Who is taking the biggest cut of the apple profits?

The price of apples has shot up in the past year because of supply shortages, but new figures show the major supermarkets took a big chunk of the profit.

The data collated by Apple and Pear Australia Limited (APAL) reveals the price paid for apples in the shops grew at a significantly higher rate than the price that was paid to the grower.

After a tough period of drought, particularly in Victoria's Goulburn Valley, orchard consolidation and growers leaving the industry, the shortage of apples started to emerge a year ago, leading to the price uptick.

The price of apples went from an average of $4.50 per kilogram 18 months ago, peaking at an average of about $6.20 earlier this year.

It is now averaging about $5.20 a kilo. 

The APAL figures show the profit margin for major stores, including Woolworths, Coles and Aldi, got as high as 65 per cent in early 2026, up from the average of about 25 per cent.

"We saw an extremely large increase, a significant increase in the difference between the price of purchasing and the price of selling to the consumers," APAL general manager Jeremy Griffith said.

While the wholesale data did not detail the exact prices paid by the supermarkets to the growers, Mr Griffith said it was a good representation.

"It's a good proxy for what the market is doing," he said.

"The return for growers over the past six or seven years has been too low … so from the grower point of view, getting a better return, it's good, but we would be concerned if the supermarkets are taking an excess margin on top of that.

"Consumers want good value for apples, but we don't think they should pay an overly inflated price for them."

'Supporting Australian growers'

The major supermarkets have defended their pricing decisions.

"Retail prices for fresh apples are strongly influenced by seasonal availability, market conditions, and supplier wholesale input costs," a Woolworths spokesperson said.

"We are proud to support Australian apple growers and bring high-quality, locally grown fruit to millions of customers.

"We work collaboratively with our suppliers to meet the needs of our customers every week of the year."

Coles also said the price of fresh produce reflected "a range of factors".

"[Those factors include] the price agreed with our suppliers, seasonal availability, weather events, quality specifications and the costs involved in getting fresh produce to customers," a spokesperson said.

"Coles is committed to providing customers with great value and high-quality fresh produce, and we are proud to provide 100 per cent Australian-grown apples."

Aldi was contacted for comment but did not respond to the ABC's questions.

APAL wants the Australian Competition and Consumer Commission (ACCC) to better police the relationship between major supermarkets and the farmers that supply their produce.

"If there's no significant change, it could undermine the long-term viability of the sector," Mr Griffith said.

"Every Monday night the growers are expected to put in the volume of apples or pears that they want to sell, the price that they want to sell them at."

The ACCC told the ABC that wholesale and retail prices are influenced by a range of market and supply chain factors.

"Supermarkets must at all times deal with suppliers in good faith, including when negotiating prices," a spokesperson said.

"Failure to act in good faith will make the large grocery business liable to civil penalties."

The ACCC did not say whether it would investigate the concerns of inflated prices for apples.

Despite what was happening with the supermarket prices, orchardists in Victoria's Goulburn Valley said the increases were helping their bottom line.

"Hopefully we can maintain that pricing going forward and continue to have that bit of positivity over the next couple of years," Fruit Growers Victoria chair Mitch McNabb said.

Fruit Growers Victoria industry development officer Michael Crisera agreed.

"I think there's a bit of a buzz around, and I think obviously everyone's a bit happy when they've got more income, and they're a bit more profitable," Mr Crisera said.