Organic Avocados Plentiful for Super Bowl Promos
January 11, 2024
The price point will not be as attractive as it was a year ago, but experts say there will be plenty of organic avocados available for promotion ahead of one of the biggest events for avocado consumption—the Super Bowl.
In January of 2023, the bottom had dropped out of the avocado market with even the best conventional fruit and sizes not topping $30 per carton. To put that in perspective, last year’s January FOB prices were about $20 less per carton than what buyers were paying in January of 2022. In early January of this year, the market has been settling in between 2022 and 2023 prices.
Gahl Crane, Sales Director, Eco Farms
Gahl Crane of Eco Farms told OPN Connect that organic avocados are in the mid- to upper $40s FOB for a carton of the best fruit and the most optimal size (48). That is about $10 per carton more than they were a year ago.
“There are good promotable supplies out of Mexico of 48s and 60s,” he said this week. “On the other sizes, supplies are below demand. So far, the number of promotions on organic avocados has been decent but not outstanding.”
The veteran organic avocado salesman said organic fruits and vegetables tend to get a bump in demand at the beginning of the year as New Year’s resolutions featuring healthy eating come into play. He expects the loyal organic retailers, who have a history of promoting organics, to promote organic avocados for the Super Bowl.
The higher price point, however, may have a limiting effect on the total number of promotions. “We are still feeling the effects of inflation and higher costs, so that is impacting organic promotions," Crane said, "Currently, conventional avocado promotions are outperforming organics.”
Peter Shore, Vice President of Product Management, Calavo Growers
Calavo Growers Vice President of Product Management Peter Shore agreed that the volume of organic avocados coming into the market from Mexico is sufficient to allow for promotions.
Shore noted that California growers have not started picking and packing their fruit, so there will be very limited supplies, if any, of California organic avocados in the marketplace for Super Bowl promotions. He said most of the approximately 210 million pounds of California avocados expected to be marketed this season will be sold in the spring months, with the peak expected in April and May.
That would lead one to believe that promotion of California organic avocados, as well as conventional fruit, will be better suited for the Cinco de Mayo period rather than the Super Bowl, which will be held February 11 but typically includes weeks of pre-event retail promotions.
Patrick Lucy, president of Del Rey Avocado, agreed that there will be enough volume to justify organic avocado promotions for the Super Bowl but said the price point will be higher than a year ago. He said throughout January, Mexico should be sending solid volumes of organic avocados in all sizes to the US market, which could allow for promotional opportunities—especially for retailers looking at bags or off sizes.
Patrick Lucy, President, Del Rey Avocado
California will not be shipping very many avocados before the spring, Lucy said, including organic avocados. He added, however, that the industry may see some opportunities for both organic and conventional avocados from Colombia in the February, March, and April window.
Typically, new sources of supply, which is the category under which Colombian avocados fall, are open to promotional pricing as a way of introducing themselves to the marketplace. Though 2024 shipments from Colombia are expected to be greater than 2023, the total volume of fruit from that country, including organic avocados, is expected to be low this season, especially when compared to Mexico, Peru, and California production.