Chipotle guacamole extinction fears are growing as the news spreads that global warning is doing a number on the avocado crops. With avocados being the main ingredient in the green paste-like substance called guacamole, this has folks now worried that Chipotle guacamole will soon be a thing of the past, according to MSN News on March 5.
It seems that a business risk assessment done by the company started the mass worries that the Chipotle guacamole may soon be extinct. It sounds as if these worries are similar to the Velveeta fears around the Super Bowl this year. There was going to be a shortage of the cheese, but it just didn’t happen after all the hoopla.
The buzz started when someone pointed out the what appeared in Chipotle’s 10-K filing, which was completed in February and under the heading of “Risks to Business.”
"Increasing weather volatility or other long-term changes in global weather patterns, including any changes associated with global climate change, could have a significant impact on the price or availability of some of our ingredients."
It is when the beloved ingredient was actually named, that the red flags went up for the guacamole lovers everywhere. The 10-K also stated:
"Alternatively, in the event of cost increases with respect to one or more of our raw ingredients, we may choose to temporarily suspend serving menu items, such as guacamole or one or more of our salsas, rather than paying the increased cost for the ingredients."
Chipotle’s communication director Chris Arnold took to the media for some damage control saying that this is way “overblown.” This was part of their routine risk factor for the business. The document requires them to name potential risks in the future, such as rising food cost.
The company would have to be hard-pressed to take guacamole out of the offerings that appear on their menu. This would be like McDonald’s doing away with their special sauce for the Big Mac. Both would be a bad business move.
According to MSN, ClimateProgress referred to a 2006 study stating that California avocado crops will likely suffer a 40 percent drop over the next 32-years. They also said that Chipotle’s green business dealings are with the small avocado farms, who are not equipped to weather the difficult conditions like the bigger farms.
As avocados become sparse, those smaller farms will have to raise prices, which usually means the price increase will be passed on to customers. This was over the next 32 years. For now Chipotle’s guacamole is safe!