Sky-high banana prices are set to surge again as the shortage of the fruit reaches extreme levels.

Australian Banana Growers Council chief executive Jonathan Eccles said yesterday heavy rain and a cold snap since Cyclone Yasi wiped out 75 per cent of the crop in February had slowed banana growth and cut production.

‘We’ll certainly see wholesale prices increase because of the supply and demand market,’ Mr Eccles said. ‘What happens at a retail level will depend on the individual retailer.’

Industry experts predict the high prices will not start to ease until August, when cyclone-affected plantations in north Queensland begin to harvest again.

The major supermarket chains have already raised their prices to $12.98 a kilogram for Cavendish bananas and some independent fruit shops are selling the fruit for nearly $17/kg.

Mr Eccles said bananas were selling at wholesale for $10/kg but would probably rise to $12/kg at the height of the shortage.

Sydney Market Reporting Service fruit surveyor Chris Cope said the markets usually received up to 160,000 cartons of bananas weekly at this time of year.

He said currently it was fewer than 20,000 cartons. ‘In the next couple of weeks, we’ll see an extreme shortage,’ Mr Cope said.

Tristan Harris, director of buying and […]