Eye domestic market for surplus bananas

By Lorie A. Cascaro

Banana industry stakeholders in the Davao region are considering the domestic market for their surplus bananas earlier earmarked for exportation to China.
Although there has been no official ban on Philippine bananas by the Chinese government, an average of 1.1 million to 1.3 million boxes of Cavendish bananas a week or 70% of Philippine exported banana worldwide are barred from entering China, according to data from the Pilipino Banana Growers’ and Exporters’ Association (PGBEA).
The current situation is considered alarming, especially for small banana farmers in the Davao region, according to Romeo Garcia, president of Mindanao Federation of Banana Growers and Exporters Association, during the consultative meeting of banana industry stakeholders last Friday at the Department of Trade and Industry (DTI) 11 office here.
It was the consensus in the meeting that promotion of domestic consumption could be achieved through business linkages, feeding programs and media blitz.
In transporting the bananas to Luzon, the freight of a 10-footer container van containing 600 boxes of bananas costs P22,000, excluding hauling and other logistic expenses.
“It is very expensive for the farmers,” said Garcia, adding that they lack the capacity to market in Manila, therefore, they should tap shipping industries for free or discounted freights.
He said small farmers have lowered their prices to P129 per box of 13.5 kilograms of bananas, but it is actually a losing proposition, if not break even.
Citing the Cabotage law which makes shipping from Mindanao to Manila more expensive than to other countries like Singapore, DTI 11 regional director Marizon S. Loreto said banana producers must agree on their prices first.
A representative from DA 11 told stakeholders that they can utilize some 80 trading posts or “bagsakan” centers of agricultural products in barangays and municipalities in the region.
Funds
Domingo Ang, chairperson of the PhilExport’s assistance board, pointed out that an emergency fund should be raised, either from the LandBank of the Philippines or Asian Development Bank, saying, “Somewhere there is a fund, and it only needs political will.”
He added that the government should save at least 4,000 hectares, if not the 40,000 hectares of banana plantations in the country.
Loreto said they may ask the Department of Agriculture (DA) to realign the budget, particularly the one to address Fusarium wilt, a severe disease of banana plants caused by a fungus.
Garcia proposed to Agriculture Secretary Proceso Alcala a financial assistance to minimally maintain banana areas so that they will be easily rehabilitated and operations will resume easily once the market returns.
He also noted that the Department of Social Welfare and Development (DSWD) may allocate a budget from their feeding program to buy the surplus bananas from small farmers.           Loreto said she may discuss it with the regional director of the DSWD for possible local arrangements while Alcala mentions it to DSWD Secretary Dinky Soliman.
Pointing fingers to put blame for the temporary holding of export bananas to China is already out of discussion, said Loreto, as the DA’s Bureau of Plant Industry, plant quarantine service, will be there in China to settle the issues on banana quality.
She told stakeholders, “As I’ve said, hindi mahirap kausapin ang Chinese, pero mahirap kalabanin ang China.”
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