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The avocado can be one of the engines of the agroexport

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The Peruvian Hass palta competes very well for its quality and production and gains more market in the world. Avocado, as it is also known abroad, has been positioned as a product of increasing consumption for its nutritional qualities, which go according to the healthy way of life that everyone wants in the developed world. The palta is fashionable and is indicated in the environment of the agroexports and must be taken advantage of.

International competition is very high; Mexico dominates the world market, competing with them is already difficult, since its production and exports are three to four times ours.

Our direct competitors are Chile, Colombia and Ecuador, the latter two countries are emerging as major new producers.

Prices on the international market are on the rise, largely because of the problems that California producers are experiencing due to droughts (their production has decreased 40%); and the domestic problems of Mexican exporters, which caused a shortage of avocados in 2017.

In Peru, due to these conditions, the price in chacra has risen to about five soles per kilo, with a yield of more than 10 to 15 tons per hectare on the coast, making it an attractive crop for exports.

However, it is important to mention that at the domestic market level, by passing through hoists, wholesalers and retailers, the price of the avocado can shoot up to 10 soles per kilo to the consumer.

The success of the Peruvian palta abroad is reflected in the domestic market, since it is estimated that two thirds of the production is sold to foreign markets, thus pressing, together with other factors, domestic prices upwards.

“The increase in prices on the US market explains the rise in exports of avocados, which began in the first quarter of the year by 10%,” said the Agroexport manager of the Association of exporters (Adex), Paula Carrión.

He said that the higher prices are also due to the decline in world production, especially in Mexico.

For its part, the Society of Foreign Trade of Peru (Comex) said that, in November of last year, the avocado exports exceed 570 million dollars, which is about the grape, our main agricultural product of export.

Ranking

The exporting guild added that Peru has been ranked third in the world ranking of exporters in palta since 2014, after Mexico and the Netherlands.

It should be borne in mind that the latter country does not produce avocados, but is a hub that distributes the product to the European Union (EU).

Comex detailed that palta’s exports made a first major 64% increase between 2013 and 2014, from 183.6 million to 301 million dollars.

In 2015 is slightly increased 1.6%, to close at 306 million; and in 2016 reached 396.9 million (29.7% growth), and was ranked in the national ranking exporter as well as the product of a third non-traditional with a positive outlook.

Markets like the United States, along with China and India, are the most promising. The recent free trade agreement (FTA) with Australia also points to larger shipments of Peruvian avocados.

Positive year

Despite the effects caused by the El Niño Costero phenomenon, this year has been optimal for the palta.

According to the Ministry of Agriculture and Irrigation (Minagri), the production of avocados, especially in the first quarter of the year, registered a fall of 7.5%.

“However, it was recovered soon and the shipments were not compromised,” the ministerial entity specified.

Production increased by 25% as a result of higher yields per hectare and the entry of new plantations.

In addition, new projects have been initiated in the La Libertad region and in the sierra thanks to the efforts made by Sierra and Selva Exportadora, as in the case of Cusco, with 150 small producers.

Employment

It is expected that by 2021 the export, not only of avocados, but of many other products to be even more consolidated, it becomes one of the pillars of the national economy, and then of Peru, a country a net producer of food.

Agroexport generates a lot of direct and indirect work. It should be noted that this sector has created 500,000 jobs.

The president of the Asociación de Gremios Productores Agrarios del Perú (AGAP), Ricardo Polis, foresees that Peruvian agroexports will double to 2021.

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