Mexico's fruit export sector is facing pressure from volatility in the Mexican peso. Expana market participants report that berry markets are dealing with currency fluctuations that complicate pricing strategies and margins.
Recent movements in the peso reflect broader economic pressures. The currency weakened to around 17.83 pesos per US$, according to Trading Economics, influenced in part by geopolitical developments affecting global energy markets.
At the same time, domestic inflation reached 4.02 per cent in February, exceeding the central bank's upper threshold for the first time in nearly a year. Data shows that fruit and vegetable prices increased by almost 10 per cent, raising production costs for berry growers.
The Bank of Mexico has maintained interest rates as core inflation remains at 4.5 per cent. Analysts indicate that this contributes to ongoing currency volatility.
Market participants note that pricing in the strawberry segment reflects these developments. "Conventional strawberry pricing is rising due to the changing value of the peso," said a U.S.-based produce buyer. "Mexico's raspberry market is still at a price advantage."
Producers are navigating higher input costs linked to rising fruit and vegetable prices, while also responding to currency movements and external risks. These factors are shaping the current export outlook for berry producers.
Added pressure is also coming from trade policy developments. The United States International Trade Commission determined in March that imports of Mexican fresh winter strawberries may be causing material injury to U.S. producers through alleged below-market pricing.
The preliminary finding, following a petition by Strawberry Growers for Fair Trade, may lead to import duties depending on the outcome of a final determination expected later this year.
Source: Mintec/Expana
