El Salvador is an appetizing market for vegetables and vegetables

El Salvador is an appetizing market for vegetables and vegetables

The limitations of territory and the difficulties facing the Salvadoran agricultural sector mean that production is reduced.

According to recent figures from the Ministry of Agriculture and Livestock and the Central Reserve Bank of El Salvador, domestic production only covered 46% of domestic demand, while imports accounted for 54% in 2016 for the domestic sector. general.

The dependence on imports to meet the demand for some products may be higher, in the case of melon, carrot, lettuce, cauliflower and broccoli.

In response, the Foundation for Investment and Development of Exports (FIDE), with support from the Government of Japan, presented the Diagnostic for the marketing of fresh and processed fruits and vegetables from Honduras in El Salvador, as part of the project Business Commercial Strengthening , promotion of exports and investments.

According to the report, the Honduran products with the greatest export potential to the neighboring country are tomato, cabbage, banana, banana, orange and lettuce. For this, the national producers must take advantage of the seasons of the year with less availability of local supply of the Salvadoran market.

"There is a very high potential so that this demand can be supplied through Guatemalan and Honduran products. After the national market, the Salvadoran market for Honduras represents a great opportunity to place their products, "explained Roxanna Posada, Project Director of the consultancy Unimer.

The company with more than 30 years of experience in market research and opinion in Central America won the public tender and for more than three months made inquiries about the identification of fresh fruits, vegetables and vegetables from Honduras.

Among the recommendations from the study highlights the use of the potential of processed products such as preserves and pickles, which have experienced a rising trend in imports and also have high incidence in consumption.

They also suggest taking advantage of the opportunities offered by pineapple as a raw material for various processed products, which could favor the use of fruit in an economy of scale scheme. As for vegetables, products such as potatoes, carrots, chayote, tomato, sweet pepper, white onion, green beans, broccoli, cucumber, lettuce, red onion, cassava, corn, cauliflower, squash and cabbage are consumed by Salvadoran families.

Also in the last five years the avocado has had an accelerated growth, has gone from 13.7 million kilograms in 2012 to almost 49 million kilograms for 2016.

"This document offers an overview of the possibilities presented by the Salvadoran market for fresh fruits and vegetables and processed products, such as fruit and vegetable derivatives. As well as relevant market information that can be used by national companies, producers and exporters that produce and process these products, with a view to the internationalization of their operations ", explained Teresa María Deras, executive director of Fide.

He added that the research work they have developed has the purpose of being a source of consultation for all those companies linked to the agricultural sector, especially the horticultural and fruit subsectors, as well as for government institutions and the private sector that support This productive sector to develop policies and action plans that will boost their growth and development.

Balance

Honduras exported $ 885.7 million last year to the Central American market, of which $ 330.3 million went to El Salvador. Meanwhile, imports exceeded $ 2,087.8 million, with the majority of Guatemala ($ 1,011.4 million) and then El Salvador (550.0 million dollars), according to a report from the Central Bank of Honduras (BCH).

The Secretariat of Central American Economic Integration (Sieca) reported that Central America's total exports totaled $ 30,669.7 million in the fourth quarter of 2017 and registered an increase of 9.8% with respect to 2016. The balance of Central American exports indicates that 30.8% of the total were made in the intraregional market and the remaining 69.3% towards third markets.

Meanwhile, intraregional exports grew 3.4% compared to 2016, exports to third markets did 12.9%. The export markets were the most traditional, such as the United States and the European Union, along with the Asian market with countries such as China, Taiwan and Japan.

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