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State's avo commission hones strategy to meet import threat

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PALA —— It's OK to be angry, but accept the reality of increased competition from Mexico —— and know that there is a plan. That's the gist of the advice that leaders of the California Avocado Commission doled out Thursday —— along with some business strategies —— at the group's annual meeting at the Pala Casino and Resort. One strategy is to fuel the demand for avocados using tools such as nationwide advertising.

About 275 growers and packers attended the event in hopes of learning what the commission is cooking up to help the industry cope with added competition from Mexican avocado growers.

"Be mad that your future is now less certain than before," commission President and Chief Executive Officer Mark Affleck told the crowd. "After 10 years of 'imminency,' Mexico is here. But there is a plan."

Starting Monday, Mexican Hass avocado growers will be able to sell their fruit in 47 states in the United States year-round, per a policy change issued Nov. 30 by the Department of Agriculture. The change expanded from 31 the number of states in which Mexico, the world's leading producer of avocados, may sell its fruit throughout the year. Previously, sales of Mexican Hass avocados were restricted to between Oct. 15 and April 15 in many states.

California, Florida, and Hawaii, which lead the United States in avocado production, are exempted from the sales expansion for two years. The California Avocado Commission, which vigorously objected to the policy change, successfully lobbied for the exemption, pointing to concerns that crop-damaging pests might piggyback into the United States on Mexican avocados and groves.

The expansion of Mexican avocado sales is expected to result in about 141 million pounds of the fruit being imported into the United States each year, federal officials have said. The commission is looking at that figure being closer to 180 million pounds annually, and is contemplating how much the increase in Mexican avocados will bite into the California industry's share of the U.S. market.

Affleck and other commission leaders outlined strategies to build value for California avocados by establishing the fruit as an staple in consumers' kitchens.

After the meeting, North County grower Doug Marquart said that he applauds Affleck and the commission for their efforts.

"They're trying to chart a new course for California avocado growers," said Marquart, who grows avocados on 60 acres in Escondido. "The strategy is right on."

Among the strategies were plans for a nationwide advertising campaign, expansion of the commission's marketing team, and year-round public relations support for the industry. The plan also included AvoHQ.com —— an intranet that links packers, importers and the more than 20,000 avocado growers in various nations.

Launched in November, AvoHQ.com enables users to exchange crop and marketing information with the goal of creating a controllable flow of avocados into the U.S. market.

The intranet has been part of a campaign initiated by the Hass Avocado Board in 2004, to address the growing volume of Hass avocados in the U.S. market. The Hass Avocado Board, which represents all Hass suppliers selling fruit in America, was created two years ago to collect avocado promotion assessments from growers and importers.

Commission leaders said the advertising efforts are already helping increase awareness of California avocados. They cited commission data that show some shoppers are buying the fruit more than 5.5 times per month and that the average amount purchased is three avocados at a time.

The group is also trying to promote the fruit for use in foods linked to holidays and other celebrations: Commission marketers are trying to capitalize on the fruit's green color in dishes for St. Patrick's Day and continuing to build on guacamole's popularity at Super Bowl parties.

Growers also have a role in determining their future in this changing market, said Guy Whitney, the commission's director of industry affairs.

Whitney also outlined recommendations to growers, such as using proven irrigation-scheduling and soil moisture-monitoring tools to reduce water waste. Another recommendation called for growers to extend their harvest and run their fruit through more than one packing facility so growers can determine their best options and returns. That way, growers can reduce the risk of having all their fruit reach the market during the low-price cycle, Whitney said.

He also suggested growers keep up with market information by using the AvoHQ.com intranet site.

Roy Long, who grows avocados on 4 acres in Fallbrook as a side business, said the commission has some good ideas.

"The best thing I heard said here today was that they're trying to increase the demand," he said in an interview after the meeting.

San Diego County growers produced 63,606 tons of avocados in 2003, bringing in $146 million, according to the most recent crop report from the county's Department of Agriculture, Weights and Measures. About half of California's avocados come from North County and Southwest Riverside County. California produces about 90 percent of America's avocado crop.

Serving about 6,500 California growers, the Irvine-based commission is the industry's research and marketing arm. To access the intranet, log on to www.AvoHQ.com.

Contact staff writer Lorell Fleming at (760) 731-5798 or lfleming@nctimes.com.

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