The Ecuadorian Banana Cluster represented by AEBE and Acorbanec, supported and accompanied by the Minister of Agriculture of Ecuador, Franklin Danilo Palacios, and H.E. Diego Morejón Pazmiño, Ambassador of Ecuador in Germany, stands united to address critical issues faced by banana producers in their annual negotiations with EU retailers. They were participating in the Fruit Logistica 2024 show in Berlin.
The spotlight is on the relentless push for a very low price by EU retailers. The ongoing struggle for a fair price for bananas exported to the EU market has prompted the Ecuadorian Banana Cluster to emphasize once more the need for more cooperation with EU retailers to cover the sustainability costs borne by Ecuadorian producers to ensure sustainable production of bananas. The current market dynamics, driven by aggressive pricing strategies, fail to recognize the sustainability requirements imposed on producers and jeopardize the economic viability of the industry.
Against this background, the Ecuador Ecuadorian Banana Cluster strongly believes that the upcoming EU rules on Corporate Sustainability Due Diligence provide the unique opportunity to apply the concept of shared responsibility along the entire value chain.
“Paying a fair price is pivotal for corporate justice and should be a pillar of retailers’ responsible purchasing policies. This is why we call on retailers to use as a reference the FairTrade methodology, that analyses the particularities of each country to get a fair price”, says José Antonio Hidalgo, Executive Director of AEBE.
All efforts must focus on achieving, within the framework of shared responsibility, commercial agreements with retailers that reflect the Ecuadorian banana sector's achievement of paying a living wage.
A major challenge faced by the Ecuadorian banana sector also lies in the proliferation and overlapping of private sustainability certification schemes. Following a study conducted by the Cluster, an overlap of almost 60% was found within the core set of requirements of the nine most used certification schemes. “It is time to eliminate this unnecessary complexity which affects both producers and consumers. We advocate for a streamlined approach to certifications, according to which harmonisation and rationalisation of certifications fall under one unique methodology, or for a closer, direct approach from retailers, such as via one-to-one audits,” states Richard Salazar, Executive Director of Acorbanec.
Social sustainability in Ecuador was at the center of a meeting convened on February 7 in Berlin by the Minister of Agriculture of Ecuador, Franklin Danilo Palacios, and H.E. Diego Morejón Pazmiño, Ambassador of Ecuador in Germany, with Dr. Carsten Stender, Director for European and International Employment and Social Policies at the Ministry of Labor and Social Affairs of Germany. Within the framework of the meeting, on the sidelines of the Fruit Logistica 2024 fair, Ángel Rivero, President of the National Federation of Agroindustrial, Peasant and Free Indigenous Workers of Ecuador "FENACLE" represented Ecuadorian banana workers, addressing key issues related to labor rights.
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