World Trade in Bananas

Question 1

Importance

Answer 1

Most produced fruit in the world, source of energy + potassium. Staple of 400million

Question 2

Trade in bananas

Answer 2

5th most traded agricultural product
Follows traditional pattern of LICs exporting primary goods to HICs
80% of exported bananas come from Latin America + Caribbean
Ecuador is the largest exporter
Main importers are US + EU - average of 11 pounds/year
India and Brazil produce lots but consume domestically

Question 3

Economic Impacts

Answer 3

90% of final price stays in rich ‘north’
42% of profits taken by retailer
TNCs control large portion of market (up to 80% in past)
Increasingly, national companies are selling to retailers, giving retailers greater power + forcing suppliers to ↓ prices
Workers are exploited

Question 4

Environmental Impacts

Answer 4

Commercial plantations apply 30kg of chemicals/ha/year
2nd largest environmental impact after cotton farming
Deforestation
Monoculture - reduces number of species of insects that can be supported by the ecosystem

Question 5

El Guabo

Answer 5

South-west Ecuador
One of the world’s largest producers of fairtrade bananas
Exports 30k boxes per week
Made up of 2000 family farms

Question 6

Economic impacts of El Guabo

Answer 6

Stabilised incomes for families, improving standards of living
Guaranteed fair wage and long-term supply contract
Producers can raise additional capital for investment

Question 7

Social impacts of El Guabo

Answer 7

Healthcare benefits - free El Guabo clinic
Educational + medical supplies
Social security - retirement benefits
Marginalised groups are helped to find employment - 1 of 2 schools for disabled in country