Could A Banana Shortage Be On Its Way? Here's What We Know
Americans' most consumed fruit could become scarce in a matter of weeks. That's because roughly two-thirds of bananas brought into the country enter the U.S. through East and Gulf Coast ports. The International Longshoremen's Association (ILA), representing approximately 45,000 port workers who bring offshore goods onto the mainland, has indicated they intend to halt operations if they can't settle an ongoing negotiation process before October 1.
Labor negotiations between the United States Maritime Alliance (USMX) and the ILA have been strained for months. The association of dockworkers is seeking an 80% pay hike over the next six years and protections against increasing automation in the industry. Laborers are concerned that technological advances threaten their job security and are potentially violating existing labor contracts.
Should the strike go forward, there will almost certainly be a considerable shortage of the slightly radioactive fruit, and the price of any bananas found in grocery stores is expected to skyrocket. However, it isn't only bananas that would be affected by such a labor stoppage.
More than bananas could be affected by the strike
Along with bananas, the U.S. could see a shortage of grapes, pears, kiwis, and other produce items if labor negotiations can't be settled before October 1. Plywood and auto supplies would also be affected, as ports along the East and Gulf Coast account for 60% of the nation's offshore imports, meaning a strike that would effectively shut the ports down would be soon felt across the country. The strike could create an estimated $7.5 billion loss for the U.S. economy after just one week.
Talks between the ILA and USMX have been deadlocked since June, and it isn't clear whether or not an agreement can be reached before the October 1 deadline. If the strike does progress, much of the produce brought in during that time could succumb to spoilage before it can be shipped. Any that came in after the potential labor stoppage would be discarded.
For a time, it seemed as though bananas were inflation-proof, but it seems that is about to end due to outside forces. So, if you're someone who can't have a smoothie without the overpowering taste of banana, it might be a good idea to stock up somewhat before a shortage and freeze bananas for later.