• December 10, 2008

Citing rising costs and flat volumes in key markets, Chiquita Brands International reported that it raised its local banana prices in all markets during October and November.

Prices increased by 35% in North America, while volume increased 3%. The region accounts for 42% of the company's banana volume.

Prices increased 1% on a local-currency basis in Chiquita's core European markets, although they declined 6% on a U.S. dollar basis. Volume declined 4%. Europe represents 34% of the brand's banana volume.

Prices in Asia-Pacific and the Middle East rose 24%. Those regions saw volume jump 23%, but they account for just 16% of banana sales. Trading markets, which account for 8% of volume, saw a 19% price increase on a 3% volume increase.

"We expect that the relatively tight industry-wide supply conditions that we have seen throughout 2008 will continue, especially in light of recent industry-wide flooding which affected parts of Costa Rica and Panama," said Chairman and CEO Fernando Aguirre.

In its Fresh Express retail value-added salads business, Chiquita reported an 8% year-over-year increase in net revenue per case on a 1% volume increase.--Karlene Lukovitz