BanaBay, the UK fruit exporter, has spoken of the potential for its business in the Middle East and South Korea after striking deals in the markets in recent months.
The banana and pineapple exporter is to supply four containers a week to South Korea, rising to eight containers by the middle of June 2016, after signing a deal with local fruit importer Daemyung Corp. in August. Daemyung Corp. is the exclusive fresh produce supplier to local supermarket retailer Mega Mart.
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Daemyung said most of the bananas it supplies into South Korea originate from the Philippines and BanaBay said the deal was an opportunity to introduce and grow the market for the bananas it handles from Ecuador.
BanaBay has also secured its first contract in Dubai with fresh produce marketer and distributor the International Food Network. It is the first deal involving the supply of bananas from BanaBay’s new growing partners' plantations in the Philippines.
The trial period will run from to the end of the year, starting with one container week of conventional bananas delivered to the customer via the port at Jebel Ali. BanaBay said most of its contracts start with a trial period given "it is a relatively new brand" before becoming long term contracts once the trial period is complete.
It is BanaBay's second deal in the Middle East in a matter of months. In July, BanaBay secured a deal with Saudi Arabia's Hussain al Qurashi Group, a food firm sourcing global products for export to Yemen, India and Pakistan.
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By GlobalDataA spokesperson for BanaBay told just-food: "Expansion into the Middle East is important for BanaBay because it is a market where a high volume of fruit is consumed and there is a demand for premium quality produce (unlike other parts of the world where cost is key, for example UK). In Korea too there is a strong emphasis on quality standards and so as a premium brand, BanaBay believes this offers an excellent market opportunity to grow their brand."
