Exports of banana chip seen to drop by 10%

Exporters of banana chips are projecting a 10 percent drop in shipments this year due to the tight supply of local “saba” or  “Cardaba.”

According to Ruben See, president of the Manufacturers and Exporters Banana Chips Association of the Philippines (MEBCAP), there was a widespread destruction of Cardaba plantations caused by a series of typhoons last year. This, coupled with  a huge demand for saba in Luzon has resulted in a supply shortage, See said, adding  that “our projection is that there will be a slight decline in our total shipments for this year.”

Last year, MEBCAP reported that its members exported 37 million kilograms of banana chips to China, Singapore, Australia, the United States and the Middle East.

While business is brisk, See said local exporters have to contend with a decline in revenues because of the appreciation of the peso and an increase in production cost.