Labour disputes at Chiquita's Panama operations are threatening banana supply and prices, highlighting global supply chain fragility. Simultaneously, Loblaw Cos. Ltd. is pulling Folgers coffee products due to a pricing dispute with J.M. Smucker Co., exacerbated by extreme weather affecting coffee yields. These events underscore how global issues impact grocery availability and costs.
That's bananas! Why it might be harder or pricier to find some brands in grocery stores
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AI Summary
TL;DR: Key points with love ❤️Labour disputes at Chiquita's Panama operations are threatening banana supply and prices, highlighting global supply chain fragility. Simultaneously, Loblaw Cos. Ltd. is pulling Folgers coffee products due to a pricing dispute with J.M. Smucker Co., exacerbated by extreme weather affecting coffee yields. These events underscore how global issues impact grocery availability and costs.
Trending- 1 1997: Coffee prices globally highest in over 50 years (historical context).
- 2 April (2025): Banana farm strike began in Panama.
- 3 Last month (May 2025): Chiquita fired ~5,000 employees in Panama.
- 4 Late May (2025): Chiquita Panama estimated $75 million US losses from strikes.
- 5 Last June and October (2024): Folgers raised coffee prices.
- 6 February (2025): J.M. Smucker Co. attributed net sales rise to higher Folgers/Café Bustelo prices.
- 7 Monday (June 2, 2025): Panama's labour minister stated Chiquita Panama administrative staff left, firm seeking authorization to fire remaining personnel.
- 8 Wednesday (June 4, 2025): Loblaw announced delisting of Folgers products due to pricing dispute.
- 9 Friday (June 6, 2025): Global Labor Justice called on Chiquita to reinstate workers.
- 10 Next week or two: Loblaw stores expected to be out of stock of Folgers products.
- Potential fewer bananas and higher prices in Canada
- Folgers coffee products delisted from Loblaw stores
- Increased awareness of global supply chain fragility
- Higher coffee prices globally
What: Labour disputes at Chiquita in Panama are affecting banana supply and prices, while a pricing dispute between Loblaw and J.M. Smucker Co. is impacting Folgers coffee availability in Canada.
When: Published June 6, 2025; Monday (Panama's labour minister statement); Last month (Chiquita fired 5,000 employees); April (banana farm strike began); Late May (Chiquita Panama estimated losses); Wednesday (Loblaw email to retailers); Last June and October (Folgers price increases); February (J.M. Smucker Co. earnings call).
Where: Panama (Chiquita operations), Canada (grocery stores, distribution centres, Ontario, Manitoba), US (Chiquita largest supplier to US), Ohio (J.M. Smucker Co. based).
Why: Chiquita fired employees in response to a strike protesting social security reform; Loblaw deemed Folgers' proposed cost increases 'unreasonable and unjustified'; Extreme weather and climate change are affecting banana and coffee crop yields.
How: Labour strikes and firings in Panama disrupted banana production. Pricing disputes between a retailer and manufacturer led to product delisting. Global supply chain vulnerabilities are exposed.