The US became the world's leader in avocado consumption between 2015-2024, driving significant global market growth.

Eight out of 10 avocados in the US come from Mexico.

Avocado demand has risen significantly, with a 19% increase in purchase frequency.

Avocado imports from Mexico contribute $6.1 billion to the US GDP annually.

Avocado cultivation poses environmental concerns, including deforestation and high water use, requiring around 70 liters per fruit.

Avocado production has a significant environmental impact, consuming around 1,000 liters of water and producing 5.4 kg of carbon dioxide per kilogram.

Avocado farming has led to deforestation, soil erosion, and water contamination, highlighting the need for sustainable practices.

Precision agriculture and vertical farming can reduce water waste and improve crop yields.

These techniques can reduce avocado farming's environmental footprint, including emissions and water usage.

Governments and companies can promote sustainable avocado farming by providing incentives and supporting precision and vertical farming.

Avocado farming significantly affects local communities, pricing out small growers and exploiting migrant workers.

Avocado farming has led to land grabbing and displacement in countries like Mexico and Peru.

Sustainable avocado farming can bring economic prosperity to local communities.

Kakuzi supports smallholder farmers by providing online platforms and exporting their avocados.

Policy interventions can support sustainable practices through financial incentives and fair labor practices.

Education and training empower farmers to adopt best practices and sustainable techniques.

The US became the world's leader in avocado consumption between 2015-2024, driving significant global market growth.

Title:

Content: Avocados From Mexico® Celebrates 10 Years of Goodness

Published: Oct. 20, 2023 at 7:30 AM CDT|Updated: 1 hour ago

The leading avocado brand in the U.S. shares its 10 biggest impacts from a decade of innovation in the produce industry

DALLAS, Oct. 20, 2023 /PRNewswire/ -- From making the U.S. the world's leader in avocado consumption, to creating an avocado brand in a brandless category and debuting the first-ever commercial about a fruit during the Big Game: Avocados From Mexico® has paved a fresh path in the produce marketing industry.

Avocados From Mexico, the #1 selling brand of avocados in the U.S., has spent ten years building a brand that is: always good, always good for you1, fun and delicious. With bold marketing that drives demand, strategic partnerships with CPG brands and a robust seasonal strategy all year, Avocados From Mexico has become known as a disruptive, world-class marketer and innovation powerhouse.

This October marks the 10th anniversary of Avocados From Mexico. While attending the International Fresh Produce Association (IFPA) trade show this week, Avocados From Mexico is celebrating this milestone, and the strategy that has defined the past decade of growth. The brand released its top 10 impacts since becoming a brand, along with an infographic that shares exactly what the brand has been cooking up for a decade and the results of some truly delicious innovations.

"This anniversary is a major milestone for Avocados From Mexico," said Avocados From Mexico President and CEO, Alvaro Luque. "We are celebrating 10 years of goodness, 10 years of growth, 10 years of driving demand for avocados in the U.S., 10 years of relentless passion for innovation, strong performance and fun. I'm so proud of all we have done, and I truly can't wait to see what we can accomplish next."

The fruits of the brand's decade of labor include:

  • Avocados From Mexico is the preferred brand of avocados in the U.S. The brand nearly tripled brand preference, reaching more than 50%.2
  • In 2015, the brand became the first produce brand to advertise during the Big Game, highlighting the synergy between avocados and football season.
  • In 2020, the brand was named one of the 100 Best Workplaces for Innovators by FastCompany, and in 2021, was #1 in FastCompany's Most Innovative Companies in the world in the branding category.
  • The brand also more than doubled the U.S. avocado market; now eight out of 10 avocados in the U.S. come from Mexico.3
  • The brand created a win-win story between two countries. The U.S. economic output of imported avocados from Mexico has increased more than 500% and its U.S. GDP is up five times to more than $6.1B annually.4
  • Avocados From Mexico reinvented shopper marketing, achieving growth in household penetration by six million new households and 19% growth in purchase frequency.
  • The brand avo-educated U.S. foodservice operators and retailer partners through Avocado University, the 1st and only certified avocado education program.
  • Avocados From Mexico also freshened up menus with avocados, seeing 20% growth in foodservice market share and in menu penetration.5

"In ten years, Avocados From Mexico has become the top-selling, most recognized avocado brand in the U.S. and the most innovative company in produce marketing. I would like to thank our employees, growers, packers, importers and partners, who have laid the groundwork for our success and have built the path for the bright future ahead of us," said Luque.

For 10 years, Avocados From Mexico has built a platform on goodness. Goodness for consumers, by bringing more high-quality, nutritious avocados to their tables at home and in restaurants. Goodness for the retailers, by supporting them with innovative marketing and growing the market. Goodness for the environment by embedding sustainable practices into the avocado industry, and goodness with fun times. The brand is always good, for everyone the brand touches, for the first 10 years, and the next.

To learn more about Avocados From Mexico, visit https://avocadosfrommexico.com, Facebook (facebook.com/avocadosfrommexico), Instagram (@avocadosfrommexico) or Twitter (@AvosFromMexico).

