Giannini Foundation: Demand Growth & Commodity Promotions For Fresh Hass Avocados
Shipments of fresh Hass avocados to the U.S. have increased dramatically in recent years, primarily in response to the opening of the U.S. market to imports from Mexico. Inflation-adjusted prices received by California growers have nonetheless remained nearly constant on average, despite considerable year-to-year volatility. Our analysis shows that consumer demand growth, fueled in part by a successful industry promotion program, has prevented falling prices. …