Update: Produce prices rise in California, due to extortion in Mexican farmlands
INTERNACIONAL
13-08-2024

Web
Publicado: 13-08-2024 13:07:04 PDT
Actualizado: 16-08-2024 15:41:29 PDT
Currently, there are higher prices, fruit shortages, and labor strikes
The indefinite suspension of activities by lemon producers in Michoacán is likely to cause a significant rise in fruit prices in the United States. Farmers have halted their operations due to a combination of low citrus prices and an increase in extortion by at least three drug cartels.
Guadalupe Mora Chávez, brother of the late Hipólito Mora, founder of the self-defense groups in the region, confirmed that the citrus sector continues to face threats and extortion, a situation reported by lemon producers since August 2023.
Mora, known in La Ruana, Buenavista Tomatlán, harshly criticized both federal and state governments for their lack of effective action against these illicit practices. In response, producers have decided to suspend their activities indefinitely in the orchards of Apatzingán, Buenavista, and Parácuaro in the Tierra Caliente region. This decision is due to the price disparity.
An anonymous producer revealed that the cartels have increased the "criminal tax" by 2 to 3 pesos per kilogram of lemon, an amount that is divided between the producer and the packing house owner. This tax is collected by organized crime accountants and distributed among cartel groups in Mexico, according to the news outlet El Financiero.
Carlos Torres Piña, Secretary of Government for Michoacán, announced that joint operations are being conducted with the Civil Guard, National Guard, and the Mexican Army to restore normalcy to the state's citrus activities.
Fruit distribution companies in the U.S. are deeply lamenting the situation, as it affects both merchants and families who are now facing higher costs.
Update: President Andrés Manuel López Obrador acknowledges extortion in "tierra caliente", Michoacán, is significantly affecting Lemon prices
President Andrés Manuel López Obrador has acknowledged that extortion in the Tierra Caliente region of Michoacán is significantly impacting lemon prices, particularly in the Buenavista area. In response to the situation, the Army, National Guard, and State Police have been deployed to protect producers. López Obrador expressed hope that the surge in lemon prices, which has reached up to 49.90 pesos per kilogram, will be temporary. Juan Carlos Anaya, director of the Agricultural Markets Consulting Group, noted that extortion is affecting the entire supply chain, driving prices up by as much as 43%.

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