Mexico Mango Market- Trend Analysis & Forecast to 2030

The Mexico fresh mango production size was 2.18 million tonnes in 2022 and witnessed a CAGR growth of 14% during the period from 2017 to 2022. The Mexico exports of mango stood at 494.88 thousand tonnes and earned a revenue of USD 530 million in 2022 (which is 41% higher compared to 2017).

The Mexico fresh mango market is a significant player in the global fruit industry. Known for its superior quality and diverse varieties, Mexico's mangoes are sought after in both domestic and international markets. The country boasts a large production capacity, with various regions contributing to the overall output. The market is characterized by a mix of small-scale farmers and large commercial plantations, offering a wide range of mango varieties to meet consumer demand.

Mexico Significance in the Global Supply of Mango

Mexico holds a prominent position in the global mango supply chain. It is one of the largest producers and exporters of mangoes worldwide. The country's favorable climate, suitable for mango cultivation, coupled with advanced farming practices, enables Mexico to consistently supply mangoes to international markets throughout the year. Additionally, Mexico's strategic geographical location allows for easy access to key export destinations, further enhancing its importance in the global supply chain.

The mango harvest in Mexico occurs from January through early October, with the highest quantities typically harvested between April and August. The primary mango-producing states, including Guerrero, Sinaloa, Chiapas, and Oaxaca, collectively account for 76% of the country's total mango production volume.

U.S. is the largest export market for Mexico and accounted for 62.3% share in Mexico total exports. Canada, Japan, Netherland, Spain, and France are some of the major importers of mango from Mexico. The USA imports nearly 550 to 580 thousand tonnes of fresh mangos annually.

Market Growth Driving Factors

The Mexico mango market is influenced by various factors, including consumer preferences, weather conditions, government policies, and international trade agreements. Fluctuations in supply and demand, currency exchange rates, and global economic conditions also impact market dynamics. Moreover, changing consumption patterns and emerging market trends play a crucial role in shaping the Mexico mango market.

Additionally, advancements in agricultural technology and infrastructure improvements support higher yields and improved quality, driving market growth further.

Market Challenges

The Mexico mango market faces several challenges, including competition from other mango-producing countries, price volatility, and logistical issues. Moreover, regulatory barriers, such as phytosanitary requirements and trade tariffs, can hinder market access and export opportunities. Furthermore, socio-economic factors, such as poverty and rural development issues, impact the livelihoods of small-scale mango farmers, posing challenges to market sustainability.

Fluctuations in international market prices and competition from other mango-producing countries pose challenges to market growth.

Mexico Mango Supply/ Value Chain Bottlenecks/ Challenges

The mango supply and value chain in Mexico faces several bottlenecks and challenges that hinder its efficiency and profitability. Key issues include inadequate infrastructure, such as poor road conditions and limited access to cold storage facilities, which result in high post-harvest losses and reduced fruit quality. Inconsistent quality standards and lack of certification among small-scale farmers also pose a challenge, making it difficult for Mexican mangoes to meet the stringent requirements of international markets. Additionally, fluctuating weather patterns, including droughts and irregular rainfall, impact mango production, leading to inconsistent supply and price volatility. Labor shortages, particularly during peak harvest seasons, further strain the supply chain, affecting timely harvesting and processing. These factors, combined with limited access to financing and modern agricultural technologies, impede the growth and competitiveness of the Mexican mango industry in both domestic and global markets.

Price Setting Power of Brazil

Mexico's mango price-setting power is moderate and influenced by several factors, despite being one of the largest producers and exporters of mangoes globally. Its ability to dictate prices is constrained by competition from other major mango-producing countries like India, Thailand, and Brazil, which collectively supply a significant portion of the global market. Seasonal production peaks in Mexico, primarily from March to September, lead to fluctuations in supply, which can impact prices. Additionally, the bargaining power of buyers, including large supermarkets and importers in the United States, the largest market for Mexican mangoes, often dictates pricing dynamics. While Mexico has some leverage due to its geographical proximity to the U.S., enabling shorter supply chains and fresher produce, this advantage is balanced by the necessity to comply with stringent quality standards and phytosanitary regulations, which can increase costs. Thus, while Mexico can influence mango prices to some extent, especially in the North American market, its overall price-setting power is moderated by global competition and market conditions.

Mexico Mango Market Competitive Analysis

The Mexico mango market is highly competitive, with both domestic and international players vying for market share. Key competitors include other mango-producing countries, such as Peru, Ecuador, Brazil, and India, as well as local producers within Mexico. Competition is based on factors such as product quality, pricing, branding, and distribution networks. Additionally, technological advancements and innovations in farming practices and post-harvest handling contribute to competitiveness in the market.

As of April 21, 2018, the EU and Mexico reached an agreement in principle within the broader Global Agreement. This signifies that the vast majority of trade in goods between the EU and Mexico, encompassing the agricultural sector, will now be free from duties. This initiative is aiding exporters in enhancing their shipments to European nations.

Among the domestic suppliers and exporters of mango are Agroproducto Diazteca, S.A. de C.V., Mexifrutas, S.A. de C.V., Fruxo, S.A. de C.V., Citrofrut, S.A. De C.V., Comercializadora México Americana, S. de RL de CV, El Grupo Crespo, Rodeo Fruit, S.A. de C.V., and others.

Key Companies in Mexico Mango Market include (Domestic Suppliers and Exporters),

■ Agroproducto Diazteca, S.A. de C.V.
■ Mexifrutas, S.A. de C.V.
■ Fruxo, S.A. de C.V.
■ Citrofrut, S.A. De C.V.
■ Comercializadora México Americana, S. de RL de CV
■ El Grupo Crespo
■ Rodeo Fruit, S.A. de C.V.

Future Outlook

In conclusion, the Mexico mango market presents significant opportunities for growth and development, driven by factors such as increasing demand, favorable climatic conditions, and expanding export markets. However, challenges such as market competition, regulatory constraints, and logistical issues need to be addressed to ensure the market's sustainability and long-term success.