Mexico is the main exporter of avocado in the world, while Canada is the seventh importer. To meet its domestic demand, Canada imports about 93.73% of avocados from Mexico. It is worth mentioning that, between 2003 and 2018, the average annual growth rate of Mexican avocado imports in Canada was 14.72%; while, from 2019 to 2021, this same rate averaged -4.65, that is, in this period Mexican avocado imports in Canada fell at an average annual rate of 4.65%. This research aims to determine the viability of increasing the annual growth rate of Mexican avocado exports to the Canadian market. To carry out the work, the avocado market between Mexico and Canada was represented in an econometric model and, with the results, a partial equilibrium analysis was carried out, simulating a 50% annual increase in exports. The results show that an increase in the amount of Mexican avocado exported to the Canadian market that results in an average annual growth rate of 50% is viable in terms of income. The simulation shows that the Benefit/Cost Ratio (B/C R) in avocado production for the states of Jalisco, Michoacan and the State of Mexico, in the hypothetical scenario, would be 1.4831, 1.4257 and 1.5322 respectively.
Published in | International Journal of Applied Agricultural Sciences (Volume 8, Issue 2) |
DOI | 10.11648/j.ijaas.20220802.15 |
Page(s) | 92-103 |
Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
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Copyright © The Author(s), 2022. Published by Science Publishing Group |
Avocado, Exports, Imports, International Trade, Profitability
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APA Style
Daniel Hernandez Soto, Maria del Carmen Cornejo Serrano, Patricia Galvan Morales. (2022). Profitability of Mexican Avocado Production in the Face of an Increase in Exports to the Canadian Market. International Journal of Applied Agricultural Sciences, 8(2), 92-103. https://doi.org/10.11648/j.ijaas.20220802.15
ACS Style
Daniel Hernandez Soto; Maria del Carmen Cornejo Serrano; Patricia Galvan Morales. Profitability of Mexican Avocado Production in the Face of an Increase in Exports to the Canadian Market. Int. J. Appl. Agric. Sci. 2022, 8(2), 92-103. doi: 10.11648/j.ijaas.20220802.15
AMA Style
Daniel Hernandez Soto, Maria del Carmen Cornejo Serrano, Patricia Galvan Morales. Profitability of Mexican Avocado Production in the Face of an Increase in Exports to the Canadian Market. Int J Appl Agric Sci. 2022;8(2):92-103. doi: 10.11648/j.ijaas.20220802.15
@article{10.11648/j.ijaas.20220802.15, author = {Daniel Hernandez Soto and Maria del Carmen Cornejo Serrano and Patricia Galvan Morales}, title = {Profitability of Mexican Avocado Production in the Face of an Increase in Exports to the Canadian Market}, journal = {International Journal of Applied Agricultural Sciences}, volume = {8}, number = {2}, pages = {92-103}, doi = {10.11648/j.ijaas.20220802.15}, url = {https://doi.org/10.11648/j.ijaas.20220802.15}, eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijaas.20220802.15}, abstract = {Mexico is the main exporter of avocado in the world, while Canada is the seventh importer. To meet its domestic demand, Canada imports about 93.73% of avocados from Mexico. It is worth mentioning that, between 2003 and 2018, the average annual growth rate of Mexican avocado imports in Canada was 14.72%; while, from 2019 to 2021, this same rate averaged -4.65, that is, in this period Mexican avocado imports in Canada fell at an average annual rate of 4.65%. This research aims to determine the viability of increasing the annual growth rate of Mexican avocado exports to the Canadian market. To carry out the work, the avocado market between Mexico and Canada was represented in an econometric model and, with the results, a partial equilibrium analysis was carried out, simulating a 50% annual increase in exports. The results show that an increase in the amount of Mexican avocado exported to the Canadian market that results in an average annual growth rate of 50% is viable in terms of income. The simulation shows that the Benefit/Cost Ratio (B/C R) in avocado production for the states of Jalisco, Michoacan and the State of Mexico, in the hypothetical scenario, would be 1.4831, 1.4257 and 1.5322 respectively.}, year = {2022} }
TY - JOUR T1 - Profitability of Mexican Avocado Production in the Face of an Increase in Exports to the Canadian Market AU - Daniel Hernandez Soto AU - Maria del Carmen Cornejo Serrano AU - Patricia Galvan Morales Y1 - 2022/03/23 PY - 2022 N1 - https://doi.org/10.11648/j.ijaas.20220802.15 DO - 10.11648/j.ijaas.20220802.15 T2 - International Journal of Applied Agricultural Sciences JF - International Journal of Applied Agricultural Sciences JO - International Journal of Applied Agricultural Sciences SP - 92 EP - 103 PB - Science Publishing Group SN - 2469-7885 UR - https://doi.org/10.11648/j.ijaas.20220802.15 AB - Mexico is the main exporter of avocado in the world, while Canada is the seventh importer. To meet its domestic demand, Canada imports about 93.73% of avocados from Mexico. It is worth mentioning that, between 2003 and 2018, the average annual growth rate of Mexican avocado imports in Canada was 14.72%; while, from 2019 to 2021, this same rate averaged -4.65, that is, in this period Mexican avocado imports in Canada fell at an average annual rate of 4.65%. This research aims to determine the viability of increasing the annual growth rate of Mexican avocado exports to the Canadian market. To carry out the work, the avocado market between Mexico and Canada was represented in an econometric model and, with the results, a partial equilibrium analysis was carried out, simulating a 50% annual increase in exports. The results show that an increase in the amount of Mexican avocado exported to the Canadian market that results in an average annual growth rate of 50% is viable in terms of income. The simulation shows that the Benefit/Cost Ratio (B/C R) in avocado production for the states of Jalisco, Michoacan and the State of Mexico, in the hypothetical scenario, would be 1.4831, 1.4257 and 1.5322 respectively. VL - 8 IS - 2 ER -