Why the avocado prices have increased
Avocados are all rage for taste and health benefits, but nutritionists warn that we can eat too much. Elizabeth Keatinge has more.
Yes, it's not your imagination: Avocado is more expensive. But no, Trump's rates are not guilty.
But there are some reasons why the price of the popular fruit has spiked and is expected to continue to rise in the coming weeks.
For the first week in July, wholesale prices for medium-sized avocados from Mexico were 129% higher than this time last year, said David Magaña, vice president and senior analyst at Rabobank, based in Fresno, California.
"This is the highest price for this time of year for at least a decade, probably more," Magaña said, and the listed wholesale price was $ 84.25 for a 25 pound box compared to the $ 37 week in Independence Day 2018.
The increased wholesale price has gone to grocery stores.
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Almost 90% of US avocados come from Mexico.
According to the latest US Department of Agriculture Department in Uk, the average national price of a haas avocado was $ 2.10 on July 5 compared to $ 1.17 from the July 6, 2018 report.
Liz Garrison, nurse in St. Louis Park, Minnesota, said she was shocked when the bag of six small avocados she normally buys from Trader Joe was $ 6.50 this week. She paid $ 2.50 for the same bag on previous trips.
"I eat an avocado a day. There is a lot to spend on something I eat so often," says Garrison.
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Why are the prices up?
Magaña outlined three main reasons for increasing growth.
"One expands global demands, including US demands, it just keeps growing," he said. "Avocados are not only consumed now for the Super Bowl or during Cinco de Mayo celebrations, but year-round consumption."
California's avocado season comes to an end and was the smallest crop of more than a decade, he said .
"These high prices are related to seasonal production in Mexico," says Magaña. "It is normally the lowest at this time of the year."
Mexico is the largest supplier of fruit and vegetables to the United States, with $ 13 billion Almost 90% of the avocados come from Mexico
"We have had the opportunity for (Mexico) tariffs and the border closure, and also a few weeks ago, the likelihood of tariffs on all goods coming from Mexico and we & # 39; I have observed some prizewiners, "Magaña said." But now there is only one demand combination. "
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How long will this last?
While prices may continue to increase over the next few weeks, the high prices can only be temporary.
"They'll come down when the new Mexican production hits three, four weeks from now," Magaña said.
Garrison hopes the high prices are not long-term. After searching her latest avocado from last week's Trader Joe's haul, she ended up picking avocados at nearby Cub Foods to $ 4.
"If there is something short-lived like a week or two , I wouldn't mind spending the extra money, "she said.
Contributor: Paul Davidson
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