Chiquita today announced regional information on banana
prices and volume for the first two months of the 2005 first quarter.
In the company's core European markets, Chiquita's average banana price rose 22 per cent on a US dollar basis in the first two months of the first quarter, compared to the same period a year ago.
On a local currency basis, prices in those same markets rose 18 per cent from a year ago.
The volume of bananas the company sold in its core EU markets rose 10 per cent overall in the first two months of the quarter, compared to the same period a year ago.
In North America, average banana prices rose six per cent in the first two months of the quarter versus the same period last year.
Higher prices in North America were due in large part to supply disruptions caused by January flooding in Costa Rica and Panama as well as temporary contract price
increases designed to mitigate some of the higher costs resulting from the floods.
The company previously estimated increased costs due to the flooding of $10-15 million, including write-downs of damaged farms and higher expenses for sourcing alternative fruit, logistics and farm rehabilitation.
Banana volume in North America rose 11 per cent in the first two months of the first quarter.
In Asia, where the company primarily operates through joint ventures, the volume of bananas the company sold in the first two months of the first quarter rose two per cent from the same period a year ago.
Banana prices in Asia rose two percent on a US dollar basis in the first two months of the first quarter, compared to a year ago, while prices in local currency rose one per cent.
