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Sunday, June 7, 2020 Vol. 15 No. 241
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LOST BANANA ‘BONANZA’ PHL fruit industry may have failed to capitalize on pandemic-induced demand for key export
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By Manuel T. Cayon
AVAO CITY—Banana’s lowcalorie and nutrient-dense popularity pushed the sales of the yellow fruit to other countries amid the virus pandemic, in contrast to the rest of its Top 10 peers in the orchards that all suffered a big fall in the global market.
Known for its compact array of nutrients, including fiber and antioxidants, the banana was among the in-demand fruits with a competitive and lucrative price tag. The harsh reality, however, stares local banana players in the eye. Banana exporters in Mindanao failed to get a firm hold of what could have been a great banana bonanza.
Loser almost by default
“FOR one thing we do not really have that much bananas because of Panama disease, which continues to ravage our plantations. So even
if the demand increased, we could only export so much,” Stephen A. Antig, executive director of the Pilipino Banana Growers and Exporters Association (PBGEA), told the BusinessMirror on Wednesday. The PBGEA is an association that groups the 33 major growers and exporters of banana, all doing their operations in Mindanao. The freight-on-board (FOB) value of all fresh banana exports for the first quarter of the year, or at the time of pandemic, was $489,154,438. This value was an increase of 1.74 percent compared to the price level during the same
period last year, according to the PBGEA, citing data released to the organization by the Philippine Statistics Authority (PSA). Ninety-five percent of this export of fresh banana is accounted by the Cavendish variety. However, the volume had actually decreased based on the monitoring of shipment reports, the PBGEA said. “The reason for the increase in value is due to high demand from foreign markets. Banana remains the most popular fruit during the pandemic because of its low price and nutritional value,”
the PBGEA pointed out.
Why popular?
WHILE the Department of Health said the fruit has no known curative effect against the coronavirus infection, its nutrients and vitamins are known to boost the human immune defense system, vital to combat any form of infection. Medical literature on banana shows no fewer than 10 nutrients and vitamins can be obtained from one finger of banana alone, making it nutrient-dense. Continued on A2
Cheap beach holidays target locals with airlines grounded By Michelle Jamrisko, Siraphob Thanthong-Knight & Nguyen Dieu Tu Uyen
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Bloomberg News
ITH cash flow drying up at Thailand’s popular beach resort of Phuket, hotels are racing to restart tourism—starting with local travelers.
“If nothing changes in the next three months, we won’t be able to afford paying for staff,” said Angkana Tanetvisetkul, president of the Kata Karon Business Association, which represents more than 40 locally owned hotels in Phuket. Across Southeast Asia—one of the most tourism-reliant regions in the world—hotels and travel businesses are slowly kicking into gear after countries like Thailand and Vietnam successfully flattened their virus infection curves and began easing lockdown restrictions.
While international leisure travel is still a long way off, hotels and airlines are slashing rates to lure locals. Even in countries where infection rates are still a worry, like Indonesia and Singapore, governments are hoping to reopen tourist hotspots like Bali and restart business travel to China and elsewhere. In Hanoi’s usually bustling Old Quarter, hotels are scrambling to welcome domestic visitors, and beach-goers are sporadically returning to resort towns like Danang. That comes as Vietnam’s tour-
PESO EXCHANGE RATES n US 49.9820
LOCAL tourists enjoy a swim at Bai Chay beach in Quang Ninh Province, Vietnam, on May 31, 2020. BLOOMBERG
ism revenue plunged by nearly half from January to May, compared to the year-earlier period. As many as 8 million foreign tourists could still come this year if the government opens borders early in the third quarter, but for now Vietnam is counting on an estimated 65 million domestic tourists to carry the industry this year. Do Tran Phuong, operating manager of Hanoi-based Mytravel Vietnam Co., says it costs as little as 2.7 million dong ($116) for local tourists to snag air tickets and two nights’ beachside hotel stay with the sort of deals airlines and hotels are offering. That’s a saving of more than 70 percent from before the pandemic. “That will give almost no profit, but just to prompt people to travel and resume their traveling sense again,” he said. “The population of over 90 million people is actually a very big potential market for us, especially when the virus epidemic is still going on in other countries.” Continued on A2
n JAPAN 0.4581 n UK 62.9473 n HK 6.4494 n CHINA 7.0269 n SINGAPORE 35.7653 n AUSTRALIA 34.6825 n EU 56.6696 n SAUDI ARABIA 13.3179
Source: BSP (June 5, 2020)