# Why are bananas so cheap?

**URL:** <https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801>\
**Category:** Factual Questions\
**Created:** [February 13, 2010, 1:44am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801 "2010-02-13T01:44:17Z")\
**Posts on this page:** 20\
**Page:** 3

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**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\
**Post date:** [February 14, 2010, 5:08am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/41 "2010-02-14T05:08:53Z")

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> [@](#):
>
> Just got back from Walmart and noted the price which was .25 cents a pound. I bought two medium sized ones for .17 cents total.

Wow, four pounds for a penny? That _is_ cheap!  
To the OP’s comparison between bananas and the mail, I suspect that the primary cost of sending a letter to Brazil (or wherever) is not the shipping of the letter, but the sorting. It doesn’t matter which specific banana reaches which specific buyer, but it does matter for letters.

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**Author:** ![WarmNPrickly](https://avatars.discourse-cdn.com/v4/letter/w/d78d45/32.png) [@WarmNPrickly](https://boards.straightdope.com/u/WarmNPrickly)\
**Post date:** [February 14, 2010, 6:36am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/42 "2010-02-14T06:36:16Z")

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> [@athelas](#):
>
> Maybe you should be asking the question the other way 'round: why are (mostly government-owned) postal services are so inefficient as to be unable to compete with private suppliers of a fruit that is not only heavier and bulkier than a letter, but also has to be grown and harvested.
> 
> Or, compare to [kiwi](http://perfectsubstitute.blogspot.com/2009/08/is-post-office-so-bad-yes-and-try.html):

I wouldn’t trust a source that claims kiwifruit comes from New Zealand. Kiwifruit are grown right here in the US.

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**Author:** ![yabob](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/yabob/32/2821_2.png) [@yabob](https://boards.straightdope.com/u/yabob)\
**Post date:** [February 14, 2010, 6:58am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/43 "2010-02-14T06:58:41Z")

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> [@WarmNPrickly](#):
>
> I wouldn’t trust a source that claims kiwifruit comes from New Zealand. Kiwifruit are grown right here in the US.

According to UN figures quoted in wiki, the world’s largest producer is Italy, producing nearly twice as much as New Zealand:

> **[Kiwifruit](https://en.wikipedia.org/wiki/Kiwifruit)**
>
> Kiwifruit (often shortened to kiwi), or Chinese gooseberry (traditional Chinese: 獼猴桃; simplified Chinese: 猕猴桃; pinyin: míhóutáo), is the edible berry of several species of woody vines in the genus Actinidia. The most common cultivar group of kiwifruit (Actinidia chinensis var. deliciosa 'Hayward') is oval, about the size of a large hen's egg: 5–8 centimetres (2–3 inches) in length and .mw-parser-output .frac{white-space:nowrap}.mw-parser-output .frac .num,.mw-parser-output .frac .den{fon Kiwi...

By those figures about 2% of the world’s kiwi fruit is grown in the US. I doubt that that meets US demand.

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**Author:** ![WarmNPrickly](https://avatars.discourse-cdn.com/v4/letter/w/d78d45/32.png) [@WarmNPrickly](https://boards.straightdope.com/u/WarmNPrickly)\
**Post date:** [February 14, 2010, 7:17am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/44 "2010-02-14T07:17:51Z")

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Really? I don’t think kiwifruit is very popular here, besides which, it would certainly put an upper bound on price. I remember when kiwifruit was quite expensive. I still don’t see it the large bin on the shelf very often. It’s usually in a small bin next to the plantains.

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**Author:** ![tofergregg](https://avatars.discourse-cdn.com/v4/letter/t/bbe5ce/32.png) [@tofergregg](https://boards.straightdope.com/u/tofergregg)\
**Post date:** [February 14, 2010, 1:16pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/45 "2010-02-14T13:16:12Z")

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> [@WarmNPrickly](#):
>
> I wouldn’t trust a source that claims kiwifruit comes from New Zealand. Kiwifruit are grown right here in the US.

