Mexico: Fair Trade is the future of organic bananas

"From what we could see at Fruit Logistica, demand for organic bananas has been gradually switching towards organic Fair Trade. Many are demanding this kind of fruit, despite it being a bit more expensive, as it is a seal that guarantees that the communities where production takes place benefit from it," states David Rubio Velázquez, of RAMAMY ORGANICS.

David Rubio Velázquez, Joaquin Velázquez Moreno and Miguel Rubio Velázquez, of RAMAMY, organic bananas from Mexico.

This change in demand is obviously reflected in prices. "In Europe, the differences are significant, i.e. if you are paid $ 13 for an 18.5 kilo box of organic bananas, a box of Fair Trade reaches $ 14.50," points out David.

"We are planning to become Fair Trade-certified, but it is necessary to understand that the situation in Mexico is different than in Peru, which is a pioneer in Fair Trade bananas. Over there the predominant model is that of small producers with two or three hectares, who form groups to be able to have an exportable supply, while here plantations are much larger," says David.

David stresses that, while demand has fallen, there have been no problems to market the fruit throughout 2014. In 2016, however, many European customers are expected to start demanding organic bananas with the Fair Trade label, causing them to reach a 70% share of the organic banana market.

A growing company
"The company was founded by my grandfather in the seventies, marketing conventional bananas in the domestic market. Already in 2000, we started exporting through a U.S. company, and for the past five years we have been shipping to Europe on our own," explains David.

RAMAMY has been producing exclusively organic bananas since 2002. Its plantations are located in Cerro de Ortega, a strategic location, just one hour from Port of Manzanillo, the largest in the country.

"We enjoy a dry climate, we are based practically at sea level and the soil is really good," states David.

RAMAMY produces organic bananas in 300 hectares.

The company currently exports four weekly containers to the European market, but it has plans to double that figure over 2015. "We used to consider Europe our main market, until last year, when we met representatives of Del Monte, and today we ship them ten containers per week for the U.S. market," concludes David.

More information:
David Rubio Velázquez
RAMAMY
T: +52 31 2323 4737
M: +52 33 1600 0820
david@ramamy.com.mx
www.ramamy.com.mx