The Moroccan Hass campaign got off to a confused start this week. Prices are lower than at the beginning of the previous campaign. For Abdelmoumen El Achkar, CEO of Ecomac, "the Moroccan avocado industry is paying the price of poor communication choices."
El Achkar describes the picture: "Hass prices are down 10-15% compared to the same period of the previous season, and I'm even afraid that it's going to be a difficult season commercially. There are objective factors behind this situation. For example, last season we started our calendars when there were very few avocados on the market. This season, the competition is strong with production from Colombia, Kenya, South Africa, and soon Spain and Portugal."
"We thought that the early start to the season would work in our favor" El Achkar, continues. "To the point that many growers and exporters were strangely obsessed with being first to hit the market. Perhaps it's the impatience to do business after many months of spending money on growing. Unlike avocado players in Spain, Moroccan players specialize in fruit of Moroccan origin and only work a few months a year, which has an impact on their decisions," he adds.
"Fortunately, the Moroccan authorities, namely Foodex Morocco, have anticipated this problem and imposed a start date for the campaign for the first time this season. Otherwise, it would have been catastrophic. Some exporters would have started shipping from the beginning of October, and this would have destroyed the reputation of Moroccan origin and plummeted prices for the entire campaign."
In addition to a rushed start to the campaign, El Achkar blames communication errors for damaging the Moroccan campaign. He explains: "We started the season from a position of weakness. Several parties announced excessively high volumes. First of all, I don't know how these estimates were calculated. In addition, they have given the market the means to punish us. Customers' determination to lower prices for Moroccan avocados is obvious and goes all the way."
"Moroccan players need to show restraint and thoughtfulness before communicating figures that are all the more unverifiable. We see customers taking the most outlandish volume estimates, and using them to impose prices. With competition from other origins, customers have the power to snub Moroccan avocados and wait for us to give in. The damage has already been done this season, and I predict a difficult campaign."
The grower hopes for the best: "We can still be present, especially in large and medium sizes. The season is still long and a lot can change."
For more information:
Abdelmoumen El Achkar
ECOMAC
Tel: +212 661-085166
Email: [email protected]