Mission Produce and Westfalia Fruit have formally declared force majeure due to a severe avocado supply shortage out of Mexico. The situation deteriorated rapidly — just two weeks ago supply looked adequate, but Mexico is now approaching the tail end of its season with volumes falling off a cliff. This is a significant escalation beyond the shortage alerts and price spikes reported in recent weeks.
Force majeure declarations are rare and signal that suppliers cannot fulfill contractual obligations through no fault of their own. For buyers, this means open purchase orders may go unfilled, summer promotional commitments are at serious risk, and sourcing teams need to be activating backup supply plans immediately. With Mission having just completed its acquisition of Calavo, the two largest avocado players in North America are both caught in the same supply squeeze.
Peru is the primary alternative origin right now, but it cannot fully offset Mexican volume at this scale. Expect prices — already reported above $43/carton — to push even higher in the near term. If you're running avocado promotions this summer, it's time to have a very direct conversation with your supply team.