Supplies of avocados from Mexico are ample as one of the biggest avocado consumption holidays inches closer: the Super Bowl.
“There’s plenty of supplies at the moment. We expect to have a very successful Super Bowl with no shortages of fruit,” says Juan Monsalve of LGS Specialty Sales based in New Rochelle, NY. “The supplies are very similar to last year for the Super Bowl but lower if we are looking at the total crop from Mexico.”
Monsalve adds that every year heading into the game, LGS harvests heavily as do its partners in Mexico to ensure there’s enough fruit available for customers’ needs. “The difference in supply could come in the weeks after Super Bowl where Mexico could start winding down volumes sooner than last year,” he adds.
While fruit is predominantly coming from Mexico right now, Monsalve notes LGS is also sourcing fruit from Colombia and Chile. “The volumes from Colombia and Chile are very small and California just started. I would like to call it a complementary volume,” he says.
Retail-heavy demand
As for demand, not surprisingly, the majority of it is coming right now from retailers on ad for the big event. “We expect an improvement on foodservice as the pandemic calms. Also, as summer arrives, more outdoor activities improve consumption,” Monsalve adds.
On pricing, compared to last year, pricing is between 30-35 percent higher on avocados. “The growers in Mexico are demanding higher field prices and, as mentioned before, crop size is smaller this year. And as of right now, freight is and looks to be the biggest challenge. The driver shortage across the country is keeping freight rates at holiday levels,” he adds.
Looking ahead in the next few weeks, Monsalve expects lower volumes of avocados out of Mexico so prices could firm up. “From a sourcing standpoint, soon we will see fruit coming from Jalisco in June,” he says. “It is a region in Mexico that just got approved to export avocados into the U.S. Since Mexico started exporting to the USA nearly 30 years ago only, only fruit from Michoacán was been approved. Adding a new state is monumental in the avocado world.”
For more information:
Juan Monsalve
LGS Specialty Sales
jmonsalve@lgssales.com
https://www.lgssales.com/