Banana shortfall to the USA offset following Cyclones ETA and IOTA

Cyclones ETA and IOTA, which battered Central America in November 2020, caused major damage in the banana production zones of Honduras and Guatemala. Initial estimates reported that nearly 10 000 ha were affected, generating production losses primarily expected to concern the US market (see https://www.fruitrop.com/en/Articles-by-subject/Direct-from-the-markets/2020/Central-American-banana-impacts-of-two-successive-cyclones-ETA-and-IOTA.).

In this initial review, it has to be recognised that from November 2020 to February 2021, cumulative imports to the US market shrank to just 2 % below average. There was a rapid recovery from the shock of the November cyclones, with the market suppliers reorganising. While there was a clear shortfall from Guatemala and Honduras between November and February, with - 8 % and - 50 % respectively by volume, i.e. a fall of 420 000 boxes/week, this was nearly completely offset by a surge from the other market suppliers. In particular, there were considerable increases from Costa Rica (+ 25 %), Colombia (+ 21 %) and Ecuador (+ 13 %), which in total shipped 350 000 boxes/week more during the November to February period. Although the Central American banana plantations are under reconstruction, a return to full production is not expected until spring 2022. Hence although it will be gradually phased out, this compensation by other suppliers should continue throughout 2021.

banana - USA - Imports November 2020-February 2021

banana - USA - Imports November 2020-February 2021