As the summer holidays draw to a close, the operational manager of Ugpban-Fruidor, Damien Daubenton, has shared what he knows about the evolution of the banana market since the beginning of 2022. “During the 1st semester of 2022, the supply on the European market was clearly lower than in 2021 (-2%). The good dynamics in May (+3.1%) and June (+1.3%) were not enough to reverse the downward trend of the beginning of the year.
The American origin is also lower because of Ecuador which has been faced with a large deficit for the past 4 months. Africa has been maintaining its volumes thanks to the increase in production in Cameroon. As for the European banana production (West Indies + Canaries), it has decreased due to the eruption of the volcano of La Palma on the Canary Islands.
Our own volumes of Bananas of Guadeloupe & Martinique have increased slightly, exceeding the average of the past two years. The quality of the product is good, thanks to the dynamic plan of the sector as well as the favorable weather conditions.”
Regarding consumption, the demand has been very high in France (730 tons, compared to 590 tons in 2017). “However, this growth seems to have stalled, much like the European market. The Banana of Guadeloupe & Martinique progressed nicely over the summer. In this context of moderate supply, the market was balanced and fluid throughout the summer period. The stocks are therefore low as the holidays draw to an end.”
As far as prices are concerned, they have been relatively sustained, given the limited offer. However, they cannot compensate for the increase in production costs for the producers. “The limited availability of spot supply has helped keep prices above the seasonal average. However, these prices do not compensate for the increase in costs for the producers (fertilizers, cardboard…) which have continued to go up since the beginning of the year, reaching record highs at the end of May. Freight also represents a limiting factor. The price of oil and the congestion at the ports have reduced the exports of some origins.”
For more information:
Damien Daubenton
Ugpban - Fruidor
service.commercial@ugpban.com