Peru’s agricultural exports could surpass Chile’s by 2027

Peruvian agricultural exports could reach US$12.21bn by 2027 according to the country’s Ministry of Agrarian Development and Irrigation (Midagri). This would surpass Chile, which is on course to reach US$12bn.

As reported in Andina, Peru’s agricultural exports rose by an average annual rate of 10.1 per cent between 2012 and 2022, reaching a record US$7.557bn in that year. Although higher in value at US$10.664bn, the growth in Chilean exports averaged 2.4 per cent a year for the same period.

César Romero, a foreign trade specialist at the Midagri Policy Directorate, explained that, if this dynamic is maintained in the following years, “by 2027 Peru would be exporting US$12.21bn in agricultural products, surpassing Chile, which would reach US$12.009bn.”

Romero pointed out that while Chile has major problems with water availability, the water, labour, climatic and legal conditions in Peru favoured investments in agri-exports.

Comparing the two countries, Romero said Peru’s blueberry exports had grown by an average annual rate of 123.3 per cent over the last decade versus 2.6 per cent growth in Chile. In avocados, Peru notched up an annual average growth rate of 20.7 per cent while Chile registered 3.3 per cent per year. And in grapes Peru’s average annual rate was 14.1 per cent versus 1.9 per cent in Chile.

Romero highlighted two mega irrigation projects that he said are vital to the sustainability of the development of Peruvian agri-exports: Majes-Siguas II, a 38,500ha project in Arequipa, and Chavimochic III, in La Libertad, which will add another 63,000ha of irrigated agricultural land.

“According to the Association of Agrarian Guilds of Peru (Agap), around 60,000ha are currently used for agro-exports. With the two projects mentioned, that surface area would almost triple,” he noted.

Romero also flagged up the need to open up new export markets for Peruvian products. At present, eight countries buy 71 per cent of Peru’s agricultural exports (the US, the Netherlands, Spain, UK, Chile, China, Germany and Ecuador), and 15 products represent 56 per cent of total agricultural exports. “Therefore, there is room to exploit the markets of Asia, Australia and others,” he said.

Source: Fruit.net

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