Chiquita still struggling in European banana market

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North America was a bright spot for Chiquita Brands International in April and May, while regulatory changes impacted its European market.

The Cincinnati-based produce company released April-May price and volume information for its core markets Tuesday.

In the European Union, its biggest market, average banana prices declined 10 percent (13 percent in U.S. currency) compared with the same period last year, while volume was down 2 percent. Chiquita said regulatory changes allowing new competitors into the market contributed to the decline, as well as a tariff rate of 176 euros ($221) per metric ton of Latin American bananas, more than double the previous rate. Volume decrease is due to the sale of more premium-grade bananas and fewer of the lower-margin, second-label fruit, the company said in a news release.

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