Mexico: Market Comments
Mexico closed week nine with 1,194 shipments to the United States market. With this volume, Mexican shipments to that market reached a record high for the month of February, with more than 98,000 tons shipped, representing a 97% market share. The market is being fully supplied with Mexican fruit during this period of the year.
The buying market was relatively stable during the week; however, towards the weekend, prices were more pressured upward, resulting in a slight increase at the start of week ten. Inventories have remained at levels that could be considered healthy, so a reaction could be expected if demand increases or even remains stable. Another factor to consider is how the domestic market will behave in the coming weeks. Traditionally, Lent is a season of strong consumption and improved prices. Small-sized, second-grade fruit could be placed on the domestic market at very competitive prices compared to the export market.
Temperatures in the producing regions continue to rise, and many areas will begin to experience water shortages for irrigation. Each producer will need to evaluate their harvest strategy. In many areas, flowering is occurring very late, or in other words, there is an excess of March blossoms. This, combined with the fact that the trees still have fruit from the current season, could generate additional stress for the trees.
Sergio Paz Vega
