The path to a better future

KEYNOTE FEATURE

Publication Sponsor

The path to a bett er future

Even before the pandemic, the global banana ecosystem was facing a whole bunch of big challenges. Now more than ever, says Chiquita president Carlos López Flores, those challenges need to be faced head on.

by Mike Knowles

@mikefruitnet

Publication Sponsor KEYNOTE FEATURE

LEFT—Chquita has worked to improve biodiversity at its Nogal banana plantation, situated in the Sarapiquí region of Costa Rica

What does the future hold for the banana business? Leaving aside the immediate challenges posed by Covid-19, many of the industry’s unanswered questions relate to sustainability, corporate responsibility, and profitability. In many respects, those priorities appear more important than ever.

Two factors will shape that future. The 2019 discovery of a devastating soil-borne fungus called Tropical race 4 (TR4) on a couple of plantations in Colombia and Peru – the first such cases in Latin America – have underlined how difficult and costly it might become to maintain monocultural production of a single cloned variety, Cavendish.

And in the market itself, a much-publicised spat between discount retailer Aldi Süd and Ecuador’s banana export industry has shone a spotlight on thorny issues to do with price, perceived value, As for defending the market value of bananas, the multinational insists its aim is to secure a premium in the market so it can give back to the people and places that supply the fruit. In fact, the group’s strategic vision is to be the banana of choice in every one of its markets, providing customers with the highest quality of fruit and service, as well as the best tasting product, all the way from its farms to the retailers’ shelves. »

and returns paid to growers.

For Chiquita, the banana industry’s bestknown brand, it seems there is no shying away from either challenge. Before TR4 arrived in Latin America, the company had already identified it as a threat; and in July 2018, it convened a meeting of leading scientists from around the world to push forward the development of better resistance to Panama disease, which TR4 causes.

30 target emissions cut (per cent) by 2030

KEYNOTE FEATURE

Publication Sponsor

LEFT—By securing a premium for its branded offer, Chiquita says it can support the communities that supply its fruit

What happens next, the company says, depends on protecting two vital ingredients: people and planet. At every turn, the global supply chains that bind together consumers and suppliers will require constant improvement and innovation if they are to remain sustainable, ethical, and profitable.

FIGHTING FOR THE FUTURE

That obligation is certainly at the heart of Carlos López Flores’ thinking. As president of Chiquita Brands International, he has plenty to consider when it comes to environmental sustainability and corporate social responsibility, not to mention ensuring that consumers around the world continue to place the right value on what his company’s famous blue sticker has to offer. “We care for our planet and our place in it,” he tells Fresh Focus Banana.

In the midst of the pandemic, greater concern about health and wellbeing has prompted consumers to buy more nutrientrich products that boost immunity, bananas included. But for López, this increased awareness around personal nutrition is intertwined with a growing appreciation of how healthy the world itself might or might not be.

“The debates about a balanced diet, the effects of climate change, and about what constitutes longterm, sustainable agriculture to feed our increasing population will unavoidably start to have more prominence,” he predicts.

Over the past decade, Chiquita has emphasised its own sustainability efforts through an initiative called Behind the Blue Sticker. Based on commitments to growers, communities, and the wider population of 400m people in 135 countries that depend on bananas for their food or their livelihoods, “Our mantra remains the project is simple. What is focused squarely good for the banana on securing the industry should be fruit’s future. good for Chiquita,

So, what does and vice-versa” sustainability mean for the company? “Our mantra remains simple,” López explains. “What is good for the banana industry should be good for Chiquita, and what is good for Chiquita should be good for the industry.”

Since the early 1990s, he continues, the group has pursued an approach called 'principled embeddedness' when it comes to corporate responsibility. This involves sharing knowledge and new technology to create long–term value and growth for local communities.

“It’s very much in line with the UN Sustainable Development Goals, which are designed to end poverty and solve the world’s environmental and human health challenges,” he comments. “Chiquita contributes to inclusive growth in particular – provided governments, retailers and civil society organisations support our local initiatives.” »