Banana Alert

Dear Valued Customer,

Dole Fresh Fruit has in the past and will continue in the future to provide you with the highest quality bananas available. We grow our bananas in some of the best regions in Latin America. Our mission is to provide you a product that not only meets but exceeds your expectations.

This time of year, the banana market normally experiences a production lull due to weather conditions. The combination of cooler temperatures, less sunlight, and cooler nights cause banana production to slow down considerably. Yields are not nearly as good as they are in the summer time. In addition, demand goes up this time of year also. The month of January has been particularly difficult this year with blow downs destroying the production on a number of farms in the industry. Unfortunately, February isn't being any kinder to us. Production continues to drop due to cold front continually effecting farms industry wide all over Central America.

Normally when production is affected like this we are able to supplement our supply from Ecuador as well as our competition does. However the Government of Ecuador has a policy in place now, where growers cannot sell more than a certain percentage of their bananas to the open market. This has had a significant effect on overall supply for the industry. No longer can the banana suppliers purchase as much fruit as needed to fulfill the demand in the various markets they serve. The spot market or open market price on bananas in Ecuador has risen incredibly high and continues to go up every week. Russian demand for bananas is also extremely strong which makes the situation all the worse. 

This is a very difficult situation not only for Dole but the entire industry. I think banana supply is sometimes for granted. Normally supply is plentiful and if there is a shortfall it doesn't last long. This year unfortunately is worse than it's been in many years. We have no control over Mother Nature and policies made by other banana producing countries. We expect this shortage to continue but I would remiss to give you a time frame as to how long it will last. The factors above will determine how long this shortage will continue.

We will continue to update you as we get more information. Thank you for your continued support during this difficult time.

Sincerely,

Dole Fresh Fruit Company