About Avocados From Mexico
Avocados From Mexico is a wholly-owned subsidiary of the Mexican Hass Avocado Importers Association (MHAIA), formed for the purpose of advertising, promotion, public relations and research for all stakeholders of Avocados From Mexico. Under agreements, MHAIA and the Association of Avocado Exporting Producers & Packers of Mexico (APEAM) have combined resources to fund and manage Avocados From Mexico, with the intent to provide a focused, highly- effective and efficient marketing program in the United States. Avocados From Mexico is headquartered in Irving, Texas.

Sources

  1. Fresh avocados are a heart-healthy fruit. They provide naturally good fats and nearly 20 vitamins and minerals. Source: https://avocadosfrommexico.com/avocado-nutrition/
  2. Hall & Partners Brand Tracking
  3. Hass Avocado Board Volume Data
  4. Texas A&M: The Economic Benefits of U.S. Avocado Imports from Mexico, 2022 Update
  5. Technomic: Volumetric Study, Dec 2022

View original content to download multimedia:

SOURCE Avocados From Mexico

The above press release was provided courtesy of PRNewswire. The views, opinions and statements in the press release are not endorsed by Gray Media Group nor do they necessarily state or reflect those of Gray Media Group, Inc.

How has avocado consumption changed in recent years?

Eight out of 10 avocados in the US come from Mexico.

What are the countries and regions that produce and export avocados?

Avocado demand has risen significantly, with a 19% increase in purchase frequency.

How has avocado consumption changed in recent years?

What are the positive effects of the global demand for avocados on the countries and regions that produce and export them?

Avocado imports from Mexico contribute $6.1 billion to the US GDP annually.

What are the positive effects of the global demand for avocados on the countries and regions that produce and export them?

Avocado cultivation poses environmental concerns, including deforestation and high water use, requiring around 70 liters per fruit.

Title:

Content: Monday 2 Shaban 1445 AH - 12 February 2024 |
Programs
Watch our latest episodes online
“The Israeli Avocado. ”
Renewed Debate in Morocco
Controversy has resurfaced in Morocco over crops that experts say drain more water than their revenues after years of drought and the effects of climate change.
An Israeli investment project in Morocco to produce avocados has faced criticism, although authorities have denied that fruit farming has any harm to water, and experts have linked the country's water crisis to management problems rather than specific ones.
In 2021, the Israeli company Mahadrin, which is the largest producer and exporter of citrus fruits in Israel, announced an investment in the cultivation of avocados in Morocco of more than 80 million dirhams ($8.9 million), in partnership with a Moroccan company, to produce 10 tons of avocados annually.
At the time, the debate over the feasibility of investing in a water-draining fruit project flared amid the country ’ s scarce resources, and was renewed recently after the drought continued for the sixth year in a row and warnings about reaching the level of thirst increased.
Moroccan avocado exports have broken sales records for several consecutive seasons.
Total exports have quadrupled in the past six years, making Morocco the ninth largest exporter of this fruit in the world.
The site reports that avocado cultivation in Morocco is currently under threat due to the scarcity of water resources.
However, cultivated areas are expanding, and production is expected to increase by 20 percent year-on-year and reach the new maximum.
According to East Frost, Morocco exported 45,000 tons of avocados worth $139 million between July 2022 and May 2023, and Moroccan exporters were able to increase the number of importing countries from 19 to 25.
But the economic success has been met with internal criticism, with some seeing it as a drain on water and a cause of the country ’ s severe drought crisis.
Abdullah al-Yamalhi, president of the Moroccan Avocado Association, denied in statements that agriculture consumes too much water, saying, “We only take the necessary amount of water for the survival of the crop, which contradicts what is claimed to be a water-intensive crop. ”
Citing a paper entitled “Exposing Myths, ” al-Yamalhi said that growing avocados requires a similar amount of water as other crops, such as apples and pears, stressing that their water consumption is much lower compared to coffee and water-intensive crops,“ which no one criticizes. ”
On Saturday, the Moroccan Minister of Agriculture, Fisheries, Rural Development, Water and Forests, Mohammed Siddiqui, denied that some water-consuming crops such as avocados and red melons are the reason behind the depletion of the water mattress.
Siddiqui stressed during his stay as a guest on the Grand Format-Le360 program, that “the area of   planting avocado in Morocco does not exceed 10 thousand hectares, has not expanded since the launch of the Green Morocco plan and will not expand, ” in contrast, the cultivation of melons has shrunk and become prohibited in some dry areas such as Zagora.
On the water crisis in the Kingdom, the government official said that the real reason behind the lack of water resources is climate change and irregular rainfall for more than seven years.
Do avocados consume a lot of water?
A report from Fair Observer says production of avocados is water-intensive, about 70 liters per fruit, more than 12 times what it takes to grow tomatoes.
The report refers to what is described as “virtual water. ”
Hypothetical water refers to the amount of water involved in the production of a commodity.
The default water content of avocado is very high.
This means that the source avocado translates into huge amounts of virtual water imported from exporting to importing countries.
According to expert Omaima Khalil al-Fann, avocados are like other water-draining crops, as a kilogram of avocados needs about a thousand liters of water.
The expert pointed out in an interview with Al-Hurra website that the problem lies in the fact that the revenues of such crops are not reflected on the individual because the agricultural sector contributes only 16 percent to the GDP and drains human and water resources because most of it is unstructured and its profit is due to the investor.
Khalil al-Fann believes that the authorities should allow such cultivation in areas that have renewable water, which are coastal areas, where desalination plants can be created, as opposed to allowing such cultivation in dry areas.
As of January, the kingdom has seen a 57 percent drop in rainfall compared to the average year, according to Minister of Equipment and Water Nizar Baraka.
This situation has been exacerbated by the evaporation of water stored in dams, with the average temperature rising by 1.8 percent compared to the average period between 1981 and 2010.
As of February 8, only 23 percent of the dams were filled, compared to 32 percent for the same period last year.
At the risk of water shortages, public baths and car wash shops were closed three days a week in several cities, while gardens and golf courses were banned from being watered with drinking water.
Morocco ’ s water needs are estimated at more than 16 billion cubic meters per year, 87 percent of which is for agricultural consumption, but water resources have not exceeded about 5 million cubic meters per year in the past five years.
Source:
• Free

