After experiencing a phenomenal second quarter this year, the next was followed by a 74.3% drop in EBITDA for Peruvian agribusiness Camposol.

The US$4.1 million third quarter result is explained mostly by a 15% average price fall for Camposol's signature crop, avocados, while a higher cost of goods and greater expenses put the strain on profits generally.

Tough trading conditions for avocados were responsible for around two thirds of Camposol's decline in gross profit. In other segments, pepper profits sunk 83.6%, artichoke earnings were 10 times less, and the asparagus account was cut by 15%.

Overall, total volume was fairly steady at 25,034 metric tons (MT), and sales were only down 2% at US$61.3 million.

Despite the low profit level for the period, in a release the company remained optimistic for the produce sector's bigger picture.

"The long term growth prospects for exotic fruits and vegetables markets are excellent.  Avocadoes and mango are growing, with headroom for increased per capita consumption in key markets," the release said.

"In the case of asparagus, although consumption is stable, supply is falling due mainly to reduced exports from China.

"The Company expects good demand for all fresh produce in general and for avocados specifically in both the United States and Europe."

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