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EXPORT BANANA

MEMBERS:
• Galo Laurido
• Francisco Rivadeneira
HISTORY OF BANANA
• Banana is a fruit native to South Asia. Starting
in 1940, it began to be cultivated on a large
scale in our country and over time its export
became the main source of foreign exchange
for the Ecuadorian state. In the 1950s, the
banana boom occurred, making Ecuador the
world's leading exporter of the fruit.
In recent years, an attempt has been
made to reduce the area of cultivation of this fruit, due to a policy
of diversification of production, replacing banana crops with other
more profitable products, although
the aim is to increase the yield of
banana plantations. existing.
Bananas currently constitute the
second export item of our country.
Types of Banana
■ Banana
fresh consumption
(AA) AAA (AAAA) ■ Banana
■ ^ Cooked, fried, source of
carbohydrates Plantain, banana
(AB) AAB or ABB
(ABBB)
Banana Varieties
Gros Michel (Big Mike)
Leader for > 100 years
Good production, cycle of 13 - 15 months
Tall plants (4-8 m), sensitive to winds
Good harvest qualities

Ripening uniformity

Resistant to shakes and discolorations
Shipped in bunches
Susceptible to Panama Disease

Replaced by Cavendish – resistant to Panama Disease
Cavendish
¡^ Main variety for export 11 month
cycle, good production Lower height
(2-3m)
¡ ■ Poor post-harvest quality

Does not mature regularly

Needs ripening chambers . . -

Susceptible to shaking and
discoloration Shipped in boxes
Resistant to Panama Disease
Local varieties
■ Genetic improvement in r

Africa, Latin America and


Asia
The Banana Trade in the
world

The growth of world production of


banana during the period 2000-2007 was

3.5% on average; while the production of the 20


main producers of
bananas was on average during the same period, 4.8%.
The growth rate of the top 20
producing countries is greater than the rate of
growth of world production according to
data from the United Nations
United Nations for Food and Agriculture (FAO)4.
In 2007, 87% of the
world banana production was produced by the 20
main producing countries
of fruit; increasing your participation
since 2000 where the main
producing countries contributed with only the
82% of world production.
World production

Production
Bananas, 72 million. MT (56% Asia)
Bananas, 25 million. MT (89% Africa)
90% in small-scale agriculture and local consumption
10% export (commercial plantations)
Latin American and Caribbean regions
Banana Offer
• The world supply of bananas, according to the FAO, in 2002 was
14,620,000 tons, equivalent to
approximately 806 million boxes.
• The main producers in the world are India
with 23.7% of world production, Ecuador
with 9.5%, Brazil with 9%, China 7.6% and
the Philippines with 7.3%.
Demand
• According to FAO estimates, in 2002 demand was 13,921,000
tons, equivalent to approximately 709 million boxes. The areas
of greatest consumption are North America (6% of world
production), Western Europe (5%) and Japan (2%).

• Five countries explain 76% of world consumption: the


European Union participates with 34%, the United States with
28%, Japan 7%, Russia with 5% and China with 7%.
The requirements to register as
an exporter are:
• 1. Request addressed to the Regional Undersecretary of the Southern Coast
and Galapagos of MAGAP.
• 2. Full names and surnames, home address, electronic address if available,
fax, mailbox, copy of citizenship card and updated voting certificate.
• 3. Single registry of RUC taxpayers, updated that indicates the export of
fruits as the main economic activity.
• 4. Bank account opened in any financial institution in the country.
• 5. Certificate of being on the white list in the Internal Revenue Service
(SRI).
Or 6. Declaration of income tax payments for the last two years.
7. Certificate of being up to date in the payment of employer obligations in the
IESS.
8. Box brand to be used, duly registered with the IPEI (Ecuadorian Institute of
Intellectual Property) or notarized letter authorizing the use of the brand, in
accordance with the provisions of the regulations.
9. Bank reference of the institution(s) where you maintain your account.
10. Bond in accordance with your weekly projection of boxes to be exported,
multiplied by the minimum support price, with a minimum duration of thirty
days and up to one year, it will not be necessary to provide bond on the futa
coming from your own plantations, duly registered in the MAGAP.
11. Certification of not owing to the State.
12. Sign contracts for the purchase and sale of fruit with producers and
marketers, duly registered in MAGAP.
MAIN EXPORTERS IN ECUADOR

