Avocado market peaking with strong Super Bowl demand
With Super Bowl promotions running hot, the avocado market was even hotter in early February.
Size 48-count Mexican avocados crossing through south Texas were $50 to $54 fob on Feb. 4, up from about $26 to $30 per carton the same time a year ago.
Shipments of avocados from all origins were running below year-ago levels, according to statistics from the USDA.
For the week of Jan. 23-29, shipments were 2.71 million 25-pound cartons of avocados, down about 25% from 3.67 million cartons the same week a year ago. For the last week of January, Mexico accounted for nearly 94% of total avocado shipments, with the remaining volume from California, Colombia and the Dominican Republic.
U.S. retail promotions of avocados were reported in 12,800 stores by the USDA on Feb. 4 at an average ad price of 83 cents each. That level of promotion is down compared with the same time a year ago, when the USDA reported 18,588 stores promoted avocados at a comparatively lower average price of 70 cents each.
In a Feb. 4 update, Houston-based foodservice supplier Sysco Corp. reported in its Market Corner report that small avocados were seeing better demand because of an improved domestic market in Mexico. While California shippers were packing in light numbers, significant volume from the state won’t arrive until after the Feb. 13 Super Bowl, according to the report.
“Demand is very high for avocados right now,” said Gary Caloroso, regional business development director for the Los Angeles-based Giumarra Cos.
Volume is expected to be stable, with overall volumes increasing somewhat after the Super Bowl.
Caloroso said demand through the Super Bowl selling period will be strong, with in-store promotions and bin displays featuring Drew Brees from Avocados From Mexico finding widespread use.
“I think it was a record amount of (promotional bins) that Avocados From Mexico sold this year,” he said. “It was a big, big hit.”
An AFM commercial featuring comedian Andy Richter is set to air during the Super Bowl, so social media chatter about avocados is expected to be high, he said.
