Avocado stocks fall as U.S. suspends shipments from key Mexican state

Del Monte

14/02/2022 19:42

** U.S. firms that sell avocado and products based on the
fruit fall after Mexico said on Saturday the United States had
decided to temporarily suspend shipments of avocados on security
grounds from the state of Michoacan  urn:newsml:reuters.com:*:nL1N2UO00Q
    ** Fresh Del Monte Produce  FDP.N , Calavo Growers  CVGW.O 
and Mission Produce  AVO.O  are down nearly 1% each
    ** U.S. is the top consumer of Mexican avocados, snapping up
many thousands of tonnes each year to make guacamole
    ** "The avocado industry is highly reliant on avocados from
Mexico ... there is probably not enough avocado supply from
other areas of the world to make up for an inability to ship
Mexican avocados into the U.S., especially on a nearer-term time
horizon" - J.P. Morgan analyst Thomas Palmer
    ** CVGW shares declined 39% last year, while FDP and AVO
gained 15% and 4%, respectively

 (Reporting by Praveen Paramasivam in Bengaluru)
 ((Praveen.Paramasivam@thomsonreuters.com;))