Increased supply redefines the global avocado business

The global avocado market is entering a new phase marked by a sustained increase in supply, the expansion of new production acreage, and increasingly intense international competition. This was stated by Ramón Paz Vega , who warned that the industry's growth in Latin America will continue to accelerate in the coming years thanks to young plantations that have not yet reached their full production potential.

According to the executive, Peru and Colombia are currently leading the regional expansion of Hass avocados. While Peru continues to strengthen its yields and expanding its growing areas, Colombia is consolidating its position as one of the most dynamic emerging players in international trade. New projects are also underway in countries like Ecuador and Brazil, where investments in export-oriented commercial plantations are beginning to increase.

Despite this regional progress, Mexico will remain the main player in the global industry. Paz Vega emphasized that Michoacán will maintain its production leadership, supported by strong growth in Jalisco and the potential entry of new exporting states such as Nayarit and the State of Mexico. However, she cautioned that the real challenge for the entire industry will be absorbing the growing supply without causing severe drops in international prices.

The expert noted that the avocado business is leaving behind the era of extraordinary profit margins experienced over the last 15 years. Going forward, competitiveness will depend on factors such as production efficiency, quality, logistics, and commercial capacity. He also emphasized the importance of strengthening domestic markets in producing countries and advancing processed products like guacamole and frozen avocado pulp, while the United States, Europe, and Asia continue to vie for the leading role as the main drivers of global consumption growth.

Source: portalfruticola.com