MEXICO: COUNTRY REPORT

World Avocado CongressCairns, Australia

September 9, 2011

Proceedings VII World Avocado Congress 2011 (Actas VII Congreso Mundial del Aguacate 2011). Cairns, Australia. 5 – 9 September 2011

OVERVIEW OF PRESENTATION

• Producing areas and productiontrends

• Exports to USA• Exports to other countries• Forecast for the 2011-12 season• Conclusions

PRODUCING STATES

MAIN PRODUCING STATES

MICHOACAN: LARGEST PRODUCING STATE

MAIN PRODUCING STATES

STATE HECTARES GROWERS CROP (Tons) SHARE % ∆

MICHOACAN 107,058 14,650 920,276 85% 3.3JALISCO 8,468 298 29,985 3% 12.4MEXICO 3,615 825 21,332 2% 1.0MORELOS 3,348 1,090 26,935 2% 5.7NAYARIT 2,708 748 25,843 2% 7.6GUERRERO 2,394 195 12,338 1% < 1%PUEBLA 1,644 289 8,171 1% < 1%OTHER STATES 5,090 2,203 32,625 3% -TOTAL 134,325 20,298 1,077,505 100%

Datos 2010 (Cantidades expresadas en toneladas)Fuente: Elaborado por el Servicio de Información Agroalimentaria y Pesquera (SIAP), con información de las Delegaciones de la SAGARPA.

MICHOACAN: MAIN PRODUCING AREA

• Mountain areas, volcanic origin• Altitude: 1,350 to 2,400 masl• Rainy, subtropical climates• Average yield < 10 ton/ha

EXPORT PROGRAM TO USA

MICHOACAN: EXPORT PROGRAM TO USA (2011-2012)

24 CERTIFIED MUNICIPALITIES

36 CERTIFIED PACKINGHOUSES

56,645 CERTIFIED HECTARES (53%)

6,869 GROWERS (47%)

10,172 CERTIFIED ORCHARDS

EXPORTS TO USA (2010-2011)

HARVESTED: 361,524 TONS

EXPORTED: 284,214 TONS

15,130 TRUCKLOADS

EXPORTS TO USA (Tons)

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

6,032 9,769 11,729 10,22124,478 29,910

42,607

112,577

129,482

166,830

215,847

301,548270,215

284,214

1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-042004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

USA SUPPLIERS 2010-2011

MEXICO53%

CHILE10%

CALIFORNIA37%

MEXICO 284,214 TONS 53%CHILE 54,295 10%CALIFORNIA 195,709 37%

*Cantidades en toneladas

2006-2007 2007-2008 2008-2009 2009-2010 2010-2011

158,263

124,475 104,351

122,471

195,709 166,826

215,573

301,548

270,215 284,214

117,877

85,327

55,838

134,811

54,295

CALIFORNIA MEXICO CHILE

USA SUPPLIERS 2006-2011

DEVELOPMENT OF THE USA MARKET

GEOGRAPHICAL EXPANSION 1997-2007

YEAR-ROUND AVAILABILITY

GROWTH OF HISPANIC POPULATION

PROMOTIONAL PROGRAMS

CONSUMPTION HAS INCREASED 200% BETWEEN 1997 AND 2010

DEVELOPMENT OF THE USA MARKET

DEVELOPMENT OF THE USA MARKET

HISPANIC POPULATION30 million in 2000; 45 million in 2007

Estimated 55 million in 2050

Group with the highest consumption in fruits and vegetables:

228 USD per family/month, vs. 165 (Anglos) & 130 (African-americans)

DEVELOPMENT OF THE USA MARKET

INVESTMENT IN PROMOTIONSMHAIA: 13-14 million USD in 2010-11

In sinergy with HAB, CAC & CAIA

APEAM’s Program: 7 million

-

1

2

3

4

5

6

7

8

02-03 03-04 04-05 05-06 06-07 07-08 08-09 09-10 10-11

EXPORTS TO OTHER COUNTRIES

EXPORTS TO OTHER MARKETS

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

1

10,586

45,616

- - -

29,389

42,272 49,896 49,806

69,834 66,215

73,413 73,861

68,596 76,051

84,327 75,146

1991-92 1995-96 1996-97 1997-98 1998-99 1999-002000-01 2001-02 2002-03 2003-04 2004-05 2005-062006-07 2007-08 2008-09 2009-10 2010-11

OTHER EXPORT MARKETS

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

20,236

9,88211,434 10,718

8,402

3,368

21,79623,761 22,979

24,075

30,85133,429

17,478

22,598

17,205

23,01322,486

17,867

13,903

17,621 16,97818,245

22,58820,482

Europa Japón Centro América Canadá

FORECAST: SEASON 2011-12

• TOTAL PRODUCTION IN MICHOACAN:• 1’110,000 TONS

• EXPORTS TO USA• 310,000 TONS

• EXPORTS TO OTHER MARKETS• 100,000 TONS

• DOMESTIC MARKET• 700,000 TONS

MAIN CHALLENGES

Increase productivity by improving pre- and post-harvest technology

Maintain marketing efforts to increaseconsumption in main markets (domestic and international)

Establish industry-wide development programs• Research• Sustainability• Food Safety• Quality Assurance

CONCLUSIONS

The Mexican avocado industry keeps growing, at a constant and moderate rate

Export activities show high dynamism and accelerated growth

• Increasing percentage of our crop for export markets• New producing areas

The industry is focused in the US market• Japan, Canada and Central America are also important

markets• Europe is an occasional market• Other markets in Asia and Latin America have potential in

the long term

ASOCIACION DE PRODUCTORESY EMPACADORES EXPORTADORES

DE AGUACATE DE MICHOACAN, A.C.

www.apeamac.comwww.avocadosfrommexico.com

THANK YOU!!!