Agribusiness Sector Reaches New Highs and Lows

This week, the avocado is in the spotlight due to its relevance for the Mexican economy and markets worldwide. Meanwhile, the tortilla was one of the products most affected by inflation. Agri-food exports broke records in trade, totaling US$25.96 billion, their highest since 1993. 

In international news, the UN Food and Agriculture Organization (FAO) insisted on the importance of humanitarian work so the world can reach further environmental sustainability.

Interested in more? Here are the week’s major headlines in Agribusiness & Food!

Avocados: Mexico’s Pride

Mexico is the world’s top producer of avocados. of which 84 percent head to the US and the rest head to 34 countries, including Canada, El Salvador, Honduras, Guatemala, Japan, Korea, China, Hong Kong, Singapore, Spain, France, Holland, Italy and Germany.

The avocado export industry is mostly made up of small producers and generates thousands of jobs in Mexico and abroad. “Let’s taste on this special date one of the best gifts that Mexico gives to the world: the avocado,” said Jose Armando Lopez Orduña, CEO of Association of Producers and Packers Exporters of Avocado of Mexico, Civil Association (APEAM, AC).

Environmental Sustainability is a Key Part of Humanitarian Work

Humanitarian interventions must consider the environmental impact of displaced populations and the protection of natural resources in drylands must be considered a vital part of program implementation. To this end, a baseline environmental assessment of fuelwood, land, water and other local resources is needed to inform project design and should be monitored at all times, explains FAO.

“On the occasion of World Humanitarian Day 2022. The focus is on taking action to support people in need at all levels of society. Working together with local communities, humanitarian interventions must be more comprehensive so that we can contribute to improving the food security of people in need while not damaging dryland environments and their tree resources,” said Tiina Vähänen, Deputy Director of the Forestry Division, FAO.

Corn Tortillas Heavily Hit by Inflation

The highest inflation rate seen since 2000 has taken its toll on a staple of the Mexican diet: the corn tortilla. For example, most tortilla shops in Hermosillo, Sonora, a kilo for MX$30 (US$1.5) or more, reports the Federal Consumer Protection Agency (Profeco), which monitors prices nationwide. Corn tortillas have been one of the products most affected by inflation, which hit 8.62 percent in the first two weeks of August, according to the National Institute of Statistics and Geography (INEGI). 

Mexico-US Agri-food Trade Up by 16 percent in First Half of 2022

Between January and June 2022, agrifood exports broke records, totaling US$25.96 billion, their highest amount since 1993, according to the Bank of Mexico. In the first half of the year, the country’s agrifood trade balance recorded a surplus of US$1.76 billion, with exports at record levels, informed the Ministry of Agriculture and Rural Development. According to figures from the Ministry of Agri-food and Fishery Information (SIAP), in monetary terms, this surplus was the fifth largest positive balance in 28 years.