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Ecuador: Producers and exporters ask for a new law for bananas
Ecuador has established itself as the number one exporter of bananas in the world, thanks to the flavor, texture and quality of their bananas. International markets, such as Europe, are the main destination for this fruit.
An example of this is Russia, where Ecuadorian bananas have no competition, and account for up to 94 percent of that market. As a result, producers and exporters have requested changes to the regulations so as to improve this product's international positioning.
Richard Salazar, a representative of the Association of Marketing and Export of Bananas, said the problem was that the legal standard had been created 20 years ago, when the production, marketing, and export were handled by eight groups, but that things had diversified in these activities, even in the international market, so the legislation had to be adapted to the current reality.
"We have met with different producer associations that have been working on the text of a new banana law. The current regulations were created 20 years ago and we have to adjust it to the present," he said.
Regarding the reforms to the law of the sector, he said that the expectations were focused on the issue of tax incentives. "The banana sector has a special characteristic, as it pays a single tax. However, in my opinion, it is a very high tax, as we pay 40 percent of Income Tax," he said.
Publication date: 12/4/2017
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