Higueral waiting out midst of mango deal
Higueral waiting out midst of mango deal
RIO RICO, AZ — In mid-May, as the Mexican mango deal made its steady seasonal northward progression toward Nayarit, the mango market fell to as low as $2 or $3 a box for small-sized fruit, said Edgar Duarte, a partner in Higueral Produce Inc., located here. Larger sizes were $4 to $5 a box.
Edgar Duarte with mangos in his Rio Rico warehouse.In the lower range, the product is at cost to the grower. “If you bring it up here the growers are losing money.” Higueral had asked its growers to cease shipping for now. Other mango marketers were “on the same page” and told their growers not to pack for the export market until the prices increased.
Higueral, which began this Mexican mango deal in mid-March, “has been able to maintain a consistent quality and label,” Duarte added.
“We are barely getting into the area” of Sinaloa that is heavy in mango production. “The volume will only increase from here. I don’t see the market increasing.” It will take strong retail promotions by North American retailers to increase the market. Duarte reiterated the Mexican mango marketers “are all in the same place. I encourage retailers to advertise” but to do so, “they want cheap prices. Our growers want a bigger price as of now.”
Higueral “usually makes money at the end of the season” because of strong mango plantings in northern Sinaloa. This is a fruit fly-free zone and growers are not required to disinfest their mangos with the hot-water baths required further south in Mexico and in many of the world’s production areas.
In northern Sinaloa there are few mango competitors for Higueral and “the shelf life is a lot longer” in the absence of hot-water treatment. Northern Sinaloa will start shipping in mid- to late June. This deal will run until mid- to late September. “If Brazil is late, it will be better. If Brazil is early, they will kill us with price,” Duarte said.