Indeed. The last time I was in New Zealand, I was taken aback by the bowl of kiwis on the table in my B&B, each one with a little sticker that said, “Grown in California.”

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**Author:** ![AWB](https://avatars.discourse-cdn.com/v4/letter/a/bb73d2/32.png) [@AWB](https://boards.straightdope.com/u/AWB)\
**Post date:** [February 14, 2010, 4:53pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/46 "2010-02-14T16:53:39Z")

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> [@pkbites](#):
>
> From the article:
> 
> _ **Americans eat as many bananas as apples and oranges combined** _
> 
> I find that to be astonishing. I myself eat many, Many, MANY times more apples and/or oranges than I do bananas. The ratio is at least 100 to 1.

But you can’t compare apples and oranges. And now you’re throwing bananas into it. 😃

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**Author:** ![yabob](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/yabob/32/2821_2.png) [@yabob](https://boards.straightdope.com/u/yabob)\
**Post date:** [February 14, 2010, 5:23pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/47 "2010-02-14T17:23:54Z")

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> [@WarmNPrickly](#):
>
> Really? I don’t think kiwifruit is very popular here, besides which, it would certainly put an upper bound on price. I remember when kiwifruit was quite expensive. I still don’t see it the large bin on the shelf very often. It’s usually in a small bin next to the plantains.

Yeah, but \< 2% isn’t very much of the world’s production. I find it surprising that Italy is the world’s largest producer (0.48 million metric tons/yr compared to 0.28 for New Zealand). Does the US consume \> 0.02 million metric tons of kiwi fruit per year? Plus, some of it is exported. That’s only about 0.15 pound per capita, minus exports. And although not terrifically common, you DO have kiwi fruit being used as a flavoring as well as being sold fresh. For comparison, US per capita banana consumption is on the order of 30 pounds per year.

Given the seasonal nature of fresh fruit, the fact that we get it year around, and the sort of global shipping economics we’ve been discussing, you will get fruit shipped around the world to areas where it is also locally grown. Hence, CA kiwi fruit in New Zealand. I’m in CA. I wouldn’t be at all surprised to see Chilean or New Zealand kiwi fruit in Safeway. Much to the despair of “eat local” movements.

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**Author:** ![bump](https://avatars.discourse-cdn.com/v4/letter/b/7c8e57/32.png) [@bump](https://boards.straightdope.com/u/bump)\
**Post date:** [February 14, 2010, 7:29pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/48 "2010-02-14T19:29:14Z")

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> [@rbroome](#):
>
> In the US they sell below cost and make it up in volume! Seriously. Volume is the key to low prices.

Think about that… somehow, although they lose money on each banana, they somehow make money by selling a lot of them at a loss.

What they likely do is sell them slightly above cost, and then through volume, make a significant amount of money. This is likely because if they priced bananas higher, people would turn to cheaper substitutes like apples, pears, peaches, etc…

Many are shipped from Central America, not South America anyway, so it’s probably a relatively quick trip up through the Gulf into Houston, or up the Pacific coast to Los Angeles. Or across into Miami… either way, Central America’s not that far in shipping terms.

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**Author:** ![missred](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/missred/32/14096_2.png) [@missred](https://boards.straightdope.com/u/missred)\
**Post date:** [February 14, 2010, 8:53pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/49 "2010-02-14T20:53:58Z")

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I have to wonder whether bananas, like some other staples, are loss leaders.

When you go to the grocery to pick up bananas, in all liklihood, you will pick up several items that the store is making considerable profit on. Cold cereal is the first thing that comes to mind, followed by quick lunch stuff from the deli or Lunchables. The store may be losing money on the bananas or not making a very high margin, but the things that you buy with them more than make up for it.

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**Author:** ![lisiate](https://avatars.discourse-cdn.com/v4/letter/l/f05b48/32.png) [@lisiate](https://boards.straightdope.com/u/lisiate)\
**Post date:** [February 14, 2010, 9:28pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/50 "2010-02-14T21:28:50Z")

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> [@bump](#):
>
> Think about that… somehow, although they lose money on each banana, they somehow make money by selling a lot of them at a loss.

