Bananas :) 🍌 Flashcards
What is the value and volume of the banana trade?
Revenues of over $15 billion a year.
5th most traded agricultural product
What are the 2 groups that dominate the banana trade?
APC group (Africa, Caribbean and Pacific)
Dollar producers (central America)
What are the large TNCs that control the banana trade?
Chiquita, Del Monte
Where are the main areas growing bananas for export?
80% of bananas are grown for local consumption
Central America and the Caribbean are the main areas for exporting bananas.
Who are the main importers of bananas?
USA
EU
2013 - consumed 27% total exported
Who are the main consumers of bananas?
Regiones Werther they’re grown for the domestic market.
India and Philippines.
What are the environmental impacts of the banana trade?
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.
What percentage of the total cost of a banana stays in the north, not benefiting the farmers?
Around 90% of cost payed by rich consumers - stays in rich north.
What is the structure of the banana TNCs?
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.
What are the low prices doing to the TNCs?
TNCs relocate to west Africa - need lower costs and weaker legislation - ‘race to the bottom’ in social and environmental standards.
Long hours low wages
What are the political impacts of the band and trade?
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.
What percentage cut do the workers and retailers get?
Workers: 5 to 9% of total value of bananas
Retailers: 36 - 43% of total banana value
How is the banana trade shifting temporally through SEEP?
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.