Avocado Alert for June 2024

Last week “social unrest and protests” unrelated to avocado production resulted in restricted access to specific routes and the “detention” of two USDA inspectors. As a result, USDA security protocol was activated, and the suspension of shipments was initiated on 6/15.

Packing and shipping from Michoacan are currently at a complete halt.

• All USDA inspections of products from the state of Michoacan were suspended on 6/15 and remain suspended as of 6/20. Without inspection, products cannot be shipped to the United States.

Michoacan represents the vast majority of avocados grown at this time of year.

• All major shippers have declared a “Force Majeure,” resulting in the suspension of all avocado contracts until further notice.
• Our fill rate should be unaffected next week, but the situation is ongoing.
• Market prices are increasing dramatically as the situation has created a “demand-exceeds-supply” scenario, which is worsening by the hour.
• Procurement will have further communication as the situation develops.