The National Banana Corporation (CORBANA) has recommended a 9.91% increase in the minimum export price for first-quality bananas for 2027, bringing it to $11.15 per 18.14 kg box on an FOB basis.
The proposal follows CORBANA’s annual update of the model used to calculate the minimum export price. It was presented to banana producers, marketing companies and representatives of the Association of Banana Producers (APROBAN) and the National Chamber of Banana Producers (CANABA), as well as representatives of the Ministries of Economy, Agriculture and Foreign Trade.
The recommended price represents an increase from the $10.14 per box that corresponds approximately to the 2025 price. According to the model, the minimum export price establishes the level that marketing companies should pay producers for an 18.14 kg box of first-quality bananas, loaded on board the vessel at the export port.
Seven years without changes
The recommendation comes after a period of seven years in which the minimum export price has remained unchanged, despite changes in production costs and growing challenges affecting the sector.
CORBANA updates its model annually, taking into account the main variables affecting banana production and exports. For 2027, the factors behind the proposed increase include the appreciation of the Costa Rican colón against the US dollar, lower productivity due to weather conditions and higher costs for certain inputs and services.
These include, in particular, the cost of cardboard boxes, Black Sigatoka control and fertilisers.
CORBANA General Manager Marcial Chaverri said the model is based on an analysis of the sector’s cost structure and current situation. Against this backdrop, he considers that an increase in the minimum price would enable producing companies to strengthen their competitiveness in international markets.
Climate conditions reduce productivity
Weather conditions recorded over the past two years in Costa Rica’s main banana-growing regions have had a direct impact on productivity.
The lower output per unit is compounded by the effect of the exchange rate, as the appreciation of the colón against the US dollar increases the cost of expenses incurred in colones when expressed in US dollars.
The model also incorporates the evolution of the main inputs required for banana production and marketing, pointing to a higher-cost environment for the export sector.
What does the FOB price mean?
The recommended price of $11.15 applies to an 18.14 kg box of first-quality bananas on an FOB (Free on Board) basis. Under this system, the exporter assumes the costs associated with packing, transport to the port, export procedures and loading the fruit onto the vessel.
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From that point onwards, the costs and risks are borne by the buyer. The amount therefore excludes ocean freight, insurance, as well as unloading and import costs in the destination market.
The FOB price is also a common benchmark for comparing banana prices between different producing and exporting countries.
$11.44 as the reference price for 2027
CORBANA distinguishes between the recommended minimum export price and the so-called reference price.
While the recommendation places the minimum export price at $11.15 per box, the model projects a reference price of $11.44 for 2027.
This second figure is an estimate of the expected evolution of costs and the minimum price over the coming year. It is intended to provide producers and marketing companies with a tool for planning their negotiations.
CORBANA’s proposal comes amid a combination of higher production costs, lower productivity linked to weather conditions and an unfavourable exchange-rate trend, all of which are putting pressure on the profitability of Costa Rica’s banana industry.
