Mexico, the major supplier of avocados in the U.S. right now, has ample volume of fruit. This follows the new crop of avocados that started in September. "We're probably switching over to the new crop for supply in the new year," says Ozzie Figueroa of Henry Avocado. "That's when we'll work with the main crop. Right now we're finished up the 'Loca' or, the left over from the summer crop, and we're into the Aventajada crop. We're still working with those two volumes. There is a lot of fruit from Mexico."
© Henry Avocado
This is much more fruit than this time last year from Mexico, thanks in part to better growing conditions. Meanwhile, California is also still shipping avocados. "This is unusual–normally we're done in September-October but the movement has not been there," Figueroa says, noting that next year, a similar volume of fruit is expected from California as well as Peru and Colombia.
Foodservice vs. retail demand
Indeed, the greater volumes of avocados–and the associated pricing which is half of what pricing was this time last year–are indicative of concerns over demand. "Foodservice demand in the U.S. has been flat. We haven't seen an increase over previous years, even though avocados are cheaper this year," says Figueroa. "There's talk about the U.S. bringing in 3 billion lbs. this season. They could still do this, even though in the fall, the consumption of avocados goes down, especially in November and December."
© Henry Avocado
That said, he expects demand to start to move up soon and February will bring the Super Bowl–the biggest event for avocados in the U.S. Demand is expected to continue to rebuild after that with the subsequent holidays that also often feature avocados, from Valentine's Day to Mother's and Father's Day to Cinco de Mayo.
Meanwhile, retail has pulled more fruit this year compared to last year because of those cheaper prices. That allows retailers to promote avocados at retail. For now, the holiday pull for avocados looks similar to last year, though pulls are expected to start increasing as of January 1.
For more information:
Ozzie Figueroa
Henry Avocado
Tel: +1 (760) 745-6632
[email protected]
www.henryavocado.com