I fear you may have been whooshed, sounds like a Milo Mindbender quote from _Catch 22_ to me…

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**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\
**Post date:** [February 14, 2010, 11:52pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/51 "2010-02-14T23:52:16Z")

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Of course, Milo was able to get away with it because he was buying them from himself, through a complicated tangle of intermediaries.

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**Author:** ![blondebear](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/blondebear/32/1022_2.png) [@blondebear](https://boards.straightdope.com/u/blondebear)\
**Post date:** [February 15, 2010, 12:08am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/52 "2010-02-15T00:08:44Z")

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> [@arachnologus](#):
>
> I should have pointed out that I’m referring to the alleged journalists who contributed to the linked artlcle - not the poster who linked it! (Sorry, I waited too long to edit my original post).

No worries! I know that the old “tarantula in the bananas” story is quite snopesworthy. At the same time, given the high incidence of arachnophobia among posters here, I thought it would be good for a laugh.

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**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\
**Post date:** [February 15, 2010, 1:08am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/53 "2010-02-15T01:08:36Z")

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I heard a rumor that we actually don’t have any bananas. Is this true?

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**Author:** ![Zsofia](https://avatars.discourse-cdn.com/v4/letter/z/7bcc69/32.png) [@Zsofia](https://boards.straightdope.com/u/Zsofia)\
**Post date:** [February 15, 2010, 1:14am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/54 "2010-02-15T01:14:33Z")

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Just today.

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**Author:** ![pkbites](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/pkbites/32/204_2.png) [@pkbites](https://boards.straightdope.com/u/pkbites)\
**Post date:** [February 15, 2010, 2:50am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/55 "2010-02-15T02:50:34Z")

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> [@AWB](#):
>
> But you can’t compare apples and oranges. And now you’re throwing bananas into it. 😃

Yeah? Well, is that a banana in your pocket or are you just glad to…aw, skip it! 😛

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**Author:** ![Dallas\_Jones](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dallas_jones/32/3277_2.png) [@Dallas\_Jones](https://boards.straightdope.com/u/Dallas_Jones)\
**Post date:** [February 15, 2010, 3:31am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/56 "2010-02-15T03:31:25Z")

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> [@Khadaji](#):
>
> I heard a rumor that we actually don’t have any bananas. Is this true?

Yes, we have no bananas!  
Somebody had to say it.

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**Author:** ![WarmNPrickly](https://avatars.discourse-cdn.com/v4/letter/w/d78d45/32.png) [@WarmNPrickly](https://boards.straightdope.com/u/WarmNPrickly)\
**Post date:** [February 15, 2010, 3:44am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/57 "2010-02-15T03:44:11Z")

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> [@yabob](#):
>
> Yeah, but \< 2% isn’t very much of the world’s production.

Yes, but what about the US consumption? I’ll bet it’s pretty low. I get them once or twice a year and I’m married to a kiwi. I just don’t see good ones in the store very often. Usually it is just a tiny bin of ten that look over ripe and over priced.

> [@](#):
>
> I find it surprising that Italy is the world’s largest producer (0.48 million metric tons/yr compared to 0.28 for New Zealand).

This shouldn’t be that surprising. It’s not like kiwifruit is native to New Zealand. It’s native to southeast Asia. Lately New Zealand has been growing a lot of yellow flesh kiwifruit hybrids. I’m not real keen on those, because they’ve lost their zing.

> [@](#):
>
> Does the US consume \> 0.02 million metric tons of kiwi fruit per year? Plus, some of it is exported. That’s only about 0.15 pound per capita, minus exports. And although not terrifically common, you DO have kiwi fruit being used as a flavoring as well as being sold fresh.

Importing concentrated flavoring is much more economical, besides it can be saved in the off season. It’s also doubtful that products using kiwifruit flavoring actually use much more than is necessary to get it on the label.

