El Salvador: Protection for Local Coffee

Through a proposed law the Ministry of Agriculture aims to protect national production by increasing tariffs on grain imports.

Wednesday, January 10, 2018

According to figures from the Salvadoran Coffee Council, of every 4 hundredweight consumed in the country approximately 3 are imported. The proportion is reflected in data from the 2015-2016 cycle, a period in which about 270 thousand hundredweight was purchased abroad, which contrasts with the 100 thousand hundredweight of local product consumed.  

See also "Central America: Coffee Export Prices Drop 33%"

The minister of agriculture, Orestes Ortéz, told Laprensagrafica.com that what they are examining is " ... an increase in tariffs, if that's what the law allows. That is to say that if you want to sell me coffee in El Salvador, you are going to pay me tax for this amount, I want to tell you that countries such as Mexico and Costa Rica tax the coffee importats with up to 75%".

The official added " ... that the department of agricultural economy at the MAG is carrying out a study to determine the percentage of tariff that it will take to the parliament, but clarified that they would not do so until after the legislative elections, because they believe that the subject could be sensitive."

More on this topic

Coffee in Central America: Exports Recover

March 2018

In the first nine months of 2017, countries in the region exported $2.795 million worth of coffee, 29% more than was sold during the same period in 2016.

Figures from the information system on the the Coffee market in Central America, compiled by the Business Intelligence Unit at CentralAmericaData: [GRAFICA caption = "Click to interact with the graph"]

Plans for Coffee in Nicaragua

March 2018

Government and representatives of the sector have announced the creation of a work commission that will focus on defining new strategies to boost the coffee activity in the country.

Representatives from the Central Bank of Nicaragua (BCN) and coffee producers held a session in which they agreed to work together on various issues that impact on the activity of the sector, among which, are the effects caused by pests.

Honduran Coffee in Numbers

March 2018

Up until March 5, the volume exported from the current 2017/18 harvest amounted to 3.6 million bags, 17% more than was reported on the same date of the 2016-2017 cycle.

According to figures from the Honduran Coffee Institute (Ihcafe), the value of sales of the grain abroad showed a behavior contrary to the volume exported. "...The value of exports is $446.5 million, showing a decrease of 1% compared to $450.5 million."

Honduras: Coffee Exports Down 12%

December 2017

Up until December 20, sales of the current 2017/18 crop totaled $84 million, 12% less than the amount reported on the same date of the 2016-2017 cycle.

From the IHCAFE Statistical Information Bulletin: 

As of December 20, 2017,  2017-2018 harvest.

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