Fresh banana exports from Cambodia witnessed a 24.4 per cent drop in the first half of this year compared to 2022, totalling 165,552.92 tonnes, as reported by the Ministry of Agriculture, Forestry and Fisheries.

Ministry spokeswoman Im Rachna attributes the decline in banana exports to market instability, climate change impacts on product quality, and unrecorded exports to Vietnam and Thailand.

“Although agricultural exports have slightly decreased, they haven’t affected producers or sales,” she said.

Rachna urged the private sector to diversify its purchasing partners, increase investment in the agro-industry sector and boost the export of processed products.

She disclosed that over 90 per cent of the Kingdom’s fresh bananas are exported to China, a significant market for Cambodian agricultural products including rice, cassava and mango.

The export of bananas and other agricultural products to China has greatly benefited Cambodian farmers and contributed to the sector’s development.

Hun Lak, director of Longmate Agriculture, a company that grows bananas for export to China, felt that 2023 began promisingly for banana exports compared to 2022.

He cited China’s reopened markets and increased demand coupled with slightly lower transportation costs as reasons. However, he felt the situation had deteriorated by mid-year.

Lak attributed the decline in banana exports in the first half of the year to weather conditions affecting cultivation in eastern Cambodia and unsatisfactory pricing.

“There are many problems with fresh bananas due to weather and low market prices. Some farmers have given up. The decline in price is global, affected by global crises, the Russia-Ukraine war, inflation and other issues,” he said.

Lak forecasted a more positive outlook for the latter half of the year, predicting that the primary market, China, may see a resurgence in demand as climate change issues are addressed.