Mexico: Market Comments
During week seven, the Mexican industry exported a higher volume than the previous week, suggesting that demand is returning to normal levels after the post-Super Bowl adjustment. Although total reported inventories did not increase, there appeared to be a noticeable imbalance in certain fruit sizes, causing some nervousness toward the weekend among some importers who were putting downward pressure on the 48s price on purchases, though not necessarily on sales in the market. If demand is indeed stabilizing, the fruit supply from exporters will most likely also stabilize, and we should expect a few days of price stability.
The producing regions received rain last Friday, February 16th. This will undoubtedly benefit producers without irrigation, although it was followed by a drop in minimum temperatures that could have a slight negative impact on fruit set. However, the overall effect will be more beneficial than detrimental. It is expected that the weather will begin to change and gradually warmer temperatures will be recorded.
The constant stream of negative news stories about Mexican avocados—deforestation, water use, violence, and so on—deserves special mention. Most of these publications fail to cite reliable sources and are biased. While the industry faces significant challenges on many fronts, which are acknowledged, it would be desirable for a media outlet to conduct a serious investigation. This investigation should not only highlight these challenges but also evaluate the enormous benefits this crop has brought to producing regions, or the daily efforts of associations, producers, and exporters to give this industry a sustainable and socially responsible long-term outlook. Such investigations should cite reliable and recognized sources, avoiding the cheap sensationalism that ultimately impacts the reader for as long as it takes them to read the articles.
Sergio Paz Vega