What negative impact has the increased global demand for avocados had on the environment?

Avocado production has a significant environmental impact, consuming around 1,000 liters of water and producing 5.4 kg of carbon dioxide per kilogram.

Title:

Content: Avocado: Between Environmental Impacts and Global Market Controllers
In the Mexican state of Michoacán, which produces about 80% of the world ’ s avocado, avocado cultivation has depleted local water supplies and caused severe environmental damage, with studies showing that avocado cultivation has led to deforestation, soil erosion and chemical contamination of water sources.
(Getty)
In recent years, the avocado industry has become a staple in many diets around the world, and its popularity has increased greatly due to the multiple health benefits.
However, the demand for this fruit has led to harmful environmental effects and the emergence of a mafia that controls the production and distribution of avocados in some countries.
A Chilean study published recently said that avocado cultivation has caused severe water shortages, as well as in Peru, where large farmers have dominated the avocado market since the 1990s, where cultivation requires huge amounts of water, the production of one kilogram of avocado, consumes about 1,000 liters of water, much more than other crops such as tomatoes or oranges.
According to a report by the Water Footprint Network, the production of one kilogram of tomatoes requires about 300 liters of water, and the high water use of avocado production has led to water scarcity and depletion of aquifers in some areas.
In the Mexican state of Michoacán, which produces about 80% of the world ’ s avocado, avocado cultivation has depleted local water supplies and caused severe environmental damage, with studies showing that avocado cultivation has led to deforestation, soil erosion and chemical contamination of water sources.
According to the report, moving avocados from the production site to the market also has a significant impact on the climate, as avocados are grown mainly in developing countries, and are exported to developed countries such as the United States, Europe and Japan, and the transport of avocados over long distances contributes to greenhouse gas emissions harmful to the environment. Approximately 5.4 kg of carbon dioxide emissions per kg of avocado.
Avocado production has also led to the emergence of a mafia that controls the production and distribution of avocados in some countries, where the avocado mafia operates mainly in Mexico, where it controls the production and export of avocados, and this mafia, according to media reports, consists of criminal organizations that use violence and intimidation to control the production and distribution of avocados, and often extort money from farmers. The avocado mafia uses violence to eliminate competitors and dominate the export market, as studies have shown that these gangs are responsible for deforestation, land grabbing and violence against indigenous communities in Mexico.
According to dozens of studies published in recent years, avocado cultivation also has negative effects on local communities. In some areas, demand for avocados has led to land grabbing, community displacement, labor exploitation, and avocado cultivation in the Mexican state of Michoacán has led to the displacement of indigenous communities and the exploitation of often paid migrant workers. Some studies have shown that the expansion of avocado cultivation has displaced traditional crops, leading to food insecurity and loss of biodiversity.
According to the study, governments around the world can take various measures to mitigate the impact of this agriculture on the climate, and one way is to promote sustainable avocado farming practices that reduce water use and reduce the use of chemicals. Protect the environment, provide financial incentives to farmers and enact laws that will deter illegal and criminal practices in these countries.

What negative impact has the increased global demand for avocados had on the environment?

Avocado farming has led to deforestation, soil erosion, and water contamination, highlighting the need for sustainable practices.

What negative impact has the increased global demand for avocados had on the environment?

What strategies can make global avocado trade more ethical?

Precision agriculture and vertical farming can reduce water waste and improve crop yields.

Title:

Content: The world’s population is projected to grow to 1.5 billion by 2030, which means the demand for food production and crop yield will also increase multi-fold. While traditional farming methods have been sustainable for centuries, the population boom and factors such as dependence on the weather, soil conditions, and local expertise limit their scope. The ongoing shift in weather patterns, limited water resources, and continuous soil degradation further impact yields.

As a result, agricultural practices are shifting towards a modern tech-enabled approach rather than sticking to traditional labour-intensive farming. Over the years, farmers have also started opening up to integrating smart farming methods to maximise yield. One approach that is significantly boosting yields is precision farming, also called precision agriculture. The data-driven approach leverages AI technology, sensors, and analytics to optimise agricultural practices and is altering the way crops are cultivated.

