Avocado Alert for June 2024

Avocado Alert for June 2024

Last week โ€œsocial unrest and protestsโ€ unrelated to avocado production resulted in restricted access to specific routes and the โ€œdetentionโ€ 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 โ€œForce Majeure,โ€ 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 โ€œdemand-exceeds-supplyโ€ scenario, which is worsening by the hour.
  • Procurement will have further communication as the situation develops.