On November 12th, the VII Round of Negotiations for the inclusion of El Salvador in the integration process towards the free transit of individuals and goods between Guatemala and Honduras began in San Salvador.
The negotiations between the three countries will last the entire week and it is expected that this round of dialogues will address issues related to the customs, migration, sanitary and phytosanitary challenges facing El Salvador.
With the new intermediate custom post built in Sonsonate, El Salvador, the idea is to relieve traffic of heavy transport moving through the border of La Hachadura.
Construction of the new intermediate customs facility has already started at Metalío, and it is expected to be ready to start operations within three months.
The Salvadoran sugar sector has exported the first 16,000 tonnes of a quota of 25,087 tonnes which corresponds to the country for 2014.
From a press release by the Ministry of Economy (MINEC):
El Salvador has exported 16 thousand tons of bulk sugar thanks to the Association Agreement between Central America and the European Union
The Ministry of Economy and the Sugar Association of El Salvador too part this May 13, in the dispatch in the Port of Acajutla, of the first ship carrying 16,000 metric tons of raw sugar as part of the El Salvador's quota for 2014 with the European Union. This delivery is part of the Association Agreement between Central America and the European Union (ADA), which came into force on 1 October for Costa Rica and El Salvador.
The Ministry of Public Works and the Salvadoran Accreditation Agency have signed an agreement to establish laboratories for analysing materials.
This Convention seeks to improve the service of duly accredited laboratories and those registered in the geotechnical and materials areas who provide services to the construction sector.
"The agreement is indefinite and has as its main objective determining the conditions in terms of accreditation to the OSA, and the registration and inscription of Geotechnical and Materials Laboratories with the MOP and ensuring technical competence of geotechnical and materials laboratories for the preparation of studies when carrying out projects authorized by the MOP, municipalities and decentralized technical offices empowered to authorize public and private works projects in the country. "
Of the 703 products surveyed by the Consumer Ombudsman in El Salvador 75% do not meet the standards set by the law.
This was announced by the chief of the institution, Yanci Urbina, during the first national Codex Alimentarius congress. Some 3,123 products were submitted to analysis, 457 were submitted for safety and 69% breached at least one technical standard or standard under the Consumer Protection Act.
The strategies for El Salvador to enter into Petrocaribe include the creation of a state run company for importing and marketing petroleum products.
Elmundo.com.sv reports that "José Luis Merino , FMLN leader and senior advisor to Alba Petroleos in El Salvador, says the party does not have an agreement model to join Petrocaribe, in the case that they win the presidential election next year. "
The country has resolved the differences it had with Italy, allowing the Association Agreement with the European Union to enter into force as soon as possible.
From a press release by the Ministry of Economy of El Salvador:
Today, September 23 the Finance Minister, Armando Flores and Deputy Minister of Economy, Mario Roger Hernandez, met with the Deputy Minister of Economic Development of Italy, Carlo Calenda in order to discuss the Italian opposition to the entry into force of the Association Agreement with the European Union (ADA) for El Salvador, after Italy, in July this year, did not vote for the Agreement to enter into force on 1 August 2013 for El Salvador and Costa Rica and did vote to give it to Nicaragua, Honduras and Panama.
The training will support producers of food and beverages so that they can comply with the Food and Drug Administration's Modernization Act for Food Safety.
From a press release by the Ministry of Economy of El Salvador:
The National Quality Council, through the Salvadoran Agency for Standardization (OSN), the Agency for Promotion of Exports and Investments of El Salvador (PROESA) and the Corporation of Exporters of El Salvador (COEXPORT) are promoting the program "EXPORT QUALITY" inaugurated by the President of the National Quality Council and Minister of Economy, Armando Flores, on July 24, 2013. This program aims to strengthen companies who produce food and drink so that they are able to comply with the Modernization Act for Safety Food, of the Food and Drug Administration (FDA).
Targeting the markets of Guatemala, Honduras and Nicaragua, the Export Promotion Agency of El Salvador has relaunched the program in support of SMEs.
From a press release published by the Agency for the Promotion of Exports and Investments of El Salvador (PROESA):
Under the Export Promotion Strategy, the Government of El Salvador launched on Tuesday April 16 the third edition of the Step by Step Export Program, a coordinated effort between the Agency for Promotion of Exports and Investments of El Salvador (PROESA) and the Ministry of Economy (MINEC), which has the support of the Technical Secretariat of the Presidency (STP), the U.S. Agency for International Development (USAID), through USAID's development program for SMEs, and the Special Fund of Resources from the Proceeds of the Privatization of ANTEL (FANTEL). It is expected that one hundred Salvadoran firms will initially be assisted as exporters and that there will be negotiations totalling over $5 million.
The Salvadoran government has exonerated 16 cooperatives in the country from paying rent and municipal taxes.
From a press release issued by the Ministry of Economy in El Salvador:
The Economy Minister Armando Flores delivered, on March 21, Executive Economic Agreements to 16 cooperatives, thereby giving them the benefit of income tax and municipal tax exemptions, as established under Article 72 of the General Law on Cooperative Associations.
A draft law on Secured Transactions has been presented in the Legislative Assembly, which gives MSMEs greater access to commercial credit.
The Minister of Economy, Armando Flores and the Deputy Minister of Trade and Industry, Francisco Lazo presented today, Monday, January 7, to the President of the Legislative Assembly, Sigfrido Reyes, a draft law on Secured Transactions with which it is intended that the micro , small and medium enterprises (MSMEs) will have greater access to commercial credit through collateral.
In order to mitigate the impact of rising raw material prices on bakeries, the government of El Salvador is investigating eliminating the import tax.
The head of the ministry of economy, Armando Flores said, "We are exploring the possibility of temporarily eliminating tariffs, o as to help mitigate the price increase that has been felt."
November 2010 was the last time the government implemented a measure like this, achieving a reduction of close to $2.3 in the price of a 50 pound sack of flour.
The Trade and Investment Office at the Ministry of Finance has registered 16 new investments since June 2011 to May 2012 amounting to $10 million.
An article in Laprensagrafica.com reports that "This department at the MINEC keeps track of investments in maquilas, industry and in commercial zones, Flores said. These investments have generated 1.660 direct jobs.
The center, which has resources of $2.8 million, will train between 2013 and 2015 a total of 90 professionals in the area of geothermal energy.
From a press release from the Ministry of Economy of El Salvador:
The Minister of Economy and Chairman of the National Energy Council (CNE), Armando Flores, the president of the University of El Salvador (UES), Mario Roberto Nieto Lovo and LaGEO president, Julio Valdivieso, have signed a technical cooperation agreement in order to train, between 2013 and 2015, a total of 90 professionals in the area of geothermal energy.
In the past three years exports of nontraditional products have seen an increase of $900 million.
The head of the ministry of economy, Armando Flores, on the occasion of the presentation of the Accountability Report noted that in the last year alone the increase has been $290 million.
Meanwhile foreign sales of traditional products in the last three years increased by $1 million.