How AI adds efficiency

AI-based technologies used in precision farming for crop monitoring and forecasting weather conditions, aid farmers in planning their operations better. They gain insights into how much nutrition the soil needs and which crops they should cultivate. This information further helps them streamline planting, irrigation, fertiliser application, weeding, and harvesting.

In an initiative, the World Economic Forum conducted an 18-month project to analyse the outcomes of precision farming. Around 7,000 farmers used bot advisory services, soil testing technology, and AI-based quality testing for three crop cycles. It resulted in a reduction in use of inputs. During cultivation, the use of pesticides dropped by 9 per cent, while that of fertilisers dropped by 5 per cent. These tech-enabled modern farming methods not only reduce wastage, but also minimise cultivation costs borne by farmers.

Drones drive agricultural revolution

Precision farming also comprises the deployment of drones for several farming practices. By offering optimal and targeted application of fertilisers, pesticides, and water, drone-as-a-service offered by agritech companies are making everyday tasks easier for farmers. It also reduces the burden of manual labour. This time-efficient solution not only enhances productivity, but also contributes to cost-effectiveness by optimising resource usage by 30 per cent. While traditional spraying uses 100-120 litres per acre, drone spraying reduces water usage to just 10 litres per acre and takes just 7 minutes. Research also shows that using precise irrigation instead of traditional flood irrigation can conserve 50 per cent of the water and improve yields by 35 per cent.

At the same time, drones equipped with multispectral cameras can assess crop health by capturing images that reveal stress signs invisible to the naked eye. This early detection allows for prompt corrective action, such as targeted pest control or nutrient application, thereby, preventing crop loss and enhancing productivity. Statistics showcase that early risk detection through drone technology has reduced crop loss by 20 per cent in the surveyed regions.

Moreover, precision irrigation techniques use drone technology to understand soil moisture. It enables farmers to use variable-rate technologies to adjust planting density, fertiliser, and irrigation rates. While enhancing yield consistency, this modern agricultural practice also ensures uniform crop stands.

Data analytics to enhance productivity

Farmers can use data-driven precision farming techniques to stay on top of the complete pre-sowing to harvest cycle. For example, they can use GPS technology to create detailed field maps to understand the variability of soil conditions across their land. This information is crucial for optimising seed placement and irrigation practices. Also, sensors placed in fields can help collect data to monitor soil moisture levels, nutrient availability, and other critical parameters. This real-time data allows farmers to apply water, fertilisers, and pesticides precisely where and when needed, reducing wastage and environmental impact.

Agritechs in India are gradually collecting historical data and combining it with real-time data to bring information symmetry to the country. This collative data bank will aid farmers in improving productivity as well as yields, further ensuring that the agriculture ecosystem meets the nation’s rising food demand.

Leveraging historical data about climate and previous crop yields in a particular geographical region can guide farmers in estimating yields from different crop varieties. These projections can be made more accurate by integrating data from sources such as satellite imagery and weather forecasts. Precise forecasts help farmers make informed pricing, distribution, and storage decisions, which, in turn, reduces financial risk. Farmers in Telangana, who used precision farming techniques, observed a 21 per cent increase in plant growth per acre. Interestingly, they also observed a good 8% increase in sales prices. Using precision farming practices is a financially viable option.

Precision Farming: The essential approach towards a sustainable future

Precision farming is not just a trend, but a tool for sustainable growth for agriculture that will not only improve India’s agricultural landscape, but that of the world. As awareness grows, India’s adoption rate of precision farming technologies is projected to rise rapidly. By 2025, it is estimated that 30 per cent of Indian farms will have integrated some form of precision farming. As these smart farming methods become more widespread, their impact will be profound. It will ensure food security and improve the livelihoods of millions of farmers nationwide.

The author is Founder & CEO, Salam Kisan

What strategies can make global avocado trade more ethical?

These techniques can reduce avocado farming's environmental footprint, including emissions and water usage.

What negative impact has the increased global demand for avocados had on the environment?

What strategies can make global avocado trade more ethical?

Governments and companies can promote sustainable avocado farming by providing incentives and supporting precision and vertical farming.

What strategies can make global avocado trade more ethical?

Avocado farming significantly affects local communities, pricing out small growers and exploiting migrant workers.

Title:

Content: Skip to main content
ABC Rural

Avocado oversupply drives prices through the floor, forces farmers to let fruit rot

By Meg Bolton
Posted , updated
Help keep family & friends informed by sharing this article
abc.net.au/news/avocado-oversupply-forces-farmers-to-let-fruit-rot/100529294

A pair of Sunshine Coast farmers say they have no choice but to watch their avocados die on trees as Australian growers battle with a market oversupply.

Production has doubled in the past decade as farmers cash in on the nation's appetite for the fruit, leading to smaller growers being priced out of the market.

Wolvi farmers Julie and Tony Pratt have had to make some difficult decisions after making a profit of just 4 cents per avocado on a recent delivery to a major Queensland market.

