The increase in production caused the withdrawal of 11 million kilos that, during 23 weeks, reduced the prices received by the farmer to the 30 eurocents.
2015 It was not a good year for the Canarian banana sector, and the beginning of this 2016 It seems to be going down a similar path.. Although there was an increase in production and exports, This increase in supply led to the application of withdrawal measures (11 million kilos, between those delivered to Food Banks and those sent to landfill) So what during 23 weeks – which is almost half a year –, The prices received by farmers will not exceed the 30 cents, level that marks the limits of profitability.
Exports and market share of Canary Islands bananas.
Banana exports increased by more than one 3% compared to the previous year, surpassing the 347 million kilos, marking maximums compared to previous years.
The relative scarcity of bananas on the world market during the first half, due to inclement weather, marked the volume imported into Spain. The 228 million kilos of banana arriving at the ports represented a 12% less than in 2014, Still, it is the second largest record since 2006.
Like re-exports from the Peninsula (Canary banana and/or bananas that go mainly to Portugal) rose to almost 74 million kilos, The supply available in the Peninsula and the Balearic Islands increased by 2015 to 501,6 thousands of tons, also marking a new all-time high.
With these figures, the market share of Canarian bananas would have moved by 2015 between a minimum of 54% and a maximum of 69%, depending on how much of what was re-exported was plantain or banana, an issue that customs statistics do not cover.
However, given that the majority of those re-exports were to Portugal – the 90% of the total-, traditional destination market for excess supply of bananas from the Canary Islands, the market share of the latter must have been at 2015 closer to the 55% that of 69%.
[quote]Banana exports increased by more than one 3% compared to the previous year, surpassing the 347 million kilos, marking maximums compared to previous years.[/quote]
Calculated in this way the market share of the island banana, although they have improved a couple of percentage points with respect to 2014, the trend is negative in recent years.
Prices received.
According to data published by ASPROCAN and the Department of agriculture, those who produce bananas in the Canary Islands would have received around 41 cents per kilo of weighted average for its fruit from extra and first categories, a 14% less than in the previous year.
However, as usual, given the important seasonality of quotes, who cut the bulk of its production between the weeks 38 and 47 they received more than 70 cents, while those who did it between the week 25 and the 32 they did not receive but 20 cents, the latter being, In addition, the most affected also by the “pica”.
To all of the above we should add, with the effects that will be analyzed later, the decreasing trend of average prices paid to farmers in recent years, what, in a context of progressive increase in costs, is limiting the profitability of the crop.
However, This is a trend that does not correspond to that drawn by the prices of green sales upon the arrival of the fruit to the Peninsula.. According to information recently published by the European Commission, the last triennium has remained practically constant around the 86 cents, level that marked in 2015.
[quote]The unavoidable comparison with the prices received by those who grow the fruit, shows that the difference between these two links in the value chain would have increased since the 30 cents of 2012 to the 45 in 2015, an issue that should invite deep reflection by all levels of the sector.[/quote]
Less profitability, fewer people producing.
On the other hand, in the Official Gazette of the Canary Islands (BOC 7/2016) was published Resolution of the Ministry of Agriculture granting the “Aid to banana producers” established in Measure II of the Community Program to Support Agricultural Productions in the Canary Islands (POSEI), campaign 2015, corresponding to the first payment.
In 2015 they showed up 8.183 applications to benefit from said aid, of those that were accepted 7.437. What are the main features? Well 5.036 hectares received aid for growing outdoors and the majority of natural and legal persons –5,544, the 74,55%- they got less than 40.000 kilos on their farms, not jointly achieving but the 18,68% of the total volume sold.
On the other side of the scale, 354 people and entities –the 4,76%-, whose productions exceed 200.000 kilos, They collectively marketed the 48,28% of the Canary Islands bananas.
If the comparison is made with previous years, several issues clearly stand out. A, the thing is hectares cultivated outdoors are 106 less than there were in 2012. In addition, once again there are reductions in the number of requests for POSEI aid.
[quote]In 2015 there are 290 perceivers less than in 2012, which represents a loss of about two per week, mainly among those who produce less than 40.000 kilos per year.[/quote]
Of the, the 8.183 presented in 2015 son 203 less than in 2012 and far from the 8.500 producers referred to by the representatives of ASPROCAN. If only those who have actually received the aid are taken into consideration, in 2015 there are 290 less than in 2012, which represents a loss of about two per week, mainly among those who produce less than 40.000 kilos per year.
A question that It is not surprising given the progressive loss of market share for Canary Island bananas in their main destination. and the reduction in prices received by those who grow them, in a context of continued rising costs.
Juan S. Nuez Yanez. Economist.




