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Salvador Miranda Aguilar, general manager of Grupo Sanell:

"More and more Mexican producers are choosing not to renew their certifications to export to Europe"

With more than 150 hectares devoted to avocado cultivation, Grupo Sanell has grown from its beginnings in 1980, when it planted its first orchards, to becoming a key player in the sector. It currently has its own packing plant and also the technology, experience and certifications to meet the demand in various markets in Latin America, Canada, Europe and Asia.

"At Grupo Sanell, we believe in meeting our customers' needs, regardless of their size. We have extensive experience in avocado distribution to local and international markets, delivering the highest quality under thorough process control."

General Manager Salvador Miranda Aguilar says that the company takes care of every detail of the production process, from planting to marketing. "In Michoacán, the weather is ideal for avocados and this allows us to have a constant production all year round," he says.

The quality of Mexican avocados stands out worldwide thanks to their taste and texture, which is partly due to the weather conditions and the altitude of the region.

"However, the weather conditions and other factors, such as water shortages in previous years, have taken a toll on the production. This year, for example, we have seen a greater quantity of small and medium-sized calibres due to the lack of rainfall," says Salvador.

"We depend a lot on the rains for the fruit to grow properly, but this year we haven't had the best conditions," he says.

The avocado market is volatile, with significant price fluctuations. "A few weeks ago, the price of avocados at the source reached 55 pesos per kilo, but then dropped to 30 pesos in a few weeks," says Salvador. These variations are influenced by the supply and demand, both in the domestic market and abroad. Product quality and market conditions also play a crucial role. In transition periods between blossoms, the quality can decrease, and the demand and prices will be affected by this.

"The main market for Mexican avocados is still the United States, followed by the domestic market," says Salvador. Europe, although attractive, presents additional challenges due to its strict certification and quality requirements. "More and more Mexican producers are choosing not to renew the certifications necessary to export to Europe due to the high costs and relatively low prices obtained," he says. He also mentions that the United States and the domestic market do not require as many certifications, which facilitates operations and reduces costs.

The Sanell Group has exported 46 containers in the first half of 2024, and for the remainder of the year it expects to at least match that number.

Despite the challenges, the company has achieved steady growth. Last year, it packed and sold record-breaking amounts of avocados. "We hope to continue growing, although this year has been challenging due to the volatility of prices and the quality of the product," says Salvador. The demand in Europe has grown, but the company continues to prioritize those markets where the commercial conditions are more favourable.

The export season to Europe generally starts in September and runs until February, taking advantage of the lower supply of other competing countries during that period. Salvador says that, despite the difficulties, the ability to produce avocados all year round gives them a significant competitive advantage.

For more information:
Salvador Miranda Aguilar
Grupo Sanell
Carretera Llanos
between San Juan de Viña and La Guardia Tacambaro
Michoacán - Mexico
Tel.: +52 722 125 7470
[email protected]
www.gruposanell.com

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