As uncertainty continues to cloud the future of Philippine banana exports to Iran, the country’s government is looking to increase trade of the fruit into China.
Philippine agricultural undersecretary Bernadette Romulo Puyat said the government believes China could provide an alternative market for bananas that will no longer be exported to Iran, reported the Manila Standard Today.
“Based on the trade map, our market in China is just 17 per cent `of total exports`. We figured there’s still room for growth considering China’s huge market potential,” she said.
Dicky Puyod general manager of grower-marketer Philippine Fresh Fruit Corp told Fruitnet.com that redirecting fruit to China could drive down prices there. The fruit would also be up against domestically grown bananas, Mr Puyod said.
He added that some players in the industry might also look to offload the fruit in other Gulf areas, which he predicted would lead to a price slump in those markets.
The Philippine government has stated there is no ban in place on Philippine banana exports to Iran, although Philippine Cavendish shipments to the country were among the slow moving commodities in Iranian supermarkets, reported the Manila Standard Today.
An industry source told Fruitnet.com Philippine bananas were not among a list of items Iran has banned.
The source did however say Iran was not issuing import permits for bananas from the Philippines.
Iran has banned the import of certain products from countries it believes to be allied with the US in response to sanctions imposed over Iran’s efforts to develop nuclear power.
