The price of bananas in the U.S. continues to diverge from the European market. Although 2023 saw strong growth in the implicit export prices of fruit shipped to the two main markets (14% for the U.S. and 10% for the EU+UK), when comparing both destinations in terms of the compound annual growth rate over the last five years, U.S. prices have increased 1% more than in Europe (3.3% vs. 2.3%). In addition, per?capita consumption has been rising in the U.S., while in the EU it remains slightly below pre?pandemic levels.

Overall, fresh produce consumption is decreasing in Europe. According to a study by Interfel, fresh product consumption in the region declined by 3% in 2022— a trend that, according to the organization, continued throughout 2023 and 2024. Only 6 of the 27 countries are reaching the WHO?recommended daily intake of 400 g of fresh produce per capita, with the highest levels found in Greece, Belgium, and Italy.

Bananas remain the most consumed fruit in developed markets

Bananas are not only one of the most affordable fruits, but also among the most preferred by consumers in the U.S. and Europe. In 2023, according to The Packer, bananas were consumed by 83% of U.S. households, especially those with more children, with the highest growth potential on the East Coast and in the central region of the country. In Europe, according to Interfel, bananas are the second most consumed fruit, after apples and followed by strawberries.

2024 shows a preference for Colombian bananas in Europe

Since the beginning of the year, with Ecuador’s 5.84% increase in the minimum support price for banana growers, European importers have shown a greater preference for Colombian bananas. As of June, according to Eurostat, Ecuador’s banana imports into the region decreased by 2.4%, while Colombia’s increased by 18%. In absolute terms, Colombia’s growth more than offsets Ecuador’s decline.

The evolution of Fusarium Tropical Race 4 (TR4) remains a major concern

In South America, Colombia, Peru, and Venezuela are currently the only countries with confirmed cases of TR4—a disease with no known cure that can be devastating, as demonstrated by outbreaks in Taiwan and the Philippines. Colombia, the first of the three to report the disease, has worked the most with producers on prevention and control. Although only 19 confirmed cases have been reported, estimates indicate that Colombia has the largest number of hectares under quarantine: 3,927 hectares as of May 2024.

How are resistant varieties progressing in Colombia?

Around the world, efforts continue to develop varieties that are resistant to the disease while still producing fruit similar to the traditional Cavendish banana that dominates today’s market. Agrosavia, Colombia’s agricultural research authority, continues its search for a solution that will allow producers to plant without fear and keep international markets protected. Additionally, any new variety introduced will require research into post?harvest handling and ripening—processes that are critical for success in international markets.

Source: Dirección de Investigaciones Económicas, Sectoriales y de Mercado – Grupo Bancolombia.