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Exchange ratesmore »
Rwanda: Consumers celebrate banana price fall that forces grower's rethinkBanana growers in the Eastern Province, anticipate prices that peaked at Rwf 80 per kilogram early January to drop to below Rwf 20 per kg by the end of this month.
Authorities are thought to have ruled out government intervention in banana pricing.
Nepomscene Ndayambaje, a banana grower in Ngoma District, said that low market prices were forcing some growers to consider leaving the industry completely.
"Banana production is no business...the prices on the local market are very disturbing. Production tends to increase in dry seasons...deep in remote communities, some farmers leave bananas to rot in plantations instead of selling at almost zero prices," he said.
However, the fall in prices is being welcomed by consumers said David Sabiti, a teacher in Nyamata.
"Production levels are certainly on their way up and this is good news for every consumer. Food can be very expensive when there is scarcity.
"It is normal that the price drops when production increases...you know the law of demand and supply works," he said.
Publication date: 2/13/2012
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