This is being posted again because there have been so many calls recently with the same problem - lack of good water management accentuated by lack of rain and salt damage.

When you see dieback in an avocado it could be due to several reasons, and here are three very common causes of dieback, one of which has been especially common when there is little rain. The first major cause of dieback is an overgrown tree where there is no light that penetrates into the canopy. Branches with leaves in a darkened interior will naturally shut down and dieback, leaving these twiggy dried out branches. This is a natural process whereby the tree just gets rid of leaves that are not performing.

Another cause of dieback is our old friend Avocado Root Rot, Phytophthora cinnamomi. This causes dieback, also called “stag horning” because of the dead branches standing out from the surrounding canopy. This is normally accompanied by a thinning canopy with smaller, yellow leaves and a lack of leaf litter because of lack of energy. It's also hard to find roots and if they are found, they are black at the tips and brittle.

http://www.ipm.ucdavis.edu/PMG/r8101311.html

The third major cause of dieback is a result of water stress. This shows up with low water pressure, at the top of the hill where the most wind occurs, where a sprinkler gets clogged, when the irrigation schedule is not meeting tree's needs or when there is not adequate rainfall to get sufficient leaching. And after four years of drought, this is very common. This appears as dead spots in the canopy, a branch here and there where the leaves have died and are still hanging. It's been called “salt and pepper” syndrome, because it can have a few branches here and there that have died back while the rest of the canopy is normal, the leaves are normally sized and green. In young trees, in severe cases, the fungus that causes this blight can work its way down to the graft union and kill the tree. In mature trees, it just causes an unthrifty look to the tree. Although we have always seen this problem in avocado orchards, this has become a very common affliction in orchards these last few years

http://www.ipm.ucdavis.edu/PMG/r8101311.html

1)      Lack of light dieback

2)      Phytophthora cinnamomi dieback

3)      Stem and Leaf Blight