That's bananas! Why it might be harder or pricier to find some brands in grocery stores
CBC
Potential price hikes at the grocery store unrelated to tariffs or even inflation? In this economy?
Yes, it's bananas. No, literally: this story is about bananas.
Fruit giant Chiquita is one of the top brands leading the global banana industry, and its bananas are sold in 47 countries, including Canada, according to its most recent sustainability report. And Canada maintains a steady import supply of the popular and generally affordable fruit, according to Statistics Canada.
But now, a labour dispute at Chiquita's Panama location could potentially mean fewer bananas and higher prices at the grocery store. Experts say it highlights the fragility of the global supply chain and how global events can affect what is available at your local stores.
Chiquita is the largest supplier of bananas to the U.S., and Panama is the largest banana-producing country, so there will be an increased demand in the U.S. for other banana sources such as Dole, said Michael von Massow, a professor of food agriculture and resource economics at the University of Guelph in Ontario.
"It could mean fewer bananas in Canada, which could raise the price," von Massow told CBC News.
Imported bananas are generally ripened in Canadian distribution centres, which means the situation in Panama won't affect inventory right away, von Massow explained.
"But it could be relatively quickly that we start to feel the impact of the removal of those bananas from the marketplace."
On Monday, Panama's labour minister said Chiquita Panama's administrative staff have left the country and the firm will seek authorization from the government to fire its remaining personnel in Panama.
Last month, the company fired about 5,000 of its approximately 6,500 employees in the country in response to a strike at its banana farms that began in April.
Thousands of banana workers have gone on strike as part of a broader strike action across Panama. Protests and roadblocks have stretched across the country as workers, including teachers, construction workers and other unions march to protest several issues including a social security reform they say will affect their future pensions.
Panamanian President Jose Raul Mulino called the strike illegal and illegitimate.
In late May, Chiquita Panama estimated its losses from the strikes at around $75 million US.
Unions and NGOs have decried the firings. On Friday, Washington-based NGO Global Labor Justice called on Chiquita to "immediately reinstate" its farm workers in Panama, calling the move retaliatory. The International Union of Food Workers said it had "grave concerns" about the firings.













