Monday, February 14, 2022

Trade

U.S. suspends Mexican avocado imports, a nearly $3B industry

Mexico has acknowledged that the U.S. government has suspended all imports of Mexican avocados after a U.S. plant safety inspector in Mexico received a threat, reports the Associated Press.

The decision, confirmed late Saturday, could have a major economic impact on the Mexican avocado industry, say some industry insiders. Mexico’s avocado market has nearly $3 billion in annual exports.

The U.S. government suspended all imports of Mexican avocados “until further notice” after a U.S. plant safety inspector in Mexico received a threatening message, Mexico’s Agriculture Department said in a statement, according to the AP report. The report named avocado exports and growers as the latest victims of the drug cartel turf battles in the western state of Michoacan, the only state in Mexico fully authorized to export to the U.S. market.

“U.S. health authorities … made the decision after one of their officials, who was carrying out inspections in Uruapan, Michoacan, received a threatening message on his official cellphone,” the department wrote.

One path to expedited resolution of the suspension may be the implementation of additional security for USDA officials in the face of Mexico’s ongoing security issues, a Michoacan grower, who asked not to be identified, told The Packer.

According to AP, many avocado growers in Michoacan — where the Jalisco cartel is fighting turf wars against a collection of local gangs known as the United Cartels — say drug gangs threaten them or their family members with kidnapping or death unless they pay protection money, sometimes amounting to thousands of dollars per acre.

The U.S. Embassy, which said in a social media post that it’s “working with the Mexican government to guarantee security conditions that would allow [its] personnel in Michoacan to resume operations,” has also said that “facilitating the export of Mexican avocados to the U.S. and guaranteeing the safety of our agricultural inspection personnel go hand in hand,” the AP report said.

This is not the first time that USDA officials have been threatened with violence in Mexico, said AP, pointing to a direct threat to U.S. inspectors in the town of Ziracuaretiro in August 2019 and the killing of a Mexican employee of the USDA's Animal and Plant Health Inspection Service on Sept. 30, 2020.

The Animal and Plant Health Inspection Service recently released a statement confirming the suspension of avocado export program operations in the state of Michoacan, Mexico, on Feb. 11, 2022, following "a security incident (verbal threat)" involving its employees.

"The suspension will remain in place for as long as necessary to ensure the appropriate actions are taken, to secure the safety of APHIS personnel working in Mexico. APHIS is working with Customs and Border Protection of the U.S. Department of Homeland Security to allow avocados that were inspected and certified for export on or before February 11, 2022, to continue to be imported," APHIS stated.

Michoacan has been exporting avocados to the U.S. for about 25 years, and commercial shipments of Mexican fresh Hass avocados from the state have been imported since 1997, according to APHIS. Michoacan is the only state currently approved to send avocados to the U.S.


Source: The Packer