Global supplies of bananas in 2013 could be severely affected by difficult crop
prospects in Ecuador and the Philippines. In Ecuador output projections indicate
a further decline in 2013 as the area under cultivation has shrunk. Government
estimates show planted area fell from 200 000 hectares in January 2012 to 171 000
hectares in February 2013. This decline, in part, reflects the pessimistic outlook of
Ecuadorian producers, since their bananas will struggle to remain competitive in the
European market where practically all other exporters will be paying a preferential
tariff, while Ecuador continues to pay an MFN duty rate. In the Philippines, weather
conditions have negatively affected banana production: About one quarter of the
banana crop in the Philippines was destroyed by Typhoon Bopha in December 20126.
Shipments of bananas from Central America and Colombia, on the other hand, will
remain solid, aided by the entry into force of the preferential duty rates charged on
exports to the EU. Exports from Colombia are expected to recover once the campaign
to eradicate Moko is successfully completed.
Global supplies of bananas in 2013 could be severely affected by difficult cropprospects in Ecuador and the Philippines. In Ecuador output projections indicatea further decline in 2013 as the area under cultivation has shrunk. Governmentestimates show planted area fell from 200 000 hectares in January 2012 to 171 000hectares in February 2013. This decline, in part, reflects the pessimistic outlook ofEcuadorian producers, since their bananas will struggle to remain competitive in theEuropean market where practically all other exporters will be paying a preferentialtariff, while Ecuador continues to pay an MFN duty rate. In the Philippines, weatherconditions have negatively affected banana production: About one quarter of thebanana crop in the Philippines was destroyed by Typhoon Bopha in December 20126.Shipments of bananas from Central America and Colombia, on the other hand, willremain solid, aided by the entry into force of the preferential duty rates charged onexports to the EU. Exports from Colombia are expected to recover once the campaignto eradicate Moko is successfully completed.
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