Peru
Avocado Price Rises to More Than 12 Soles per Kilo in Lima Markets
In the last two months, the price of avocado has increased in the retail markets of Lima, with a rise of up to 53%. This is according to an analysis by the Political and Development Civil Association (APYD). "According to data taken from the Ministry of Agriculture and Irrigation (Minagri), the strong avocado rose in price, going from S/ 8.30 on September 7 to S/ 12.7 on Monday, November 7 in Metropolitan Lima," highlighted APYD. Likewise, he reported that, in Lambayeque, the region where the strong avocado is produced nationwide, the prices per kilo are lower than those of the capital, however, they went from S/ 8.2 to S/ 10.1, which implies an increase of 23%. According to APYD, the rise in the price of avocado directly affects households and the gastronomic sector, which has been facing a joint increase in basic kitchen supplies such as lemons, potatoes, among others. "The increase in the price of avocado may be motivated by the low temperatures due to the La Niña phenomenon, which, on the country's coast, this climatic condition would have delayed the growth and maturation of avocado trees, reducing their supply in recent months," he added. As is known, avocado production went from 71 MT in 2002 to 727,000 MT in 2022. The regions that produce the most of this product are La Libertad (32%), Lambayeque (17%), and Lima (15%), where they concentrate 65% of the national production.
In the 2022 campaign, Peru exported 554,498 tons of Hass avocados, showing an increase of 15% compared to the 483,017 tons shipped in the 2021 campaign, which in turn meant a 31% growth compared to the 367,933 tons shipped in the 2020 campaign. This is according to the president of the Hass Avocado Producers Association of Peru (ProHass), Juan Carlos Paredes Rosales, during the III International Avocado Congress, organized by his representative. He highlighted that in Peru there are currently 60,091 hectares of Hass avocado planted (in production and growth), which represents a growth of 19% compared to the 50,699 hectares (33,064 ha in production and 17,635 ha in growth) reported in 2021. This indicates an increase of 15% versus the 44,128 hectares (31,563 ha in production and 12,565 ha in growth) that existed in 2020. He also depicted that these 60,091 hectares of Hass avocado belong to 23,675 producers. He added that there are 17,924 producers with between 0 and 1 hectare of Hass avocado; 4,265 producers with between 2 and 5 hectares; 672 producers with between 6 and 10 ha; 646 producers with between 11 and 50 hectares; 133 producers with between 51 and 200 ha; and 35 producers with more than 200 hectares.
Small Peruvian Producers of Hass Avocado Start Exporting to Chile
The Minister of Agriculture and Irrigation, Jorge Montenegro, announced this Tuesday that, starting this week, small Peruvian producers from the inter-Andean valleys will begin to export Hass avocados to Chile. He reported that Chile's Agricultural and Livestock Service (SAG) published last Friday, through a resolution, the extension of the avocado-producing areas of Peru with access to the Chilean market. The information was received by the National Agrarian Health Service (Senasa), a body of the Ministry of Agriculture and Irrigation (Minagri) of Peru, and was finalized after the efforts made since 2015. This is an important agreement that will allow small producers from Áncash, Apurímac, Ayacucho, Cusco, and Huancavelica to join the export chain of this fruit in a country that has a potential of 18 million consumers and whose consumption per year amounts to 8 kilograms per person. Senasa, as the health authority of Peru, will ensure that certified shipments meet the dry matter standards required by the importing country. For this, in coordination with the Association of Hass Avocado Producers of Peru (ProHass), a very rigorous and meticulous certification process will be implemented.
Spain
The 2022/23 Spanish Hass Avocado Campaign Has Officially Begun, With High Demand in the Market
The Spanish Hass Avocado campaign has officially begun with the first harvests. Although avocado trees only begin to produce fully in 7–10 days, the current strong demand has accelerated the harvest as some growers try to capitalize on current price levels before the traditional price drop that occurs in December. A 30% YoY decrease in avocado production is anticipated in 2022 as a result of restrictions and water scarcity. Therefore, some farmers will take advantage of the circumstances to stop production in their fields by pruning. In W45, the average purchase price in the field for fruit weighing more than 155g is USD 2.80/kg. Meanwhile, prices for fruit weighing less than 155g range between USD 1.87-2.07/kg, representing an 8% increase YoY.
United States
The movement of avocado crossings from Mexico through Texas is expected to remain about the same. Trading is fairly slow with prices lower. Available are cartons 2-layer Hass 32s mostly 27.25-28.25 and 36-48s mostly 26.25-28.25. Extra services are included.
