Going bananas over bananas

Going bananas means getting excited in a positive or negative sense. This happened in both ways for the banana industry.

Last year’s banana exports generated positive excitement. Our exports increased by 37 percent from $1.07 billion to $1.37 billion from 2024 to 2025. But given a five-year perspective, that excitement will be negative. Compared to our $3.6 billion in 2020, our exports decreased by a devastating 54 percent.

DA’s action

What is the Department of Agriculture (DA) doing about this? Plenty. Agriculture Secretary Francisco Tiu Laurel Jr. created the Export Development Office in 2024, three months after he assumed office. Undersecretary Philip Young helped him carry out three strategic moves.

First, since there was no clear direction for the banana industry, Tiu Laurel ordered the formulation of a Banana Industry Revitalization and Export Development Plan. This was led by the private sector. Its main participants were the Philippine Banana Growers and Exporters Association (PBGEA), representing large Cavendish banana companies and the Mindanao Banana Farmers and Exporters Association, or MBFEA, representing small- and medium-sized banana growers and exporters.

Second, growers bought their costly input requirements largely on an individual basis. The DA mobilized the Food Terminal Inc. (FTI) to consolidate inputs such as fertilizer for bulk buying, with great cost savings. FTI was also harnessed to help in the other parts of the value chain.

Third, Fusarium wilt, otherwise known as the Panama disease, was the major factor in the damaging decrease in banana production. Not much was done to address this.

There is now a proposed memorandum of agreement (MOA) between Tropic and PBGEA regarding planting materials of gene-edited, disease-resistant banana varieties.

There is also a proposed MOA between the DA and the Taiwan Banana Research Institute, the main focus of which is developing banana varieties that are resistant to the Panama disease. It will also strengthen our banana industry through technology transfer, capacity development and the promotion of a sustainable and climate-resilient production system.

From almost no DA action in the past, there is now much activity. A first shipment of fresh Córdoba to New Zealand was sent out last July 11. Banana demo farms have been established in the major banana producing regions.

Revitalization

Banana Industry Export Revitalization Bill, now on its third reading in Congress, is aimed at increasing banana production to meet domestic and export requirements, strengthening cooperatives and farmer organizations and diversifying markets to regain the Philippines’ position as a leading banana exporter.

The bill provides for a banana industry development roadmap, a Banana Industry Development Council, trade and development promotion and a Banana Research Center.

While the bill awaits approval, most of its features can already be implemented with strong political will. The bill’s submission is an indication that the Executive Branch, though it has vastly improved in the last two years, can still make several more proactive moves for the banana industry.

Today, Philippine banana farmers face serious challenges. One example is market access to major markets. Japan’s tariff for Philippine bananas is 8 percent from April to September and 18 percent from October to March. This puts us at a great disadvantage compared to Vietnam and Cambodia. The tariffs for these countries are only 3.6 percent and 4.5 percent for the same periods.

Our government must now accelerate the commendable support it has given our banana industry in the last two years. It must also provide the structure and budget to support this strategy. This way, the next time we go bananas over bananas, it will definitely be in the positive, rather than the negative, direction. INQ

The author is Agriwatch chair, former secretary of Presidential flagship programs and projects and former undersecretary of the Department of Agriculture and the Department of Trade and Industry.

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