Banana Exports Fall Steadily Owing To low cost in Foreign Market
Date : December 24, 2012
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Low Pricing in the foreign market lead to a steep fall of the exports of the fruits from India despite being one of the greatest banana producers in the world thus further affecting Indian banana exporters.
According to the Industry's experts India and Brazil are the largest producers of Banana but India hardly has a significant share in the international trade, accounting for just 0.02 per cent of the total of 90.7 million tonnes. India while being the greatest producer of banana at about 28 per cent of world production, does not account as one of the banana trading nations. Total exports of banana from India are about 0.03 million tonnes out of the total exports of 14.58 million tonnes, constituting 0.02 per cent of world trade.
Indian Banana Exporters exported to United Arab Emirates, Saudi Arabia, Iran, Kuwait, Bahrain, Nepal, Qatar, Oman, Maldives and the Korean republic. In volume terms, Indian exports constitute 4.50 crore unit. In 2011-12, 21,525 tonnes of banana were exported of the total 2,56,767 fresh fruit exports from the country.
In value terms, banana exports slipped to Rs 29.39 crore (from Rs 81.19 crore in 2010-11) of total fresh fruit exports of Rs 735.83 crore in 2011-12. In 2010-11, it was Rs 495.98 crore. In volume terms, exports of banana stood at 34,711 units of the total fresh fruits of 2,54,900 in 2010-11.
The share of banana in total fresh fruit exports declined due to low pricing in the international market affecting the Organic fruit suppliers
The banana trade in the domestic market is highly unorganized and mostly undertaken by traders who do not invest in any infrastructure. The main markets that produce banana in India are Maharashtra, Tamil Nadu, Madhya Pradesh, Andhra Pradesh, Gujarat and Karnataka, accounting for 68.67 per cent of India’s production, the report said, adding banana ranks first in production.
Banana production has gradually increased in the last 20 years due to various factors like increase in cultivation area from two lakh hectares to 6.2 lakh, improved productivity and concerted efforts in banana research and development.