Broccoli market insights for the United States and Latin America.
From an agricultural perspective, broccoli is a versatile and profitable crop, adaptable to different climates and suitable for rotation with other crops. Its global demand has grown due to its nutritional properties, driving production and export in various countries.
However, it faces challenges in terms of pests and diseases, as well as post-harvest logistics and standards for food quality and safety. Producers must adequately handle these issues to maximize their profitability and meet market expectations, especially internationally.
Volume of Broccoli Imported by the United States
In 2022, Mexico led as the provider of broccoli to the United States, contributing 51.8% with 290,819 tonnes. As of August 2023, it has registered 206,915 tonnes, an increase of 7.0% compared to the same period in 2022.
The internal production of the United States was the second-largest supplier, with 46.0% in 2022 and 258,349 tonnes, although as of August 2023 they reported 151,332 tonnes. Guatemala holds third place with only 1.5% in 2022. The Mexican supply is stronger between November and April, while the internal supply is constant, with a peak in April-June.
Price of Broccoli Imported by the United States
According to the USDA, the prices of conventional broccoli in 20 lb carton loose packaging have shown similar trends for both Mexican imports and Californian production, fluctuating between $5.71 and $28.38 per pack from 2018 to mid-2022.
However, in the second half of 2022, prices skyrocketed, reaching up to $42.70 for the Salinas-Watsonville product and $33.93 for Mexican broccoli, due to a decrease in production in the United States in late 2022 and early 2023.
Broccoli Production and Exports in Mexico
In 2022, Mexico increased its broccoli production by 6.0%, reaching 632,258 tonnes. The states of Guanajuato, Puebla, and Michoacán led the production, with 412,827, 47,358, and 39,018 tonnes respectively. Guanajuato also led in harvested area with 24,214 hectares and an average yield of 17.1 tons per hectare, although San Luis Potosí led this last indicator with 30.2 tons per hectare.
Dolores Hidalgo in Guanajuato was the main producing municipality with 8.8% of the national total. In 2021, 435,393 tonnes were exported, 73% of the production, mainly to the United States, in contrast to the 459,400 tonnes exported in 2020, which represented 79% of the total.
Broccoli Prices in Mexico
In 2022, the average annual price of “First Quality Broccoli” in Mexico was 20.31 pesos per kilogram, increasing 5.8% compared to the previous year, which was 19.19 pesos per kilogram.
Throughout the year, the price fluctuated, reaching its highest in December at 22.57 pesos per kilogram, and its lowest in August at 18.29 pesos per kilogram, showing notable stability in the product’s value with a difference of just 4.28 pesos between both months. It is worth noting that in the first semester of 2023, the average monthly price exceeded that of the same months in the previous five years (2018-2022), making it an indicator to watch for the rest of the year.
Production in Central and South America
According to FAOSTAT, in Central and South America, Guatemala, Ecuador, and Peru are the main producers of broccoli and cauliflower, although Colombia, Chile, and Venezuela also have significant production.
Guatemala led in 2021 with 119,009 tonnes, followed by Ecuador and Peru with 112,652 and 60,808 tonnes. While production in Guatemala and Ecuador has been stable, indicating maturity in the industry, Peru and other countries in the region have experienced a decrease in their production.
Learn more about the current broccoli situation
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Sources: USDA-AMS, FAO-FAOSTAT, SADER-SIAP, SE-SNIIM