The goal for 2021 was to close with $ 1,723 million in investment commitments, but the goal was exceeded, clarifies the Ministry of Production.
New production lines, acquisition of machinery, development of digital innovation and expansion in food processing plants will be some of the destinations of the investment contracts that were concluded throughout 2021 by companies from twelve sectors .
Throughout the year, according to data from the Ministry of Production, Foreign Trade, Investments and Fisheries (MPCEIP), a total of 67 investment commitments, totaling $ 2,158 million.
The value reached in 2021 is almost four times greater that of 2020 and almost double compared to the end of 2019. In 2020 it closed at $ 603 million; while in 2019 they reached $ 1,166 million.
The documents, which commit the injection of resources by private and foreign companies, were signed by the Strategic Committee for the Promotion and Attraction of Investments (Cepai) from the portfolio of production.
56% of the investment in 2021 corresponds to the exploitation of mines and quarries, mining exploitation phase, manufacturing and the rest, to the areas of aquaculture, exploitation and exploration of hydrocarbons, tourism, road construction, transportation, electricity supply, recreation services, biotechnology and agriculture.
Camaroneros signed, since 2019, investment contracts for $ 155.7 million and expect to finalize $ 55.5 million more
The manufacture It is one of the leading sectors in attracting resources. Between 2019 and 2020 it concentrated at least half of the annual amounts registered by the MPCEIP. In 2021, it was only displaced by investment commitments for mineral exploration that concentrated $ 429.9 million.
This year, in addition, the health sector signed $ 6.11 million in two contracts.
| Sector | Contract number | Amount in millions of dollars |
|---|---|---|
| Manufacture | 36 | $ 419.8 |
| Mining exploration phase | 1 | $ 429.9 |
| Mining and quarrying | 2 | $ 354.5 |
| Road construction | 1 | $ 300 |
| Others (aquaculture, agriculture, biotechnology, tourism, transportation and others) | 27 | $ 653.8 |
| TOTAL | 67 | $ 2.158 |
Companies that are committed to investing
In the beer sector, for example, the firm Anheuser Busch InBev, a leading company in the world beer market and majority shareholder of National Brewery in Ecuador, committed resources, in October of this year, for the expansion of the productive capacity of the brewing plants through the acquisition of containers and adaptations to the production lines for new products, and other innovations, in addition to the acquisition of agricultural machinery for the Sowing by Contract program and the entire production chain of the brand Our Sowing.
The company will invest $ 100 million. With the capital injection it is also expected to achieve the reactivation of the more than 150,000 small businesses that are part of its value chain.
In the case of Duragas Abastible, a company related to the processing of liquefied petroleum gas (LPG), has a term of execution of its investment of twelve years and will implement it in Guayas, Manabí, Pichincha, El Oro and Santo Domingo de los Tsáchilas.
At the company plans to invest $ 50.3 million that include the acquisition of capital goods and raw materials, which will serve to improve and expand the Installed capacity for storage, packaging, and processing of commercialization of LPG.
To Eric Vinueza, internal consultant at LA Corporation for the Promotion of Exports and Investments of Ecuador (Corpei), The investment commitments that have been made are due to the performance of certain economic activities in recent years.
“Investors take into account, among other specific issues, legal certainty, the performance of the sector in which they will place their resources and analyze, first, the profitability of investments without taking into account the benefit of incentives for them”, explained.
However, Vinueza says there is pending issues to make Ecuador an attractive investment destination. For example, he says that in the Investment Law project sent by the Executive, in the part of incentives, it is clear in the access, application and there is less paperwork.
The Government announced that it plans the bill to attract investment in early 2022.
Projections for 2022
Government estimates that, by 2022, a modest goal of $ 1,895 million will be reached in investment contracts approved by Cepai.
To date, the minister noted of Production, Julio José Prado, have a total of 94 investment contract applications pending, which must follow a process until its approval by the Committee.
Angel Gomez, CEO of Cargill, a company that has invested more than $ 65 million since it began operations in Ecuador, pointed out that the prospect of continue placing resources in the country it is maintained to be “close to the market and to help solve needs in a timely manner, adapted to the specific characteristics of the region.”
In addition, Gómez said, it aims to maintain the programs to provide financial support to clients in the modernization of their shrimp farms through the purchase of automatic feeders, this in order to improve their productivity. (I)
Paul is a talented author and journalist with a passion for entertainment and general news. He currently works as a writer at the 247 News Agency, where he has established herself as a respected voice in the industry.
