Peru to play important role in summer avocado season

With record exports of Peruvian avocados to the U.S. this summer, opportunities for promotion abound.
With record exports of Peruvian avocados to the U.S. this summer, opportunities for promotion abound.
(Photo by Hugo Grajales Source: Adobe Spark)

This summer, Peru expects record exports to the U.S. — an unprecedented 250 million pounds of avocados — according to the Peruvian Avocado Commission. The increase in Peru’s avocado export volume from last year will allow the South American country to play an important role in supplying avocados to the U.S. market.

“This [additional volume] will fit nicely into the U.S. market, which is facing a shorter than typical California avocado season and volatility in the Mexican market as we transition into the new crop,” Carson McDaniel, director of business development for McDaniel Fruit Co. in Fallbrook, Calif., said. “Sizing will peak on 48s and larger, which will complement the introduction of the Mexican flora loca crop, which typically consists of smaller avocados.”

And as global supply chain disruption persists, elevated volume on Peruvian avocados will further help suppliers and retailers keep pace with demand.

“Global conflicts and challenges in the supply chain continue to change every week, with struggles in movement around the globe,” Rodrigo Lopez, category director of citrus and avocados for Oppy, said. “Specifically, the Russian invasion of Ukraine has caused pressure on growers to ship volumes to the North American market. We predict a 30% increase in Peruvian avocado supply compared to last year because of this.” 

Big merchandising opportunities

This season, Peru is also expected to supply promotable volumes of large fruit — size 40 and larger, said Patrick Cortes, senior director of business development and foodservice for Mission Produce, adding that the larger fruit is typical from the South American country.

The stable, high-quality volumes of fruit throughout the summer, indicate strong opportunities for promotions at retail, Cortes continued.

As the Oxnard, Calif.-based Mission develops its retail programs according to the volume and sizing of the fruit to be harvested, the company plans to offer its Jumbo bags this season to promote enhanced value for its customers and their consumers, Cortes said.

When it comes to promoting avocados in-store, bigger is better. “If you can display more, you can generally sell more,” Cortes said. “Offering a mix of different sizes and SKUs can also help promote an increase in sales as it allows the retailer to satisfy various consumer lifestyles.”

Peruvian avocados ripe for the picking

As consumers continue to crave the rich, creamy texture and healthy, satiating fats found in avocados, consumption of the fruit in the U.S. has increased more than 278% from 2000 to 2021, according to the Hass Avocado Board, in Mission Viejo, Calif.

And while displaying ripe avocados at retail has helped drive continued sales of the fruit for years, not all avocados can be tested for ripeness the same way.

“When it comes to Peruvian avocados, education is key,” Cortes said. “Because of their characteristically thick, bumpy skin, we recommend consumers to gently feel the neck of the avocado to judge for ripeness.”

To help educate shoppers on the finer points of Peruvian avocado selection, Mission has developed a “Thick Skin” campaign. Designed to provide retailers with information on handling the typical thick, bumpy skin of a Peruvian avocado, the campaign includes educational materials, such as a backroom poster and shelf talker.

The collateral, said Cortes, shows store personnel how to feel for ripeness in Peruvian avocados “in order to promote a positive point-of-sale experience.”

Education is key with Peruvian avocados, McDaniel agreed.

“We've found the greatest success at retail with Peruvian avocados that are offered pre-conditioned,” he said. “The Peruvian Avocado Commission has put in great effort to educate retailers and consumers on how to ripen a Peruvian avocado, which can behave slightly different than avocados of different origins. A Peruvian avocado is ripe when it gives to gentle pressure, but it does not necessarily turn black like a Mexican or California avocado.”   

Promoting healthy habits

The Peruvian Avocado Commission’s recently launched “Eat Healthy and Live Green” campaign, aims to inspire consumers to embrace a healthier lifestyle that’s good for them and the planet.

McDaniel believes promoting the myriad health benefits of avocados is important to driving demand.

“McDaniel Fruit Company strongly supports the work of the Peruvian Avocado Commission's marketing strategy focusing on the health benefits of avocados,” McDaniel said. “These efforts, in tandem with the Hass Avocado Board's Avocado Nutrition Center research, help elevate the category for all avocado growers, packers and shippers and pave the path for continued growth in the category.”

In addition to the trend in healthier eating, the Vancouver, B.C.-based Oppy sees the versatility of avocados fueling demand.

“Awareness is growing about the different ways to consume avocados, and this boost in demand will require supply from our current regions and beyond,” Lopez said.

But with rising food inflation, will consumers continue to put as many avocados in their baskets?

“It’s hard to tell,” Lopez said. “There’s absolutely a correlation between price and demand, which is why our goal is to continue bringing affordable, fresh and delicious-tasting produce items to the market to ensure people are consuming fruits and vegetables for generations to come. 

“Because avocados are recommended as an item in the produce aisle with some of the most nutritional benefits, many view it as an important ingredient in their daily diet,” Lopez continued. “Which is why I don’t see avocados being affected [by inflation] that much. So, while they may not be recession-proof, they are likely to be less [price] sensitive.”

 

 

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