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US banana giant Chiquita returns to Panama / Photo: DANIEL SANTOS - AFP/File
NYSE - LSE
US banana giant Chiquita returns to Panama
US banana giant Chiquita Brands will resume operations in Panama and rehire thousands of workers fired after a crippling strike, the government of the Central American country said Friday.
Chiquita closed its Changuinola plant in the Caribbean province of Bocas del Toro at the end of May and laid off 6,000 workers after a strike over pension reforms that crippled production for weeks.
The strike, declared illegal by a labor court, caused more than $75 million in losses as well as road closures and product shortages in the province.
The Panamanian government has been negotiating with the company for its return to Bocas del Toro, which relies heavily on tourism and banana production.
On Friday, President Jose Raul Mulino announced "a positive agreement for Bocas del Toro and the thousands of workers who were left unemployed" by the closure.
"We are going to resume operations in the country under a new operational model that is more sustainable, modern, and efficient, creating decent jobs and contributing to the economic and social development of the country and the province of Bocas del Toro," Chiquita President Carlos Lopez added in a statement.
According to the agreement, Chiquita will hire about 3,000 workers in a first phase and another 2,000 later.
"The goal is to be operational no later than February 2026," said the government, adding Chiquita will invest some $30 million to resume production on 5,000 hectares of banana-growing land.
Bananas accounted for more than 17 percent of Panamanian exports in the first quarter of 2025, according to official data.
I.Braun--BlnAP
