As one of the main banana producing areas in China, Hainan Province had always a high local banana supply price which was even higher than the banana price in the mainland market of China. This has tended to be a common phenomenon in Hainan in recent years. A survey was made of the planting, wholesale and retail of banana in Hainan, based on which were analyzed the reasons why Hainan's local bananas were more expensive than the mainland bananas from both the supply side and demand side. The results showed that although Hainan was a main banana producing area in China, Hainan bananas were mainly supplied to the mainland market since the local demand was small. Hainan banana had more links in the local supply chain and cost high. Moreover, the mainland banana market was highly competitive.These factors caused a price inversion phenomenon where the local banana price in Hainan was higher than the banana price in the Mainland. It is thus suggested to eliminate barriers that restrain access into the local market, regulate market supply order, optimize banana marketing channels and explore new models of banana market so as to improve the quality of Hainan bananas and strive to build brands for high-quality Hainan banana in Hainan.
price inversionbanana pricebalance of supply and demandHainan banana industry
NETL
NSTL
万方数据
