Record Output, Falling Prices Trouble Banana Growers

KURNOOL: Banana growers across Andhra Pradesh are grappling with severe price uncertainty despite a bumper harvest this season. Officials estimate that output has increased by nearly 12 per cent compared to last year, with the peak harvesting period between March and April bringing more than 70 per cent of the total produce into the market.

However, the surge in arrivals has triggered a sharp fall in prices. Farmers say the current market rates have dropped to ?8,000–?12,000 per tonne, a steep decline from ?15,000–?25,000 recorded just a week ago. The glut, coupled with competition from other states and rising export costs, has added to their distress.

“We are getting good yields this year, but there are no remunerative prices. For every tonne, we are spending nearly ?8,000 on the main crop. At current prices, we are barely recovering our investment,” said Venkatashiva Reddy, a farmer from Parnapalle village in Pulivendula constituency of YSR Kadapa district.

Farmers noted that ratoon crops cost around ?4,000 per tonne, but even those are failing to fetch profitable returns. Traders warn that prices may decline further in May as arrivals from Maharashtra increase and the mango season picks up.

“There is too much supply in the market right now. Buyers are quoting lower prices citing arrivals from other states. If this continues, many farmers will incur heavy losses,” said N.Suresh Naidu. a trader in Nandyal market yard.

The export scenario has also turned unfavourable. International freight and insurance costs have surged significantly, making shipments less viable. Insurance charges per container have reportedly increased from ?200 to ?2,000, while freight costs have risen by ?40–?60 per tonne.

“Earlier, exports helped stabilise prices. Now, with higher transport and insurance costs, exporters are reluctant. This is indirectly affecting domestic prices as well,” said an exporter based in Anantapur.

Meanwhile, exports to northern markets have resumed, with produce being stored in cold storage units and shipped via refrigerated containers. Officials said plug-in refrigerated trucks are being cleared to facilitate movement.

Exporters have procured around 1.32 lakh metric tonnes of bananas from YSR Kadapa, Anantapur, Kurnool and Nandyal districts so far. However, global uncertainties, including tensions in key maritime routes, are casting a shadow over shipments.

The state government has stepped in, holding virtual meetings with exporters and traders and monitoring prices on a daily basis. Coordination efforts are underway with logistics players to ease bottlenecks. A horticulture officer from Kadapa district remarked that banana prices have witnessed significant fluctuations this year.

Adding to farmers’ woes, unseasonal rains in the past few days have caused damage to standing crops. In Kadapa district alone, banana plantations over nearly 52,000 hectares have been affected. Mango growers in parts of Rajampet, Chittoor, and Kurnool districts also reported heavy fruit drop due to strong winds.