The Mexican Cartels Are Double-Dipping in the Guacamole || Peter Zeihan
Aug 16, 2024
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Peter Zeihan, a prominent geopolitical strategist and author, dives into the intriguing world of Mexico's avocado supply chain. He reveals how cartels are influencing avocado production, utilizing violence to secure their grip on this lucrative market. With concerns about potential supply shortages, Zeihan discusses viable alternatives, like sourcing avocados from North Carolina. This eye-opening conversation sheds light on the unexpected intersection of agriculture and organized crime, offering a fresh perspective on food security.
The influence of Mexican drug cartels on the avocado supply chain has forced growers to pay protection money and form self-defense groups.
The ongoing cartel violence poses a serious threat to U.S. consumers, highlighting the need for alternative avocado sources like North Carolina.
Deep dives
Impact of Cartels on Avocado Production
The avocado industry in Mexico is facing severe challenges due to the influence of powerful drug cartels, primarily the Jalisco New Generation Cartel and La Nueva Familia Mituacan. The Jalisco cartel, notorious for its brutal tactics, operates on a principle of instilling fear, leading avocado growers to form self-defense groups against their violent extortion practices. In contrast, La Nueva Familia is allied with the Sinaloa cartel and employs a more strategic approach, using violence as a means to expand their influence and diversify operations, including those related to avocado production. This environment of intimidation and coercion has created a troubling scenario for local farmers, who now must navigate both protection rackets and the threat of violence to maintain their livelihoods.
Future of Avocado Supply
The ongoing struggle with cartel violence in Mexico suggests a grim future for avocado supply, particularly for consumers in the United States. Around 10 to 15% of avocado growers are reportedly paying protection money to cartels, illustrating the widespread impact of organized crime on agriculture. As the situation worsens, it is becoming increasingly advisable for consumers to seek alternative sources for avocados, such as North Carolina, albeit it may lead to reduced year-round availability. The complexities of cartel dynamics and their infiltration into various levels of local economies highlight the urgent need for a comprehensive response to combat this pervasive issue.
*This video was recorded during my backpacking trip through Yosemite in the end of July. Unless you want to start buying your guacamole in dime bags, the US better start looking for some new avocado "dealers". Yes, we're talking about the cartels’ involvement in the avocado supply chains in Mexico.