Peru: Avocado exports could grow by 62%
The country's avocado exports could break a new record in 2014, approaching USD 300 million (62% more than in 2013), while in 2015 the revenue could increase by about 25% more.
"Our forecasts indicate that, were the meteorological conditions to remain stable, the Hass avocado production (main export variety) would increase by 11% and 15% in 2014 and 2015, respectively," said senior analyst at the Economic Research Department of Scotiabank, Erika Manchego.
"The expected increase in production is due both to the greater number of hectares and the improved productivity, as the plants gradually reach their peak yield," she said.
Scotiabank also assumed that most of the new production would go to overseas markets. Therefore, export volumes would increase by about 46% in 2014 and 25% in 2015.
Higher prices are additionally expected for 2014 due to California's lower production. Given the uncertainty in California regarding 2015's harvest, the bank expects price stability next year.
Peru's avocado production should continue to increase in the medium term, reaching new records. In 2014, production volumes should amount to 320,000 tonnes; 11% more than in 2013, while in 2015 they could reach 369,000 tonnes.
Between January and July 2014, the country's avocado production has increased by 12%, reaching 240,117 tonnes. The increase in production responds to the higher demand for Hass avocado.
Both the increase in acreage and improved yield should remain favourable factors in the coming years and lead to an even higher productivity.
The regions with the largest production of avocados are La Libertad (26% of the total), Lima (21%), Ica (13%), Junín (12%) and Ancash (9%).
About 95% of Peru's Hass avocados are grown in the coastal regions and the remaining 5% in mountainous regions, according to the bank's weekly report. ■