Exporting fresh avocados to Europe

The European import value of avocados almost tripled in the period between 2013 and 2017. This
upward trend is driven by consumer demand for ready-to-eat and health food. It creates
opportunities for producers and exporters, especially for the Hass avocado variety, although
competition is increasing. The best opportunities are in large consumer markets such as France,
Germany, Spain and the UK, which are often supplied through the Netherlands.

Contents of this page

1. Product description
2. Which European markets offer opportunities for exporters of avocado?
3. What trends offer opportunities on the European market for avocados?
4. What requirements should avocados comply with to be allowed on the European market?
5. What additional requirements do buyers often have?
6. What are the requirements for niche markets?
7. What competition do you face on the European avocado market?
8. Through what channels can you get avocados onto the European market?
9. What are the end-market prices for avocados?

1 . Product description
Avocados (Persea americana) are classified into four main types: Guatemalan, Mexican, West
Indian and hybrids. Commercial varieties include:

Hass (Guatemalan)
Fuerte (hybrid)
Ettinger (hybrid)
Pinkerton (hybrid)
Reed (Guatemalan)
Ryan (Mexican/Guatemalan)
Zutano (Mexican)
The Hass avocado, a Guatemalan race with pebbled black skin, is the main planted variety today.
There are new Hass varieties available, such as Lavi Hass, Lamb Hass and Gem Hass. These Hass
sub-varieties help extend the supply season.

Table 1: Combined Nomenclature (CN) commodity code for fresh Avocados

Number Product

0804.40.00.10 Avocados, fresh

Source: Eurostat Comext.

Information on quality, size, packaging and labelling requirements for avocados can be found in:

The UNECE standards for avocados

The Codex Alimentarius Standard for avocados (‘Food code’ of WHO and FAO)
The General Marketing Standards of Regulation (EC) No. 543/2011

Quality
The development of the avocados should have reached a physiological stage, which will ensure a
continuation of the ripening process. The UNECE standards require a minimum dry matter content
of 21% for Hass and of 20% for Fuerte (maturity requirement). Suppliers use different measuring
methods and product standards may differ per country and per variety. For the Hass variety,
Europe often prefers a dry matter of 23%. For importers that ripen avocados 23% of dry matter is a
minimum.

Avocados are generally classified into three classes according to quality:

Extra Class
Class I
Class II
Europe almost exclusively maintains class I as a minimum.

Avocados should, at the very least, be:

intact
clean and sound
free from pests
free from damage
free of abnormal external moisture
have a stalk no longer than 10 mm in length
be in a condition to withstand transport and handling

Size and packaging

Fresh avocados are classified according to Size Codes 1 to 30, with a minimum weight of 123 grams
(or for Hass 80 grams). In Europe, the preferred sizes for Hass avocados range between size 16 and
20 (for the Fuerte variety 14 to 16).

Packaging requirements differ between customers and market segments. They must at least be
packed in new, clean and quality packaging to prevent damage and protect the product properly.
Discuss packaging requirements with your customers.

Some general characteristics are:

4 kg cardboard boxes, often wholesale packaging

10 kg plastic or cardboard crates, often for importers that ripen and re-pack avocados
Make sure to use a controlled atmosphere during the logistical process.
Photos: ICI Business

Labelling
Consumer packaging labelling must comply with the rules and regulations applying to the
European market:

Labels cannot contain any toxic ink or glue

Products must be traceable using a coding system for individual lots
Labels must be in the English language, unless buyers indicate otherwise.
The following items should be on the label of fresh fruit and vegetables:

Product name, including the name of the variety

The commercial identification: class, size (code), number of units, net weight
 Name and address of exporter, packer and/or dispatcher
Country of origin
Traceability code
Optional: certifications, for example organic (including name of inspection body and certification
number)
If your product is pre-packed for retail, check the additional requirements in the Codex General
Standard for the Labelling of Prepackaged Foods (CODEX STAN 1-1985) or Regulation (EU) No.
1169/2011

For more information on labelling, packaging and quality see also: Codex Alimentarius Standard for
avocados (CODEX STAN 179-1995). Always discuss additional requirements with your buyer.

2 . Which European markets offer opportunities for exporters of

avocado?
Avocado imports from developing countries continue to grow
Imports from developing countries such as Peru, Mexico, South Africa, Kenya and Colombia are
increasing, and their value exceeded a billion euros for the first time in 2017 (see Figure 1). The
remaining European imports, worth around half a billion euros, were mainly supplied by Chile (no
longer considered a developing country by the OECD) and Israel.

