Even after the ceasefire announcement, the situation for Indian banana exports to the Gulf is still dire, and freight is the main reason, says Sagar Rajput of Solapur-based Kulswamini Fruit Export. "The war‑related disruption has wiped out almost all of India's banana exports to Iran and the wider Gulf; around 95% of shipments have been closed for over a month."
According to Rajput, about 1200 containers of bananas were sent out during the peak Ramadan loading window, many of those on heavy credit terms. When the situation turned volatile, those containers were returned after Feb 28th when the war broke out. "By then, the total cost of return shipping, BL charges, and customs exceeded the value of the cargo. So the fruit had to be dumped with exporters and farmers bearing heavy losses."
© Kulswamini Fruit Export
Farm‑gate prices in India hover around USD 0.03 per kg, with farm rates for export-grade fruit touching only USD 0.07 to 0.08 per kg in week 15, Rajput mentions. "At the same time, freight has jumped from a typical USD 2,000 dollars per container to roughly USD 11,000. Even after the ceasefire announcement, the freight has gone up, not down. That price gap makes Indian banana exports to the Gulf entirely unviable," he stresses.
Ports such as Bandar Abbas, Chabahar, and Umm Qasr remain the main entry points for Indian bananas in the region, but high landed costs are eating up most of the margin. "In Iran, bananas are selling at about USD 12-13 per 13 kg box, in Saudi Arabia at USD 12, in Iraq at USD 10, and in Dubai's market at USD 12.2. These markets are showing strong demand and short supply, but the freight wall is higher than the price upside."
© Kulswamini Fruit Export
With India effectively sidelined, Ecuador and the Philippines are stepping in to fill the gap. "Ecuador's fixed export policies, government‑supported vessel insurance, and stable freight structures give it a clear edge. Their rates are low, and the system is predictable, whereas here exporters are carrying the full risk," Rajput shares.
For Indian exporters, revival depends on two things: a sharp drop in freight and firm support for exporters and farmers. "Gulf demand is high, prices in destination markets are strong, but India's bananas are stuck at home. Even a 50% cut in container rates to around the 5,500‑dollar range would alter the export equation drastically. If not, around 90% of Indian banana exporters and farmers will continue to suffer heavy losses," Rajput concludes.
For more information:
Sagar Rajput
Kulswamini Fruit Export
Tel: +91 96 65 563 423
Email: [email protected]
Ameneh Sarzahi
Amu Mahan Energy
Tel: +98 910 858 3235
Email: [email protected]
