Ecuadorian fruit exporter 'not worried' about ChiquitaFyffes merger

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Ecuadorian fruit exporter 'not worried' about ChiquitaFyffes merger

Fruit exporter Multimodal World has said the potential merger between two of the world's biggest banana companies, Chiquita Brands International (NYSE: CQB) and Fyffes Plc (ESM: FFY), should not affect the Ecuadorian industry.Ā banana_66284746 small

Company fresh fruit manager for the South American country, Martha Cordero, told www.freshfruitportal.com she was not concerned the companies could gain too much power over the market in the South American country.

"It's really not going to affect us much because they have their own established clients and we aren't each other's competition. Fyffes fruit quality in Ecuador is the same as ours - they have the same security and quality controls," she said.

"I'm not too worried about it."

Cordero also said the merger would not affect market prices for growers as the country's government set minimum prices per box.

In June a major U.K. banana importer BanaBay said the unification of the two companies could potentially have a negative influence on growers, but would not affect consumers.

Cordero went on to say the company's banana production was going very positively so far this year.

"The quality has been very good and we haven't had any complaints," she said.

Multimodal World produces its own bananas, but occasionally also buys from smaller growers.

Cordero said the company exported some 2,200 containers annually to clients throughout the world, including Arab supermarket chains and a single Chinese importer who receives around 350 containers per year.

She added that she had noticed a significant increase in demand for organic bananas, and had recently finalized contracts will a Polish supermarket chain to supply them with the pesticide-free produce.

Panama disease

Cordero said the Ecuadorian government was confident it would be able to protect the country's borders from the catastrophic Panama disease Tropical Race IV (TR4) strain that can wipe out entire banana crops.

"Ecuador's government is currently taking all the necessary measures to ensure that there are no problems with the plantations," she said.

"The export markets have also demanded that the government establishes precautions and has exhaustive control.

Photo: www.shutterstock.com

www.freshfruitportal.com

 

 

 

 

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