News in Brief:
– Peruvian avocado prices surge by 40–50%, driven by reduced production and impacting the livelihoods of consumers.
– The global avocado shortage extends to Mexico, California, and Chile, prompting Peru to explore new markets while maintaining existing ones.
Peruvian avocado prices have surged by 40–50% compared to the previous season, signaling tough times ahead for local farmers. The shortage stems from a myriad of challenges, including adverse weather conditions and reduced production, leaving consumers grappling with inflated prices and farmers facing uncertain prospects.
Juan Carlos Paredes, president of the Peruvian Hass Avocado Growers Association (ProHass), pointed out the detrimental effects of high temperatures and heavy rainfall in early 2024, during a discussion with a media outlet. These conditions have wreaked havoc on avocado farms, particularly in regions like Trujillo and Chiclayo, where small fruit sizes and significant fruit drop have been observed.
Forecasts predict a staggering 30% decline in production in northern coastal areas and a 15–20% reduction in central and southern regions. However, there is a glimmer of hope in the Sierra region, where strong yields are expected to partially offset losses.
The avocado shortage extends beyond Peru, with Mexico and California also experiencing decreased output. Chile faces water scarcity issues, limiting its export potential. With global demand remaining robust, Peruvian avocados command high prices, averaging $3.10 to $3.50 per kilogram.
In response to the supply crunch, Paredes outlined plans to bolster exports to the United States, capitalising on potential shortages from Mexico. European markets also present lucrative opportunities, with shipments already underway to Asia.
Despite the challenges, Paredes remains optimistic about expanding market reach, particularly in the United States, Europe, and Asia. He emphasised the need to stimulate consumption in untapped regions while maintaining Chile as a vital market for Peruvian avocados.
