Belgian Competition Authority Clears Collaboration In Supporting Living Banana Wages On Sustainability Grounds

On 30 March 2023, the Belgian Competition Authority approved a sustainability initiative between the Sustainable Trade Initiative (IDH) and five large retail chains in Belgium (Colruyt Group, Delhaize, Aldi, Lidl, and Jumbo) aimed at ensuring living wages in the banana sector.

Background and initiative

A "living wage" measures the payment that banana farmers need to receive in order to have a decent standard of living together with their families. The "living wage" is assessed by function of access to food, water, housing, education, healthcare, etc.

The aim of the Belgian initiative is to bridge the gap between the "living wage" and the actual wage currently paid to banana workers. To achieve this, the Belgian retailers agreed to enter into collaboration to "set joint objectives, exchange knowledge and learnings, align on approaches and timings, monitor progress, and initiate joint action on the ground, where possible". They would also collaborate with other