Since 2015, the total value of imported avocados has developed faster than the volume, indicating
good prices for suppliers. In the short term, you can expect the demand to remain high and
increasing.

Strong consumer demand all over Europe

Based on production and trade statistics, the total European consumption of avocados is
approaching 500 thousand tonnes, which is around one kilo per capita. This consumption rate is
still relatively low compared to, for example, the USA where people consume four times as much
avocados.

Traditionally France is the largest market for avocados and continues to be so. The United
Kingdom, Spain and Germany are also experiencing very strong growth.
Scandinavian countries are much smaller in terms of population but maintain one of the highest
consumption rates of avocados thanks to strong promotion and the attention to health food.

Tip:
Avoid the mistake of prioritising quantity over quality when exporting to a growing market.
In the end, wholesalers and retailers demand good quality produce and trustworthy
suppliers.

The Netherlands is the main trade hub for avocado

The Netherlands is the second largest non-producing exporter of avocados in the world. The
country is also responsible for almost half of Europe’s avocado imports. From there, large volumes
are re-exported to Germany, France, Scandinavian countries and in lesser extent to other countries.

Large ‘final’ destinations in Europe are France, the UK and Germany. In general, the European
market is expected to grow further in the coming years. Nevertheless, the market will remain very
competitive and importers favour larger producers because of supply certainty.

Tips:
Make sure that your product is of competitive quality and find trustworthy partners in
Europe to optimally benefit from the growing demand.

Consider using the established trade routes and find an importing partner in the
Netherlands. The Netherlands has become the dominant importing country for the
European market.

Find a European importer by presenting yourself at fairs like Fruit Logistica or Fruit
Attraction.
Spain complements production with import
With around 87 to 88 thousand tonnes per year in 2015-2016 according to FAOSTAT (and 55
thousand in 2017 according to other sources), Spain is the most important producer of avocados in
Europe (see Figure 3). But Spanish traders also purchase more and more avocados from abroad to
complement their own season and comply with international supply contracts. This makes Spain
Europe’s third-largest exporter of avocados after the Netherlands and Belgium.

Portugal also harvests around 14 to 18 thousand tonnes per year, but these data were not available
at the time of writing.

Tips:
Make sure that your production expansion is in line with market demand by keeping an
eye on market developments in the European avocado market and beyond, for example on
Freshplaza, FruiTrop, and FreshFruitPortal.

Find latest production statistics for fresh avocado production at the Statistics division of
the Food and Agriculture Organisation (FAOSTAT).

Hass most popular avocado variety

The green varieties are losing market share to Hass quickly. Green varieties are mostly sold loose
or in small nets, while Hass dominates the market for ready-to-eat avocados. Green varieties are
still sold because they have a different harvest period, but Western European countries mainly
favour the taste and ease of the ready to eat Hass variety.

The green varieties are more commonly seen in Italy and Greece. There are still prospects for
growth for green avocado consumption in Eastern Europe and other middle-income countries that
experience economic growth, although these markets do not have the same volume as Western
Europe yet. In these countries, the Hass variety is expected to replace a large part of the green
avocado consumption in the long term as well.

Tips:
Take account of market preferences when planning new plantings. In general, consumer
preference for green skin avocados is decreasing.

Stay up to date with consumer preferences in growing consumer markets, such as the
Scandinavian countries and Eastern Europe. For example, look for information with local
distributors in these countries.

3 . What trends offer opportunities on the European market for

avocados?
CBI’s Trends study provides you with general trends in the European market for fresh fruits and
vegetables. This section provides more details about specific trends in the market for fresh
avocados.

Convenience fruit
The consumption of avocado has been supported by new developments such as ‘ready to eat’ and,
more recently, frozen avocado. Consumers are prepared to pay a premium price for high quality
‘ready to eat’ avocados. The added value of taste and ripening fruit is setting a new standard.

Avocados that are ripened in Europe and sold as ´ready to eat´, should be picked when mature but
well before ripening stage. Fruit must be picked with a dry matter not lower than 23% and must be
uniform throughout the parcel.

Tip:
Make sure that your harvest and cold chain are perfectly managed. This is crucial to reach
the right quality that is expected by the European ripening companies and retailers.

Growing interest in sustainable fruit

Environmental and social issues are becoming more and more important in the supply of fresh fruit
and vegetables. This is also the case for avocados, for example in water usage during production.