They say letting their produce rot is now the most economical decision.

"We know you shouldn't do it, [but] we don't have a choice," Mr Pratt said.

The couple bought their 1,000-tree property four years ago and were anticipating 2021 to be their strongest season.

It has been their worst.

"One dollar an avocado [in the supermarket means] all farms are losing money -- doesn't matter whether you're a small family farm or a corporate farm," Mr Pratt said.

"What really hurts is when you see that fruit not coming from Australia.

"It makes it pretty hard to get up the next morning and start up irrigation pumps to prepare for the next crop."

The season would usually end in September in the Gympie region, but the Pratts still have fruit on trees after taking a risk and waiting to see whether supermarket prices would rise.

The gamble did not pay off.

"Because of the sheer volume on the market, there's close to half a million trays a week coming onto the market from various parts of Australia," Mr Pratt said.

Money not growing on trees

Avocados Australia chief executive John Tyas said more trees coupled with a good growing conditions had significantly increased market supply.

"This year we're seeing a massive increase in production with a lot of young plantings coming online," he said.

Last year the nation's growers produced almost 90,000 tonnes, but Mr Tyas said 120,000 tonnes would be produced in the next year.

Industry representative Hort Innovation launched an advertising campaign in June to increase demand for the rapidly growing supply.

Marketing manager Matthew Dwyer said oversupply was the industry's biggest challenge.

"What we want to do is ensure that consumers know the value of the product," he said.

He said the advertisement was a success -- after four months, research showed two out of three consumers were more likely to buy avocados.

Call for locals to support their own

The Pratts turned to selling their crop on social media for the first time to survive the season.

They also had family members manning roadside stalls, which Mr Pratt never imagined they would have to do.

"We just need to shift more volume and it's a lot more work," he said.

But with production increasing at a rapid rate, Mr Pratt said there was no light at the end of the tunnel.

"If you look at a lot of these big farms, whether that's in North Queensland, Central Queensland -- these are guys that have planted thousands of trees," he said.

"It's the first year that those farms are getting any yield from those first few plantings.

Mrs Pratt urged consumers to buy locally grown fruit.

"We have to share our stories for them to understand that they need to put their money where their mouth is and go, 'Right I'm spending, I'm making the choice to spend at my local fruit and veggie shop','" she said.

Posted , updated

What illegal activities have surfaced in avocado trade in recent years?

What negative impact has the increased global demand for avocados had on the social structure and the economy of the countries that produce them?

labor exploitation
displacement of local communities

What strategies can make global avocado trade more ethical?

improving working conditions for employees

Avocado farming has led to land grabbing and displacement in countries like Mexico and Peru.

What illegal activities have surfaced in avocado trade in recent years?

What negative impact has the increased global demand for avocados had on the social structure and the economy of the countries that produce them?

land grabbing
displacement of local communities

Sustainable avocado farming can bring economic prosperity to local communities.

Title:

Content: Sustainable farming holds the key to economic prosperity

Agriculture holds the key to economic transformation for Kenya and the East African region. However, the challenge lies in practising sustainable agriculture to unlock its true value from food production to agro-processing.

As the United Nations Climate Change Conference (COP27) takes place in Sharm El Sheikh, Egypt, as a region and human race, we have many challenges ahead.

Some, are brought on by climate change, population pressure and political or financial instability within our economic and geopolitical space. Still, as a country and region, we have many unique advantages including political goodwill which, if used wisely, will allow us to build a robust agricultural economy.

Let me start by dealing with a favourite topic of mine, irrigation and water security. At Kakuzi, we have 19 dams which collect rainfall - allowing us to use the water for irrigation during dry season.

The critical part of our water security is not just the dam but the catchment itself.

If we don’t preserve the water catchment fields, our dams won’t fill with water, or they could silt up. In short, sustainable and secure irrigation requires that we sacrifice something, in this case, acres and acres of land, which act as water catchment areas.

These fields are preserved with natural habitat and managed to avoid soil erosion, bush clearance or overgrazing. In these fields, we must overcome the temptation to dig up the land and plant crops.

The next key challenge for agriculture after water is energy and not just the cost but also availability. In Kenya, our key export crop of tea requires energy to turn it from lush green leaves to dry tea; bear in mind that 4.5 kilos of green leaf converts to 1 kilo of black tea as the rest is water.  As we encourage farmers to grow more green tea leaves, we must also consider how to dry leaves.

-Chris Flowers is the Kakuzi Managing Director.

In every tea-growing country, the energy for drying tea is a significant issue, whether it’s coal in India, gas in Bangladesh or fuel wood for us in East and Central Africa. Engineers have calculated the energy required, and it’s staggering. We must find sustainable solutions for this, as it’s not an easy or quick fix.

We all know the impact of energy prices on fertiliser, which is just another reason why we need to minimise our use wherever we can. Composting and mulching at Kakuzi to improve soil health and enhance soil fertility is a crucial component of our agricultural practices. Given that only 10 per cent of a macadamia nut is the edible kernel, a lot of biomass is available for conversion to energy or compost.

