Despite requests for further funding for further government support following Ecuador's EU tariff cut, the Association of Banana Producers of the Canaries (ASPROCAN) says it could be a while before any decision is made.

Almost one in four bananas traded in the European Union last year came from Ecuador, and the South American country is set to improve its position through a trade agreement aimed at further cutting tariffs by €39 (US$52) more per metric ton (MT) than previously scheduled for 2020.

With all other factors held constant, this would equate to €51.5 million (US$69 million) in savings based on last year's volume.

As a result, European Union growers – the majority from the community's outermost regions of the Canary Islands (Spain), Martinique (France), Guadeloupe (France) and the Azores (Portugal) – have raised the alarm about how they'll be be able to stay afloat amid heightened competition.

Canary Bananas' marketing director Sergio Caceres told www.freshfruitportal.com although Ecuador announced its new tariff at the end of July, he had as yet received no indication of any government financial support.

"There is a request to analyze the market situation, but there has been no decision made at this point," Caceres said.

"It's very early to know, and it's very complicated."

When asked what the effects would be on the Canary Islands' banana producers once Ecuador started shipping larger volumes to Europe, Caceres said he didn't yet know, but emphasized the expansive nature of the issue facing many growers throughout the world.

"Ecuador is one of the biggest producers in the world so it doesn't just affect us - it affects everyone who sells in Europe," he said.

Related articles: European banana growers respond to Ecuador-EU trade deal

Ecuadorian banana grower group reveals likely tariff reduction structure

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