Fair Pricing In An Unpredictable Climate

Fair Pricing In An Unpredictable Climate

Banana growers face compounding pressures, from acute shocks like El Niño to the slower pressure of climate change, making conditions less predictable and yields harder to plan for.

In Ecuador, the main source of Fairtrade bananas sold locally in New Zealand, this sits alongside rising costs and currency swings. Because the trade is priced in US dollars, a small, volatile currency like ours adds risk unrelated to the farm itself.

Therefore, fair pricing and long-term commitment are both essential. A sustainable supply chain needs more than a fair price at one moment; it needs buyers willing to build lasting relationships and recognise that growing conditions will keep changing.

We've seen this in New Zealand. All Good has been Fairtrade-certified for over a decade - our first Fairtrade banana - and what's made it work is that All Good and its retailers have treated it as a long-term commitment, not a short-term promotion. That consistency means the Fairtrade Minimum Price and Premium keep flowing reliably to growers.

This is the model we want more of. When costs or conditions shift significantly, the commercial relationship needs to reflect that, rather than growers absorbing the impact alone. Long-term commitment gives growers something that price alone cannot: confidence to invest in their farms, workers and future.

Additionally, supermarkets have far greater influence - than any individual shopper - not just in sourcing and purchasing power, but in genuinely understanding the supply chain behind a product, not just its price. They also shape what consumers choose, commanding more shopper attention than almost anyone else, in the aisle or on a grocery app.

Storytelling, in-store promotion, and clearly explaining what Fairtrade certification means, not just displaying the mark, do more for ethical sourcing than almost any other lever.

A clearly displayed Fairtrade Mark gives shoppers, often deciding in seconds, instant and credible assurance, without asking them to take a company's word for it. It's unrealistic to expect every shopper to research the supply chain behind everything in their trolley. Consumers can make a difference through their choices, but only with clear, credible information.

- Joanna Bourke, interim CEO at Fairtrade ANZ

Explore the banana feature in the latest issue here