Banana producers and exporters from Ecuador and five other countries ask to discuss the increase in costs in the fruit value chain

Ecuador, Colombia, Guatemala, Honduras, Dominican Republic and Costa Rica represent 60% of global banana production.

That the increase in costs in the banana value chain such as fertilizers, cardboard and plastic be discussed, as well as the increase in maritime freight is what producers and exporters from Ecuador, Colombia, Guatemala, Honduras, the Dominican Republic and Costa Rica, which represent 60% of global banana production, ask to discuss.

Through a statement, signed by the Banana Cluster of Ecuador, it is mentioned that input costs have increased between 30% and 45% in the banana industry. For example, in fertilizers 35% to 45%, cardboard 30% and plastic 45%.

He points out that another factor is the application of the standards imposed by a certified market, the adoption of biosecurity measures to prevent FOC TR4 and the implementation of security measures to avoid contamination of containers with illicit substances.

The union indicates that there is a general increase in the cost of maritime freight up to 62% due to the global shortage of containers, the structuring of operational alliances between shipping lines and the consolidation of that sector.

“These costs have a direct and negative impact on the economic sustainability and competitiveness of the banana industry, which has suffered incalculable damage due to the increasing occurrence of natural phenomena in the region and has not been immune to the effects of the COVID-19 pandemic, having to implement all necessary measures to safeguard global food security and protect the health of agricultural workers,” the letter says.

And he adds that another reality is the decrease in the price of bananas in 2021. They describe it as the “most catastrophic in the last ten years, reaching 10 euros per 18.5 kilos.”

According to the Banana Cluster of Ecuador, more than 808,000 families in Latin America directly depend on the banana industry.

“It is necessary that, within the framework of the concept of shared responsibility, these crucial aspects be discussed to ensure the commitment of all actors to the sustainability of the global banana industry,” the statement says.