Ecuador lowers banana export prices due to COVID-19


Ecuador lowers banana export prices due to COVID-19

06/19/2020

In January-April 2020, Ecuador exported 140 million boxes of these products, which is 10% higher than the result of the same period of the previous year.

Over the past few weeks, export prices for Ecuadorian bananas have dropped significantly due to the effects of the COVID-19 pandemic, EastFruit reports citing Fruitnet.

Thus, according to Acorbanec (Association of Banana Exporters of Ecuador), prices on the global spot market are currently much lower than the usual levels for this period. In mid-June, exporters managed to sell a box of bananas for $ 3.5, while the minimum level of purchase prices for producers in the country was set at $ 6.3 per box.

Richard Salazar, spokesman for Acorbanec, expects low spot prices to remain in place until early August. According to him, the demand for bananas is now quite high, but buyers are not ready to pay a high price for these products. Moreover, the banana supply from Ecuador to the world market has increased significantly.

See also: Turkey intends to soon become an exporter of bananas

According to Acorbanec, the total area under banana plantations in the country grew by 4 thousand ha in 2019. As a result, the export of Ecuadorian bananas in physical terms increased this year: in January-April 2020, the country exported 140 million boxes of this product, which is 10% higher than the result of the same period last year.

As a result, banana exporters from Ecuador found themselves in a rather difficult situation when the increase in supply and lower prices in the global spot market coincided with a number of other factors in the importing countries. So, China, Russia and Europe are not ready to pay a high price for bananas at the moment, Algeria has set import restrictions to prevent the leakage of foreign currency after falling oil prices, and in Argentina, the economic situation continues to worsen.

Eastfruit

The main news and analysis of the fruit and vegetable market on Facebook and Telegram East-Fruit.com

Subscribe!

Using the materials of the site is free if there is a direct, open for search engines, hyperlink to a specific publication of the analytical platform East-fruit.com.






->

.