New South Wales

Coffs Harbour Growers Paying Millions Extra In Freight Costs

By

Crystal Tainsh
1 April 2026, 2:23 pm

Banana growers in Coffs Harbour are now paying an extra $1.5 million each week in freight costs compared to normal -costs they cannot pass on and must absorb themselves. The surge in expenses comes as global fuel prices skyrocket due to the US-Israel conflict with Iran, pushing petrochemical costs above $120 a barrel. Growers warn this unsustainable pressure could force family farms out of production if it continues.

According to the Australian Banana Growers’ Council (ABGC), the region still supports over 20 active growers who are now reconsidering their future in the industry. The ABGC Deputy Chair, Stephen Lowe, said bananas rely heavily on fuel for transport and fertiliser for growth—both of which have become significantly more expensive due to geopolitical disruptions.

Lowe emphasised that the retail increase in banana prices for shoppers would be directly tied to the rise in petrochemical costs. “Banana growers are absorbing costs like never before,” he said. “If farms run out of fuel or cannot afford transport, the entire supply chain is at risk.”

The Federal Department of Agriculture, Fisheries and Forestry (DAFF) is currently assessing the risks of allowing fresh Cavendish banana imports from the Philippines. A technical visit to the Philippines was completed in late March 2026 to gather information on commercial banana production, pest management, and export practices. The ABGC strongly opposes these imports, citing risks from exotic diseases including Moko, Black Sigatoka, and Banana Freckle.

NSW Farmers member and Coffs Harbour banana grower Paul Shoker called the potential relaxation of import restrictions a ‘kick in the guts’ for local growers. Shoker said Australia already produces enough fresh bananas for the entire nation, so importing them from overseas is both unnecessary and risky.

“We don’t need to bring in bananas from overseas and risk bringing in pests and diseases that could devastate our farms,” Shoker said. The industry has also established a voluntary Banana Imports Fighting Fund to support its case against relaxing import rules.

The banana industry generated $697.8 million in wholesale value in 2023-24, making it Australia’s number-one selling supermarket product. However, the combination of freight cost surges, biosecurity threats like Panama TR4—which is already present in Far North Queensland and the Northern Territory—and potential import competition has created what industry observers describe as a perfect storm for Australian banana growers.

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