Mumbai: Geopolitical tensions in the Middle East have severely disrupted banana exports from Maharashtra, hitting key growing regions such as Jalgaon, Solapur and Baramati. Shipments to major West Asian markets have stalled, leaving containers stranded in cold storage and cutting off a crucial revenue stream for farmers.

Prices crash amid domestic market glut

With exports halted, large volumes of produce have been redirected to the domestic market, creating oversupply. Farm-gate prices have plunged from ₹18–₹22 per kg in February to ₹8–₹10 in March, and further to just ₹2–₹3 per kg in April, making banana cultivation economically unviable.

Heavy losses as input costs remain unrecovered

Banana farmers, who invested heavily in fertilisers, irrigation, labour and other inputs, are now facing massive financial losses. At current prices, growers are unable to recover even basic cultivation costs, with losses running into lakhs of rupees per acre.

Farmers destroy crops amid deepening distress

Unable to sell produce at viable rates, many farmers are abandoning harvests or using rotavators to destroy standing banana crops, converting them into manure. The year-long investment cycle of banana farming has intensified the impact, leaving little scope for recovery.

Shift to alternative crops gains momentum

Amid market uncertainty, farmers are increasingly shifting to crops like sugarcane, seen as more stable. The crisis has shaken confidence in banana cultivation, which had expanded in recent years due to strong export demand.

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Retail–farm price gap widens

Despite the steep fall in farm-gate prices, retail banana prices remain high at ₹50–₹60 per kg, highlighting a significant disparity. Farmers attribute the price crash partly to trader-driven dynamics in wholesale markets.

No direct relief for export-linked losses

Officials say there is currently no dedicated compensation mechanism to address losses caused by export disruptions linked to geopolitical issues. Existing crop insurance schemes are limited to weather-related damage.

Government measures focus on exporters

The Centre has introduced steps such as waiving ground rent for stranded containers, reducing refrigerated container charges, and launching the RELIEF (Resilience & Logistics Intervention for Export Facilitation) scheme to support exporters. However, farmers are demanding direct financial assistance and efforts to identify alternative export markets.