Given the reduction of liquidity, direct and transversal problems in maintaining competitiveness in international markets, but above all uncertainty in different production sectors, the Corporation of Export Guilds of Ecuador (Cordex) presents the challenges of different sectors for this anus.

In 2023, according to Cordex, which represents more than 75% of Ecuador’s non-oil and non-mining exports, products such as shrimp, bananas, cacao, plantains, tuna, broccoli, poultry and textiles generated trade of about US$14.8 trillion , however, growth could reach an additional 15%, if there were no “ups and downs” in exports. Among the main problems attributed to him is the crisis of insecurity, since it has significantly affected internal operations in all links of the chain, even in some it has damaged the international perception of Ecuador.

They also point out the increase in production and export costs due to high investments in the “attempt” to fight against organized crime. They point out that current production is 20% more expensive than in 2022.

To these situations, they add the “increasing tax burden” for the production-export sector and to this they add the “lack of investment in infrastructure for quality services in the export sector (Agroquality and the undersecretary for quality and safety)” which “has made the prospects for Ecuadorian products difficult.

Shrimp exports fell 6%

Against this background, the shrimp sector points out that it has experienced an “alarming drop in revenue, ceasing to receive almost $1.5 billion”, which they attribute to a significant drop in international shrimp prices, even reaching levels below those recorded during the COVID. -19 pandemics.

This situation represented a 6% drop in exports in 2023, which according to the National Chamber of Aquaculture, losses exceed $370 million compared to 2022.

The challenge for banana farmers is to reduce uncertainty

Regarding the banana sector, the vice president of the Cordex board, José Antonio Hidalgo, pointed out that in 2024 it will have to immediately face direct and transversal problems in order to maintain competitiveness in international markets, but that the most important challenge will be to reduce as much as possible levels of uncertainty. In addition, strengthen the budget and technical capacity of the Association of Banana Exporters of Ecuador (AEBE) and be prepared to avoid the presence of pests.

“All this will allow the volume of banana exports to increase to reach levels like those achieved in 2021, which was greater than 380 million boxes,” said Hidalgo, who is also the executive director of AEBE.

These are the top 20 banana exporters in Ecuador in 2023

Cocoa growers worried about tax reform

Rigorous compliance with European regulations is imperative for the cocoa sector in 2024 to ensure competitiveness and access to key markets. Added to this is the resolution of informality in the sector through the implementation of good practices in the collection and marketing of products; increasing productivity in the sector; combat uncertainty.

Executive Director of the National Association of Cocoa Exporters of Ecuador (Anecacao) Merlyn Casanova adds that the implementation of the tax reform exposes itself to the risk of additional deterioration in the income of large companies, which represent 50% of the country’s exports. sector and contributes more than 5 million dollars in taxes, which is why he foresees liquidity problems. “We urgently call on the national government to take effective measures to address the crisis of insecurity in our country and guarantee the economic and social sustainability of the cocoa sector,” said Casanova.

Plantain growers are asking for a state of emergency to be declared for their sector

On the other hand, the Association of Banana Exporters (Asoexpla) suggests the importance of the Government creating incentives for new plantations and crop modernization, as well as attention to road safety and logistics.

“Declaring a state of emergency in the banana production sector is key to promoting and optimizing productivity through the application of modernization techniques and advanced technology. This approach will enable an increase in production, meeting national and international demand for a sector with significant growth potential,” Asoexpla CEO Eduardo Manrique pointed out.

Poultry farmers strive to position the health status

Although from the poultry sector, the National Corporation of Poultry Breeders of Ecuador (Conave) believes that for 2024 it is important to position the health status of the country as a seal of quality, guaranteeing the safety and traceability of poultry products. “This approach will not only strengthen consumer confidence, but also open the door to new trade agreements and access to more demanding markets.”