The banana sector in the Atlantic Region of Costa Rica

The Huetar Atlantic Region (HAR) of Costa Rica, has been a source of wealth, and its population shows a wide cultural diversity. However, the indicators of poverty (underutilization of the labor force, income, and the relative increase of the informal economy), have shown a worrisome trend which could lead to stagnation of social and economic development of the whole region. An analysis of the banana sector of the HAR, is presented in this paper. From 53,000 ha in 1994, banana cultivation has declined to the current 42,000 ha, due to a concentration of the plantations in areas of greater performance, abandoning those of negligible potential by its soil characteristics. However, an increase in productivity due to an increase in the performance average, and favorable climatic and market conditions has been observed. Increases in crop area or employment are not expected unless a clearer situation in the international market conditions is defined, especially in the European Union. However, a fall in exports may cause serious regional economic problems.