NOBOA BANANA
REYBANPAC
UBESA
MISSION, VISION AND
OBJECTIVES OF THE
COMPANY
MISSION
• To be leading producers of the best organic bananas in
Ecuador, reaching the final consumer with a healthy and
delicious product, always keeping in mind the social and
environmental aspects carried out in a friendly way within
production. Guaranteeing the application of sustainability
values in each of the production and commercial phases. In
this way, we consolidate ourselves as an engine of well-being
for society.
VISION
• To be leaders in the production of organic bananas in
the country, complying with the highest quality
parameters, being a model of production and
preservation of natural resources.
Goals
General objective
• Satisfy the expectations of exporters by creating recognition of our fruit
and its differentiation with the conventional product.
Specific Objectives Market organic bananas through fair negotiation
channels.
• Create and maintain a reputation based on integrity and reliability.
• Develop long-term business relationships.
• Innovate in production techniques to ensure maximum quality and
quantity for our clients.
SWOT ANALYSIS
STRENGTH
• Excellent geographical location. Quality production. Vertical
integration. Compliance with certifications and quality standards.
Available labor. Increase in consumption of organic bananas.
Differentiated product with added value. Production available all
year round.
OPPORTUNITIES
• Organic banana market growing. Increased demand in European and
South American countries. The country has appropriate resources
for the production of organic bananas. There is consumer concern
for the protection of the environment, health and quality of life.
WEAKNESSES
• Little experience in the business. There is a lack of technical
personnel to provide advice on the farms. Lack of research on
organic bananas in our country.
THREATS
• National and international regulations regarding the export of
bananas. Increase in new pests. High international competition.
Natural phenomena that threaten the fruit. Sigatoka mutation
immune to organic management techniques in banana
plantations.
Market composition
• The composition of the market The CASCA organic
banana producing farm is strategically located in the city
of Milagro so that exporters from this city and its
surroundings do not have to spend so much time
shipping the fruit because CASCA is close to road.
This project is aimed at exporters who buy organic
bananas.
The target market has been divided into:
Geographic: CASCA is located in the city of Milagro, on Vía Mariscal
Sucre
Climate: Appropriate for the production of this fruit.
Demographic: In this segmentation we consider two points such as:
Social class: This product is aimed at high class companies. Income: This
variable is directed towards exporting companies, through orders placed to
other countries.
Behavioral: In this segmentation we consider a point such as:
Brand loyalty: People who consume organic products have preferences
with recognized brands.
PRODUCT
Organic banana is a fruit of tropical origin with the same physical
characteristics as conventional bananas, with the difference that it is
produced and marketed without the use of toxic inputs and must
respond to the requirements of a regime established by the competent
organizations that regulate export. of organic products.
The fruit that CASCA produces and then sells to exporters is
different from the rest of the farms that produce organic bananas,
because with the different 91 activities carried out on the farm, it has
the best quality of organic bananas in the area.
Product strategy.
The strategy that our product has is that over time and the
experience gained we are going to implement improvements in the
quality of organic bananas, we will also give a new appearance in
terms of packaging, we will also include the sending of boxes to
the port, to that our customers increase their satisfaction and
loyalty to our fruit.
Positioning analysis
The CASCA banana farm will be positioned immediately so we will have a new and
high production of organic bananas in optimal quality states. In order to reach the
highest exporting companies and the most prestigious in the country, so we will
become leaders in good production, we will have the best inputs and machinery for
the cultivation and harvesting of the fruit to meet the expectations of the exporter
and especially to consumer countries and thus the farm will obtain prestige and
recognition at the national level.
The exports that will be given will be to the most stable companies in the country
because with them we will be highly profitable producers. To select the fruit, we
will check that it does not contain any stains or residue, we will meet the client's
expectations, with the best fruits since we will classify them carefully. This is
intended to make the K&S farm the first option in the exporter's mind when
choosing a producer .
Price
• Our farm will have its only price per box which, as we
have already said, is a value of government origin which
ranges from $5.50 .
Price strategy.
• Our pricing strategy consists of reducing prices below
those of the competition, so that, in this way, we can
block it and gain market share. It is recommended since
this fruit has a differentiation because the organic banana
has a very special quality with other types of bananas,
this differentiation means that it can be sold at a good
price.
Distribution
• Milagro, being a city of agricultural origin, allows us to
carry out the distribution of our fruit to exporters.
Distribution strategy.
• The CASCA farm will offer its product via the Internet,
telephone calls, and sending emails to all organic banana
exporters in the country.
DISTRIBUTION CHANNELS
PRODUCER
PACKAGING MATURATION
MARKET
COMMISSIONER TRANSPORTER
CARRIER
WHOLESALER
MARKET
PEDDLER
COLMADOS
MARKET SALES START
INDIVIDUAL CONSUMER COMMERCIAL INDUSTRIAL Specialty store (greengrocer) Supermarket
Hypermarket Delicatessen or Gourmet stores
Packing
• Demane: leave 4 to 5 hands, a
minimum of 35 fingers per cluster
• Each finger weighs 340 g, with a
minimum length of 25 cm and a minimum caliber of 52
(Dole) or 26 (Chiquita).

