News and Stories

Today marks the 14^th straight day that Mexican avocado growers have not been able to harvest. Key groups in Michoacán, Mexico (the primary avocado producing area) have not been able to come to an agreement for the 2016-2017 season. Supplies continue to be held back from reaching packing sheds and ultimately the U.S market. Prices are escalating.

Most avocado suppliers are beginning to run out of fruit to replenish their ripening rooms and warehouses across the U.S this week. Unfortunately, there is no decisive outlook as to when harvest will resume and fruit will begin filling the supply line again. Once harvest does resume, expect approximately two weeks before availability improves due to logistical challenges and ripening times.

Please keep in mind, forward pricing is not available at this time. Open-market orders will be priced on the date of shipment to secure product.

We will continue to keep you updated as more information becomes available.

©2016 Markon Cooperative, Inc. All rights reserved.

UPDATE: AVOCADOS

October 5, 2016

Mexican avocado growers continue to hold fruit from reaching the market; harvesting remains at a standstill. Stocks are quickly being depleted in the U.S.; fruit is not being imported to fill the supply pipeline.

Avocado growers are anticipating extremely limited availability for the next few weeks, with possible order allocations taking place throughout the industry. Contracts may be declared force majeure due to unforeseeable circumstances. Many suppliers are not giving out advanced pricing. Open-market orders will be priced on the date of shipment to secure product.

We will continue to keep you updated as more information becomes available.

©2016 Markon Cooperative, Inc. All rights reserved.

UPDATE: AVOCADOS

October 4, 2016

Growers in Mexico are holding back supplies to keep prices elevated; very few stocks have been harvested since Wednesday, September 28. Mexican fruit crossing into South Texas is at an all-time low; demand exceeds supply. Availability will be extremely limited for the next few weeks. The market is expected to climb until Mexican growers begin releasing new crop fall fruit.

• Fewer-than-expected supplies continue to cross into the U.S. from Mexico due to several factors
• Growers are delaying new crop fall harvesting until the summer crop has been fully depleted
• By limiting production, growers hope to keep prices elevated and get a higher return on their crop
• Poor weather in Mexico has been disrupting harvests
• All sizes are extremely limited; demand exceeds supply
• Stocks are being shipped firmer/greener than normal due to strong demand and shorter ripening times
• Many shippers are pricing on the date of shipment in order to secure enough fruit to fill orders
• Value-added avocado supplies will tighten in the weeks to come
• Expect high prices and limited supplies for the month of October

Please contact your Markon customer service representative for more information.

©2016 Markon Cooperative, Inc. All rights reserved.