The start of the year saw a short supply of avocados, particularly for larger sizes, but early imports from the Southern Hemisphere have levelled things out.
"In the first three months of this year we saw raw material prices, in particular for the larger sizes, at times hitting some of the highest prices ever seen," said Mark Everett, Business Unit Director for avocados at Worldwide Fruit.
"In the Axarquia region of Spain fruit size and yield was severely impacted by the drought. Israel had a larger crop than the previous season but the effects of Gaza conflict impacted on the harvest and ability to pack at full capacity at times."
Transition to Southern Hemisphere supply
Although it was widely talked about that the changeover of hemispheres would be particularly difficult this year, Peru and South African shipped good volumes early to supply a market under short supply. Now good volumes are coming through with medium and small sizes being readily available.
Worldwide Fruit started to receive arrivals from Peru from mid-March from the Sierra Highlands and the timings were in line with a typical season.
"The northern part of Peru and Olmos have been delayed, in some cases by four to six weeks. The challenge going forward from the coastal regions will appear to be managing sequencing of supply through the different production regions to deliver stable weekly supply. This season it does appear that the impact of cyclone Yaku last year and El Nino have thrown timings out of kilter in some production regions."
Fruit size particularly in the northern production regions of Peru is trending smaller this season, with lower yields.
"Between Peru and South Africa, we would plan to cover our volume requirement for all sizes. However, where possible we would encourage the promotional activities to focus on the sizes of fruit more readily available so at the present time medium and small sizes."
South African is expecting a good season from a production perspective. Mark said they have been very pleased with the first arrivals. However, concerns exist about the likelihood of vessels delays making managing inventory of stocks and stock age more complicated.
"Like Peru there is good availability of medium and small sizes currently, but we expect to increase the loading of large sizes in the coming weeks."
A recent trip to the Highlands of Peru with Talsa Agro Export
Red Sea conflict
The situation in the Red Sea had led to some different routes to market being taken. Road freighting through Africa up to Egypt, airfreighting and also taking the vessels and subsequent longer journey around the Cape. Cost implications and extended transit times are making thing more complicated.
For more information:
Mark Everett
Worldwide Fruit
mark.everett@worldwidefruit.co.uk
Tel: +44 7899 912206