Banana chips is becoming a forerunning product in the snacking industry. Many market observers have even concluded that banana chips can be a competitor of the widely received potato chips in the international market. Some attribute this robust demand to the growing health-conscious market who is constantly in search for organic and healthier alternatives. Some blame this activity to the addicting sweetness of the product. While others see that the accessibility of supply and the year-round availability of the raw material to be some of the main causes of the banana chips demand growth.
In actuality, the movement of a product demand is an aggregate of different factors. It can be the supply, cheap manufacturing, the taste, the consumer behavior shift, etc. No matter the reason is, the result is always important — that the banana chips market is thriving and is positively impacting the lives of many Filipino farmers and their families.
HOW THE BANANA CHIPS ARE MADE
Coming from the Cardava variant, the bananas are harvested and transported to small- to large-scale manufacturers. The bananas are then washed to remove any debris in the exterior. Then, they are peeled and sliced by a machine or by personnel. Large-scale manufacturers have the advantage of automation because of its capabilities. Small-scale manufacturers, on the other hand, have to rely on manual labor.
Afterwards, the slices are drenched in brine water to avoid oxidation that causes discoloration. Then, they are blanched, de-watered, and fried. Some manufacturers now offer a baked banana chips variant to cater to a wider market. Once brown and crispy, the chips are de-oiled and seasoned. Finally, the delicious banana chips are packed and labelled, ready to be delivered to the hungry customers.
BANANA CHIPS MARKET SEGMENTATION
Banana chips are presented in the market in different ways. Here are some of its segments:
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By type
- Unsweetened
- Sweetened
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By application or distribution channel
- Online sales – from e-commerce sites which have door-to-door delivery system
- Offline sales – from physical stores such as groceries, supermarkets, hypermarkets, snack shops
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By cut
- Wholes
- Halves
- Quartered
- Broken fines
- Diagonals
- Diced
MARKET PERFORMANCE
Our country, the Philippines, is one of the top banana producers in the world. In fact, in 2014, we had produced 9.2M tons of banana which was 6% of the total global banana production. No matter how we are heavy in exporting bananas, Filipinos are still the major consumer of our locally produced bananas.
65% of our total production is consumed by our local market. 16.5% of which goes to the global banana chips market. 45.5% of the local produce goes to our wet markets and groceries as table bananas. These are consumed in raw in households. The remaining 4% is considered loss or they are assumed to be destroyed due to natural causes. Another assumption is that they are converted into animal feeds in farms or in households. While for the international market, our country exports to 30 countries. The US and Europe are our major customers for they import most of our produce.
For the banana chips in the Philippines, 90% of the manufactured by-product comes from the Mindanao region. Our main importers are US, UK, Germany, Vietnam, and China, making up 64% of global banana chips market in 2011.
Many market observers have concluded that bananas and banana chips markets are highly profitable. Market reports have projected that the banana chips market will increase 10-15% annually in the international market.
BANANA CHIPS IN THE COMMUNITY
This robust activity in the banana market indeed drives high revenues to large-scale manufacturers and even to small entrepreneurs. What amazing is that this profitable market gives so much livelihood opportunities to our local banana farmers and their families. Many government reports have accounted that while husbands reap and sow bananas in the fields, wives and their children process the by-products such as banana chips to be sold in local markets. This activity that results into profitability becomes a community-wide business and helps thousands of families grow their incomes.
You can support the thriving banana market in our country by patronizing locally produced banana chips such as Greenville Agro Banana Chips. While you enjoy this snack in your hangouts or in your afternoon merienda, you can also take part in providing livelihood to our fellow Filipinos. Uplift the lives of many local farmers and their families, one banana chip at a time!