Fyffes sees profit slump after banana glut

TROPICAL fruits supplier Fyffes saw profit dive by 28 per cent – triggered by an excess of bananas in the market and rising costs.

The Dublin-based company said higher fuel costs and a stronger US dollar made for "difficult" conditions, leaving it with a profit of 13.3m euros (£11.1m) in the six months to June.

Fyffes said trading conditions had "normalised" during the summer months while the company is pushing up selling prices across all its markets.

The average retail price of a kilogram of bananas has risen from 95p in January to 109p in June, according to the Office for National Statistics.