Avocados are not a business opportunity, but a product for specialists
The Alcoaxarquía Group has begun the Hass avocado harvest season in Spain, with a strong focus on the Valencia region. This is due to the drought and water scarcity in Málaga, which have prompted expansion into other provinces.
In 2023, Grupo Alcoaxarquía opened its subsidiary Alcoaxarquía Levante in Sollana, Valencia, with an investment of €2 million. The facility currently has the capacity to process 1,000 tons of avocados per month, with plans to double this capacity. The Valencian avocados are destined for both the local market and export.
José Antonio Alconchel, CEO of Grupo Alcoaxarquía, highlights the innovation in the sector with the Alcoaxarquía Levante packing plant, formerly a supermarket. The reception and calibration of the fruit are carried out at a separate facility to ensure more space and greater cleanliness. Alconchel emphasizes the importance of transferring the expertise gained in Málaga to Valencia and underscores the potential of the Valencian Community in avocado production.
Alcoaxarquía controls part of the local production through agreements with farmers and the operation of its own farms. The Valencian Community already dedicates some 3,600 hectares to avocado cultivation, with projections to exceed 4,000 hectares. Around 70% of current production is of the Lamb Hass variety, and the remaining 30% is of the Hass variety.
The Alcoaxarquía Group, with approximately 2,700 hectares across several Spanish provinces and other countries, aims to maintain complete control over production to ensure consistent quality standards year-round. Málaga remains Spain's leading avocado-producing region, but a significant shift is anticipated with the introduction of mangoes, which require less water.
José Antonio Alconchel expresses optimism about the future of avocados, although he highlights market instability due to inflation and climate challenges in major producing countries. Despite global expansions, full production capacity is unlikely to be reached in the coming years, while demand continues to grow.