Certification schemes that are in line with the Global Social Compliance Programme (GSCP) will
have a higher chance of being accepted by European supermarkets.

The general trends in fresh fruit and vegetables provide a further insight into different types of
certifications. See the buyer requirements below for fair and sustainable fruit production for more
information.

Tip:
Check the Global Social Compliance Programme (GSCP) website for more information
about social and environmental conduct.
Attention to health food
Consumers in Europe are becoming more aware of health issues and pay more attention to their
diet. Avocado fits well in this trend thanks to its good fats, fibre, vitamins and minerals. These
health aspects are used in the promotion of avocados and contribute to the increasing consumption
throughout Europe.

Organic niche
Thanks to the increased attention to health and environment, the interest in organically produced
avocados is also growing. The current supply does not fully satisfy the market demand due to the
difficulty of producing organic avocado.

Organic avocados are a growing niche and sold by both specialized and main retailers. It can be an
opportunity for growers that are able to produce according to the strict guidelines linked to organic
production methods, to sell their produce as organic. See the buyer requirements for organically
produced fruit below for more information on the requirements.

Tip:
Read more about organic farming on the Soil Association website.

Fluctuation in supply and price

Avocado has been a growing market for several years. Changes in production planning and climate
result in variation of supply and therefore also in prices. In 2014 prices dropped due to an
oversupply, while in 2015 and 2016 they started at a higher level because of poor or postponed
harvests in Peru and Chile. In general, importers in the European market favour larger producers
because of supply certainty.

Demand has remained strong throughout 2018, but prices have dropped steeply again due to an
oversupply. Dealing with products like avocados that are growing in popularity can also be risky.
This has resulted in a large number of (new) producers and it is hard to predict when supply will
exceed demand, or the other way around.

Tip:
Organise your supply well; get producers together or join cooperatives to increase your
export potential.

Strong promotion of avocados

In order to increase the demand for avocados, associations from producing countries such as Peru,
Chile and South Africa launch promotional campaigns. Similar initiatives can be seen in Europe,
such as an investment from the fresh sector in a restaurant chain dedicated to avocados. These
promotional offices and activities stimulate the consumption and are important for all companies
that are involved in the avocado business.
 Tip:
Join or cooperate with active associations that promote avocados from your home region.

4 . What requirements should avocados comply with to be allowed

on the European market?
Buyer requirements can be divided into (1) musts, requirements you must meet in order to enter
the market, such as legal requirements, (2) common requirements, which are those most of your
competitors have already implemented, in other words, the ones you need to comply with in order
to keep up with the market, and (3) niche market requirements for specific segments.

The food safety requirements for avocados are the same as for other fresh fruit and vegetables. You
can find a complete overview in:

The general buyer requirements for fresh fruit and vegetables.

The Trade Helpdesk that provides an overview of export requirements for avocados (code
08044000) per country.

What legal and non-legal requirements must your product comply with?
Minimise pesticide residues
Pesticide residues are one of the crucial issues for fruit and vegetable suppliers. To avoid health
and environmental damage, the EU has set maximum residue levels (MRLs) for pesticides in and on
food products. Products containing more pesticides than allowed will be withdrawn from the EU
market. Note that buyers in several Member States such as the UK, Germany, The Netherlands and
Austria, use MRLs which are stricter than the MRLs laid down in EU legislation.

Tips:
Find out the MRLs that are relevant for avocados by consulting the EU MRL database in
which all harmonised MRLs can be found. You can search on your product or pesticide
used. The database shows the list of the MRLs associated to your product or pesticide.

Reduce the amount of pesticides by applying integrated pest management (IPM) in

production. IPM is an agricultural pest control strategy that includes growing practices
and chemical management.

Read more about MRLs on the website of the European Commission. Check with your
buyers if they require additional requirements on MRLs and pesticide use.

Complying with phytosanitary requirements

Fruit and vegetables exported to the EU must comply with the EU legislation on plant health. The
European Commission has laid down phytosanitary requirements to prevent introduction and
spread of organisms harmful to plants and plant products in Europe. These requirements are
managed by the competent food safety authorities in the importing and exporting countries.
 Tips:
Verify with the National Plant Protection Organisation or food safety authority in your
country if and under which condition you can export avocados to Europe. These authorities
normally work with international standards, but always check with your buyer as well.

Read more about plant health in the EU Export Helpdesk.

5 . What additional requirements do buyers often have?

