The Council of Agriculture has touted plans to sell 2,000 tonnes of bananas to help farmers deal with a fruit glut, but with Taiwanese bananas selling below costs in China, academics are questioning whether politics is involved in the deal.
A report by China’s China News Agency said that the first 100 tonnes of Taiwanese bananas went on sale on Monday last week in Shanghai for 1.88 yuan (US$0.29) per 500g, or about NT$16.88 per kilogram.
However, the wholesale price for bananas at the end of last month was NT$20.50 per kilo at traditional markets in Taipei, averaging NT$17.70 for the whole month, and was NT$17.20 last week.
Photo: Yeh Yung-chien, Taipei Times
Taiwanese Farmers’ Rights Association chairman Wu Chiu-ku (吳秋榖) said retail prices were usually between NT$2 and NT$5 higher than the wholesale price, meaning that people in Taiwan purchased bananas at between NT$19 and NT$22 per kilo.
Once overhead such as transportation and customs taxes are factored in, the price of Taiwanese bananas in China should be higher, Wu said.
“How can Taiwanese bananas sell [for] cheaper on the Chinese market than in Taiwan?” Wu asked, adding that there was “something fishy” about the matter.
Wu Ming-ming (吳明敏), a professor in Kainan University’s marketing department, said the CIF — cost, insurance and freight — for a 12kg crate of Taiwanese bananas in China was US$9.50, or about NT$23 per kilo.
CIF means the seller is responsible for paying for costs associated with the delivery of the goods to the port of destination, as well as the purchase of insurance in the name of the buyer to cover potential risk of loss or damage to the goods during transport.
Adding a 5 percent tax, a 17 percent value-added tax (VAT) and 20 percent in management and marketing fees, every kilo should sell in China for NT$33.50 to meet overhead costs, Wu Ming-ming said.
It is unreasonable for bananas to be selling in Shanghai for less than half the overhead costs, Wu Ming-ming said.
Lee Yuan-ho (李元和), head of Fo Guang University’s economics department, said “zero distance” pricing and overhead showed that this was not normal trading practice, adding that as businesspeople would never invest to lose money, the government should explain who was covering the difference.
Market sources say that bananas shipped to China are being bought for between NT$10 and NT$12 per kilo, about the same price as those sold domestically.
The sources said that after packaging, transportation and handling fees were added, the CIF cost in China should be no less than NT$23 per kilo.
Hsiao Tung-chung (蕭柊瓊), deputy director-general of the Council of Agriculture’s International Cooperation Division, said the Taiwanese bananas sold in Shanghai last week were a commercial transaction between businesses based in Pingtung and Shanghai Fruit Co.
Translated by Jake Chung, Staff Writer
Taipei has once again made it to the top 100 in Oxford Economics’ Global Cities Index 2025 report, moving up five places from last year to 60. The annual index, which was published last month, evaluated 1,000 of the most populated metropolises based on five indices — economics, human capital, quality of life, environment and governance. New York maintained its top spot this year, placing first in the economics index thanks to the strength of its vibrant financial industry and economic stability. Taipei ranked 263rd in economics, 44th in human capital, 15th in quality of life, 284th for environment and 75th in governance,
The Sports Administration yesterday demanded an apology from the national table tennis association for barring 17-year-old Yeh Yi-tian (葉伊恬) from competing in the upcoming World Table Tennis (WTT) United States Smash tournament in Las Vegas this July. The sports agency said in a statement that the Chinese Taipei Table Tennis Association (CTTTA) must explain to the public why it withdrew Yeh from the WTT tournament in Las Vegas. The sports agency said it contacted the association to express its disapproval of the decision-making process after receiving a complaint from Yeh’s coach, Chuang
Control Yuan Secretary-General Lee Chun-yi (李俊俋) tendered his resignation last night, admitting that he had misused a government vehicle, as reported by media. His resignation was immediately accepted by the Control Yuan. In a statement explaining why he had resigned, Lee apologized for using a Control Yuan vehicle to transport his dog to a pet grooming salon on May 20. The issue first came to light late last month, when TVBS News reported that Lee had instructed his driver to take the dog to the salon. The news channel broadcast photos that it said were taken by an unnamed whistle-blower, which purportedly showed the
A former officer in China’s People’s Liberation Army (PLA) who witnessed the aftermath of the 1989 Tiananmen Square massacre has warned that Taiwan could face a similar fate if China attempts to unify the country by force. Li Xiaoming (李曉明), who was deployed to Beijing as a junior officer during the crackdown, said Taiwanese people should study the massacre carefully, because it offers a glimpse of what Beijing is willing to do to suppress dissent. “What happened in Tiananmen Square could happen in Taiwan too,” Li told CNA in a May 22 interview, ahead of the massacre’s 36th anniversary. “If Taiwanese students or
RSS