The avocado season in Kenya is on the verge of starting, with a meeting held today to set the official launch date for the campaign. The season is kicking off amid a tense atmosphere, marked by a shortage of avocados on the market along with the ramifications of the war in the Middle East, which are complicating logistics and driving up costs and transit times.
© Signum Fresh
Augustine Wakaba, CEO of Signum and avocado producer/exporter, says: "The season is starting a little late this year due to the drought the country has experienced and the resulting delay in fruit ripening. However, we have had good rainfall recently, which still continues as we speak, and our forecasts are positive in terms of both quality and volume, with results expected towards the end of March."
"It's the logistics aspect that worries us," Wakaba continues. "We are concerned about market accessibility and logistics manageability. Consultations and preparations among producers, exporters, shipping companies, and authorities are an ongoing marathon. We don't know how the situation will actually evolve in terms of transit times and transport costs, especially with daily developments on the ground, but based on the information we have to date, our avocados should remain competitive."
The first exports from Kenya are already showing strong demand in several markets. Although the season has not yet officially started, some large-scale producers who had an early harvest this season were able to obtain special export permits and found a good market, according to Wakabah.
© Youness Bensaid | FreshPlaza.com
The producer adds: "We are expecting strong demand in both Europe and the Middle East. Demand is also strong in new markets such as Turkey, perhaps even stronger than in most European markets. Exports to Turkey are encouraging, with transit times of less than 30 days despite the tense situation."
According to Wakabah, the trend observed last season by Kenyan exporters, with strong demand for Green Skin avocados compared to Hass avocados, is still present this season. "We are seeing strong demand for Fuerte avocados, to the extent that their prices can exceed those of Hass avocados. This is still the case this season, even in markets that historically prefer the Hass variety, such as Spain. This is partly due to the ability of Fuerte avocados to withstand longer transit times, which is a major advantage this season. We are also seeing that our customers' initial requests show a preference for large sizes, which are currently selling very well on the consumer market."
Prices at the start of the season will be higher than last season, but are expected to decrease gradually as large volumes arrive. "Farm gate prices are around 60-120 Kenyan shillings this season, up from 40-100 last season," Wakabah adds.
© Signum Fresh
"We have high hopes for the season despite all the challenges. Difficulties in marketing and logistics are nothing new. We had to deal with tremendous challenges over the past three years, such as the crisis in the Red Sea, container shortages, and even rumors in the market, stemming from unfair competition, which tried to shake market confidence in the quality of Kenyan avocados," Wakabah concludes.
For more information:
Augustine Wakabah
Signum Fresh
Tel: +254 725 221803
Email: [email protected] / [email protected]
www.signumfresh.com
