Bananas :) 🍌

Question 1

What is the value and volume of the banana trade?

Answer 1

Revenues of over $15 billion a year.
5th most traded agricultural product

Question 2

What are the 2 groups that dominate the banana trade?

Answer 2

APC group (Africa, Caribbean and Pacific)
Dollar producers (central America)

Question 3

What are the large TNCs that control the banana trade?

Answer 3

Chiquita, Del Monte

Question 4

Where are the main areas growing bananas for export?

Answer 4

80% of bananas are grown for local consumption
Central America and the Caribbean are the main areas for exporting bananas.

Question 5

Who are the main importers of bananas?

Answer 5

USA
EU
2013 - consumed 27% total exported

Question 6

Who are the main consumers of bananas?

Answer 6

Regiones Werther they’re grown for the domestic market.
India and Philippines.

Question 7

What are the environmental impacts of the banana trade?

Answer 7

Chiquita apply around 30 kg of chemicals per hectare per year.

Deforestation- two tonnes of waste from deforestation for every one tonne of bananas produced.

Decreases biodiversity and increases pollution.

Question 8

What percentage of the total cost of a banana stays in the north, not benefiting the farmers?

Answer 8

Around 90% of cost payed by rich consumers - stays in rich north.

Question 9

What is the structure of the banana TNCs?

Answer 9

Vertical integration - own plantations, have own transport, ripening facilities etc…
Companies shares in the trade fallen to 45% meaning retailers have more powers - suppliers have to accept low prices.

Question 10

What are the low prices doing to the TNCs?

Answer 10

TNCs relocate to west Africa - need lower costs and weaker legislation - ‘race to the bottom’ in social and environmental standards.
Long hours low wages

Question 11

What are the political impacts of the band and trade?

Answer 11

Trade wars-
1975 - EU agreement with 71 ACP countries - Lome agreement.
Given trade access to EU markets to import bananas. Protected smaller farms from large TNCs.
1992- TNCs complained practice was unfair.

Question 12

What percentage cut do the workers and retailers get?

Answer 12

Workers: 5 to 9% of total value of bananas
Retailers: 36 - 43% of total banana value

Question 13

How is the banana trade shifting temporally through SEEP?

Answer 13

Environmental - waves of disease, long term losses of biodiversity.
Economic - small farmers growing in control.
Social - Banana as the most popular fruit.
Political - developing countries taken advantage of as stronger countries grow.