The industry continues to experience daily market increases. Demand for avocados in the US and other countries continues to rise. With Mexican holidays on the horizon, we anticipate less fruit in the pipeline and availability will only become more challenging. Growers in higher elevations are now reporting significant damage to the crop due to the winter storm that swept through Texas and Mexico less than a month ago. Current estimates amount to a potential loss of over 50,000 tons of fruit due to the storm damage. Large #1 48 counts will be at a premium and this will put more pressure on #2 and 60 counts. Prices will remain elevated for the coming weeks.
Excessive rain and cold have interfered with harvesting and have impacted packing schedules. The current Mexican growing regions are winding down and the production numbers are much lower than usual as we transition to the next harvest area. Additionally, the deep freeze which hit Texas in February also reached down to Mexico, and cooler than normal temperatures stunted growth. The next crops due for harvest will see further decreased yields as a result. Compounding the supply issues, upcoming religious holidays will mean zero harvestings, packing, or shipping as the labor force takes time off. Expect prices to remain much higher than usual through March
and likely until after Easter.