“More than ever Mexican producers are opting not renewing their certificates in order to sell to Europe”

More than 150 acres dedicated to avocado farming, Grupo Sanell has grown since its inception in the year 1980, when they planted its first orchards. It has since grown to becoming a major participant in the field. They currently have their own plant for packing and expertise, the latest technology and accreditations needed to meet demands of different markets across Latin America, Canada, Europe as well as Asia.

“At Grupo Sanell, we take pride in meeting our customers requirements, no matter the size of their business. We have a wealth of experience with avocado distribution for the local as well as international markets. We offer top quality with strict procedure control.”

The General Manager Salvador Miranda Aguilar says that the business is responsible for every aspect of its production processes beginning with planting and ending with marketing. “In Michoacan, the weather is perfect for avocados which allows us to keep a steady production throughout the year,” he says.

The high-quality of Mexican avocados makes them stand out in the world due to their flavor and texture. This is in part due to the climate and altitude of the area.

“However it is true that the weather along with other variables including water shortages during the past, caused a decline in production. In this particular year there has been a more quantity of smaller or medium-sized calibres due the inability to get rain,” says Salvador.

“We are heavily dependent on the rainfall for the fruits to flourish however this year, hasn’t been the most ideal conditions” the farmer declares.

The market for avocados is unstable, and there are large price variations. “A just a few weeks ago the cost of avocados at the plantation reached 55 pesos per kilogram, and then it fell to just 30 pesos after a couple of days,” says Salvador. The variations in price are affected by demand and supply of the local market and overseas. The quality of the product as well as market conditions have a significant impact. In the time between blooms and the season, quality may decrease while the demand as well as price will suffer because of the situation.

“The primary marketplace for Mexican avocados is that of the United States, followed by the market in Mexico,” says Salvador. Europe is attractive but has its own challenges because of its rigorous certification and quality demands. “More than ever Mexican producers have decided not to renew their certifications needed to sell their products to Europe because of the expensive cost and low rates that they can get,” he says. He further explains that the United States and the domestic market are not required to have more certifications. This helps in reducing costs and facilitating operations.

Sanell Group Sanell Group has exported 46 containers during the first quarter 2024. During the rest of the year it is expected to be able to match this number.

Despite its challenges however, the company has seen an impressive growth rate. In the past year, it packaged and sold record amounts of avocados. “We expect to keep growing even though this year’s been a challenging one due to the volatile prices as well as the quality of the avocados,” says Salvador. The market demand for the product in Europe has increased, but the business continues to focus on those markets in which the economic conditions are favorable.

The time for exports towards Europe usually begins with the month of September. It continues through February. This is to take advantage of the less supply of rival countries over this time. Salvador states that, in spite of the challenges, their ability to grow avocados throughout the year gives them an advantage in competition.

For further information:

Salvador Miranda Aguilar

Grupo Sanell

Carretera Llanos

Between San Juan de Vina and La Guardia Tacambaro

Michoacan Mexico Mexico

Tel. : +52 722 125 7470

[email protected]

www.gruposanell.com

Source: The Plantations International Agroforestry Group of Companies