ISSN: 0041-3216 (Online), 0041-3216 (Print)
Volume 87 Number 4
The impact of the banana trade regime (BTR) and the banana war on Dominica’s banana industry. (182)
This paper examines the impact of the EU Banana Trade Regime (BTR) and the banana dispute between the European Union (EU) and Latin American banana producers and the US on the supply of bananas from Dominica. It also looks at the future of the banana industry in light of the resolution of the dispute and the possibilities of the Fairtrade market. The impact is gauged through regression analysis to determine the factors that determined banana supply. Based on the analysis, it was found that the fall in price as a result of changes in the BTR and the banana war was a key factor responsible for the decline in banana supply. It is expected that the resolution of the banana dispute will further erode banana production by ACP producers including Dominica. A strategy of diversification from bananas for Dominica is therefore highly endorsed.
Keywords: Banana dispute, Dominica, ACP, European banana regime, fairtrade bananas and banana trade regime