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Mexico: Lime price plummets
Tabasco lime producers are concerned about the falling cost for two consecutive years, this is due to over production.
The price of Persian lime is in tatters, and producers do not even recover the capital expenditure due to overproduction and the lack of support to market the product that is harvested in more than 7,000 hectares in the citrus area of Huimanguillo, said producer Jorge Lara Plainzaint.
He assures that for two consecutive years prices have fallen, and this is due to overproduction, but also because of the contraction that exists in the national and international economy. In the case of the product price, a box of 28 kg sold for 100 pesos, but in a good season 300 pesos is paid, so the producer can't even recover the costs of investment, hence the problem in the industry is very serious.
Another problem is that producers have sown a lot of Persian lime both nationally and internationally. A few examples are Brazil, who is strong producer, and states like Veracruz, Yucatan, Oaxaca, Jalisco, Michoacan and Chiapas, have increased planting.
According to Lara Plaizaint another problem is that there is no support for the Persian lime producer, as for funding they are restricted to the crop. They require accessible financing with low interest rates, because of the production costs, taking into account that 10 years ago the price was better than the current one. A ton of fertilizer was 3,500 pesos, currently the urea is up to 10,000 dollars, hence production cost has increased due to the high cost price of fertilizer, which is practically no longer produced in the country.