Teaching farmers sustainable agricultural techniques and when to apply different nutrients and in what quantities is part of what we do. Our online avocado academy ‘Kakuzi Avocademy’ is designed as an e-learning portal for farmers. Through the e-learning platform, we strive to advance shared prosperity values allowing smallholder farmers to learn and make the best crop husbandry decisions.

For many years now, I have been saying that we must explain how farmers can sell their fruit for the best value before we can tell them to plant an avocado tree.

Unfortunately, the fact is that the supply-demand equation for a perishable product such as avocados is a reality. Produce a product with limited marketability in a period of oversupply at your peril. This is precisely what happened in the avocado market earlier this year.

An oversupply of fruit in Europe through large Peruvian shipments and late European and North African production meant minimal marketing options for Kenyan smallholder fruit.

As I mentioned above, discerning customers choosing to eat a superfood such as macadamia or avocado want to know what they are eating and how it was produced. This is not because good Kenyan fruit is of substandard quality but simply because a lot of fruit from the country doesn’t have traceability credentials. If we as producers cannot demonstrate these traceability credentials, then high-value markets are limited and becoming more so.

We should also avoid the trap of thinking that emerging markets in the far east are less stringent than our traditional European markets. Sending substandard fruit to an emerging market can only depress demand, not enhance it.

Further up in the Rift Valley in the tea fields of Nandi and beyond, agricultural interest, mainly crop diversification, is also rising. The number of people seeking advice on avocado and macadamia potential in the region predominantly known for tea is growing.

Undoubtedly, this is the best time to get on the agribusiness side of things. As the name suggests, agribusiness means agricultural production for consumption and sale to raise much-needed financial resources. Like any other business, Agri-preneurs must carefully consider profit and loss fundamentals.

Considering profit and loss means engaging the investing community in the agricultural space to appreciate the role of credit access, mechanisation, technology and human resource management for efficiency.

Having been on the agricultural front my entire life, I can attest to this field-based industry’s value and potential to power rapid economic transformation. Kakuzi is an example of a leading agribusiness firm involved in commercial agricultural endeavours, including livestock rearing and agroforestry beyond our renowned avocado and macadamia production.

In Kenya, the Bottom-Up Economic Transformation Agenda 2022 - 2027 rightly notes that the agricultural sector has the highest growth multiplier effect on other economic sectors due to strong backward and forward linkages. There can be no denying that agriculture is our most globally competitive sector but getting it right is complex. Patience, long-term thinking and getting the fundamentals of sustainability, quality and traceability correct is the key.

Sometimes numbers tell the value of an agricultural enterprise better. For example, last year, notwithstanding the challenges of an “OFF” year cycle, Kakuzi PLC exported  Sh94 million worth of HASS avocados for our smallholder farmers. The previous ON-year cycle had seen us ship HASS Avocado cartons worth Sh152. 2 million for smallholder farmers.

In this venture geared at supporting smallholder farmers access quality international markets, we made payouts amounting to more than Sh31.4 million for the smallholder farmers from Kakuzi’s local community in Murang’a, Kirinyaga, Nyeri, Meru and Trans-Nzoia counties.

This is but one of the proof points that agribusiness is a viable economic avenue that can empower our farmers if we do it correctly.

However, we must remain alive to the vagaries of climate change as a risk factor to agricultural production and work towards building resilience.

Chris Flowers is the Kakuzi Managing Director.

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What are the positive effects of the global demand for avocados on the countries and regions that produce and export them?

What strategies can make global avocado trade more ethical?

local sourcing
sustainable agricultural techniques

Kakuzi supports smallholder farmers by providing online platforms and exporting their avocados.

Policy interventions can support sustainable practices through financial incentives and fair labor practices.

Title:

Content: Aldersgate Group Manifesto: Government urged to double down on net zero to tackle energy crisis

• 8 min read

Business group argues ambitious climate and environmental policies could solve energy crisis, drive investment, and help the UK lead the net zero transition

The new UK government should double down on its net zero strategy through increased investment in energy efficiency programmes, the accelerated deployment of renewables, and energy market reforms that decouple wholesale power prices from the volatile fossil gas market in order to tackle the energy security crisis afflicting the country and drive sustainable economic growth.

These are the headline recommendations from the Aldersgate Group's new manifesto - The green line: a route out of crisis and towards prosperity - which has been released today ahead of tomorrow's much-anticipated mini-Budget from the new government.

Published on the same day as the government announced the brief for its new review of the UK's Net Zero Strategy and confirmed controversial plans to lift the moratorium on fracking, the new manifesto argues the government needs to deliver a much wider policy programme to bolster eneryg security and help businesses and households cope with high energy costs.

Prime Minister Liz Truss yesterday announced a new support package to effectively freeze energy bills for businesses for the next six month, but the Aldersgate Group - which represents scores of leading UK businesses and NGOs - argued a longer term plan was required that centres on the government's existing Net Zero Strategy.

The new manifesto calls on the government to pursue a "twin track" approach of reducing dependence on fossil fuels through accelerated investment in low cost, clean and homegrown renewables, and lowering energy demand across the economy through a nationwide energy efficiency retrofit programme, most urgently in homes and commercial buildings.

