Category: Economic and social impact
Economic analysis of avocado production systems: Market failures and policy distortions
This study aimed to evaluate competitiveness and profitability at private and social prices, and assess the impact of policies and market failures on avocado production in the State of Mexico. Data were collected from 11 high-density plantations with mature trees between January and July 2021. Three groups were formed, and the Policy Analysis Matrix revealed that all Avocado Production Units (APUs) were profitable at private prices. APU 3 remained competitive when land costs were included, but none
Competitiveness of Mexican avocado exports to the United States based on external macroeconomic variables: a multiple linear regression approach for the period 2012–2024.
Mexican avocado has become one of the most important agro-export products worldwide, with the United States as its main destination market. However, this high concentration exposes exports to the volatility of external macroeconomic factors. This article analyzes the impact of the U.S. Gross Domestic Product [GDP], Federal Reserve interest rate, U.S. inflation, and the peso–dollar exchange rate on the competitiveness of Mexican avocado exports during 2010–2024. Using a multiple linear regression
Methodological proposal for market risk assessment in agriculture: a case study of the Hass avocado
This study addresses agricultural risks as an emerging category in risk assessment and focuses on measuring market risk and its impact on producers and financial entities. Since the lack of measurement can limit producers' decisions and hinder access to financing and planning measures to mitigate or transfer risks, a methodology is proposed and validated to evaluate market risk in the agricultural sector through a case study focused on the Hass avocado in Antioquia. The results lead to quantifying
Business case analytics for avocado, chili and poultry value chains in Rwanda: Implications on Job Creation
Globally, agricultural value chains are undergoing rapid transformation driven by technological advancement and the need for sustainable development. While developing agencies increasingly recognize agriculture's potential for job creation and economic growth, systematic approaches to evaluate business cases that combine both financial viability and social benefits remain scarce. We address this knowledge gap through employing an innovative analytical framework to assess business cases, focusing
Does Contract Farming Improve Income of Smallholder Avocado Farmers? Evidence from Sidama Region of Ethiopia
Contract farming is considered the most effective income-generating strategy for smallholder farmers and a significant source of foreign currency in Ethiopia. Avocado farmers in the study area made a contract agreement with the Savando avocado oil processing company, which is part of the Yirgalem agro-processing industry. The main aim of this research was to look at the factors influencing avocado producers’ decision to participate in contract farming and how it would affect their income, using
Impact of Avocado Exports on Peruvian Economic Growth
The avocado has gained worldwide relevance due to its nutritional benefits, and in the last two decades, its consumption has experienced remarkable growth, driven by changes in eating habits, especially during the pandemic caused by the severe acute respiratory syndrome (SARS-CoV-2) virus. This boom has had a significant impact on exporting countries such as Peru, which stands out as a key driver of economic growth due to avocado exports. The present study aims to analyse the impact of avocado exports