Rankin McDaniel Sr., president of McDaniel Fruit Co. in Fallbrook, CA, remembers when the U.S. avocado deal only meant California and Florida. That’s no longer the case, which obviously requires dealing with logistics challenges, but it also means a lot more fruit and steady supplies 52 weeks of the year.

McDaniel said May 28 that California avocados would soon be joined by Peruvian avocados as the two main sources of supply for his company.  Just in the past few months, his firm has transitioned from a Chilean-Mexico mix of avocados to all Mexico to a Mexico-California mix to all California.  

“Soon we will have a blend of California and Peru, and then we will be heavy to Peru before adding Chile and Mexico again,” he said. “It sure isn’t like it used to be.”

While the company strives to have a seamless transition for its customers, McDaniel said the fruit is different — often with different price points and different sizing profiles.  

“We let our customers know what is available from each point of origin, the quality of the fruit and the sizing,” he said. “We have people on the ground in all of the countries. We give the customer advice, tell them their options and give recommendations and let them make the choice.”

In fact, he said this is the value proposition that McDaniel brings to the table.

“We have been around since 1956, so we have a few miles under our belt,” he said. “This is the message we want to give to the retailers. We can offer them lots of options and we have ripening operations all over the country.”

McDaniel said his value as a supplier is that the company delivers exactly what is promised. “We are very good at what we do,” he said. “We think we are the best.”

Just recently in Peru surveying the crop, McDaniel said it is sizing very well and retailers will note a larger size profile than has been evident with the California crop. He said California fruit has peaked between the 48 and 60 size with plenty of smaller fruit as well. He expects Peru to peak between 40 and 48.  

Frankly, he expects a much better Peruvian deal in 2015 than what was exhibited last season.

“Last year there was a lot of fruit pushed into the marketplace rather than pulled through it, if you know what I mean,” he said. “That unallocated fruit languished and then when it was finally sold there was some quality problems.”

McDaniel said Peruvian shippers have learned from that experience and U.S. retailers appear poised to give them another chance. He expects only good quality fruit to be sold this year. And he believes the pricing will be attractive.

With its locally grown angle, McDaniel believes California avocados will continue to command — and receive — a premium. He said Mexican fruit has its marketing channels well defined and pricing will remain a bit behind the California fruit. He expects Peru to compete against those established products with a third, slightly lower price. He indicated that it is that attractive price that will give Peru an opportunity, especially for price-conscience customers.  

“I think there will be three tiers of pricing,” he reiterated.

Overall, McDaniel is very pleased with the marketing of avocados by all of the commodity groups involved. He praised the organizations for moving “40-plus million pounds per week” through the system at very good prices.  

“I am very pleased with the movement of avocados on a weekly basis and the growth of the product,” he said, adding that the industry, including its growers, has done very well for itself.