The banana prices in various production areas showed large fluctuations this week, resulting in a slight rise and then a slight fall of the overall banana price. Initially the price increased because supply was intermittent. Production areas delivered bananas, but only in small volumes. Banana farmers are holding out for high prices, and traders are rushing to Guangxi and Yunnan to purchase bananas.
The price of high-quality bananas in Guangxi reached 7 yuan [1.01 USD] per 0.5 kg for the first time in 3 years, and the price of bananas in Yunnan is approaching 6 yuan [0.86 USD] per 0.5 kg. However, the price increase was artificial, so when banana traders turned to import bananas, the price of domestic bananas quickly readjusted.
Bananas
People in the industry say that the main banana supply still comes from Guangxi this month, though supply from Yunnan, Laos, and Myanmar increases. The price fluctuation is therefore not great, and the price remains high. At the end of this month, however, when larger supply volumes come from Laos and Myanmar, and Guangxi maintains its supply volume, then the overall price is likely to come down as overall supply becomes abundant.
The overall surface area devoted to banana plantation, however, decreased in recent years. Banana production areas have limited capacity, which means that while the price may decrease, it will not decrease by much in the short term. It is likely that small fluctuations will continue throughout November.
Source: ncw365.com