The impact of COVID-19 has put the world to a standstill and almost every sector has taken a severe dent disrupting day-to-day operation and efficiency. With its impact felt in almost every core businesses area, most businesses are struggling to cope with its spiral effects. The COVD-19 virus has also hit the banana farmers of India, particularly Tamil Nadu, as importing countries such as Iran suffers due to a nation-wide lock down.
The price of a tonne of banana has come down considerably following COVID-19 and national lock down thereafter. The price has definitely come to the point where anything below the base price will be non-remunerative for thousands of farmers across the state.
Many companies that are export-based have to wind down their operation due to the lock down and non-availability of cold-storage facility, thereby worsening the prevailing situation.
According to reliable government sources, the farmers decided not to part with their stocks when there was a huge demand a few months back just to go with the rough tide now with the falling market prices and demand. This means exports would take a severe hit resulting in flooding of local markets with stocks of produce from many regions of Tamil Nadu.
Iran was the only country to which bananas were exported a month ago just when the effects of COVID-19 were beginning to slump the market. Now the farmers are awaiting response from buyers willing to pay a good price for the stock.