Due to the decline of South African rand, major banana producer Matanuska Private Limited, has stopped exports to South Africa.
Project manager, Johannes Makurumidze, said Matanuska has stopped banana exports to South Africa because of the shrinking rand. The market price of bananas has declined from $0.23 cents to $0.13 cents per kilo. "The price of bananas has declined because rand value is declining. We are finding it difficult to sell bananas there." he said.
Outgrower banana farmers said the price which is being offered by Matanuska was not sustainable or viable.
Chibuwe outgrowers spokesperson, Artwell Bandama, said farmers were now breaching contracts because of the low revenue they are receiving after selling bananas to Matanuska.
"The new prices being offered by Matanuska make it difficult for farmers to settle loans they borrowed. We are now breaching contracts with Matanuska because of low prices that they are offering us. We are marketing of bananas on the side as a protest to low prices. We want a win-win situation because the economy is not performing well and it’s affecting everyone." said Bandama
