Food as a commodity

What is our case study for food in global governance

Bananas

Bananas are the __ most important food within least developed countries

4th

For how many people are bananas a staple food?

around 400 million

Bananas are one of the __ most consumed fruits in the world

5th

What are the two main nutritional benefits of bananas

they contain 90 calories per 100g and contain over the daily potassium requirement for an adult

Bananas are the _ most traded commodity

5th

How many tonnes of bananas were exported in 2013

16.5 million

Where are bananas typically grown (climate wise)

hot, rainy lowlands of tropical regions

In which countries are the bananas consumed mostly consumed domestically

India, Brazil and much of Africa

Which country is the biggest producer of bananas globally

India and they mostly export to the Middle East and other parts of Asia

Where are the main regions which grow bananas for commercial export

The Caribbean and Central America

Why do many plantations use pesticides/chemicals on their bananas

because they are susceptible to disease so almost all bananas are treated

Commercial plantations operated by large TNCs use how much chemical products on their bananas

30kg of active ingredients per hectare per year

Bar cotton, the banana industry has the biggest input of what into the environment

Agrochemicals

How else does banana production cost the environment other than chemicals/fertilisers

deforestation due to land clearance, waste, soil fertility and loss of biodiversity

how is banana production wasteful

for every tonne of bananas produced, there are two tonnes of waste

What kind of biodiversity is especially affected by banana production

aquatic life as pollutants from the agrochemicals run into water courses

The world banana trade is dominated by which two groups

the ACP group and the so called Dollar Producers of Central American republics

What traditional pattern to do with global trade does banana production follow

the traditional pattern of developing regions exporting low value primary goods to more developed countries

How much and what percentage of global banana production comes from Latin America and the Caribbean

13 million tonnes, nearly 80% of total export market

Who are the largest importers of bananas

the EU and USA

in 2013, how much of global banana exports did the top two consumers consume

27% each which is around 4.5 million tonnes

What percentage of the price paid goes to whom in banana production

90% of the price paid by the end consumer stays in the richer ‘north’ and never reaches producer who carries all the risk from growing perishable fruit

Who takes the largest slice of the price paid for bananas

the retailers, bananas are one of the biggest profit makers in supermarkets

Name one US based banana company

Del Monte

Name the Irish banana company

Fyffes

Name the Ecuadorian banana company

Noboa

How do banana TNCs operate

They control the entire supply chain, they own or work with plantations, manage transport and ripening and distribute products in consumer markets

How does the chain used by banana TNCs provide them with advantages

It allows them significant economy of scale gains so they can sell bananas in EU and US markets at a very low price

what is monoculture

Growing a single crop

most bananas for export are grown in what type of farms

Monoculture plantations in Latin America and increasingly Africa

On what type of farms are non TNC bananas often grown on

smaller scale family farms particularly in the Caribbean

In 2002 the big five companies controlled what percentage of the market

60%

How much had the market share of the big 5 fallen to

about 45%

How has organisation of the banana trade changed in recent years

big companies no longer directly own plantations and favour guaranteed supply contracts with medium and large scale producers and retailers have become increasingly powerful as TNCs seek to sell to them directly

What has been the most significant issue associated with banana production

trade wars

How have banana production and trade wars been linked

Bananas were the subject of one of the longest trade wars in history from 1992-2012

What was the 1992- 2009 banana trade war

A long running dispute between EU and USA backed by latin american exporting banana companies

What caused the banana trade war

The EU gave preferential treatment to banana producers from former colonies in ACP countries (Africa, Caribbean and Pacific) from 1975 which hurt Latin American banana producers many of which were controlled by US companies

What was the main conflict involved in the banana trade dispute

The USA and Latin American countries challenged the EU at the World Trade Organisation arguing that it was unfair

What was the result of the American WTO challenges

The WTO ruled against the EU on several occasions but the EU resisted change

What was the American resistance to the EU refusing to budge on their favourable banana deal

They imposed 100% tariffs on a range of EU goods like French cheese and British handbags in 1999.

How was the banana trade war between the US and EU ended

an agreement was reached in 2009 in Geneva between the EU and 11 Latin American countries where the EU agreed to gradually reduce tariffs on Latin American bananas

What is the ‘race to the bottom’ in banana production

Because of low prices paid to suppliers by supermarkets, larger companies are relocating their plantations to areas with lower labour costs and weaker legislation like west Africa, it is termed the race to the bottom for social and environmental standards

How much Fairtrade Premium did UK Fairtrade banana sales generate between 2000 and 2020?

Over £114 million.

What is the estimated global export value of bananas?

$7 billion

What percentage of Fairtrade bananas come from Latin America and the Caribbean?

90%

What disease threatens Cavendish bananas? (the most common type of export banana)

Tropical Fusarium 4 (TR4), a strain of Panama disease.

How many hectares of Cavendish bananas have been destroyed by TR4?

10,000

Why is TR4 a major concern for Fairtrade banana growers?

0% of all Fairtrade bananas come from Latin America and the Caribbean, where TR4 is now spreading.

What are scientists doing to combat TR4?

They are trying to develop a more resistant banana variety to replace Cavendish.