Philippines barely hangs on as world’s 3rd largest banana exporter

MANILA, Philippines — The Philippines hung by a thread as it remained as the world’s third largest banana exporter amid stiffer competition posed by rising South American producers, according to the United Nations’ Food and Agriculture Organization.

The FAO published recently its global market review report for 2024 wherein Guatemala was unable to surpass the Philippines as the world’s third largest exporter of bananas.

Earlier this year, the FAO estimated that Guatemala may have surpassed the Philippines in terms of the volume of bananas exported last year.

However, with the full-year figures in, the Philippines maintained its position, although only by a small margin of 100,000 metric tons.

The Philippines, the FAO said, exported 2.3 million MT of bananas last year, ahead of Guatemala’s 2.2 million MT.

Furthermore, the FAO report indicated that Colombia also shipped 2.2 million MT of bananas last year, showing the tightening race among global banana producers and exporters.

For years, the Philippines has been struggling to keep its position in the global banana market. The country slid to third spot in 2023 after it was overtaken by Guatemala.

Last year, Costa Rica rose to become the world’s second-largest banana exporter with a total volume of about 2.4 million MT, according to FAO. Ecuador remained as the world’s top banana exporter with a total shipment of close to six million MT.

The FAO said banana production in the Philippines continued to be affected by pests and diseases, particularly the Panama disease.

Citing a report by The STAR, the FAO said the rising geopolitical tensions in the South China Sea also impacted the country’s banana exports.

The country’s banana exports fell by one percent on an annual basis last year, according to the FAO.

The STAR earlier reported that the government and banana industry stakeholders are looking at legislating a plan that will not just revitalize the country’s ailing banana sector but also salvage the country’s sagging market share abroad.

International trade data showed that the Philippines has been losing substantial market share in its key Asian markets to not just South American producers but also to neighboring Asian countries.

For one, Vietnam has upended the Philippines’ 20-year rule as the top supplier of bananas to China.