• Wash to avoid stains


(weeding)
• Packaging in boxes
Communication
• CASCA since it does not offer the product to the final
consumer, but rather the exporter will gradually become
known for the quality of its fruit when it is grown and
processed. The farm will gain image thanks to the
teamwork that is carried out before obtaining the final
product.
Promotional strategy.
• To bring the product to our clients, the written and spoken
media of the aforementioned geographical area will be used.
In addition, it will be made known through tastings to
potential clients. Leaflets and leaflets will also be prepared
and distributed directly by our promoters. when approaching
potential clients.
• The basic ideas to present in the promotion consist of
making the exporter aware of the advantages of the product.
SALES TACTICS.
• To sell our product: the sales proposal for a certain
commercial action may or may not include the benefits of
the product.

• For this reason, a direct relationship will be developed


with the exporting companies that buy the banana boxes,
especially having a list of our potential clients and
offering the product directly. Bringing samples so that
they can taste and see the quality of the product that we
make available to them.
SERVICE POLICIES.
•Inmustorderofferto good
comply with timely delivery to our clients, since we
service, we have the guarantee that Hacienda
CASCA will have the timely delivery of boxes requested for
export.
•The types of services that will be provided at the CASCA farm are
to be able to receive and serve potential clients, and provide the
necessary information. This is customer service aimed at
providing cultured, respectful, friendly and personalized attention,
with quality treatment, timely, efficient and responsible
information from our collaborators.
Post harvest
Storage temperature
13.9-15°C (57 - 59°F)
< 13.3°C (56°F): cold damage
• Maturation with ethylene gas for
commercialization
Temperature: 14.4-17.8°C (58-64°F)
ethylene gas
Nutritional value
For every 100 g of pulp 85 calories, carbohydrates
Vitamins A, C, B,, B 2 , niacin Minerals, very high K
Reduces the risk of high pressure and spills
B Commercial Relationship
ECUADOR -
ARGENTINA
The Argentine Republic is located in the extreme south of
America.
It borders Bolivia and Paraguay to the north, Brazil and
Uruguay to the east, Drake Passage to the south, and Chile
to the west. Your official currency
It is the Argentine peso.
The Argentine economy is characterized by being strong
both in agriculture and industry. These qualities led to
country to achieve important levels of development during
the last century.
In the agricultural field, its quality and quantity of cattle
and grain production (corn, wheat, soybeans) stands out.
Argentina is currently part of Mercosur, a bloc through
which it has a trade agreement with the Andean
Community (ACE No.56), which provides tariff
preferences for a large number of products traded between
Argentina and Ecuador.
Its main trading partners are Brazil, the United States,
China and Chile. For Argentina, Ecuador represents only
0.3% of its imports and 0.9% of its total exports.
It is expected that this year the opening of a Commercial
Office of Ecuador in Buenos Aires will be completed, in
order to promote and diversify Ecuadorian exports to that
country.
Main Products
Exportation and importation
• Nearly 80% of Ecuadorian
exports to Argentina consist of
bananas, canned fish, tuna,
hearts of palm and shrimp.
In 2010, Ecuador exported
181,276.01 tons of bananas for
a total value of $49.07 million.
Argentina is the eighth destination for Ecuadorian banana
exports, the fourth destination for canned fish, the tenth for
tuna and the third for palm hearts. They are also our main
supplier of soybeans and their derivatives.
For its part, almost 73% of imports from Argentina are
made up of soybean derivatives, steel pipes, corn and
transportation vehicles. Despite the high concentration of
imports, more than 1,503 products purchased from
Argentina were registered. Ecuador, in 2010, exported
products from 129 different subheadings.
Ecuador Trade Balance
Argentina
° The trade balance with
Balance of trade Argentina has reached a
700.00 -
Ecuador Argentina
(2005-2010)
negative balance in the last 6
600.00 -
years.

• In 2010, trade between both


500.00 -
Millions

400.00 -

300.00 -

200.00 -
countries experienced a
100.00 -
respective growth of 15% for
0.00

2005 2006 2007 2008 2009 2010


exports and 18% for imports.
■ Exports ■ Imports
THANK YOU

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