Can bananas at 99 euro cents a kilo be sustainable? If you ask Chiquita, the short answer is “no”. In Belgium, the brand is now putting its first carbon neutral banana on the shelves – a world first.
Banana without climate impact
“When people see a leaflet with very low prices for bananas, they should ask themselves whether this is really possible, a bunch for less than a euro per kilo. Can this be sustainable? It is good to make consumers think about this,” says Marc Speidel, Director Northern Europe at Chiquita. We spoke to the man on the occasion of the launch of the first CO2-neutral Chiquita banana, which is now being marketed in Belgium as the first country in the world.
The banana, which can be recognised by its green ‘CO2 neutral’ sticker, has no impact on the climate thanks to Chiquita’s compensation projects in Costa Rica, where the fruit originates. The launch is part of Chiquita’s wider ’30BY30′ programme to reduce CO2 emissions from its operations by 30 per cent by the end of 2030. That programme has since been recognised by the Science Based Target Initiative (SBTi), an independent body. Chiquita is the first fruit company in the world to have its targets and progress independently audited and verified by SBTi.
“Smaller footprint than tomatoes”
“This is not the start of our sustainability programme,” Speidel emphasises. “Sustainability is a process, it has always been part of our strategy. We started our partnership with Rainforest Alliance back in 1992 and were one of the pioneers. Now everyone talks about reducing their carbon emissions – which is absolutely right – but that is only one aspect of sustainability. We have also, for example, committed to the SA8000 standard on social practices in the workplace, to improve working conditions on our plantations. This is not only about wages, but also about child labour, discrimination, fair working hours… We have been doing this for decades. At Chiquita we work with our own plantations, the people who work there are our own employees.”
Chiquita has already reduced its footprint by 30% over the last six or seven years, but sometimes does not get enough recognition for this. Bananas are in the spotlight, but not always in a positive sense. “The banana is one of the most popular fruits in the world. Everyone talks – and sometimes shouts – about the banana. But if you look at the CO2 emissions of, say, avocados, or even tomatoes produced here in Europe, that footprint is much bigger. Not that we want to accuse others, but we want to say that this is a global issue. And by being a big global brand, we can encourage others to follow our example. That is what I hope. In the end, we cultivate plants and trees. That is good, compared to the production of cars, for example. But we have to communicate better about it. The theme is catching on: look at what Greta Thunberg has set in motion. We have to take action now, otherwise my daughters will be stuck with the problems. We have to avoid that.”
Retailers are on board
Chiquita cannot do this alone, Marc Speidel emphasises: “We talk about this with our suppliers and our customers, because ultimately they have to help us. It would not make much sense for us to make our logistics chain sustainable, and then for retailers to come and collect our fruit from the port in old diesel trucks.” But just to be clear, the retailers are not the black sheep in this story. “They all have the ambition to be climate neutral by 2050. The pressure is rising, and that is good. When I talk to Delhaize, Albert Heijn or Edeka, I see that they are on the same page. They appreciate what we are doing. Of course, there are also the annual negotiations… that is the other side of the coin. If you want to be sustainable, it doesn’t come for free.”
To become carbon-neutral you have to buy credits, plant trees, change your own processes, use renewable energy… and that costs money. “We know we have to invest and maybe make our bananas a bit more expensive, it goes hand in hand. That is why we are so proud of this recognition. It will help us in the near future. You know that last year there were two heavy hurricanes in Guatemala and Honduras. They caused a lot of damage: they destroyed plantations and villages. It was a disaster for the people there. And those storms are linked to global warming. So if we invest now, hopefully it can help us in the future. Better to invest now than to rebuild afterwards something that was destroyed.”
Less than a euro?
But the banana market is very price competitive. Isn’t a slightly higher price a disadvantage then? “Well, if you compare bananas with other fruits and vegetables, you have to admit that they are too cheap. A kilo of bananas for less than a euro… We invest in our own plantations, our own fleet to transport the fruit, we control the whole process. We know the amount we need to survive, to pay fair wages, and so on. So every time you see a leaflet with very low prices for bananas, you have to ask yourself: is this really possible? Nobody tells you that there is a margin of only 0.5%. It is good to make consumers think about how it is possible that they buy a product for less than a euro per kilo? Can this be sustainable?”
Bananas have always been a reference product. When you enter the shop, the first thing you see is that big, yellow banana shelf. “Consumers love bananas. For many, bananas were the first fruit they ate as children. That’s very positive. But do you really need to buy bananas for less than a euro? If we all ask ourselves that, then we can change something.”
Fungal infestation
Finally, we regularly read alarming reports in the press about a disease that affects the Cavendish banana and may jeopardise future supplies. What is the state of play?
“It is a type of fungus that is in the soil and affects the plants, reducing the yield. The plague started years ago in the Philippines, which was far away. But later it came to Columbia and now it has almost reached our territories. For us it is a big risk. We fund universities and research looking for a means of protection and we share the results with our colleagues, but we have not yet found a cure. If this pest really destroys millions of hectares, supplies to Western Europe will fall and prices will rise, but there are plenty of alternatives for consumers here. Much worse is this for the many countries where bananas really are the staple food… In any case, we are taking great precautions to prevent the fungus from spreading further.”