President Raúl Mulino said he hopes to close the deal during an official visit to Brazil at the end of August
The Panamanian government said it is optimistic that Chiquita will resume operations in the country after shutting down production and laying off its entire workforce following a lengthy labour dispute. As reported by EFE, president Raúl Mulino announced on Friday that talks with the multinational were “progressing well” and that he hoped to close the deal during his official visit to Brazil at the end of August.
The government has been in talks with senior executives at Chiquita to reestablish its operations in Bocas del Toro since July. The multinational is believed to be seeking compensation for the multimillion-dollar losses it sustained after being forced to shut down.
In late May, the multinational laid off all its estimated 6,500 workers, following a 24-day strike which brought the group’s business to a halt around Changuinola, its hub in the province of Bocas del Toro. The episode is believed to have cost the company US$75mn and caused potentially irreversible damage to plantations.
Bananas are Panama’s main export product, accounting for around 17.5 per cent of foreign sales. Prior to its departure, Chiquita was responsible for nearly 90 per cent of banana production in the country.
The events of recent months have put a dent in Panama’s export revenue and raised concerns about its reliability as a banana exporter, with some customers reportedly seeking alternative suppliers.
According to government statistics, between January and May 2025, the FOB value of Panamanian banana exports totalled US$52mn, US$253,000 less than during the same period in 2024.