The government is today expected to confirm that its new review of the UK's Net Zero Strategy, which is to be led by Conservative MP Chris Skidmore, will focus on whether current decarbonisation plans are sufficiently pro-growth and do not compromise the UK's competitiveness.

But the Aldersgate Group today argues that the economic benefits of pursuing an accelerated net zero strategy are clear.

According to figures from the Department of Business, Energy and Industrial Strategy's Energy Trends report released in June this year, in 2021 renewables generated just under 40 per cent of the electricity in the UK, with 29 per cent coming from wind and solar. As such, renewables displaced around £6.1bn worth of gas, which according to figures from think tank UK Onward saved the equivalent of £221 of gas per household per year. With the cost of renewables falling with greater levels of deployment, renewables projects provide the UK with a key opportunity to bolster energy security in a cost-effective way, the report argues.

In terms of accelerating progress on energy efficiency, figures from DIY retailer Kingfisher showed that households living in homes rated below the government's target Energy Performance Certificate (EPC) C rating are set to pay £748 more on average per year for their energy than the 10 million living in homes at or above the threshold.

In addition, homes with poorer insulation also tend to be clustered in areas such as Wales, Yorkshire and the Humber, and the West Midlands, where levels of poverty are higher than the UK average, which the report states "clearly" shows the economic and levelling up benefits that a mass home insulation programme can bring.

The report also highlights the business and economic benefits of the net zero transition. According to research from ONS, in 2020 businesses in low carbon sectors generated £41.2bn in turnover, as well as directly employing 207,800 full-time employees, a figure which rises to half a million when people employed in associated supply chains are included.

Low carbon investment is also helping to "level up" the country, the report says, with jobs in sectors like offshore wind, low carbon hydrogen, EV chargepoint installation, and home insulation distributed right across the UK.

By continuing to develop supportive low carbon policies across key industrial sectors under the Net Zero Strategy, the manifesto suggests the government could "significantly increase" these economic benefits and deliver growth across the economy.

Citing the low carbon hydrogen sector in the North-West as an example, the report highlights that carbon capture and storage (CCS) projects could deliver as many as 5,500 jobs in the Teesside by 2025, and as many as 18,000 jobs nationally by 2030.

Additionally, the transition to EVs is estimated to create 200,000 permanent jobs across the UK, with 57 per cent coming from the installation, operation, and maintenance of chargepoints.

The report also stated that recent extreme weather events have demonstrated that investment in natural capital restoration should be a key priority for the new government to mitigate the impact of droughts and floods, and safeguard food security by incentivising more sustainable agricultural practices.

According to government statistics, the value provided by coastal wetlands in terms of buffering the effects of storms and flood control has been estimated at £1.5bn annually and research from Cranfield University has estimated that reversing soil degradation could save £1.2bn per year in England and Wales. As such, the manifesto urges the government to continue with the implementation of the Environment Act and develop an ambitious Environmental Improvement Plan that can mobilise investment in natural capital projects.

"There is clear business consensus that ambitious climate and environmental policies are a key part of the answer when it comes to providing durable solutions to the cost of living and energy security crises and tackling low levels of investment in infrastructure," said Nick Molho, executive director of the Aldersgate Group.

 "All these agendas are mutually reinforcing. By introducing policies that will genuinely put the UK on track for its legally binding net zero and nature restoration targets, Liz Truss and her government can unlock significant business investment in low carbon innovation, infrastructure and job creation across the country and across multiple sectors of the economy from renewables, insulation and grid infrastructure through to heavy industry and nature restoration projects."

 In order to achieve these ambitions, the report makes a raft of policy recommendations covering energy, buildings, transport, heavy industry, resource efficiency, nature restoration, skills, green finance, trade, and global climate diplomacy.

To address the energy crisis, the report recommends making energy efficiency in homes and infrastructure a priority for the new government, highlighting how it can slash bills, improve energy security, and create jobs.

In addition, it recommends building on progress to date to enable an even faster roll out of low carbon power generation projects and backs proposals for the government's Energy Bill and Review of Electricity Market Arrangements (REMA) to be used to decouple gas and electricity prices and allow UK renewables to deliver lower bills for industry and households.

To promote further investment and innovation, the report recommends accelerating the implementation of the Net Zero Strategy, which it suggests should be done through key policy interventions in areas such as power, buildings, transport, and heavy industry in order to provide the right market signals to businesses and boost investor certainty.

It also recommends supplementing the implementation of sectoral strategies with targeted interventions through the UK Infrastructure Bank (UKIB) to 'crowd in' private investment into key sectors, which in turn could rectify market failures in areas like energy efficiency and help de-risk investment in emerging technologies like hydrogen and CCS.

There should also be a comprehensive, practical and ambitious green finance reporting and disclosure regime to improve the quality and consistency of information available to investors and support the private sector to grow capital flows towards low carbon infrastructure, goods and services.

The report advises that this should include implementing the new Sustainability Disclosures Regime, completing ongoing work to introduce sustainable investment definitions under a UK Green Taxonomy and supporting the effective implementation of corporate net zero transition plans.