US Reports a Low Demand for Avocados in W45
As of W45, Mexico is the only source country of Hass avocados in the USA. Columbian avocados are beginning to start imports but are delayed in getting to the USA. Pricing is still low as demand is not keeping up with supply. This time of the year in the USA is influenced by the Thanksgiving holiday, on November 24th. The main commodities with increased volumes during this holiday are potatoes, sweet potatoes, onions, cranberries, brussels sprouts, and green beans.
Kenya
Jumbo Avocado Season in Kenya Is Expected to Peak in November and December
The season for jumbo variety avocados is expected to peak in November and December, following recent short rains in Kenya. Avocado sizes are expected to range between C9 to C14. The FOB price of jumbo avocados in W45 is USD 3.00/4 kg in Nairobi, Kenya.
Avocado Exports to China Earn Kenya SH7 Billion in Three Months
Kenya’s exports of avocado to China hit Sh7 billion in three months to October exceeding the earnings that were released in the first seven months of the year, highlighting the importance of the Asian market, which started importing the commodity in August. In comparison, the country earned Sh6 billion from avocado exports to China between January and July, according to the horticulture regulator. Head of Horticulture Directorate Benjamin Tito said Kenya has exported 1.7 million kilograms of avocado since it was allowed to ship fresh produce to the Asian giant this year. Mr. Tito said they are still scouting for more markets for the fruit to capitalize on the high demand that Kenya’s produce has created.
Decline in Export Volumes and Value of Fresh Agricultural Product From Kenya in 2022
Data released by the Central Bank of Kenya shows exports of vegetables, fruits, and cut flowers decreased during the export period running from January to August 2022 compared to the same period in 2021. Fresh produce export value fell 9.9% YoY, from USD 769M in 2021 to USD 717M in 2022, while export volume fell 13.12%, from 427,627MT in 2021 to 371,128MT in 2022. The decline in export volumes in 2022 has been attributed to the ongoing war in Ukraine, the rise in inflation rates that have resulted in disruptions in the global market, and the ban on avocado exports by the Horticultural Directorate in the first quarter of 2022. The ban was aimed at preventing the harvest and export of immature fruits that would have jeopardized the market.
The Kenyan Government Is Planning to Build an Exclusive Cargo Airport in the Athi River
The Kenyan government is planning to build an exclusive cargo airport in the Athi River. This is aimed at boosting Kenya Airways' capacity to transport horticultural products such as vegetables, avocados, and flowers from Kenya to different export destinations. According to a report by the Airports Council International, JKIA handled 363,204MT of cargo in 2021, and out of this, Kenya Airways only transported 10% of the total cargo.
Horticultural Review on Policy and Regulation Framework in Kenya
Stakeholders in Kenya, including exporters, importers, processors, and marketing agents, are having a review of the industry on November 9, 2022. The key agenda item is focused on the review of the policies and regulatory framework within the horticultural sub-sector in terms of enforcement and cooperation on traceability in crops (regulation, 2020). A directive will be issued in the course of the week.
At a meeting held on November 4, the Kenyan Agriculture and Food Authority informed stakeholders about the closure of avocado exports by sea, effective November 15, 2022. However, air shipments will be granted access until further notice is issued by the Kenyan Agriculture and Food Authority. The reason for the closure of exports by sea is due to the high maturity level and the long transit time to various destinations. In W44, the FOB prices for a 4 kg box of Hass and Fuerte are USD 5.7 and USD 4.7, respectively.
Egypt
Prices of Vegetables and Fruits
The merchants mentioned that the price of avocados on Sunday, 13-11-2022 was about 80 pounds.
Nigeria
Why Nigeria’s SAPZ Should Explore Avocado Farming?
Avocado farming in Nigeria is yet to see a boost as many people are still planting pear on a subsistence basis. Only a few are now cultivating it as a cash crop for large-scale commercial purposes, even though it has a readily available market worldwide. The recently launched Special Agro-industrial Processing Zones (SAPZ) program in Nigeria focuses on, cocoa, rice, maize, beef, dairy livestock, tomato, cassava, ginger, groundnuts, sesame oil, poultry, fisheries, and soybean across Imo, Cross River, Kaduna, Kano, Kwara, Ogun, Oyo states, and the Federal Capital Territory. In states like Cross River and Imo especially, which are known to be major producing states for the avocado crop, the SAPZ program will be kick-starting the campaign of educating the residents about avocados and their profitability.
