Capsicum and pimenta fruits market in Mexico

Earlier Report Observations

From 2018 to 2023, the domestic market volume for fresh capsicum and pimenta fruits in Mexico showed considerable variability, primarily shaped by the interplay between production and export trends. The widespread adoption of protected agriculture, which represented almost 50% of national output, provided a foundation for consistent production throughout the year. Concurrently, strong international demand, especially from the United States, fueled export growth, with shipments rising from 641 тыс. т in 2018 to over 1 110 тыс. т by 2022, often redirecting supply away from the local market.

The market shrank notably in 2019 and 2021, when lower production coincided with higher export volumes, reducing domestic availability to 1 366 тыс. т in 2021. That year, a USITC investigation into U.S. imports of Mexican fresh peppers highlighted increased regulatory scrutiny. Ongoing industry challenges, including pest pressures, plant diseases, and rising costs for inputs and labor, periodically constrained production and profitability. However, continued investment in protected agriculture helped output recover, reaching 3 681 тыс. т in 2023 and lifting the domestic market to 2 571 тыс. т.

By the end of the period, Mexico had reinforced its position as the world's leading exporter of fresh peppers, with protected agriculture remaining a key pillar for production stability. While export orientation sometimes limited local supply, the underlying production capacity supported by controlled-environment farming allowed the domestic market to regain volume after downturns.

Production capsicum and pimenta fruits in Mexico

In kind, 2018-2021, K t

From 2018 to 2021, Mexico maintained its position as the world's third-largest producer of capsicum and pimenta fruits by volume.

Top producers of capsicum and pimenta fruits, 2018-2021

World map of production of capsicum and pimenta fruits, 2018-2021

In 2021, Mexico produced 2 584 K t of capsicum and pimenta fruits, marking a moderate decline of 8.3% from the previous year. Over the 2018-2021 period, production fell by 23.5%, with an annualized decrease of 8.6%. The sharpest drop occurred in 2019, at 19.6%, while the largest increase was in 2020, at 3.7%.

Annual dynamics of production in Mexico in kind, 2018-2021, K t

Exports capsicum and pimenta fruits from Mexico

Exports in kind, K t

Mexico's exports of capsicum and pimenta fruits have grown for the third year in a row. In 2021, exports reached 1 220 K t, a sharp increase of 54.5% compared to 2020. From 2018 to 2021, exports rose by 90.2%, with an annualized growth rate of 23.9%.

Annual dynamics of product's exports from Mexico in kind, 2018-2021, K t

Between 2018 and 2021, the United States was the primary destination for Mexico's exports in kind, representing 98.8% of the total volume.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Mexico in kind, 2018-2021

Exports in value, M $ US

Mexico's exports of capsicum and pimenta fruits in value terms have increased for three consecutive years. In 2021, exports totaled 1 544 M $ US, up 4.7% from the previous year. From 2018 to 2021, exports grew by 32.5%, with an annualized rate of 9.8%.

Annual dynamics of product's exports from Mexico in value, 2018-2021, M $ US

From 2018 to 2021, exports in value terms were heavily concentrated on the United States, which accounted for 98.8% of the total.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Mexico in value, 2018-2021

Imports capsicum and pimenta fruits to Mexico

Imports in kind, K t

Mexico's imports of capsicum and pimenta fruits have risen for the third year in a row. In 2021, imports amounted to 2 K t, a steep increase of 114.6% year-over-year. Between 2018 and 2021, imports surged by 405.6%, with an annualized growth rate of 71.6%.

Annual dynamics of product's imports to Mexico in kind, 2018-2021, K t

During 2018-2021, the United States was the key and nearly exclusive source for Mexico's imports in kind of capsicum and pimenta fruits, making up 100.0% of the total.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Mexico in kind, 2018-2021

Imports in value, M $ US

The data shows irregular fluctuations, reflecting a volatile market environment. Imports reached their lowest point in 2018 and peaked in 2020, with a 2.4-fold difference between these years. In 2021, imports of capsicum and pimenta fruits to Mexico totaled 2 M $ US, a decrease of 24.7% from 2020. The highest value was recorded in 2020 at 2 M $ US, while the largest increase occurred in 2019, at 84.4%.

Annual dynamics of product's imports to Mexico in value, 2018-2021, M $ US

From 2018 to 2021, the United States almost entirely dominated the geographical structure of Mexico's imports in value terms for capsicum and pimenta fruits, with a share of 100.0% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Mexico in value, 2018-2021