Banana exporters in the Philippines are facing potential revenue losses of up to US$200 million due to disruptions linked to the conflict in the Middle East. The Philippine Banana Growers and Exporters Association stated that the region accounted for 12 per cent of banana export value last year.
The Middle East has been a growing market for Philippine bananas, with Iran emerging as one of the main destinations outside Asia. Data from the Philippine Statistics Authority shows that Iran recorded an average annual growth rate of 15 per cent between 2020 and 2025 and is now the fourth largest market for fresh bananas from the Philippines.
In 2025, exports to Iran increased by 81 per cent to US$97.52 million, compared to US$53.79 million in 2024. Export volumes reached 242,877.58 tons, up from 165,448.52 tons a year earlier. Iran accounted for 8 per cent of the total 3.04 million tons of bananas exported by the Philippines in 2025.
The Philippines ranked as the second-largest supplier of bananas to Iran in 2024, behind India, which benefits from lower logistics costs. The Observatory of Economic Complexity reported that the Philippines was the fastest-growing banana exporter to Iran between 2023 and 2024.
Across the Gulf Cooperation Council countries and Iraq, banana export value reached nearly US$95.5 million last year. Total exports to the Middle East increased by 60 per cent to US$193 million, compared to US$120 million the previous year.
"We were quite optimistic about the prospects in the Middle East market. Our shipments had just started to increase, and then the war broke out," said Stephen Antig, executive director of the Pilipino Banana Growers and Exporters Association. "So it is like we are back to square one. Some companies may have stopped exporting already to Iran to minimize the risk."
Exporters have been targeting the Middle East to diversify markets as demand in established destinations such as Japan and South Korea has stabilized. "Even if we cannot compete with India, we still have loyal customers who continue to buy Philippine bananas in Iran due to better quality," Antig said.
Overall, the Philippines exported 3.04 million tons of bananas in 2025, an increase of 30 per cent compared to 2.33 million tons in 2024. The Food and Agriculture Organization indicated that the country regained its position as the second largest banana exporter, supported by supply improvements linked to industry investments.
Source: One News
