However, the world’s growing appetite for the popular nutrient-packed green fruit is offering growers some relief, with increasing export demand for Australia’s produce, the report says.
In its recently-released Global Avocado Update 2024, Rabobank says production forecasts for the financial year 2023/24 Australian avocado crop are up by 20 per cent year-on-year (YOY) to 139,000 metric tonnes. This sees Australian avocado production at a record-high level.
This growth is driven by more than 1,500 hectares of avocado planting expected to reach maturity this year, bringing additional supply to the market, according to report co-author, RaboResearch analyst Pia Piggott.
“And expansion in Australian avocado production is set to continue with more than 4,000 hectares of orchards maturing in the next five years,” she said.
But while demand for avocados among Australian consumers continues to grow – with the local market increasing at a compound annual growth rate (CAGR) of 10 per cent over the past decade – Ms Piggott says the local market remains oversupplied, with prices languishing at low levels. And it is rising export demand which is offering the biggest market growth opportunity for the Australian industry.
Export opportunities
Ms Piggott says the export market, which accounts for 13 per cent of Australia’s total avocado production, has brought some relief to the oversupplied local market.
The Rabobank report
