Exporters are opposed to the measure and claim that the current crop will be sufficient to supply the domestic market and to sell abroad.
Returning to the restrictions on exports of Nicaraguan red beans, which were in place between 2010 and 2011 would be a "mistake" according to exporters associations from the Central American nation. They say the current crop will be sufficient and can supply the domestic market and have surplus for export.
The South American country is the second biggest destination for Nicaraguan exports.
Exporters to Venezuela "must be prepared" to diversify their market, due to the current situation taking place in the South American nation, said Azucena Castillo, general manager of the Association of Producers and Exporters of Nicaragua. Venezuela is the second biggest destination for Nicaraguan exports.
Once the end of the 2013-2014 crop season has finished 1.2 million pounds of black beans will have been sold to Venezuela.
"A larger effort has been devoted to the production of black beans for export, due to the security afforded by the market agreement between the governments of Venezuela and Nicaragua," said the president of the National Union of Farmers and Ranchers (UNAG), Alvaro Fiallos, alluding to the Bolivarian Alliance for the Peoples of Our America (ALBA).
About 20 thousand acres are to be planted with the grain in the next few years, in order to produce up to one million quintals of coffee.
This was stated by the President of MerconCoffee Group, José Antonio Baltodano. "In the Atlantic Coast there should now be planted 2,500 hectares of robusta, whose production potential within three years could be about 100 million quintals, which would mostly be for export as local consumption is mostly of instant coffee and is small," he explained.
The growth of food exports to Venezuela has got Nicaraguan producers excited, yet they are warning against backing this market excessively.
"Between January and May of this year, exports by volume from Nicaragua to Venezuela have grown by 209%, generating an exporter enthusiasm which has convinced all of the productive sectors, especially now that there are plans to halve red bean production over five years in order to plant more black beans", reported Laprensa.com.ni
They warn that if domestic prices are not adjusted and there is no guarantee to maintain the value of the local currency, they will not sell their cattle to local slaughterhouses.
Alvaro Fiallos, president of the National Union of Farmers and Ranchers (UNAG), is demanding that slaughterhouses adjust the price which has been kept frozen since late May last year at $2.97 per kilo in hot weight, and that they recognize the maintenance of the value of the cordoba.
Rice farmers are overwhelmed by the increase in production costs which can exceed the final price paid by intermediaries and even that paid by consumers.
According to Alvaro Fiallos, president of the National Union of Farmers and Ranchers (UNAG), said "rice production has become unprofitable. And to be profitable you need to get an average of 120 quintals per acre, but now this is not possible ... we are producing 85 to 90 quintals," he said.
Entrepreneurs in the meat industry believe that the increase in exports of live cattle will affect the future of the herd.
"The industry's concern is that Guatemala has already imported 3437 tonnes of cattle, where a large amount of the animals have not met the technical criteria set out in the Ministerial Decree number 027-2007, issued in September 2007 by the Ministry of Agriculture and Forestry (Magfor) and the Ministry of Development, Industry and Trade (Mific)", reported Laprensa.com.
As part of the Agritrade Platform, Guatemala will participate for the 27th time in PMA Fresh Summit, the most important international trade show and convention of fruits and vegetables in the United States, which will take place at Anaheim Convention Center, California from October 17th to 19th.