Panama Banana Growers Face Serious Debts
 A cut in the US Chiquita Brand transnational purchases caused important economic losses and millionaire debts to Panamanian banana producers, sources of the sector reported.

Losses exceeded us$135 thousand dollars in July, a situation that caused a financial crisis, Bocas del Toro Grower Cooperative Director Demetrio Jimenez asserted.

The working shifts were reduced during that period and only two fertilization cycles from the five planned were fulfilled, he said.

According to Jimenez, the producers owe over $2 million dollars to the banks.

Chiquita Brand announced in July an important cut in its banana purchases, arguing saturation of the world market, especially that of Europe, although it reestablished its buying level this week.

The decision was harshly criticized then by banana producers, who threatened to block the company´s exports, and denounced its monopoly practices.

They also demanded that Chiquita release them from the exclusiveness contract and allow them to sell banana to other traders.

The measure taken by the US company was criticized by the Panamanian government.

Some 2,800 members of a banana cooperative went on strike on June to demand that the transnational renegotiate the price it pays for bananas.

The Multiple Service Cooperative of Puerto Armuelles accused Chiquita of maintaining an unfair agreement, because it pays $4.61 for a box of bananas, and sells it in Europe for up to $21.

According to the terms of the contract, the company must sell bananas under the international market price.