German-owned Billa supermarket chain, part of the Rewe group has thousands of stores in 9 European countries. Staff said the sale of ready-peeled bananas was a "one off" mistake and apologised, saying it would not happen again.
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Customers have threatened to boycott the shops in response. One said that selling ready peeled bananas in a plastic package was the ultimate symbol of waste and the throw-away society.
A spokesman for Greenpeace in Austria where the peeled bananas had been on sale said: "If there is an easy to open ready packed food it's the banana - peeling it only to pack it in environmentally unfriendly plastic is just madness."
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