In 2007 Australia's 800 banana growers are estimated to have produced over 12.09 million 13-kilogram cartons of bananas with an estimated wholesale value of AU$ (TBA) million.
During the period 1993 to 2007 volumes of Australian bananas through the central markets fluctuated from 234,703 tonnes in 1993 to a low of 206,343 tonnes in 1999 and a record 275,945 tonnes in 2003. Over this thirteen-year period volumes of Queensland fruit generally increased while volumes of New South Wales fruit generally declined, which was obviously not the case in 2006 due to the Cyclone Larry devastation of the North Queensland banana industry. See Table 1.
Table 1 - Australian Banana Market Throughputs (tonnes) by State of Origin, 1993-2007
Year
Queensland
New South Wales
Northern Territory
Western Australia
Total
1993
159,039
58,067
1,073
16,523
234,703
1994
135,870
61,111
1,786
14,346
213,114
1995
149,309
49,074
1,130
16,165
215,678
1996
152,773
49,927
2,172
12,754
214,625
1997
147,705
48,067
2,625
12,494
210,890
1998
187,322
35,049
3,050
8,581
324,002
1999
156,302
35,157
4,243
10,641
206,343
2000
179,493
29,788
4,105
7,741
221,126
2001
206,869
21,358
3,575
8,606
240,409
2002
207,429
17,212
893
7,213
232,747
2003
256,016
31,213
931
5,786
275,945
2004
236,883
10,031
856
5,819
253,588
2005
253,048
7,858
132
3,545
264,583
2006
88,852
11,352
203
4,647
105,054
2007
256,668
12,574
209
4,689
274,140
Note: Totals may not add due to rounding.
Sources: Queensland Fruit and Vegetable Growers, South Australian Banana Promotions Committee, Chamber of Fruit and Vegetable Industries Inc., Association of Australian Banana Wholesalers and Northern Territory Department of Primary Industry and Fisheries.
The Australian banana industry is a mature industry and while there are moves by some marketing groups toward innovative marketing practices the majority of sales are of generic, undifferentiated product.
Notwithstanding major changes in the marketing approach and allowing for seasonal factors (oversupply/undersupply swings, cyclones, exotic disease outbreaks, etc.), it can be expected that industry expansion should, as is the case with mature markets, at least follow population growth.
Banana Plant Types & Products
Bananas are predominantly consumed as fresh product with Cavendish bananas accounting for approximately 95% of the market. The remaining 5% is represented by Lady Finger bananas and other cultivars such as Goldfinger, Ducasse, FHIA 18, Red Dacca, Sucrier and Plantain, etc. The latter cultivars together represent less than 1% of the total market.
There is limited production in Australia of other products from bananas and banana plant fibre. Items as diverse as banana puree, dried banana, banana wine and handbags are produced on a very small scale. There has been interest in the development of a paper production facility at Mareeba where the pseudostems of plants, notably Lady Finger, are expected to be harvested to provide the long fibre required to produce paper. While a processing facility has not been constructed as yet interest has been expressed by both the local Council and people interested in contracting to supply the pseudostems.
Supply Chain
While approximately 55% of all fruit and vegetables are sold through the two major supermarket chains as much as 70% of all bananas may be sold through these two chains.
The following table gives an indication of the dollar value of the industry at various levels of the supply chain. Values are cumulative.
Table 2 - Supply Chain Value (Cumulative)
Supply Chain Sector
Low Value (AU$million)
High Value (AU$million)
Farm Gate
245
295
Wholesale
300
350
Distribution Centre
360
420
Retail
540
630
Using the 2003 market throughput figure of 275,945 tonnes (21,226,551 13-kilogram cartons) as an example, an industry Farm Gate value of AU$295 million (estimated high end) would represent an average return to growers of about AU$13.90 per carton which in turn represents an average retail price of about AU$2.28 per kilogram.
World Banana Production
World banana production in 2006 stood at approximately 70,756,347 tonnes of which Australia's share represents about 0.0015%. India was the world's largest producer, with 11.71 million tonnes of bananas produced. Table 3 shows production of bananas during 2006 for the world's five largest banana producers.
Ecuador is the world's largest banana exporter, exporting approximately 4,764,190 tonnes during 2005. Banana exports for the world's five largest banana exporting countries are provided in Table 4.
Under the Australian Banana Growers' Council's (ABGC) new Rules, which became effective on 14 October 2004:
banana growers may be members of ABGC directly, rather than through their State representative organisations, as was previously the case;
as members, banana growers are entitled to vote on the Board Directors for ABGC;
the ABGC Board is comprised of eight members, five of whom control commercial banana plantations in Queensland, two of whom control commercial banana plantations in New South Wales and one whom controls a banana plantation in either the Northern Territory or Western Australia; and
only commercial banana plantation owners located in the relevant State or Territory can nominate and vote for that State's or Territory's directors.
The Australian Banana Growers' Council publishes a six-monthly magazine 'Australian Bananas' that communicates research findings and national issues. A biennial congress, hosted by the Australian Banana Growers' Council, showcases the national industry and covers topical issues and research findings.
Industry communication occurs regionally via several channels including newsletters, field days and Local Producer Association meetings.