- 1. Sectorial ReportFebruary 2009WARNING The opinions,
estimates, forecasts, statements and recommendations which figure
in this document are a result of the research and studies made by
the Coordination based on available public information. PROMPERU is
not responsible for any mistake, omission or inaccuracy of these
results. This report is referential and does not constitute a
recommendation of investment. This document does not necessarily
represent PROMPERUs opinion. International Commerce of Organic
ProductsSituation, Perspectives and Experiences of PeruF. Javier
Martinez R. ([email protected]) IndexWorlds Organic
Products Sales (e)1. International ContextSalesGrowthYear Billion
US$Rate2. Peruvian Situation2009 5312,77% 2.1 Generalities2008
4714,63% 2.2 Organic Production Area 2.3 Farmers2007 4117,14%3.
Peruvian Exports of Organic Products 2006 3516,67% 3.1 Commercial
Trends2005 3011,11% 3.2 Destinies2004 2710,20% 3.3 Products2003
24,54. International Customers (e) Estimates5. Methodology Source:
Ecor, Internacional Trade Center ITC, Organic Monitor6. Conclusions
Elaborated by: PROMPERU__________ Worlds Organic Products Market By
market2008 (e)1. International Context Japan 4% OthersUnited States
3%The international commerce of organic products 30%follows its
growing trend mainly in Germany,England, Sweden, Italy and France
although theinflationary problems and the contraction of thedemand
originated by the world-wide oil andfinancial (real state) crises.
EuropeAlthough is hard to know the worlds negotiated 63% (e)
Estimatesamount in organic products, it is estimated that Source:
Ecor, Internacional Trade Center ITC, Organic Monitorin the years
2006 and 2007 the sales reached Elaborated by: PROMPERUUS$ 35 and
US$ 41 billions, respectively. The main reasons which have
permitted theFor the following years 2008 and 2009 it isdevelopment
of the organic products market are:estimated that this commerce
will reach US$ 47and US$ 53 billions, respectively, with an By the
demand:average growth of 14%. A biggest uncertainty and concern
about theWe have to point that mainly the demand forproblems
related with food:organic products comes from European o
Contaminants (agrochemicals)countries, the United States and Japan
which o Diseases (Avian influenza, Mad-Cowaltogether concentrate
around 97% of theDisease)consumption. o Genetically modified
organisms, etc A bigger interest and conscience in
ecologicalNevertheless, the organic products trend in otherissues,
resources sustainable management,regions such as the Southeast Asia
and India are climate change, etc.becoming stronger really fast.
Social Responsibility.-1-Coordinacin General de Informacin yAv.
Repblica de Panam 3647 Negocios Electrnicos San IsidroPROMPERU:
Promoting Business of T (51-1) 222 1 222ExportationSub Direccin de
Inteligencia yF (51-1) 421 3179 [email protected]
Comercialwww.promperu.gob.pe
2. Sectorial Report February 2009 Increase of the population
andhighacquisitive power consume sector.The organic production in
Peru incorporates not More interest in health and nutrition. only
environmental (sustainability) criteria, it also considers relevant
some others likeBy the supply: biodiversity (rainforest, friendly)
and social and economic responsibility (fair trade); even More
availability of organic products in: Bio- other specific niches
(Kosher, Halal) whichsupermarkets, supermarkets, conventional have
facilitated the revenue to the markets.markets, discount stores,
etc More advertising and marketing of organicThe results reached by
Peru in organicproducts (Goverments campaigns). production arebeing
recognised Increasing use in food, cosmetic and textile
internationally:industries.- 1st Worlds exporter of Organic Coffee
Incorporationofbiodiversitycriteria- 2nd Worlds exporter of Organic
Cocoa(rainforest, friendly), social responsibility- 5th Worlds
exporter of Organic Banana(fair trade), and other specific niches
(Kosher, - 7th Country with the largest number ofHalal, etc.)
farmers who are implementing organic Higher prices: on average 20%
more production systems. - Megadiverse Country, it possesses 84
fromcomparing to conventional products. 104 Life Zones at the World
what permits itIn this context, the current uncertainty on theto
have at the same time a high biological diversity.financial markets
and the stagnation of theprincipal economies, it is expected a
smallergrowth rate in the sales of organic products The strategic
importance of the organic agriculture in Peru has created a
state-private(13%) increasing the competition in the sector
institutionality (MINAG, CONAPO, SENASA,and by stimulating the
improvement of theefficiency of the productive processes and
ofMINCETUR, PROMPERU, MINAM, ANPE, RAE, RAAA, International
Cooperation,exportation besides establishing strategic Farmer
Guilds, companies) interested, involvedalliances that allow sharing
the benefits of the and compromised in consolidated it as anmarket.
