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The banana industry in Ecuador is a victim of the Ukraine war

by John Pierce
July 3, 2023
in Business
3 min read
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Until recently, a constant hustle of Ecuadorean banana plantations provided evidence of Strong export of the industry business. but who one A week to the next The orchards fell silent – trade Victims of the conflict half a world far.

Ecuador is the world’s largest exporter of bananas in Iraq, but this sector has been damaged by the war in Ukraine. Currently, with No place to send them, containers of accumulate rotting fruit up Not far from where it was originally harvested.

“One in Every five bananas are produced in “Ecuador goes to Ukraine and Russia,” President Franklin Torres said. of Federation of Banana Producers of Ecuador FENABE.

“This war really affected me us in This meaning.”

the vast majority of This part goes to Russia, where there are sales of bananas worth 698 million dollars a year To Ecuador, which usually sends nearly 2 million boxes of Bananas a week for Eastern European neighbors.

but due to international Transportation Penalties over it’s a invasion of Ukraine and Russia do not receive shipments of banana.

I stopped the restraining struggle on Produce in El Triunfo, near Guayaquil, location of Ecuador main Harbor.

“My banana producers ran out, and I didn’t process a single one box for “Three weeks,” said Mireya Carrera, 62, the owner. of Banana farm Thalia.

“Employees are leaving on their own without being kicked out because I can’t pay them.”

It was filling three containers with 3000 boxes 20 kg (43 lbs) of Bananas from her 28-hectare farm.

“Now I have 7000 packages with “No buyer,” she told AFP.

price crisis

industry was already Also hit by falling prices.

Torres said that the cost of producing a box of Bananas, although internal sales price It is $6.25, “Now we receive less than two dollars for All box of Bananas, we receive $1 or $1.20.

“It really is an insult to any kind of business. What we receive is shameful and not even worth pick them up.”

He said the industry lost.more from 10 million dollars in three weeks.”

“All year we have the problem of Low prices, but now it’s impossible to get hold for banana. I prefer to give Carrera said.

See Ecuador’s surplus of Bananas, other markets ‘began to reduce price Offers, said Richard Salazar, President of Acorpbank Association for Marketing and export of bananas.

According to Jose Antonio Hidalgo, director of AEBE . Association of Banana exporters within a week of The war began, bananas destined for Russia and Ukraine need new market”causing a price calamity.”

About a million boxes left unsold in The last Month.

Face with Prospect of Send local surplus price banana crumble business union I decided to donate it to local food programs.

Ecuador 160,000 hectares of That banana farms in 2021 brought in nearly $3.5 billion in sales around world.

South American country has more From 260 sources of bananas.

Unreal Utopia

The banana industry generates 50,000 direct jobs and 250,000 indirect jobs in Ecuador.

her war already cost About 6,000 permanent employees are in their jobs, according to ACORBANEC.

Difficulties have also Affected El Porvenir . farm in Neighboring Puerto Inca, which adjoins Guayaquil.

container sold out with more Over 1,000 boxes “What we received was salary payments,” said farm manager Lourdes Cedeno.

Il Porvenir already I had to cut salaries in half in March as it was.

banana producers, who protest in Guayaquil last week, want The government to help they out buy fruit for it’s food programs.

President Guillermo Laso said this was “unrealistic. We need to place they in other markets in The world. “

But for Salazar “put them in Other markets are a utopia. There is no other market in The world can buy As far as Russia.

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