Mexican avocados found themselves in the spotlight last month when the United States Department of Agriculture (USDA) put forward a proposal allowing the fruit to be imported year-round to all 50 states. “The 24-year ban to impede the access of Mexican avocados will now come to an end,” says Javier Usabiaga, Mexico’s secretary of agriculture.
Although the timing of this has yet to be decided, the possibility that the ban will be lifted has attracted a great deal of criticism in the US, particularly from California which, as the US’s leading producer, now grows up to 400 million pounds of avocados a year. At present Mexican imports are restricted to 31 states, for six months of the year, from October until April, but under the new rules would be allowed access throughout the year to all states.
Of central importance to the issue is the factor of cost - especially since Mexico has the ability to produce avocados at a far lower price than US growers. Under the proposed new rules Mexico has the potential to triple the annual amount of avocados it sends to the US, an increase it could achieve without any difficulty at all. Mexico is the world’s largest producer of Hass avocados, accounting for more than 65 per cent of the world’s production.
Most of this is grown in west-central Mexico in the state of Michoacan, which has nearly 190,000 acres of avocado production, 95 per cent of which is Hass. These are grown at elevations ranging from 4,300 to 7,400 ft above sea level and divided into four distinct climate zones. There are also several different soil types that are mainly volcanic. At present most of the fruit produced is sold in Mexico itself where demand is steadily increasing as the population of 85 million continues to grow, although in recent years rising demand in international markets has enticed growers to increase area planted.
Annual per capita consumption in Mexico is about 10kg compared to the world average of 3-5 kg. Processed product is also gaining in popularity and huge quantities are bought by retail and fast food restaurants in the US. France and some Eastern European countries also purchase pulp and finished product - Mexican processed product is made solely from Hass.
It was the discovery of seed weevils in Mexican groves, in 1914 that initially led to a ban and many California growers still feel that insects, particularly fruit fly are a risk. According to some, in the last decade three new pests, including the persea mite, whitefly and avocado thrips, have arrived.
To counter this problem a number of safeguards will be actioned including the regular inspection of Mexican orchards and a requirement that the avocados are transported in insect-proof containers. “The USDA feels there is a sufficient safeguard to keep pests away from the fruits,” says Larry Hawkins, a spokesperson for the Animal and Plant Health Inspection Service.
Despite the apprehension that the new proposals have prompted it is widely hoped that the move will help to boost consumption in the US, something that the California Avocado Commission has been focusing on this year with a series of initiatives. Earlier in the spring, Ready Pac Produce and the California Avocado Commission joined together for the fifth consecutive year to launch a joint advertising and promotion campaign, entitled “Cook Fresh, Cook Fast!” Centred on a $10,000 sweepstake the campaign aims to utilise the web, on-pack promotions, coupons and radio to increase consumption of avocados and Ready Pac fresh-cut salads and vegetables.
“As in previous years, our joint effort with Ready Pac featuring a campaign that delivers helpful ideas shoppers can use right away with an attractive sweepstakes offer have resulted in positive purchasing action,” says Jan DeLyser, vice president of marketing for the California Avocado Commission. “The enthusiasm generated by this campaign has been successful in driving sales each year. A large part of this is because our products mesh so well in delivering taste, freshness and convenience.”
Emphasising the fact that Californian avocados can boost sales throughout the year, the California Avocado Commission (CAC) also featured, “The Hardest Working Californian” drawing on its exhibition stand during the recent United Fresh Fruit & Vegetable Association Convention in Chicago.
DeLyser said the idea behind the contest was two-fold. First to invite retailers attending the United Expo and FMI to meet with CAC staff at the booth and to extend CAC’s programme to increase avocado sales at retail by providing information about the category. DeLyser revealed that avocados continue to be a top performer in terms of both sales and profits for retailers implementing best practices merchandising techniques. “Research among the retailers we track demonstrates that advertising avocados at an every-day sales price results in a 52 per cent bump in sales,” she said.
“Advertising at a promotional price can result in a 146 per cent increase in sales. Combining those figures demonstrates that on average, avocado sales increase nearly 100 per cent when they are promoted and advertised. That is a tremendous opportunity for retailers and we wanted to drive that message home.”
While Mexican Hass looks set to take the US by storm, in the UK, its reputation is already well established, particularly in the retail sector, however, according to Gilgrove’s director, Damian Fowler, Fuerte is a more popular proposition for wholesalers and catering suppliers. “We have just finished with South African Fuerte, which a lot of people prefer to Hass,” he says. “The market has got a lot shorter in the last two weeks and the price of avocados has doubled in that time - which gives a good indication of what is happening.”
All the produce is a bit short at the moment, Fowler continues. That tends to be the way with avocado supplies. “Sometimes there is a glut and at other times there is a shortage,” he says. “Often there is just no continuity at all. Mexico tends to send small size Hass that does not suit the London market. I don’t know if that is because they don’t grow bigger sizes or if it is because the bigger sizes end up in the supermarket.”
Hass does have a very good reputation from sources such as Mexico, Fowler says, “and Peru is also a good source of supply. But there are other countries that give Hass a bad reputation and the problem really is in the ripening. Difficulties arise when the produce is black on the inside as well as on the outside. They need to be a bit riper when they are sent”.
It was undoubtedly this problem that prompted the California Avocado Commission to produce a ripening guide to provide a uniform description for the five stages of Hass avocado ripeness. The guide, available to all avocado growers, handlers and retailers eliminates the guesswork in avocado sales transactions by creating a uniform standard for defining each stage of ripeness. “Previously, descriptions used to identify the stages of ripe avocados varied between handles,” says DeLyser. “There was consistency in the terms used, but not necessarily in the definition of the terms. The Hass Avocados Stages of Ripe guide simplifies sales transactions and insures that buyer and seller are on the same page when discussing avocados.”
The most popular avocado in the UK is Fuerte, says Angel Neila, director of Mundi Fruits. “It has a smooth skin and is a variety that looks very good, but in terms of taste, Hass is a far superior fruit.”
There have been a few quality problems this year with South African Fuerte, Neila continues. “It is what is known as mechanical problems where the fruit becomes brown inside. It is a problem that doesn’t affect Hass but it is quite common with Fuerte.”
Mundi Fruits deals with avocados all year round. “Increasingly in this country avocados are becoming much more popular,” he says. “I think people are much more aware of the health benefits of avocados than they were a few years ago.
“Avocados, mangoes and kiwifruit are all becoming better sellers. When it comes to other avocado varieties, we do deal with a few other varieties such as Bacon and Ettinger but Fuerte is by far the most popular.”
At present, around 40 per cent of Mexico’s avocado exports are shipped to the US - although this may soon change. El Salvador, Canada, France, Japan, Costa Rica, Guatemala and Honduras purchased a combined 55 per cent of Mexican avocado exports in 2002. Due to an increase in production, exports from January to November in 2003 totalled 110,847 tonnes, a 31 per cent increase from the same period in 2002. According to the USDA, Mexico’s avocado production for the 2003-04 (marketing year August 2003-July 2004) is forecast at 1,040,393t, up 16 per cent from the 2002-03 crop. This increase is attributed to expectations of favourable weather, more trees coming into production and ongoing phytosanitary programmes that have been successful in controlling pests.
