The United States has suspended all government operations in Mexico’s Michoacan state, including required avocado inspections for export, citing a ‘threat to U.S. interests.’ The move comes after recent arrests tied to extortion in the avocado industry, though the U.S. Embassy has not specified the nature of the threat.
Michoacan Gov. Alfredo Ramírez Bedolla stated the temporary halt aims to safeguard workers, emphasizing the need to ensure security conditions before inspections resume. The state is the leading exporter of avocados to the U.S., supplying roughly 80% of U.S. avocado imports, a market valued at billions annually.
Security Measures and Cartel Activity
Michoacan’s State Security Secretary Antonio Cruz confirmed the deployment of 300 security personnel to the Los Reyes avocado-growing region as a preventive measure. He noted no direct incidents involving avocado inspectors but cited recent arrests, including that of Alfonso Fernández Magallón, alias ‘El Poncho,’ a cartel leader operating in the avocado industry. The U.S. government had offered a $5 million reward for Fernández Magallón’s arrest, which was welcomed by U.S. Ambassador to Mexico Ronald Johnson.
Organized Crime and Industry Impact
Michoacan is home to at least four cartels, some designated as terrorist organizations under the Trump administration, which engage in drug trafficking and extortion. The avocado industry has been a target of extortion, with cartels extracting payments from growers and exporters. The suspension of inspections could disrupt exports, though officials have not indicated a timeline for resumption.
Economic Significance
The avocado sector supports 200,000 jobs in Michoacan, where cultivation generates significant revenue. The state’s dominance in the U.S. market underscores the potential economic ripple effects of prolonged disruptions. Governor Bedolla emphasized that the priority remains restoring normal operations once security conditions are deemed safe.