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Banana strike blockades are paralyzing exports, causing millions in losses in Panama

The banana sector's strike in Panama has led to an operational collapse in the main production areas, as road blockades prevent access to the farms, the transport of goods, and the export of products to international markets.

"The country's entire banana sector is closed. We can't get the production out for the national market or export. We've had blockades for two weeks now, causing losses in the fields. It's the worst thing that can happen to us after eight months of investment in the plantations," stated Manoel Motta, general manager of Gustoo Tropical Fruits.

The company had to suspend the harvest, Motta stressed. The plants continue yielding fruits, but the product is lost on the farm. Economic losses are significant. "We are losing about four containers a week, equivalent to about $100,000 a week in fruit alone. That doesn't include the losses suffered by the entire chain: packing houses, logistics, trucks, shipping companies," he added.

The conflict started because of a recent reform of the Social Security law that the workers claim is detrimental to their rights, and the government claims otherwise. "There is a lack of dialogue. We have to find a balance between both parties," Motta stated, highlighting the risk that this instability poses to the country's image in the eyes of international buyers.

Orders from the United States and Europe have not been canceled, but the sector is concerned that customers will seek supplies in other countries. "Customers don't wait. If we don't deliver, they'll look for another supplier. That damages Panama's image as a reliable supplier."

Meanwhile, companies such as Chiquita Panama - one of the largest in the sector - have also halted operations with losses estimated to exceed $10 million in just two weeks. Some transnational companies are even redirecting part of their production to Costa Rica.

Gustoo Tropical Fruits continues to maintain its plantations, waiting for operations to resume. "We keep fertilizing the plantations to be ready when the strike ends. But this has already affected costs."

If this crisis is not resolved soon, the consequences will be devastating for the region, Motta warned. "This could bring mass unemployment and a socio-economic crisis in provinces that already have high levels of poverty."

Despite the outlook, the manager remains hopeful that the situation will be solved soon. "We have a quality product that is tastier and has better size and presence. Panama produces bananas all year round thanks to its microclimate. We only ask for stability to continue delivering our product."

For more information:
Manoel Motta
Gustoo Tropical Fruits
Tel.: +507 65 642 005
Email: [email protected]
https://www.gustooproducts.com/gustoo-fruits

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