Huetar Norte: Complex Fruits of Globalization in Costa Rica
In the age of globalization and “free trade,” global consumers are accustomed to having access to a wide variety of fruits from around the world. Like all products, however, this fruit is grown, circulated, and consumed in ways that generate complex effects at all scales, from the local to the global. The case of the pineapple industry in Costa Rica reminds us that the impact of globalization always brings with it important questions for social, economic, and environmental justice.
Historical Background
The influence of transnational companies in Costa Rica dates back to 1899 with the arrival of the United Fruit Company, a multinational company based in the United States, on the Caribbean coast, where the banana exportation business flourished.
Despite the increased rate of employment and accelerated production of bananas, the plantations brought poor working conditions and few benefits to local producers. The hierarchical order of the banana industry, through which the heads of multinational companies received most of the profits and profits were reduced along the production chain, led to an unequal flow of cash that affected the local producers and workers. Soon the banana business became controversial in Costa Rica, which led to violent protests and political instability during the 1930s.
Costa Rican socio-economic regions map (Zevallos, 2013)
Even though working conditions have improved since then, the hierarchical order of transnational production remains the same and now affects pineapple production as well. Pineapple plantations are predominantly located in the socioeconomic zone called Huetar Norte, which borders Nicaragua and consists of a diverse community of Costa Ricans and Nicaraguan immigrants.
Economic Benefits
Regardless of the criticism of this industry, it can be seen as beneficial from a macroeconomic perspective. The pineapple crop has strengthened trade relations with Europe and the United States, allowing Costa Rica to become one of the largest global pineapple exporters. According to the National Association of Producers and Exporters of Pineapple (Canapep), pineapple exports generated a total of $941.5 million (USD) in 2017.
Most of the production during that period was exported to North American markets (53%) and the European Union (44%). The high international demand led to an expansion of the industry, which had a significant impact on the national economy such as the boost of the country’s GDP and the creation of hundreds of jobs.
Despite the benefits of this industry in Costa Rica, it is necessary to ask the following questions from a social justice perspective: what sectors benefit the most from the profits of exportation? What are the working conditions of these new jobs? How does the production process affect local communities? What are the environmental hazards of pineapple farming?
The critique contained in this article is limited by my positionality. Despite being Costa Rican, I find myself in a privileged position as a consumer of these products, having come from a middle-class family that is not dependent on agriculture to make a living. The reason I believe it is important to make such a reflection is to be informed, as consumers, of the path certain foods take before they reach the supermarket or our table
Pineapple field in Huetar Norte (O’neal, 2018)
Direct Impact of the Pineapple Industry in Huetar Norte
The northern region of the country, Huetar Norte, is recognized for being economically underdeveloped and for having a low human development index. However, this region has high potential for agricultural production due to its nutrient rich soils, thereby allowing the region to export more than $1.624 billion (USD) in agricultural products during the past decade. In addition, the region is mainly populated by low-middle income families that mostly subsist on either agriculture or cattle raising and related activities.
These families and local producers have faced the challenge of competing with transnational companies such as Dole or Del Monte; however, the tension is not necessarily due to local producers being dedicated to the same crop. Local producers who focus on other crops are systematically forced to transition to the pineapple crop in order to receive the governmental benefits that are given to pineapple producers.
As a result, pineapple production has become a governmental project that leaves communities like Huetar Norte highly dependent on pineapple monoculture, which, although it seems to be profitable, subordinates local producers who deliver the product to the transnationals in charge of marketing and export.
Working Conditions and Intersectionality
The pineapple project's hierarchy also affects the plantation labor force. Different complications faced by workers include 10 to 16 hour shifts, exposure to the sun's radiation and agricultural chemicals, and low wages and employment instability, which often leads workers to search for a job somewhere else.
However, in the case of some workers, various aspects of their intersectionality might lead them to submit to poor working conditions. One of these aspects is their nationality or migrant status. On the pineapple plantations, 85 percent of the male workers are Nicaraguans.
Nicaraguan migrants travel in search of job opportunities; however, their migrant status and xenophobia make them more likely to be mistreated and exploited in the workplace. It is also possible to argue that these companies take advantage of their vulnerability as illegal migrants to evade social security expenses to maximize their profit.
Another important intersectional aspect is gender, since women are less likely to be hired. The companies prefer not to be responsible for maternity leave benefits. In some cases, when women get pregnant, they are more likely to be fired. The lack of regulation in the workplace does not proctect them from sexual harassment and gender discrimination.
Pineapple fields in Huetar Norte (O’neal, 2018)
Pesticide Dangers
During the production process, pesticides such as Bromasil and Paraquat are often used in order to protect the crop and meet the international demand.
Although these chemicals were banned by the EU in 2007, some companies continue to use them in Costa Rica. The concerns associated with these pesticides range from environmental damage to health related issues due to contact and long exposure to the residues of these substances. Among the most common symptoms are allergies, respiratory issues and nausea, however, long-term exposure has led to conditions such as ulcers and poisoning. As an example in 2019, in a Huetar Norte community called Florencia, 22 child poisonings were reported.
Despite complaints that have been filed regarding the use of Bromacil, there seems to be little response from governmental authorities to reinforce pesticides policies. Evidence shows that it has been present in the area's drinking supply since 2007. In addition, given that this is a rural area mostly populated by low- or middle-income families, the costs to afford medical attention or treatment becomes another concern.
The Role of the Government
The Costa Rican state has been negligent by not holding these companies accountable for their working conditions and environmental regulations. Another shortcoming of the government is that they have not appropriately met the demands made by the people of the northern zone and activists to provide appropriate infrastructure for water supply.
Despite the order given by the Constitutional Chamber of the Supreme Court of Justice to ban or regulate the expansion of transnational pineapple industry, plantations keep operating and expanding in the country.
The response of the government might seem contradictory, since the country promotes sustainable development and nature conservation. However, in order to understand the paradox of the Costa Rican government, it is necessary to look at systemic issues.
The Bigger Picture
The large influence of these transnational companies and their impact could be better understood by taking globalization into account. This global project reinforces the interdependence of different countries' markets through the comparative advantage model, which has caused countries to specialize in the production of items of better quality and thus allow them to compete in the global market.
Due to this mode of production, many countries have become economically dependent on the production of a few certain goods. Under these circumstances, the developing countries have less opportunities to diversify their economy and instead perpetuate underdevelopment, as in the case of Costa Rica.
The combination of a homogenous economy and dependence on monocrops could explain how the government is systematically pressured to give concessions to transnational companies. This is due to the needs of employment, infrastructure and investment capital that the state cannot supply.
On the other hand, it can be argued that the state lacks capacity due to historical reasons, such as colonialism and neo-imperialism, that make countries like Costa Rica dependent on great powers from the Global North. Nevertheless, by pointing out systemic components like globalization, the colonial legacy, and the global economic system, the intention of this article is to suggest how local issues are composed of more complex parts.
Analyzing and pointing out global structural problems is not an apology for the negligence of the Costa Rican state, but an attempt to understand the problem integrally. The Costa Rican government has the duty to protect and provide opportunities and resources to the population of the Northern Huetar Zone. This responsibility implies regulating pineapple agricultural activity, environmental practices and labor policies, in order to mitigate the inequality caused by the global market structure.