U.S. Halts Michoacan Avocado Inspections After $5 Million Cartel Target's Arrest

3 articles · Updated · Fortune · Aug 6

All U.S. government operations in Michoacan, including avocado export inspections, were suspended after a threat to U.S. interests, a move that could interrupt shipments from Mexico’s top avocado-exporting state.
Alfredo Ramírez Bedolla said the pause was meant to protect workers after arrests tied to avocado-industry extortion; state security officials identified one detainee as Alfonso Fernández Magallón, or “El Poncho.”
A $5 million U.S.-backed reward had been offered for Fernández Magallón, and 300 security personnel were deployed around Los Reyes, though Michoacan officials said they knew of no direct incident involving U.S. inspectors.
Mexico supplies about 80% of U.S. avocado imports, and Michoacan alone supports roughly 200,000 jobs; avocado exports to the U.S. reached $3.65 billion in 2025 and were up 35% in the first four months of 2026.
The USDA requires on-the-ground inspections of orchards and packing houses before exports can enter the U.S., and threats or violence against inspectors have forced similar suspensions before.