Panama: Banana Market 2024

Banana Market Size in Panama

After three years of growth, the Panamanian banana market decreased by -0.6% to $X in 2022. Over the period under review, the total consumption indicated a mild increase from 2012 to 2022: its value increased at an average annual rate of +1.2% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, consumption increased by +67.9% against 2018 indices. As a result, consumption reached the peak level of $X, leveling off in the following year.

Banana Production in Panama

In value terms, banana production reached $X in 2022 estimated in export price. In general, production saw a noticeable contraction. The most prominent rate of growth was recorded in 2017 with an increase of 21% against the previous year. Banana production peaked at $X in 2014; however, from 2015 to 2022, production stood at a somewhat lower figure.

The average yield of bananas in Panama reduced remarkably to X tons per ha in 2022, which is down by -21.9% on the previous year. Overall, the yield, however, saw a buoyant increase. The pace of growth appeared the most rapid in 2016 when the yield increased by 353%. Over the period under review, the average banana yield hit record highs at X tons per ha in 2021, and then fell sharply in the following year. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, approx. X ha of bananas were harvested in Panama; shrinking by -4.5% on the year before. Over the period under review, the harvested area showed a slight downturn. The pace of growth was the most pronounced in 2021 when the harvested area increased by 9.9% against the previous year. The banana harvested area peaked at X ha in 2015; however, from 2016 to 2022, the harvested area stood at a somewhat lower figure.

Banana Exports

Exports from Panama

In 2022, shipments abroad of bananas decreased by -33.9% to X tons for the first time since 2015, thus ending a six-year rising trend. Over the period under review, exports, however, recorded a mild expansion. The pace of growth was the most pronounced in 2020 when exports increased by 16%. The exports peaked at X tons in 2021, and then declined notably in the following year.

In value terms, banana exports contracted remarkably to $X in 2022. Overall, total exports indicated a prominent increase from 2016 to 2022: its value increased at an average annual rate of +6.2% over the last six-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2019 when exports increased by 20%. The exports peaked at $X in 2021, and then plummeted in the following year.

Exports by Country

The Netherlands (X tons) was the main destination for banana exports from Panama, with a 71% share of total exports. Moreover, banana exports to the Netherlands exceeded the volume sent to the second major destination, the United States (X tons), fivefold. The third position in this ranking was taken by the UK (X tons), with an 11% share.

From 2016 to 2022, the average annual rate of growth in terms of volume to the Netherlands stood at -1.8%. Exports to the other major destinations recorded the following average annual rates of exports growth: the United States (+68.3% per year) and the UK (+17.7% per year).

In value terms, the Netherlands ($X) remains the key foreign market for bananas exports from Panama, comprising 71% of total exports. The second position in the ranking was held by the United States ($X), with a 14% share of total exports. It was followed by the UK, with a 12% share.

From 2016 to 2022, the average annual rate of growth in terms of value to the Netherlands amounted to +3.7%. Exports to the other major destinations recorded the following average annual rates of exports growth: the United States (+71.2% per year) and the UK (+18.2% per year).

Export Prices by Country

In 2022, the average banana export price amounted to $X per ton, with an increase of 12% against the previous year. Over the last six years, it increased at an average annual rate of +5.2%. The growth pace was the most rapid in 2019 when the average export price increased by 13% against the previous year. The export price peaked in 2022 and is likely to see steady growth in the near future.

Average prices varied noticeably for the major export markets. In 2022, amid the top suppliers, the highest price was recorded for prices to the UK ($X per ton) and the Netherlands ($X per ton), while the average price for exports to Hong Kong SAR ($X per ton) and the United States ($X per ton) were amongst the lowest.

From 2016 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Hong Kong SAR (+9.2%), while the prices for the other major destinations experienced more modest paces of growth.

Banana Imports

Imports into Panama

In 2022, approx. X kg of bananas were imported into Panama; which is down by -74% compared with 2021. Overall, imports showed a sharp setback. The growth pace was the most rapid in 2019 with an increase of 15%. Imports peaked at X tons in 2017; however, from 2018 to 2022, imports remained at a lower figure.

In value terms, banana imports fell sharply to $X in 2022. Over the period under review, imports faced a dramatic contraction. The most prominent rate of growth was recorded in 2018 when imports increased by 117%. Over the period under review, imports attained the peak figure at $X in 2019; however, from 2020 to 2022, imports remained at a lower figure.

Imports by Country

Colombia (X kg) and Costa Rica (X kg) were the main suppliers of banana imports to Panama.

From 2014 to 2022, the most notable rate of growth in terms of purchases, amongst the main suppliers, was attained by Colombia (with a CAGR of -43.6%).

In value terms, the largest banana suppliers to Panama were Colombia ($X) and Costa Rica ($X).

In terms of the main suppliers, Colombia, with a CAGR of -19.1%, recorded the highest growth rate of the value of imports, over the period under review.

Import Prices by Country

The average banana import price stood at $X per ton in 2022, jumping by 17% against the previous year. Over the period under review, the import price posted a buoyant increase. The most prominent rate of growth was recorded in 2018 an increase of 304% against the previous year. The import price peaked in 2022 and is likely to continue growth in the near future.

Average prices varied noticeably amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was Colombia ($X per ton), while the price for Costa Rica stood at $X per ton.

From 2014 to 2022, the most notable rate of growth in terms of prices was attained by Costa Rica (+59.7%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform