Fresh Del Monte sounds the alarm once again on global banana crisis escalation
During a recent earnings call, Fresh Del Monte Produce Chairman and CEO Mohammad Abu-Ghazaleh took a moment, amid the announcement of the company's financial results, to address what he labeled as the rapidly deteriorating state of the global banana crisis.
Abu-Ghazaleh said health conditions in banana plantations have sharply declined, noting the confirmation of Fusarium Wilt Tropical Race 4 (TR4) in Ecuador, one of the world’s leading banana producers.
"This marks a serious escalation in Latin America after previous detections in Colombia, Peru, and Venezuela," the executive said.
The highly contagious, soil-borne, and incurable disease is already destabilizing the region, the CEO added. He recalled the impact of TR4 in the Peruvian region of Piura, where the fungal disease was detected in 2021.
Credit: Dr. Scot Nelson | Flickr
Four years later, a 2025 study published in the journal World Development Perspectives found that nearly half of the farms in the area are infected, and approximately 10 percent have been completely eradicated.
Fresh Del Monte stated that the spread of TR4 to Ecuador, the world's sixth-largest banana producer, marks a turning point for the banana crisis, as it "underpins food security, pricing, and millions of rural livelihoods."
"Small growers are under mounting pressure as Black Sigatoka spreads and TR4 reaches new countries," said Abu-Ghazaleh."With already thin margins across the sector, rising disease-control costs are making survival increasingly difficult."
An extensive banana crisis
Furasium Wilt Tropical Race 4 disease is not the only threat facing the industry. Black Sigatoka is also striking banana-producing regions.
Between both illnesses, Costa Rica has seen its output decline 22 percent year-over-year, representing a loss of roughly 18 million boxes.
Small growers across Latin America face devastating losses, according to Fresh Del Monte. Many are unable to afford the escalating costs of disease control and may be forced to abandon production altogether.
"The cost of maintaining supply is rising," the company warned, "potentially ending the era of the inexpensive banana."
No snooze on this alarm
This is the second time Fresh Del Monte has raised concerns about the banana crisis.
In an earnings call at the beginning of August, the company also took the opportunity to address the rapid advancement of TR4 and Black Sigatoka diseases and their potential impact on a worldwide banana shortage.
*Images are referential
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