With 52,000 hectares devoted exclusively to production for exports, Colombia's banana sector is looking to increase its productivity and address the pressure on prices with new negotiation models.
After a challenging 2023 marked by reduced rainfall and a decline in productivity, 2024's results show that the sector was better prepared, with improvements in operational efficiency and soil management. "Recovering productivity is the banana sector's main target," says Emerson Aguirre, president of the Colombian Banana Growers Association (Augura), who expects a 5% growth in productivity in 2025.
The European market, which accounts for 66% of Colombian banana exports, remains the main destination, with Germany, Italy, and Belgium as key access points. "Colombia's marketing window in Europe goes from January to July when demand is stronger and prices are more favorable," says Aguirre. The UK also plays an important role, accounting for approximately 16% of all exports. The United States, meanwhile, absorbs 15% of Colombian bananas, while shipments to Asia and other markets are still small.
"Over the last 20 years, banana prices have fallen by 20% in Europe, despite rising production costs and sustainability certifications becoming a requirement. Bananas are a hot commodity in European supermarkets, so prices have been pushed down," says Aguirre. However, the sector has managed to modify negotiation models, moving away from downward auctions and implementing new pricing strategies that take the social and environmental impact of production into account.
"For us, it's very important for the world to see the efforts made by large, medium, and small producers in the fields of environmental, social, and labor sustainability. The implementation of more efficient agricultural practices, the responsible use of water, and the commitment to carbon neutrality are some of the strategies that have strengthened the reputation of Colombian bananas abroad," says Aguirre.
Labor formalization is another differentiating aspect of the Colombian banana sector. "We are a 100% formal sector where 92% of the workers are unionized," says Aguirre, highlighting that this has made it possible to guarantee a living wage and build a model of effective social dialogue for more than 30 years. The sector has also boosted social development in the producing regions, with contributions to housing, education, and culture.
For more information:
Emerson Aguirre
Colombian Banana Growers Association (Augura)
Tel.: +57 315 356 5815
presidente@augura.com.co
www.augura.com.co