachal Pradesh and Jammu & Kashmir have demanded:

• 100% import duty on foreign apples
• Seasonal ban on imports (July–November)
• Special category protection for apple growers
• Higher subsidies and insurance coverage

They argue that apple farming in countries like New Zealand is heavily subsidised, while Indian growers receive limited direct support.

Way Forward

Experts and farmer leaders suggest that instead of exposing domestic growers to intense foreign competition, the government should focus on:

• Strengthening price protection mechanisms
• Improving cold storage and logistics
• Promoting climate-resilient apple varieties
• Expanding crop insurance and subsidies
• Aligning trade policy with agricultural realities of hill states

Conclusion

The demand for higher import duty on apples reflects deeper structural challenges facing India’s apple sector. While FTAs are essential for global trade integration, balancing trade liberalisation with farmers’ livelihood security remains crucial. For hill states like Himachal Pradesh and Jammu & Kashmir, protecting apple growers is not just an economic issue but a matter of rural stability and sustainable development.