Thousands of farmers are moving to new areas in the north of the country to escape the devastating impact of Fusarium wilt

Peruvian bananas Adobe Stock

Image: Adobe Stock

The spread of Fusarium wilt TR4 is forcing Peruvian banana growers to relocate to new areas as the sector struggles to maintain its presence on international markets.

As reported by AgroLatam, Peru’s organic banana industry is undergoing a profound transformation caused by the spread of TR4, a disease that has affected thousands of producers. What for years was one of the main drivers of the rural economy in Piura is now facing an uncertain future.

The impact has been especially severe in the Chira Valley, one of the historically most important regions for the production and export of organic bananas. There, the spread of the fungus has led to a sharp decline in production and generated uncertainty among producers, cooperatives, and exporters.

Analysts said more than 130,000 families linked to the banana industry have been affected.

Faced with the loss of productive land in the Chira Valley, several organisations began moving their operations to the Olmos Valley, located further south on the northern coast of Peru. This production shift has allowed them to maintain relatively stable production volumes compared to last year but has come at significant cost.

Grower have had to invest in new areas, adapt to different production conditions, and rebuild commercial networks developed over decades. Many organisations have lost specialised agronomists with years of experience in production, certification, and export processes.

Fortunately, the price of organic bananas has risen by almost 7 per cent over the past two years, driven by strong consumer demand.

However, the price improvement has not been enough to offset the increase in operating costs. Rising fuel costs have increased expenses associated with transportation, fertilisers, and agricultural inputs, reducing the profit margins of small producers.

“The challenge for the sector will be to rebuild its production capacity while developing new sanitary control strategies and strengthening producer organisations,” AgroLatam said. “The incorporation of new cultivation areas, management technologies, and training programs is emerging as a key strategy for maintaining Peru’s leadership in the international organic banana market.

“Although the landscape remains complex, industry leaders believe there are opportunities to modernise the production chain, strengthen producers’ resilience, and gradually recover the market presence built over decades. The evolution of Fusarium wilt and the sector’s capacity to adapt will be crucial in determining the future of one of Peru’s most iconic agricultural exports.”