Global Avocado Market Outlook 2025: Growth, Challenges, and Opportunities
Info source: https://www.rabobank.com/knowledge?mmb-id_125-1119229_page-size=7
Global Avocado Demand Continues to Grow
The global avocado market has reached an estimated USD 20.5 billion in consumer value. Despite accounting for just 21% of the world’s population, North America, Latin America, and Europe make up 88% of global avocado demand.
Latin America leads with high per-capita consumption in Mexico and Chile, while Asia, Africa, and the Middle East still hold untapped potential.
Rising Supply and Export Expansion
Global avocado exports are projected to surpass 3 million metric tons by 2026/27, nearly triple the volumes seen in 2012/13. Mexico, Peru, and Colombia remain dominant exporters, but new suppliers from Africa (Kenya, Morocco, South Africa, Tanzania, Côte d’Ivoire) and Central America are reshaping trade flows.
Oversupply risks are emerging, particularly in Europe during peak Peruvian shipments. This highlights the need for strategic demand creation, marketing campaigns, and year-round supply management.
US Market Remains Resilient
The US is the world’s largest importer of avocados, with per capita consumption exceeding 9 pounds annually – almost four times higher than 25 years ago.
- Mexican exports dipped in 2024/25 due to heat and drought.
- California harvested its largest crop since 2020, while imports from Colombia and Guatemala increased.
- Despite a 10% tariff on imports, demand has proven relatively inelastic, with prices up nearly 95% year-on-year in early 2025.
Europe Faces Pricing Pressures
Europe remains a strong growth market, with rising demand in Germany and the UK. However, record shipments from Peru in 2025 pressured wholesale prices. To sustain value, the industry must continue investing in marketing and promotional campaigns.
Africa’s Growing Role in Avocado Exports
African avocado exports surpassed 400,000 metric tons in 2024, driven by Kenya, Morocco, South Africa, and emerging suppliers like Tanzania and Burundi. Morocco has become Africa’s second-largest exporter, while South Africa recorded a 9% export increase. Seasonal diversification means Africa will continue to play a critical role in global supply.
South America Surges Ahead
South America could surpass 1 million metric tons of avocado exports in the 2025/26 season. Peru, Colombia, and Chile are the main drivers, with strong domestic consumption in Chile reinforcing stability.
Production Costs and Sustainability Challenges
Rising labor costs, water constraints, and land values are pressuring margins in key producing regions. In Mexico, minimum wages have tripled since 2018, while soil erosion affects nearly 67% of orchards in Michoacán. The future of the industry depends on innovation, efficiency, and sustainable farming practices.
Edited by RedSunHort
Frequently Asked Questions About the Global Avocado Market in 2025
1. What is the global value of the avocado market in 2025?
The global avocado market is valued at around USD 20.5 billion, led by North America, Latin America, and Europe.
2. Which countries export the most avocados?
Mexico, Peru, and Colombia dominate avocado exports, but Kenya, Morocco, South Africa, and Chile are expanding rapidly.
3. Why are avocado prices volatile in 2025?
Oversupply in Europe, droughts in Mexico, and strong US demand have caused price fluctuations. Marketing campaigns remain key to stabilisation.
4. Is Africa becoming a major avocado supplier?
Yes. Africa exported over 400,000 metric tons in 2024, with Kenya and Morocco leading growth, while South Africa increased exports by 9%.