El Salvador Coffee
El Salvador (04/05)
One of the biggest challenges in El Salvador has been to manage the decline in the coffee sector, formerly the backbone of the economy, and to develop new growth sectors for a more diversified economy. The collapse of worldwide coffee prices has caused substantial reduction in coffee production and decreased rural employment. While as recently as 1988 coffee exports accounted for more than half of export earnings, in 2004 they were 7.0%. Moderate climate and a hard-working and enterprising labor pool comprise El Salvador's greatest assets. El Salvador has sought to leverage these assets in creating new export industries through fiscal incentives for free trade zones, and currently there are 15 free trade zones in El Salvador. The largest beneficiary has been the maquila industry, which directly provides 88,700 jobs, and primarily consists of cutting and assembling clothes for export to the United States. The apparel industry has greatly benefited from the Caribbean Basin Trade Par ... [Read More]
Coffee Makes a Comeback in El Salvador
El Salvador: With the help of USAID, some farmers in El Salvador are rebounding from low coffee prices by breaking into a different market altogether--specialty coffee. USAID Photo. ... ... Coffee Makes a Comeback in El Salvador ... [Read More]
El Salvador
111111-- Coffee Makes a Comeback in El Salvador ... [Read More]
US Department Of State Post Report
In 2001, El Salvador’s agricultural sector continued its decline, dragged down by declining world coffee prices. The sector overall contracted by 2.1%. Exports of sugar—the second largest agricultural product—increased, but amounted to a small part of overall exports. Before 1980, a small economic elite owned most of the land in El Salvador and controlled a highly successful agricultural industry. The civilian-military junta that came to power in 1979 instituted an ambitious land reform program, and more than 22% of El Salvador’s total farmland was transferred to those who previously worked the land but did not own it. The 1992 peace accords made provisions for additional land transfers to all qualified ex-combatants of both the FMLN and Salvadoran armed forces, as well as to landless peasants living in former conflictive zones. Coffee and sugar remain the most important agricultural export commodities. Small producers and cooperatives sell to or collectively operate their own processi ... [Read More]
El Salvador
The country's population is over 6.3 million. The free-market, mixed economy largely is based on services, agriculture, and manufacturing. Although agriculture accounts for only 12 percent of the gross domestic product (GDP), it is the largest source of employment, engaging 35 percent of the work force, estimated at over 2.6 million persons. Coffee and sugar are the principal export crops and important sources of foreign exchange, although a sustained decline in coffee prices has depressed activity in this sector. According to the Salvadoran Coffee Council, the decline reduced employment in the end of year harvest by approximately 4,300 jobs. The manufacturing sector, which contributes 21 percent of GDP, employs 9 percent of the work force. The textile sector, especially the maquila (in-bond assembly or processing) plants in free trade zones, represents about 50 percent of manufacturing sector employment and is the main source of new jobs. The economy is open, and private property is r ... [Read More]
El Salvador
El Salvador is a constitutional, multiparty democracy with an executive branch headed by a president and a unicameral legislature. In 1999 voters elected President Francisco Flores of the Nationalist Republican Alliance (ARENA) to a 5-year term. In generally free and fair elections in March 2000, the former guerrilla organization Farabundo Marti National Liberation Front (FMLN) won a plurality of the seats in the Legislative Assembly. ARENA maintains a working majority in coalition with the conservative National Conciliation Party. Four other parties and three independents hold seats in the Assembly. The judiciary is constitutionally independent; however, it suffers from inefficiency and corruption. The Supreme Court and the Attorney General’s office took initial steps during the year to address inefficiency and corruption in the judiciary. The National Civilian Police (PNC) maintains internal security. The military is res ... [Read More]
El Salvador
Infant malnutrition continued to be a problem, particularly in the coffee-producing zones of Ahuachapan and Sonsonate. During the year, the Government implemented a national plan for infants designed to increase access to potable water, iodized salt, and micronutrients and encourage breast-feeding, but progress was slow, particularly in rural regions. ... The country has a market-based economy focused on services and light manufacturing, while simultaneously opening its markets. The country's population is over 6.9 million. Remittances from abroad are the largest single source of foreign income, equivalent to approximately 15 percent of GDP, and they continue to grow in value. Agriculture remained the largest source of employment. Coffee and sugar are the principal export crops. The rate of real economic growth changed little during the year and was estimated at 1.8 percent, with inflation at 5.4 percent. According to the Ministry of Economy's statistics and census office, in 2003 approximately 36.1 percent of the population lived below the poverty level, compared with 38.8 percent in 2002. ... [Read More]
El Salvador
El Salvador is a constitutional, multiparty democracy with an executive branch headed by a president, a unicameral legislature, and an independent judiciary. In 1999, voters elected President Francisco Flores of the Nationalist Republican Alliance (ARENA) to a 5-year term. In free and fair elections in March, the Farabundo Marti National Liberation Front (FMLN) won a plurality of the seats in the Legislative Assembly. ARENA negotiated with the conservative National Conciliation Party (PCN) to maintain a working majority. Two other political parties also hold seats in the Assembly. The judiciary is constitutionally independent; however, many judges were still susceptible to political influence. The National Civilian Police (PNC) maintains public security; the Ministry of Defense is responsible for national security. The military provides support for some PNC patrols in rural areas and also provi ... [Read More]
V. Country Narratives -- Countries A through G
Guinea is a source, transit, and destination country for women and children trafficked for the purposes of sexual exploitation and forced labor. Guinean girls are trafficked internally for forced labor as domestic servants and boys for shoe shining and street vending. Some children are also trafficked for forced labor in agriculture and diamond mining camps. Women and girls are trafficked to Cote d’Ivoire, Benin, Senegal, Nigeria, South Africa, Spain, and Greece for sexual exploitation. On a smaller scale, men are trafficked for forced labor in agriculture. Guinea is a destination country for forced child labor from Mali, Guinea-Bissau, Sierra Leone, and Senegal. The Government of Guinea does not fully comply with the minimum standards for the elimination of trafficking; however, it is making significant efforts to do so. Guinea is placed on Tier 2 Watch List for its fail ... [Read More]
Honduras (07/05)
Honduras is one of the poorest and least developed countries in Latin America. Industrial development has been limited, and historically the economy has been dependent on exports of coffee and bananas. In the past 15 years, however, the economy has been diversified, with the development of non-traditional exports such as cultivated shrimp, melons, and tourism, and the establishment of a growing maquila industry (primarily, assembly for re-export of textiles and apparel). Investment incentives aimed at attracting foreign capital in export industries have been introduced. Meanwhile the coffee industry has suffered from low world prices, and banana production has yet to reach pre-Hurricane Mitch levels. Coffee and bananas now account for less than 15% of Honduran export earnings. Honduras also has extensive forest, marine, and mineral resources, although widespread slash-and-burn agricultural methods continue to destroy Honduran forests. ... [Read More]
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