Major banana producer suspends operations in Panama amid strikes

Chiquita, a U.S.-based multinational and major global banana exporter, has halted all operations in Panama’s Bocas del Toro province due to an ongoing workers' strike that began on April 28. The company announced it was suspending planting, packaging, export, and administrative activities indefinitely. It described the strike as unjustified, claiming workers fully abandoned the farms — an event it considers beyond its control.

The company estimates losses of over $75 million so far and warns of serious consequences for families, local businesses, and the broader banana supply chain in the region. After failed negotiations with unions and the government, the company dismissed nearly 5,000 workers last week, citing permanent damage to production.

The strike is part of a broader wave of national protests against government reforms, especially changes to the social security system. Bocas del Toro, heavily dependent on bananas and tourism, has been the most affected region, with tensions rising and occasional clashes reported.

Meanwhile, in Costa Rica, Chiquita resumed activity at a state-owned Caribbean port, marking a notable shift in its regional logistics. The company controls 90% of Panama’s banana production — bananas being the country’s top export, with $324.4 million in sales during early 2024. Given the worsening unrest, the Panamanian government is now considering declaring a state of emergency in the area.

source: efe.com

photo: foodtank.com