Bananas market in Peru

Earlier Report Observations

From 2018 to 2021, the domestic market for fresh and dried bananas in Peru expanded steadily, with consumption volume growing from 1.96 million tons to 2.13 million tons. This increase occurred alongside zero imports and a gradual decline in exports.

In 2022, the market volume rose by 6% to 2.26 million tons. This growth was supported by producer investments in process improvements that extended product freshness to 20 days, enhancing consumer appeal. Simultaneously, product diversification, including the introduction of dried bananas, flour, and semolina, helped broaden the assortment and stimulate demand. However, rising production costs due to the new Agrarian Law, which increased the minimum wage by 24%, alongside global inflation and the impact of the war in Ukraine, put pressure on costs.

By 2023, the market volume stabilized at 2.27 million tons, reflecting only marginal growth. In monetary terms, however, the market grew by 10% to $1.75 billion, driven primarily by the ongoing effects of the Agrarian Law on labor costs, which led to price increases. Continued diversification of export products and a 15% rise in sector export revenue also contributed to higher value, despite lower physical export volumes for fresh and dried bananas.

Production bananas in Peru

In kind, 2017-2020, K t

Peru was among the world's leading banana producers from 2017 to 2020, ranking 14th globally by production volume.

Top producers of bananas, 2017-2020

World map of production of bananas, 2017-2020

Banana production in Peru grew for the third consecutive year. In 2020, the country produced 2 326 thousand tonnes of bananas, representing a 3.3% year-on-year increase. Between 2017 and 2020, production rose by 17.4%, which translates to an annualized growth rate of 5.5%.

Annual dynamics of production in Peru in kind, 2017-2020, K t

In value, 2017-2020, M $ US

In 2020, the value of banana output in Peru reached 1 635 million US dollars, marking a 4.8% increase compared to the previous year. From 2017 to 2020, production value grew by 12.2%, equivalent to an annualized rate of 3.9%. The largest decline occurred in 2019 at 2.1%, while the highest increase was recorded in 2018 at 9.4%.

Annual dynamics of production in Peru in value, 2017-2020, M $ US

Exports bananas from Peru

Exports in kind, K t

Banana exports from Peru declined for the second year in a row. In 2020, exports totaled 211.2 thousand tonnes, down 4.8% from 2019. Between 2017 and 2020, exports increased by 4.1%, equating to an annualized growth rate of 1.3%. The peak volume was reached in 2018 at 231.8 thousand tonnes, which also saw the largest increase of 14.2%.

Annual dynamics of product's exports from Peru in kind, 2017-2020, K t

From 2017 to 2020, the Netherlands (32.6% of exports in volume), the United States (24.5%), and Panama (9.2%) formed the core group of markets for Peru's banana exports, collectively accounting for 66.4% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Peru in kind, 2017-2020

Exports in value, M $ US

Banana exports from Peru fell for the second consecutive year. In 2020, export value amounted to 148.4 million US dollars, a decrease of 3.4% compared to the previous year. The highest value was recorded in 2018 at 168.4 million US dollars, which also experienced the largest increase of 12.8%. The most significant decline occurred in 2019 at 8.7%.

Annual dynamics of product's exports from Peru in value, 2017-2020, M $ US

Throughout 2017–2020, the Netherlands (33.0% of exports in value), the United States (23.9%), and Germany (9.0%) consistently held leading positions in Peru's banana export structure, together representing 65.9% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Peru in value, 2017-2020

Imports bananas to Peru

Imports in kind, K t

The market displayed volatility during the observed period. In 2020, Peru's banana import volume was recorded at 0.0 thousand tonnes, a sharp decline of 98.3% from 2019. The peak volume occurred in 2019 at 0.0 thousand tonnes, which also saw the largest increase of 906.8%. From the low in 2020 to the high in 2019, import volumes varied by a factor of 57.

Annual dynamics of product's imports to Peru in kind, 2017-2020, K t

From 2017 to 2020, Ecuador (62.7% of imports in volume), the United States (15.9%), and Chile (14.1%) were the main sources of banana imports to Peru, together absorbing 92.7% of total imports.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Peru in kind, 2017-2020

Imports in value, M $ US

The market showed an unstable trend over the timeframe. In 2020, banana deliveries to Peru amounted to 0.0 million US dollars, down 99.1% from 2019. The maximum value was recorded in 2019 at 0.0 million US dollars, which also experienced the largest increase of 1 252.5%. From the low in 2020 to the high in 2019, imports varied by a factor of 117.

Annual dynamics of product's imports to Peru in value, 2017-2020, M $ US

Over 2017–2020, Ecuador (63.9% of imports in value), Thailand (14.9%), and the United States (11.5%) were the primary suppliers of bananas to Peru, collectively comprising 90.3% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Peru in value, 2017-2020