> [@](#):
>
> For comparison, US per capita banana consumption is on the order of 30 pounds per year.

That’s a lot of bananas, but I see banana’s in lots of things. I wouldn’t be a bit surprised to find that US consumption of kiwifruit was less than 1% of that. Kiwifruit may be used like strawberries on the coast, but I can’t remember the last time anyone has served kiwifruit here in the midwest.

> [@](#):
>
> Given the seasonal nature of fresh fruit, the fact that we get it year around, and the sort of global shipping economics we’ve been discussing, you will get fruit shipped around the world to areas where it is also locally grown. Hence, CA kiwi fruit in New Zealand. I’m in CA. I wouldn’t be at all surprised to see Chilean or New Zealand kiwi fruit in Safeway. Much to the despair of “eat local” movements.

I have no doubt that some kiwifruit is imported from New Zealand, but it is more expensive when it is. The price on kiwifruit varies considerably. The point is that the site **athelas** had quoted made a pretty bad assumption about where kiwifruit come from. They damned well can be local, and certainly most of them do not come from New Zealand.

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**Author:** ![yabob](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/yabob/32/2821_2.png) [@yabob](https://boards.straightdope.com/u/yabob)\
**Post date:** [February 15, 2010, 4:09am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/58 "2010-02-15T04:09:12Z")

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OK, I found some figures concerning US kiwi fruit consumption. The US is a net importer, and consumption was 0.57 lbs per capita in 2000, 72% of which was imported:

[http://californiaagriculture.ucanr.org/landingpage.cfm?article=ca.v058n03p169&fulltext=yes](http://californiaagriculture.ucanr.org/landingpage.cfm?article=ca.v058n03p169&fulltext=yes)

> [@](#):
>
> Kiwifruit imports and exports are a significant factor in seasonal marketing and pricing patterns. In addition to seasonality of supply and demand, several factors determine U.S. kiwifruit imports and exports. Three important trends are evident (fig. 2). First, total U.S. consumption of kiwifruit has increased significantly. Second, except for a pause from 1991 through 1994 when New Zealand exports were curtailed in an international trade dispute, the role of imports in total U.S. consumption has increased over time; kiwifruit imports have exceeded exports since 1985, and the United States continues to be a net importer of kiwifruit. Finally, U.S. exports of kiwifruit have decreased over time, due to lower production in California and increasing competition from New Zealand and Italy in international markets.
> 
> Total and per capita U.S. consumption of kiwifruit has grown substantially since 1985, when 33.4 million pounds (0.14 pounds per capita) were consumed. Total U.S. kiwifruit consumption grew almost fivefold by 2000, reaching 158.2 million pounds with per capita consumption at 0.57 pounds. Imports of 114.3 million pounds accounted for just over 72% of total 2000 consumption.

That article is from 2004. The wiki production figures are more recent, and still way shy of 0.57 lbs/yr. Unless consumption has drastically gone down, the US is still a net importer.

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**Author:** ![Jamicat](https://avatars.discourse-cdn.com/v4/letter/j/c67d28/32.png) [@Jamicat](https://boards.straightdope.com/u/Jamicat)\
**Post date:** [February 15, 2010, 4:09am UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/59 "2010-02-15T04:09:55Z")

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> [@blondebear](#):
>
> Caveat for anyone sniffing around those bunches of bananas, keep an eye out for [Brazilian Wandering Spiders](http://www.newson6.com/global/story.asp?s=10025233)!

dang… with all dem spiders a wanderin around yonder there…and only noosed a one? 😕

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**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\
**Post date:** [February 15, 2010, 3:43pm UTC](https://boards.straightdope.com/t/why-are-bananas-so-cheap/528801/60 "2010-02-15T15:43:05Z")

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> [@ghardester](#):
>
> Yes, we have no bananas!  
> Somebody had to say it.

🙂 yes, I would have been disappointed if my setup had been ignored.

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