Latam banana growers are dissatisfied with German retailer’s price-cutting

The association of banana farmers as well as exporters in Colombia, Costa Rica, Ecuador, Guatemala, Peru and the Dominican Republic have identified that the chain of retail stores Kaufland (Germany) is offering 1 kilo of fruits of Latin American origin at EUR0.88.

We are the representatives for this sector of the Latin American banana sector, we are opposed to the adoption such a type of

methods that disregard the roles practices that do not recognize the role of discount stores and supermarkets with respect to the joint obligation. Discount stores and supermarkets must be able to inform the customers about the work the banana farmers make to ensure they are able to supply sustainable fruits that adhere to the strict standards of certification as well as guidelines of the market to which it’s destined and by promoting bananas for an affordable price.

Kaufland makes up a group of German supermarkets that participate in the sustainability chains initiative, that is coordinated through GIZ GmbH. Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) GmbH which, in its own words is aiming to create environmentally sustainable methods of supply of food items and guarantee the dignity of the supply chain players. In this instance, however, Kaufland contradicts these intentions because it lacks an actual commitment to looking at mechanisms that will ensure the proper payment for the right price, encouraging prices that are shady, as well as failing to effectively educating the consumer.

In the context of Fourth Global Conference of the World Banana Forum, representatives of exporters and producers needed urgent action as well as a explicit commitment from supermarkets in order in order to ensure the sustainability of the sector. Unfortunately it is evident the way that supermarkets participate in programs and projects which divert their focus from the actual issue which is the lack of shared responsibility. It also when it comes to its actions, adopts strategies which undermine the long-term sustainability and sustainability of Latin American banana production.

Kaufland’s deal is in addition to retailers and discount stores that offer the Latin American banana for EUR 1.19 which is a cost to the consumer that stifles initiatives of the industry towards sustainable practices. The price for bananas remains the same over the years, which makes the fruit one of the most affordable that is available at supermarkets. The retailers compete aggressively by offering promotions to sell the most affordable fruit, without considering sustainable production methods.

For further information, click here.

Coordinador@clusterbananerodelecuador.org