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Australia's record avocado production keeps prices low but faces export challenges

Amidst rising cost-of-living concerns, Australians have found solace in the stable and low prices of avocados, a situation attributed to record avocado production in the country. In the 2022/23 period, Australia produced 115,000 tons of avocados, marking a significant increase from previous years and resulting in an overabundance of fruit for the domestic market. John Tyas, CEO of Avocados Australia, highlighted the growth in production and the competitive prices of Australian avocados in international markets, particularly in Asia, as key factors contributing to the current market conditions.

Australia ranks as the third-largest avocado consumer globally, with an average consumption of 4.5kg per person annually. Despite this, the country faces challenges in expanding its export markets at the same pace as its production. Tyas emphasized the potential of Asian markets, including recent developments like the $300 million purchase agreement with China's Shanghai Huizhan International Trading Co. Ltd., and the need for government support to prioritize avocado trade.

However, concerns about the impact of climate change on avocado production have been raised by experts like Giorgio Vacchiano, who predicts a shift in production from northern to southern Australia due to changing climate conditions. Issues such as water demand, smaller fruit sizes, and susceptibility to strong winds are anticipated challenges that may affect the sustainability and viability of avocado farming in Australia.

Source: SBS

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