Market Trends of Fruits & Vegetables Industry In Mexico
Increasing Fruit Demand
- In Mexico, a surge in consumer awareness about healthy eating has breathed new life into the fruit market. The growing fascination with exotic and nutritious fruits has not only bolstered domestic production but also expanded exports to a wide array of countries. According to ITC Trade Map, Mexico's fruit exports hit an impressive USD 8.7 Billion in 2023. Mexico is experiencing a worldwide rise in avocado demand. Beyond their culinary uses, these avocados are sought after in the cosmetics and pharmaceutical industries, because of their rich nutritional benefits. Jalisco, a state in Mexico, has become a key player in blueberry cultivation, with the United States emerging as the primary market, especially for the confectionery and bakery sectors.
- Among Mexico's top ten most exported commodities are avocados, raspberries, strawberries, blueberries, and blackberries. Major importing nations include the United States, Canada, Japan, Spain, and China. The rising global appetite for Mexican fruits is further fueled by prominent retailers and esteemed restaurants championing Mexican cuisine on the international stage. This heightened demand is evident in Mexico's fruit production. For example, FAOSTAT data shows Mexico's total fruit production rose from 23.7 million metric tons in 2021 to 24.7 million metric tons in 2022.
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United States is a Major Exporting Partner
- Mexico's climate gives it a competitive edge, solidifying its position as the top partner for U.S. exports. In 2023, USDA data reveals that Mexico supplied 50% of the fresh vegetables and 41% of the fruits imported by the U.S., based on value. These imports, primarily arriving in winter when U.S. production (except in Florida) is limited, are crucial. To combat unpredictable weather and pests, Mexican farmers are increasingly utilizing protected culture structures such as greenhouses. This shift not only facilitates organic cultivation but also prolongs crop seasons, guaranteeing a consistent year-round supply of fresh vegetables. Aware of the U.S. market's premium on greenhouse-grown and often organic produce, Mexican farmers are making strategic investments in these structures. Moreover, by adopting U.S. food safety standards, Mexican growers have further enhanced their export potential to the U.S.
- Moreover, the U.S. is the dominant market for Mexican blueberries, representing an impressive 98% of total exports. Due to their geographical proximity, Mexican blueberries are trucked into the U.S., ensuring they arrive fresh and of high quality. This logistical advantage positions Mexico as a strong competitor to Florida's blueberry sector. Despite aspirations to diversify, local incentives have anchored the focus on the U.S. market. Additionally, unfavorable weather in U.S. blueberry-growing regions has heightened reliance on Mexican imports. For instance, in March 2022, severe freeze events in the Southeastern U.S. wreaked havoc on blueberry crops in Alabama, Georgia, and North Carolina. Beyond blueberries, Mexico's fruit exports to the U.S. encompass avocados, limes, strawberries, raspberries, and grapes, with bell peppers and tomatoes leading as the top vegetable exports. Agreements like the United States-Mexico-Canada Trade Agreement, combined with Mexico's proximity to the U.S., have played pivotal roles in amplifying these exports.
