Chiquita Panama, a subsidiary of Chiquita Brands International, has stopped production on several banana farms due to a strike that started three weeks ago and has cost the company approximately $10 million, according to the company.
The workers went on strike after Panama's congress approved a controversial pension reform in March. In a statement, the company announced that it will permanently suspend production on an entire farm and parts of other plantations.
According to the company, crop damage and fruit losses are increasing by the day. In addition, international buyers are reportedly switching to bananas from other countries.
Chiquita Panamá employs approximately 450 people in Panama, according to local media reports. Last Friday, the company stated they had been unable to export more than 900,000 boxes of bananas because of the strike, causing them losses of more than $10 million.
Panama's banana sector directly employs about 6,000 people and generates more than 20,000 indirect jobs. The protests and strikes were called by unions and social organizations to demand the repeal of the pension reform approved in March.
There are also demonstrations against an agreement with the United States that allows the deployment of U.S. troops in the country and against the possible reopening of a Canadian open-pit copper mine in the country. The strikes have mainly affected the construction and education sectors.
Source: nacion.com