Soaring banana prices mar Onam spirit

KOCHI: High prices of bananas are compelling consumers in Kerala to skip the fruit for Onam. Bananas have a pride of place during Onam as it is used in curries, as dessert or in chips.

Heavy rains that lashed Kerala last month and lower arrivals from neighbouring Tamil Nadu have pushed up the banana prices. The sales of bananas usually peak in the Onam season and a 10 to 15% increase in price is normal. But this time the prices have gone up by 30 to 35% and the commodity has become scarce.

Bananas are selling in the range of Rs 32 to 35 per kg, which is almost Rs 7-8 higher than the price level last Onam time. The prices were hovering around Rs 22-23 per kg a few weeks ago and the increase happened in the last two weeks
Sharp rise in prices have kept the demand sluggish. Mohammed Sadique, a wholesale banana trader, said the arrivals to Kerala from Mettupalayam in Tamil Nadu have dwindled. ���It is getting sold out at the source itself, which means the production is low,��� he added.

Any shortfall in the arrivals from Tamil Nadu is made up by the local production. But the downpour last month has caused considerable damage to banana farms in Wayanad and Idukki, the main crop supplying places in Kerala.

The Kerala State Civil Supplies Corporation, which is selling bananas at 10 to 30% less than the open market prices, has been sourcing it supply from Kerala. But marketing manager Vibhukumar said that this year it is buying 40% of its requirement from Tamil Nadu. Its daily procurement from Kerala and Tamil Nadu has gone up from Rs 6 lakh to Rs 30 lakh as Onam nears.

The state-run agency is selling bananas at the price at which it is procuring. Bananas are available at Rs 22 to 24 per kg in Wayanad as it is widely cultivated there. When it is supplied to other districts in Malabar, the transportation cost is added. ���But we make sure that it is sold at our outlets at least 10% less than the open market price,��� Mr Vibhukumar said.

Banana price escalation has been reflected in the sale of banana chips. The banana chips price has jumped to Rs 160 per kg from Rs 140 per kg a year ago with only cheap prices of coconut oil and palm oil keeping it from shooting up further.