Colombia is an up-and-coming avocado growing region and has been exporting avocados to Europe for about 12 years. "Europe is our main market as we've been developing it over a decade now," says Mauricio Lopez with Arba Colombia. In addition, the U.S. market opened up to Colombian avocados in 2017. Each year, the volume exported to the U.S. is increasing. In 2023, Colombia exported $23.4 million to the U.S., making it the second important market for Colombia. This is a very positive development in view of improving the reputation and trust that is required by buyers. Each year, more plantations get certified to export to the U.S. and today, total acreage amounts to 11,500 ha, which includes around 370 farms around the country. For 2024, the forecast for Colombia is to export 30 million kg. to the U.S. Shipments from Colombia to the U.S. market are highest in January, February, June, July, and August. "We consider these months the right market windows, considering that the quantity and quality from Mexico usually drops during this time. As a result, demand for fruit from Colombia increases," said Lopez.
Shift to U.S. exports
In Europe, avocado consumption is still growing. In countries like Italy, France, Spain, and the U.K., consumption grows about three to four percent year over year. Despite Europe being the largest market for Arba Colombia, Lopez believes the U.S. will take over this position in future. "We're witnessing a shift with buyers getting more confidence and trust in Colombia." The U.S. market is increasingly open to receiving avocados from the South American countries. "In the short-term, Europe will continue to be the main market, but I reckon in five to ten years down the road, volume in the export share will be balanced."
The shift towards the U.S. is partly driven by proximity. The U.S. market is much closer to Colombia, reducing risk, shipping costs as well as transit times. "In addition, the U.S. is the biggest avocado consumer (1.3 million tons/year) in the world with a high consumption per capita (3.70 kg./year). It's nice to take advantage of that." During certain times of the year, like the Super Bowl, Cinco de Mayo, etc. demand is high due to elevated consumption, which makes it attractive to ship to the U.S. market.
Retailers are also increasingly open to diversifying sources of supply. "They want to secure their supply and with Colombia being able to supply avocados 45 weeks per year, the country is becoming an increasingly important player." The main season starts around week 36 in September and closes around week 8 or 9 in March. Then, there is a three-week gap and in week 12, the off-season starts up again and continues until week 33/34.
Global consumption growth
Outside Europe and North America, consumption is growing in Asia as well as the Middle East. "China and Japan in particular are starting to learn more about the benefits of avocados, which has woken up consumers." At the same time, production has also increased at a rapid pace around the world. Mexico, Peru, Tanzania, Kenya, Nigeria, Ecuador, Israel, Morocco and South Africa have increased their capacity and the growth in consumption is a positive sign for avocado growers.
For more information:
Mauricio Lopez N.
Arba Colombia SAS
Tel: (+1) 647-530-0327
[email protected]