In addition, the report advises that the new system of Environmental Land Management Schemes (ELMS) should be maintained and fully implemented in order to incentivise more sustainable agricultural practices, expand natural carbon sinks, improve crop yields, and boost domestic food security.

Britain should also be promoted as a global centre for green investment, the manifesto argues. The report suggests that greater policy flexibility provided by the UK's departure from the EU should be used to put in place regulations that can maximise investment in low carbon goods, services, and technologies, and could make the UK one of the most attractive places globally to invest in the low carbon economy.

Trade and climate objectives should also be aligned, which the report suggests should be done by taking steps to maximise low carbon export opportunities, prevent carbon leakage, protect the UK's right to regulate, and foster international cooperation on decarbonisation and nature restoration.

The manifesto has so far received widespread support from a number of leading businesses and investors including Kingfisher, WSP, the Energy Saving Trust, Bellona, Ramboll UK, and Wessex Water among others.

Nick Lakin, group director of corporate affairs at Kingfisher, argued that businesses need "the right enabling framework to re-energise and transform our economy so that we stay on track for net zero".

 "A long-term energy efficiency programme for homes with good financing and tax incentives, more support to help everyone switch to electric vehicles, alongside actions such as the recent decision to ban the sale of peat for gardeners are all vital steps in ensuring that the UK meets its net zero objectives," he added.

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What strategies can make global avocado trade more ethical?

improving working conditions for employees

Education and training empower farmers to adopt best practices and sustainable techniques.

Title:

Content: Maximising farm profits with sustainable water management practices

A new guide by Castle Water has highlighted the financial benefits to farmers of efficient water use

In modern farming, effective water management is crucial for maximising profitability and ensuring the sustainability of agricultural operations.

This guide highlights the financial benefits of efficient water use, introduces sustainable solutions, and explores advanced technologies that can significantly impact your bottom line.

For more insight on optimising water management in agriculture, Castle Water offers comprehensive services tailored to farmers’ needs.

The financial impact of efficient water use

The quality of your water management system directly influences profits by reducing operational costs and increasing crop yields. Implementing irrigation systems can allow for optimal water distribution that meet crop water requirements while minimising waste.

• Reduced Water Costs: By adopting irrigation methods, farmers can significantly reduce water expenses. Techniques like drip irrigation, which deliver water directly to the plant roots, reduce evaporation and runoff.

• Improved Crop Yields: Efficient water management practices ensure that crops receive the right amount of water at the right time, leading to healthier plants and higher yields. This not only boosts revenue but also improves the quality of produce, potentially leading to better market prices.

• Lower Energy Consumption: Advanced irrigation systems often require less energy to operate than conventional methods, translating into lower energy bills. For instance, drip and sprinkler systems use energy more effectively compared to flood irrigation, which can lead to substantial savings over time.

Sustainable solutions for long-term gains

Sustainable water management in farming not only addresses immediate financial concerns but also ensures long-term agricultural viability.

Integrating efficient farming practices helps mitigate the impact of climate change and water scarcity, securing a more stable future for agricultural enterprises.

Utilising soil moisture sensors helps farmers monitor and manage water applications more effectively. By maintaining optimal soil moisture levels, farmers can reduce water usage and prevent excessive irrigation, which can harm crop productivity.

Advanced water technologies for agriculture

Adopting advanced technologies is key to modernising agricultural water management. Innovations in this field provide farmers with tools to optimise water use and adapt to changing environmental conditions.

• Smart Irrigation Systems: These systems use real-time data from weather forecasts, soil moisture levels, and crop needs to automate and fine-tune irrigation schedules. This not only conserves water but also ensures that crops receive the precise amount of water required for optimal growth.

• Water Recycling Systems: Implementing agricultural water recycling techniques allows farms to reuse water for irrigation, reducing overall water consumption. Treated wastewater or runoff can be repurposed, cutting down the demand on freshwater sources.

• Precision Farming Tools: Tools like irrigation sensor systems provide farmers with detailed insights into field conditions. This information enables precise water application, maximising efficiency and reducing waste.

Reducing water waste to save money

By identifying and addressing the inefficiencies in their water management systems, farmers can conserve resources and reduce operational costs.

• Leak Detection and Repair: Regularly inspecting irrigation infrastructure for leaks can prevent water loss and ensure that water is delivered where it is needed. Prompt repairs can lead to significant water and cost savings over time.

• Water Audits: Conducting water audits helps farmers assess their water use patterns and identify areas for improvement. This process involves measuring water use across the system and implementing strategies to optimise water application.

• Education and Training: Providing training on efficient water management techniques and technologies can empower farmers and farmhands to adopt best practices. Knowledgeable farmers are better equipped to implement solutions that enhance water use efficiency and boost profitability. For more general agricultural news check out our produce news.

In conclusion

Efficient water management is not just a sustainable practice; it’s a strategic financial move for farmers.

By implementing modern irrigation methods, adopting sustainable water use strategies, and leveraging advanced technologies, farmers can reduce costs, increase yields, and secure long-term profitability. For further information, check these resources on water management policies for agriculture.

What strategies can make global avocado trade more ethical?