The agremeent involving WIBDECO, WINFA and the NFTO is expected to bring to an end months of uncertainty and speculation regarding the purchase of locally grown bananas.

ST LUCIA-BANANA-WIBDECO in new move to secure banana industry

CASTRIES, St Lucia, CMC – The Windward Islands Banana Development and Exporting Company (WIBDECO) says it has entered into an agreement with two other companies, including the Windward Islands Farmers Association (WINFA), in a move industry officials say is designed to take control of the banana industry from the St. Lucia Banana Corporation (SLBC).

 

WIBDECO said in accordance with the standards of the Fairtrade Labeling Organization (FLO), it has signed a sales and purchase agreement with WINFA and the National Fair Trade Organization of St Lucia (NFTO) that will bring the existing banana supply chain on the island in full compliance with FLO regulations.

 

In a joint statement, the three stakeholders said the agreement is expected to bring to an end months of uncertainty and speculation within the industry regarding the purchase of locally grown bananas.

 

Industry official say it is expected that WIBDECO would shortly acquire FLO certification as a result of the new agreement with WINFA and the NFTO.  They note that the British-based Windwards Bananas, a subsidiary of WIBDECO is a FLO registered importer.

 

The joint statement noted that WIBDECO, WINFA and the NFTO were assuring banana farmers that there would be no disruption in the arrangements for the purchase of their bananas. 

 

“They should continue to deliver their bananas to WIBDECO at the buying depots.  However, their payments will be processed by the NFTO.

 

“In particular  NFTO wishes to assure farmers that arrangements are in place to provide them with all essential services”, the statement said, adding that “NFTO takes this opportunity to advise all farmers to provide NFTO, through their local Fairtrade Groups, with the necessary information to ensure that the payments to them are processed without any difficulties and on time”.

 

WIBDECO had earlier announced plans to terminate the buying contract with the SLBC by March 31, saying it would only trade with companies certified by the FLO group.

 

But the SLBC countered by giving WIBDECO a week to withdraw the notice.

 

SLBC lawyers in a letter sent to WIBDECO's chief executive officer Bernard Connibert, said failure to reverse the contract letter would result in legal proceedings "without prejudice to proceedings against you personally".
 
The SLBC claimed that on February 28, WIBDECO unilaterally terminated the existing contractual agreement causing great alarm and the real risk of severe and irreparable loss and damage to it.
 
"The losses if your unlawful act is allowed to stand will be incalculable," said lawyers for SLBC in the correspondence.

Earlier this week, the St Lucia government turned down a request from the Civil Service Association (CSA) to have WIBDECO withdraw the letter, with Agriculture Minister Ezekiel Joseph saying that he will inform the SLBC to seek to have the matter discussed at the level of the board of directors, failing which the workers should seek alternative employment.

 

CMC/es/pr/08