Peruvian agro-export will continue to rise despite second wave of infections in Europe

Representatives from ComexPerú and the Lima Chamber of Commerce review how shipments abroad have evolved this year and what effect the re-outbreak of the coronavirus would have on the Old Continent.

The price of dollar it exceeded S / 3.61 in Peru due to different factors. On the one hand, there is the uncertainty caused by the debate in the Congress dome of the Republic on the release of pension funds and, on the other hand, restrictions in Europe as a result of a second pandemic wave. This last point has generated the fall of the main stock markets.

Will these indicators affect Peruvian exports to Europe? Carlos Posada, institutional director of the Lima Chamber of Commerce (CCL), began by pointing out that we have a diversification of the export basket, where obviously Europe is an important destination.

In recent months, from January to August, there has been a 19% drop in traditional and non-traditional exports. Within the sectors, all have fallen except non-traditional agriculture, with products such as grapes, mangoes, citrus, asparagus, among others. "In general, it is the only sector that has grown"Pointed.

For Posada, the appreciation of the dollar will compensate a little in the weight of the quantities, that the FOB value increases and has an impact on a higher income, for the exchange rate that is happening.

On the side of restrictions in Europe, he pointed out that finally people are going to have to eat and dress. The European market, without prejudice to these measures that prohibit consumption in establishments such as restaurants, do not restrict the consumption of the product, and will continue to supply supermarkets and supply centers, he said.

“If you asked me what are the products that should have a guaranteed success in Europe this year, I would bet on avocados, mangoes, blueberries, grapes, bananas, mandarins, piquillo peppers and kión. Leaving agriculture aside, some minerals such as gold that goes to Switzerland are important within the weight of exports ", said the director of the CCL.

While among the products hardest hit at this juncture are coffee, squid and asparagus. But he stressed that everything depends on how the destination market is based on the industry they are supplying.

Along the same lines, Rafael Zacnich, ComexPerú's manager of Economic Studies, indicated that these restrictions are more for social activities, such as bars and restaurants, not essential for the general economy. "On that side, the restrictions should not affect our shipments".

Regarding the dollar, he commented that there is uncertainty of an eventual victory for Joe Biden in the United States, which could raise the exchange rate. However, that increase "It is not going to compensate for the drop we are having throughout the year [in exports]".

On the side of mineral shipments to the European bloc, they continue with a downward trend, due to the slowdown due to Covid-19, which has slowed down the execution of large projects. Meanwhile, on the agricultural side, we have been growing, said the ComexPerú manager.

He emphasized that the particularity of agriculture is that the bulk of exports are placed in the second half of the year, so we have room to grow. We have October, November and December where mangoes, blueberries, avocados, and the latest grapes are entering the world.

“Perhaps in the first months it was affected, by the schedules or the port activities, but there is demand. And thinking about the structure of our exports to the European Union, agriculture represents 42% and mining 32%. All the rest of the sectors are falling, because it is an effect of a particular year "Zacnich added.

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