FROM´s vision of the apple campaign in the Russian Market

Italian apple sales to Russia are facing a difficult time. According to Nicola Zanotelli, the General Manager of FROM, the apple consortium of the Italian Alps for Russia, the main challenge is to be found in the in-depth restructuring of the market, with a changing client base and unclear development so far. “The market dynamics are very hard to predict – currency fluctuation, non-transparent companies, challenging management of claims – this risk is still preventing the market environment from developing into a structured system with more clean sales channels”, says Zanotelli.  Nevertheless, the FROM consortium was able to further develop its presence and consolidate the relationships with those recognised as strategic clients. Sales figures recorded for the years 2011-2 and 2012-13 reached 31,000 and 19,000 tons, and this year is likely to end up with a volume of around 25,000 t.
“This past season was a very difficult one: sellers entered the market with the wrong price positioning, still recalling the high prices of the previous season, but later on it turned out that the sales failed to match the needed decumulation for some apple varieties, so we witnessed a clear market drop around March-April. Luckily after the price adjustment the sales took off again and all apples which needed to be were sold”, explains Zanotelli. At the same time, FROM was supporting retail clients with marketing activities at point of sale. The ultimate aim is to both increase standardised volumes and stabilise prices to the mutual benefit of the whole value chain.
For the coming season, the FROM’s target will be to further deepen the relationships with loyal clients, while also striving to expand their marketing activities through direct contact with end consumers.  FROM is also offering processed apple products, such as fresh apple juice with no additives, as well as their fresh cut apples offered in handy 80g bags.