How Can Exports from El Salvador Be Revived?

Insecurity and excessive red tape remain the main obstacles to the growth of exports, which have lost momentum in the last four years.

Thursday, September 1, 2016

From the Survey on Business Competitiveness by Fusades:

FUSADES has carried out the "Business Competitiveness Survey" every year since 2011, interviewing more than 430 micro small, medium and large enterprises. The surveys help to statistically demonstrate the challenges and opportunities in improving growth and employment generation, the only institution in the region that makes such an effort.

This year, the survey results have been exploited to answer a fundamental question: How can exports from El Salvador be revived? For an economy with a very small domestic market, the key is to pursue growth opportunities through the engine of exports.  

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More on this topic

More Insecurity, Less Investment

January 2019

The effect of crime and the tax reforms that have been implemented are part of the factors that have caused companies in El Salvador to decide not to make more investments.

The Business Competitiveness Survey, prepared by the Salvadoran Foundation for Economic and Social Development (FUSADES), details that between 2011 and 2017 the number of companies that have no interest in investing in the country registered a 11% increase.

Insecurity and Uncertainty

March 2018

Salvadoran business owners point out that the main causes of the country's poor economic performance is still growing insecurity and a lack of a clear political course.

The Salvadoran business chambers agree that the beginning of the year has not been the best, since the obstacles that for several months have made it difficult to operate and grow private sector activities still remain.

El Salvador: Growing Industrial Unrest Due to Insecurity

March 2016

Businessmen have stated their categorical opposition to statements made by a government official that confuse extortion with the funding of organized crime.

The statements by the Technical Secretary of the Presidency of El Salvador, Roberto Lorenzana, against companies in the country that suffer from extortion caused a strong reaction from the private sector, four days after Industrias La Constancia publicly announced that it was suspending operation of its plants because of increasing insecurity and violence.

Customs in El Salvador: Less and Less Competitive

September 2014

The waiting times for export products passing through customs offices in El Salvador increased from 2.8 days on average in 2011 to 4.7 days in 2013.

From a statement by Competitividadelsalvador.org:

The Business Competitiveness Survey (ECE) was conducted for the third time, in which employers provide information on obstacles and opportunities in ten areas critical to compete globally.

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