Third consecutive summer season of falling prices
- Published on 19/09/2022 - Published by FRUITROP
- Free
Avocado summer season 2022
Informations
- Product(s) : Avocado
- Rubrique / Thématique : Review and Forecasts
- Country : Europe , United kingdom
- Keywords : Import , Price
The avocado season had a difficult summer season on the EC market in 2022, just like the winter season which preceded it. Our price barometer, based on the size 18, was down for the third year, registering at €8.50/box its lowest level since 2014. Europe received a large supply. The provisional figures, based on professional statistics, marked a rise of approximately 8 % in the combined incoming shipments from the two main market suppliers, namely Peru and South Africa (data for Kenya and the top-up suppliers not yet available). Once again this season it was Peru that drove volumes upwards (+ 8 to 9 %), its position in Europe changing over the years from dominance to hegemony, its market share now approaching 70 %. However, the climate conditions somewhat curbed the rise in the country’s production, while export volumes to the other world markets saw a distinct rise, thanks in particular to a very fine – and hope-inspiring – performance in the USA (exports probably more than 125 000 t, i.e. + 25 % on 2021 with a considerably extended calendar). This Peruvian pressure nonetheless enabled South African exporters to place stable volumes compared to 2021, though in accordance with predictions, which was probably not the case for Kenya. While the magnitude of the volumes was crucial, their distribution also played a role in this under-performance. The production surge from the Northern Hemisphere origins, especially in the Mediterranean, considerably put back the start of the summer season. There was in fact a double hit. Unlike 2021, the excessive peak of volumes in late May/early June, though it was well known that the consequences would be negative, could not be avoided (average of 3.3 million boxes from Peru alone for 4 weeks). Hence prices plunged to rock-bottom levels of between €5 and €8/box for eight weeks in June and July. In addition, after a recovery period, imports regained massive levels in September (again 3.3 million boxes on average for 3 weeks from Peru alone), leading to a new downturn in rates, highly atypical for this often favourable period. The irregularity of shipments due to ongoing sea-freight disruption worldwide, and the supply’s structural over-focus on large fruits, did nothing to help matters.
