Agronometrics Shorts:  Peruvian Asparagus Faces Challenges Amidst Changing Import Trends

The Peruvian Asparagus Importers Association (PAIA) recently unveiled its 2022/2023 Fresh Asparagus Statistics, Category Trends, and Demographics Report, shedding light on the dynamics of the asparagus market in the United States. According to data from the United States Department of Agriculture (USDA), 2022 witnessed a significant 13% year-over-year decrease in the volume of asparagus imported by the U.S. This decline, affecting both Peru and Mexico, can be attributed to a range of contributing factors, with adverse weather conditions playing a prominent role. Peruvian asparagus producers have grappled with several challenges in recent years. Freight rates, particularly air freight, surged during the pandemic, eroding profit margins and dampening the supply of asparagus from Peru. Furthermore, the demand for fumigation by U.S. health authorities as a prerequisite for market entry posed a significant barrier for many producers and inflated cost structures. Despite these challenges, per capita fresh asparagus consumption in the United States has shown a consistent upward trend. Preliminary statistics from 2021 indicate a notable 9% increase in per-person consumption of fresh asparagus, equivalent to 0.16 pounds per person. This consumption forecast has particularly bright prospects in the Midwest region of the United States. PAIA encourages retailers to leverage this anticipated rise in consumer demand. “According to Fresh Trends 2023, the Midwest region’s increase has surged from 23% in 2022 to an impressive 31% in 2023, ” says Priscilla Lleras, Executive Director of PAIA. Such a substantial increase presents a unique opportunity for retailers to engage in additional promotions, including cross-merchandising and value-added sales, which can lead to increased sales revenue.