Phl seeks new markets for bananas

The Philippines is looking at nine new markets for banana exports as the recent imposition of stricter sanitary and phytosanitary (SPS) measures by China has forced government to seek other buyers, an agriculture official said.

Bureau of Plant Industry (BPI) director Clarito Barron said among the new potential destinations are Israel, Egypt, Indonesia, Netherlands, Cambodia, Russia, Mongolia, Jordan and Pakistan.

“We are already following this up in their embassies,” he said. “Jordan and Pakistan are seriously asking for our bananas.”

In line with this, the government is strengthening the packaging capabilities of banana exporters by putting up additional banana packaging facilities in Davao that will comply to export standards.

Earlier, Barron said the United States have expressed interest in importing bananas from the Philippines but freight cost, which significantly increases the price of bananas to the US, is expected to make the fruit shipments uncompetitive with similar produce from South American countries.

He said US inspectors have already checked Philippine bananas for quality and further consultations are being conducted.

“The US government already gave us an inkling that they will be accepting our bananas. But in so doing, there are processes that we have to undergo,” he said.

In penetrating the US market, Philippine bananas will be strongly pitted against produce from South American countries such as Costa Rica, Puerto Rico and Ecuador which are more cost-effective to import because of their proximity.

The US has not yet committed an import volume for Philippine bananas but Barron expressed apprehension that the fruit shipments will suffer the same conditions as Philippine mangoes that stopped entering the US.

“Lately, our exporters have stopped the export of mangoes to the US because it is not competitive to mangoes from South America. One kilo of mangoes from South America costs $0.99 cents but Philippine mangoes will push $4 per kilo because of the shipping cost,” he said.

“Opening our banana market to the US is one thing, how feasible it is, is another. That is another thing that we have to conside,” he said.