GLOBALG.A.P. and other certifications as guarantee
Since food safety is a top priority in all EU food sectors, you can expect most buyers to request
extra guarantees from you in form of certification. The most commonly requested certification for
avocado is GlobalG.A.P. GLOBALG.A.P is a pre-farm-gate standard that covers the whole
agricultural production process, from before the plant is in the ground to the non-processed
product (processing is not covered). The need for GLOBALG.A.P. also depends on the destination
country, market conditions and market channel. For example, it has become nearly impossible to
supply northern Europe without GLOBALG.A.P., since it is a standard requirement for most
supermarkets.

Examples of other food safety management systems that can be required are:

BRC (British Retail Consortium)

IFS (International Food Standard)
FSSC22000 (Food Safety System Certification)
SQF (Safe Quality Food Programme)
These management systems are additional to GLOBALG.A.P. and are recognised by the Global Food
Safety Initiative (GFSI).

Tips:
Check which Food safety management systems are most commonly requested in your
target market. Expect GLOBALG.A.P. to be one of them.

Read more on the different Food Safety Management Systems at the Standards Map.

As food safety is a major issue; work proactively with buyers to improve food safety and be
transparent and up-to-date with buyer requirements and regulations.

6 . What are the requirements for niche markets?

Growing demand for organic avocados
An increasing number of consumers prefer food products that are produced and processed by
natural methods. The market for organic avocados is relatively small, but with growing demand and
a limited supply.

In order to market organic products in Europe, you have to use organic production methods
according to European legislation and apply for an organic certificate with an accredited certifier.

Consider organic as a plus, not as a must, and be prepared to comply with the whole organic
process. Remember that implementing organic production and becoming certified can be
expensive.

Tips:
For more details about organic produce as a requirement, see the CBI buyer requirements
for fresh fruit and vegetables and consult the Standards Map database for information
about the different organic certifications.

Find importers that specialise in organic produce that understand the market and have
access to this niche market. Use databases such as Organic-Bio.

7 . What competition do you face on the European avocado market?

For general information about market competitiveness for fresh fruit and vegetables you can have a
look at the CBI’s Competition study available at the CBI market intelligence platform. The platform
also provides tips for doing business with European buyers.

In this section market entry opportunities and barriers as well as competition on company and
product level regarding avocados are listed.

Company competition
Main retails channels are difficult to access
The majority of fresh avocados in the European market are sold through large supermarket chains,
even more so in North-western Europe. The buyer power of large supermarkets is very strong and
so is the obligation to comply with their strict requirements. The companies that supply these
supermarkets are well organised and often have control over an important part of the supply chain,
from production to distribution.

The negotiating position of avocado suppliers towards European importers is gradually improving,
mainly thanks to the positive market developments. But competing with large experienced
suppliers and selling directly to retail clients is a very different game. As a smaller exporter it will
be extremely difficult to reach the main market channels for avocados if you are not part of a larger
supply combination.

Tip:
Improve your company’s performance by building relationships with experienced buyers
and become part of a long term retail programme.

More producers cover increasing demand

The worldwide production of avocados is increasing and competition is fierce. Temporary shortfalls
in supply or demand (e.g. through border closures or climate) have a huge impact on prices.

Mexico is by far the largest producer with a record production of nearly 2 million tonnes in 2017.
For Mexico the European market is an alternative to their usual North American focus and their
export to Europe has gone up significantly since 2015.

After Mexico there are several countries producing between 0.2 and 0.6 million tonnes of avocados
per year (2016 data), among which are the Dominican Republic, Peru, Indonesia, Colombia and
Kenya.
Although most avocados in Europe originate in Peru and Chile, other countries such as Colombia
are positioning themselves as a new upcoming suppliers thanks to an enormous increase in
production, although quality issues sometimes remain a major point of attention.

Smaller countries such as Guatemala are expected to become more significant suppliers in the
future as well. Here, producers have developed considerable production volumes and started their
export to Europe in 2017. Their exports in 2017 were around 700 tonnes destined for the
Netherlands and the United Kingdom, but strong effects will probably take a few more years.

Your competition from other countries is determined by the supply season (see supply calendar in
Table 2).

New markets provide a stable growth

With new markets coming up, such as China and India, the expectation is that the worldwide
demand will still be growing for a number of years. Worldwide the production is also increasing
rapidly but it will take a number of years before saturation will be reached.

