MEXICO

Feedback from the Trade on Their Plans and Interest in the USA Pear Season:

Importers mentioned that they continue being interested in importing USA Pears, since their customers prefer this origin over others. Supplies at origin are a key factor now as well as price and quality. They are in close contact with their suppliers to assure good volumes to keep supplying the Mexican market. Though some quality problems have been reported, sales are good even with the competition from Argentina. Importers expect to continue handling northwest pears until mid-July.

Expectations for Any Freight or Logistics Challenges:

To date, no freight or logistics issues have been reported that could impact the import process.

Opportunities in Your Market for Specific Varieties, Sizes, and Grades:

Importers mentioned that their customers are requesting USA Pears in large sizes, as Argentina is supplying medium to small sizes. At this time, Anjou variety has the higher demand, but Red Anjou has shown good acceptance. In terms of quality grades, the Mexican market is open to handle from US#1 to third grade.

Update on the Competition in the Market:

Pears from Argentina reported 59% pear market share at wholesale level, 30% at supermarket stores and 45% at traditional channels. Quality and sales were reported as good and it is expected that volumes will increase for the next month. Pears from Chile reported 5% pear market share at wholesale level, in supermarket stores 31%, and 4% at traditional channels. Quality and sales were reported as good, and volumes will increase for the upcoming period. Pears from China reported 1% pear market share at wholesale level, 5% in retail stores, and 1% at traditional channels. Quality was good but sales were low due to price. Volumes will continue at the same level for the upcoming month. Importers have started to receive quotations from California to import Bartlett and Bosc varieties. They mentioned that there is good opportunity for both varieties, but price at origin will be a key factor in order to be competitive against pears from Argentina and Chile.

Political or Economic Issues Impacting Imports, Retail, or Consumer Behavior:

The exchange rate has remained stable, which has helped importers to continue offering a steady price to their customers. Importers are following the current situation in the Middle East to see if the situation could affect the exchange rate and have an impact on their imports.

Other Brief Comments:

According to the National Institute of Statistics and Geography (INEGI), inflation in Mexico eased in the first half of June, reaching 4.51%, a slight decrease from the 4.62% previously recorded and in line with market expectations. Headline inflation is showing signs of cooling, but core inflation, which excludes volatile items such as energy and food, rose slightly to 4.20%, reflecting internal pressures on the economy that have not fully dissipated.