avocado crisis 2018
(as of 11/15/18- pricing in low $70's; Supplies will remain very, very tight)
Two weeks ago, approximately 1,000 small “independent” growers in Mexico joined together to stop avocado harvests throughout Mexico. The coalition, assisted by the drug cartels, threatened larger growers that if harvesting, packing and shipping continued trucks would be hijacked and employees would be killed. The threats have resulted in a complete work stoppage in the Mexican avocado industry. Border crossings this week were down 90% and next week anticipation is even greater. The coalition’s goal is to drive market prices up so that small growers can compete with larger growers.
The Mexican government is involved in negotiations to end the work stoppage. As of noon today (November 9), the stoppage continues. “Millions” of lives are being affected by the inability to earn an income due to the stoppage.
The market has skyrocketed this week. Prices are in the mid to high $60’s and will be in the $70’s next week. Supplies will be very short and we may be forced to use different sizes to fill orders. There is no fresh substitute for Mexican avocados. Chilean fruit is also very scarce and does not work for most food service institutions.
The only chance of relief will be to halt the work stoppage. Once harvesting begins and shipments arrive, the market will return to somewhat normal “winter” pricing. California fruit is still 4-6 weeks from starting.
As the situation develops, we will continue to update via social media, website, fliers, drivers and office staff.