The popularity of avocados among consumers in India is still growing, says Ashish Banerjee, commercial & market development head for Indian produce importer Agrify Fresh: "The Indian avocado market is growing steadily, driven by rising health consciousness and demand from urban consumers. While still niche compared to global markets, retail chains, quick service restaurants such as Subway, Starbucks, and gourmet stores are key demand drivers. Challenges include price sensitivity and limited consumer awareness beyond metro cities. However, demand has increased by about 20 to 25 percent compared to last year, though from a small base. Factors like expanded retail availability, foodservice adoption and imports filling seasonal gaps are to thank for this increase."
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According to Banerjee, there are two origins of avocados that stick out among the others. "Looking at the origins of avocadoes, I feel like there are two origins most popular among the consumers in India. First off is the avocado from Kenya, which is preferred for its taste and smaller, more affordable sizes. However, Tanzania is emerging as a key player in this market, despite facing strong competition on price consistency."
The prices for avocados are currently at a historic low, Banerjee emphasizes. This has to do with a sudden oversupply of Tanzanian avocados, he explains: "Avocados from Tanzania are very much up and coming in the Indian market. These avocados are priced competitively, have a good shelf life, and supply is more reliable. However, with the recent oversupply of avocados from Tanzania, the price has dropped significantly, as there were lots of arrivals during a time when demand was rather sluggish. Prices might stabilize by mid-April if arrivals slow down or demand picks up during the summer season."
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Banerjee states that there are clear differences and preferences when it comes to Kenyan and Tanzanian avocados. "For the consumers in India, the Tanzanian avocados are often seen as a value option compared to the premium avocados that are imported from Kenya. That being said, the Tanzanian avocados can be marketed in India with its unique qualities in mind, such as its buttery texture, to differentiate itself from the Kenyan avocado."
"Logistics matter for the import of avocados. For example, the air-shipped avocados from Kenya cater to buyers that focus on the freshness of the product. Meanwhile, avocados transported via sea, such as the avocados from Peru and Tanzania, suit the cost-conscious markets. Currently, Indian states like Kerala are experimenting with small-scale avocado farming, but imports will dominate for years to come," Banerjee concludes.
For more information:
Ashish Banerjee
Agrify Fresh
Tel: +91-8600165706
ashish.banerjee@agrifyfresh.com
www.agrifyfreshcom