Business Maverick: Avocado Prices Surge to a 24-Year High

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Avocado prices jumped to the highest in more than two decades amid tightening supplies in Mexico, the world’s biggest exporter of the fruit, signaling pricier guacamole.

An index tracking avocado from the Mexican state of Michoacan, by far the biggest source in the country, climbed 81% this year to 760 pesos per 9-kilogram box, the highest in data going back to 1998, government figures showed.

Mexico accounts for more than 80% of the avocados consumed in the U.S. In California, which feeds about 15% of American demand, production is forecast to rise this year “but clearly not enough to satisfy growing avocado demand in the U.S.,” Magana said.

 

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