Competition between buyers

Professionals in the avocado industry expect shortages in the near future. The avocado plantations
worldwide are expanding fast but they take time to reach full capacity and catch up with the
demand.

At the same time new consumer markets such as China have stepped into the global avocado trade.
Buyers in Europe are concerned that their suppliers will switch to markets with less strict
requirements such as Asia and the Middle East.

This competition between buyers can be a blessing for exporters that seek more flexibility in
product size and certification.

Tip:
Find more information about the supply of avocados in Europe on the websites of the
South African Avocado Growers’ Association (SAAGA) and FruiTrop.
Table 2: Supply calendar

Market entry
Certification and fulfilling both legal and non-legal requirements are major obstacles for producers
and exporters entering the market.

For avocados, quality during harvest and shipping is crucial and Corporate Social Responsibility
(CSR) is becoming increasingly important. Buyers also expect supply chain transparency and
information sharing and look for long-term partnerships to ensure product supply and quality.

Tip:
Establish a credible track record including transparent information on your company and
product quality.

Product competition
In the last decade the diversity of fruits and vegetables supplied to the European market has
increased; this increases competition from other products. Avocados are a multifunctional fruit that
can be used in salads, sandwiches, in spreads and sauces. There are no other products similar to
avocados, therefore the risk of replacement is limited.

Tips:
Do not compete on price alone, but build partnerships with buyers/ripening facilities and
strive for excellent product quality and handling.

Use storytelling (e.g. show its origin and producer), novel packaging and premium quality
as methods for setting your product apart. Ready-to-eat avocados are increasingly popular,
but require excellent logistical processes.

8 . Through what channels can you get avocados onto the European
market?
For more general information about market channels and segments, you can have a look at the
Market Channels and Segments section available at the CBI market intelligence platform. This
section provides some information about the various marketing channels through which fresh fruit
and vegetables are marketed in Europe.

Figure 6: Market channels for Fresh Fruit and Vegetables in the European market

Importers in the Netherlands form an important hub for the rest of Europe
The Netherlands and France are the main entry ports in Europe for avocados. Dutch wholesale
exporters deliver avocados to many buyers throughout Europe.

The Netherlands: Main trade hub for avocados

France: Large consumption market for imported avocados
Spain: Main producer of avocados in Europe, but also important processor and importer.

Tip:
If your focus is the European market as a whole, find your importing partner in a main
trade hub for avocados such as the Netherlands.

Avocados are mainly sold by retailers

Avocados are sold mainly in the retail. Large retail stores (so-called hypermarkets) in Spain and
France are a dominant market channel. Large retailers and North-Western Europe are premium
markets and generally consume high quality and ‘ready-to-eat’ avocados. Eastern Europe and Spain
(for processing) are able to absorb other avocado qualities as well.

Tip:
Choose an importer, based on the size of your company or strategy, keeping in mind that
importers/distributors differ in their relationship with the retail sector. Some are suppliers
for private label products, some have their own brand, while others market the brand of a
producer (cooperation).
9 . What are the end-market prices for avocados?
Consumer prices for avocados fluctuate
Consumer prices for avocados fluctuate according to quality, availability and segment.
Supermarkets in Western Europe generally sell a good-quality avocado for between 1 and 1.5 euros
per unit (‘ready-to-eat’ Hass quality).

Organic avocados are sold with a premium of 20% or even higher.

Not ripened or lower quality avocados are sold for much less. Also prices on street markets are
usually lower than in supermarkets.

When trade prices are rising, the retail market can resort to smaller sizes of avocados and this way
maintain a similar price per unit.

Pricing slightly lower in peak season

European avocado prices are slightly lower during the summer months when the product is
available from strong suppliers such as Peru and South Africa, whose peak harvest season extends
from May to August. Beginning and end of seasons are especially challenging to maintain product
quality, which means you have to keep a close eye on the maturity to avoid claims.

Retail prices do not reflect trade prices

Large retail chains or supermarkets often have programmes for avocados with their suppliers. The
retail prices and promotions are managed independently from those on the free market (spot). A
retail programme provides stability and the security of a steady supply volume, but prices are not
negotiable.

Tips:
For an indication of wholesale prices, find information at wholesale markets such as
Rungis. Remember that these prices only provide a limited insight into actual sales prices
throughout Europe.

For consumer prices you can check the online shops or assortments of supermarket chains
such as Tesco, Albert Heijn (search: ‘avocado’) or Carrefour (search: ‘avocat’).

Please review our market information disclaimer.

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