Mexico: Avocado accounts for 4.2% of Michoacan's GDP

Michoacan's avocado contributes 4.2 percent of the state's gross domestic product (GDP), said Carlos Francisco Ortiz Paniagua, of the Institute for Economics and Business Research (ININEE) of Michoacan's San Nicolas de Hidalgo University (UMSNH).

Similarly, he said that Michoacan accounted for 93 percent of Mexican total avocado exports, and for more than 80 percent of the national production. Thus, if the crop were affected by climate change or by other issues, such as a drop in sales abroad, the state economy would be seriously affected.

The author of the research paper "Agriculture and climate change in the Michoacan's avocado region", a paper he wrote with PhD student Maria Alba Gómez Ortega, stated that avocado production generated many sources of employment, from laborers, loaders and transporters to jobs in the areas of sales, agronomy, and supervision.

"It has an important multiplier effect; its decline would first hit producers and many jobs revolving around this activity would be lost. On the other hand, it would affect the regional economy; as it would stop generating income and jobs, people would stop consuming it and start looking for alternatives," he said.

"It would also hurt the state, because it represents over 4 per cent of its GDP; it is a significant part of the economy of Michoacan," said Ortiz Paniagua, who even noted that the sector grew more than several municipalities together like Aquila, Churumuco, Chucándiro, and Maravatío.


Source: mizamora.net

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