—by Kate Prengaman

Editor’s note: This story was updated on Aug. 2 to include additional information.

British Columbia’s largest apple packer, BC Tree Fruits Cooperative, told its grower-owners on July 26 that it is closing.

In a letter to growers, the cooperative’s interim CEO and the chair of the board of directors cited the “extremely low estimated fruit volumes” and the difficult market conditions for the decision to wind down the cooperative.

“We wanted to provide you with as much time as possible to find a home for your crop,” they said in the letter explaining the abrupt announcement. They also pledged to provide growers more information about the process of formally shutting down the cooperative.

The estimated low fruit volumes stem from growers, dissatisfied with the co-op’s low returns, pulling their fruit to sell elsewhere, said Sam DiMaria, a cooperative grower and former board member. Freeze damage in January decimated the region’s grape and stone fruit crops, but the hardier apple varieties have a decent crop on the trees.

With the crop volume growers estimated to deliver to the co-op, there was no way it could cover operating costs and debt payments on a new packing line and also provide any return to the growers, he said.

Now, many growers are left in the lurch with a crop on the trees, DiMaria said.

The cooperative’s struggles in recent years — hallmarked by board and management turnover — stemmed from decreasing fruit volumes, rising costs and a difficult apple market, said grower Steve Brown, another former board member.

“It’s a train wreck that I could see coming 10 years ago,” he said. “Returns to 75 percent of the membership are way below the cost of production.”

Founded in 1936, BC Tree Fruits represents over 250 grower families, according to its website, and operates facilities that handle apples, pears, cherries and soft fruit.

The BC Fruit Growers’ Association is working with growers to navigate the crisis, said director Melissa Tesche, on top of its advocacy work to address the underlying economic issues making fruit production so challenging in the region.