Economic Impact Study of Product Quality Regulations
California Apple Commission
November 2012 – October 2013
This study evaluated the economic impacts of product quality standards on California Granny Smith growers. Responding to product quality concerns in the 1990s, the California industry imposed a maturity standard for the Granny Smith variety. While well-intentioned, this standard eventually led to concerns that California growers were missing out on early-season markets, when prices were substantially higher. Following the repeal of the standard, this analysis reviewed 15 years of industry revenues and developed an economic model of the California market, concluding that the standard likely reduced industry revenues by an average of $1 million per year.