Banannas Flashcards
(30 cards)
Facts about bananas (2)
Staple food for around 400 million people
Globally = 5th most traded agricultural commodity
Where are they grown (3)
Hot, rainy lowlands of tropical regions
Average temp = 27°C
Annual rainfall = 2000-2500mm
Commercial producing regions were
Central America + Caribbean
Why + how are they treated (3)
Susceptible to diseases
Treated with chemicals throughout the production cycle
Commercial plants operated by large TNCs apply around 30kg of active ingredients
per hectare
How to plants effect environment (3)
Deforestation
Waste = 2 tonnes per 1 tonne of banana
Loss of biodiversity = pollutants
What groups dominate world banana trade (2++)
The ACP group – Africa, Caribbean and Pacific
‘Dollar producers’ of Central American republics controlled by large US TNCs = Ecuador + Columbia
The exporters of banana trade (2+)
Exports = dominated by Latin America + Caribbean countries
Ecuador is the main exporting country at 28% in 2022
Importers of bananas (2+)
Largest importers are the EU and the USA
America imports = 18% in 2022
Worlds biggest Banana conglomerates (2)
ChiquitaFyffes = Ireland
Dole Food Company = United States
How are B conglomerates operating (2)
Integrated vertically up the chain
Can exploit EoS = sell at very low price on US + EU market
Production not controlled by TNC (3)
Smaller-scale family farms
Still major stakeholders in business (TNC)
Responsibility for + influence over = labour standards on the plantations they own or source from
How has organisation of industry changed (2)
Big companies freed themselves of direct ownership of plantations
Instead = guaranteed supply contracts with producers
Change in org for national companies (2)
Increasing number based in e.g. Ecuador sell their produce to either banana TNCs as distributors
Or directly to retailers in the developed countries e.g. Tesco
Where is shiftin power
Retailers in the grocery sector in importing countries = increasingly dominating the supply chain
What consequence as grocery market share conc. in hands of less retailers (2++)
Suppliers have little option but to accept conditions such as:
Low prices, discounts and delayed payments or risk being taken from the supplier list
What solved the trade war
2009 Geneva Banana Agreement
What was Lome convention + when (2)
1975
Made with 71 African, Caribbean and
Pacific countries (ACP countries) = many were banana producers
What L convention give to countries (3)
Given special and differential treatment (SDT)
Tariff-free import quotas to supply EU markets
The idea was = develop former European colonies without using overseas aid
What did Lome convention protect (3+)
The mainly smaller, family-run farms in ACP
Protect from competition with the large Latin American producers = bananas produced more cheaply on mechanised plantations
What 1992 TNCs do war (2)
TNCs filed a complaint to the WTO that the EU practice was unfair trade
1997 = WTO ordered the EU To cease the discrimination
What did Geneva agree (2)
Between the EU and 11 Latin American countries
The EU agreed to gradually reduce tariffs on Latin American bananas
How many bananas come from large producers now
80% entering eu
Race to bottom why (2)
Due to low prices paid to suppliers by supermarkets = larger companies want to relocate to west Africa
Lower legislation and labour costs
What race to bottom
Reduce social and environmental standards