alternative for the small producer.2. Peruvian Situation Today,
Peru owns a legal framework (Law of Organic Production, Technical
Regulation for2.1 Generalities Organic Products, State Competent
Authority) to control and guarantee the fulfilment ofThe
agriculture in Peru is leaded, mainly, by the organic production
norms.small producers who, by their economic scale,do not use
agrochemicals or pesticides, In Peru the organic production is
promotedconsequently their products fulfil the basic
trough:requirements of the organic products market. - Its
participation in the local market.Its ancestral agrarian tradition,
from selection o BioFair, BioStoreand manage of diverse vegetables
species andanimals has permitted to domesticate and o Ecological
areas in supermarkets o Delivery service of organic productsdevelop
a wide diversity of products, lots of o Diffusion and journalistic
articlesthem still native, facilitating staggered crops anda
sustainable production all year long. - Its participation in the
international market. o Biofach, Anuga - GermanyOn another hand,
Peru possesses favourable o All Things Organic, Fancy Food -
USAenvironmentalconditions(temperature, o Trends and market
reports.humidity, day light, etc) and valuable resources(phosphoric
rock, island guano, etc) tofoment and develop the organic 2.2
Organic Production Areaagriculture.-2-Coordinacin General de
Informacin y Av. Repblica de Panam 3647 Negocios ElectrnicosSan
Isidro PROMPERU: Promoting Business ofT (51-1) 222 1 222
ExportationSub Direccin de Inteligencia y F (51-1) 421
[email protected] Comercial www.promperu.gob.pe
3. Sectorial Report February 2009The organic production is an
activity which ispractised throughout all Peru. Peru: Exports of
Organic Products By FOB value (e) 240,00240In 2005, the cultivated
area under the organicproduction principles reached 273,754
hectares. 200194,22 161,32160 Millones US$Peru: Harvest Area with
Organic ProductionBy zones120 2005 (d) (e)
100,858069,8744,3733,234021,90 9,80 15,166,14 01999 2000 2001 2002
2003200420052006 2007 2008 2009 (e) Estimates Source: ADUANAS
Elaborated by: PROMPERU The main reason of this performance has
been the development of strategic alliances, which has allowed the
motivation of the international industry to consider in the
labelling of the organic products, the origin Peru. This situation
is allowing positioning the image of Peru on the international
market as the principal supplier of organic products.(d) Includes
Certified and in Transition hectares 3.2 Destinies(e)
EstimatesFuente: SENASAElaborated by: SENASAThe main market for
Peruvian Exports of Organic Products is Europe (60.54%), followedIn
2007, it is estimated that this surface reached by America and Asia
with 35.57% and 3.01%,275thousand hectaresrepresenting
respectively.approximately 15% of the country total. Peru: Exports
of Organic ProductsBy marketsThe organic certified area is 85% and
the2008 (e)transition area 15%. Asia Others3,01%0,88%2.3 FarmersAm
erica35,57%In 2008, the Peruvian farmers who implementthe organic
products system in their farms arearound 35,000.3. Peruvian Exports
of Organic Products Europe60,54% (e) Estimates3.1 Commercial
TrendsSource: ADUANAS Elaborated by: PROMPERUThe Peruvian exports
of organic products In Europe stood out: Germany, Holland,reached,
in 2007 and 2008, US$ 161.32 and Belgium and Sweden which
concentrateUS$ 194.22 millions, respectively. together 84.88% of
the exports to this market.For the year 2009, it is expected that
the exportswill reach US$ 240 millions maintaining itsaverage
growth rate of 45% yearly.-3-Coordinacin General de Informacin y
Av. Repblica de Panam 3647 Negocios ElectrnicosSan IsidroPROMPERU:
Promoting Business ofT (51-1) 222 1 222Exportation Sub Direccin de
Inteligencia yF (51-1) 421 3179 [email protected] Prospectiva
Comercialwww.promperu.gob.pe 4. Sectorial Report February 2009
Peru: Exports of Organic Products to Europe MacaBy destinies
Noni2008 (e) Guatemala Tuna Countries % Cats clow Yacon
Germany30,04% Indonesia Cotton Holland22,08% Singapore Maca
Belgium21,72% South AfricaCotton ThailandCotton Sweden 11,04%
Uruguay Cotton England 6,56% Yemen Cotton Others8,56%(e)
EstimatesSource: ADUANAS 3.3 ProductsElaborated by: PROMPERU The
Peruvian agro-exporter basket of OrganicIn America, United States
and Canada Products is positioning itself in the
internationalconcentrate 93.87% of the exports and, and inmarket;
however, it becomes necessary toAsia, Japan and Thailand,
98.82%.advance in the transformation chain of the product,
presentations and packing in order toPeru: Exports of Organic
Products to America commercialize not only raw materials orBy
destinies2008 (e) ingredients but final products, ready for ist
Countries % consumption. United States82,67% Canada 11,20% This
way, Coffee and Cocoa has made a big step because since the year
2009 there are going Mexico 3,71% to make the first exports of
instant coffee and Chile0,73% dark chocolate. Costa Rica 0,42%
Others1,27% Other products like Andean grains (quinoa,(e)
Estimatesamaranth) are advancing in order to takeSource:
ADUANASElaborated by: PROMPERU advantage, of the campaigns of
nutritive breakfast and, on the other hand, by developing Peru:
Exports of Organic Products to Asia energy bars.By destinies2008
(e) Countries% It is important to stand out how could the same
Peruvian products merge between them:Japan 89,49% chocolates with
quinoa, banana slices orThailand5,35%Brazilian nuts covered with
chocolate, cookiesHong Kong 2,54%with sesame and amaranth, energy
bars, etc to fulfil the tastes and preferences of theKorea 1,29%
consumers.Singapore 0,83%Others0,49%Even, the new products like
Pisco, snacks, sacha(e) Estimatesinchi, lucuma, etc have lots of
opportunitiesSource: ADUANASElaborated by: PROMPERU given the
present situation our gastronomy is going through.The new destinies
that Peru had reached in theyear 2008 were:The exportable supply of
Peruvian Organics Products is constituted, mainly, by:Fruits
Countries Productsbanana, camu camu, lucuma, mango, etcSaudi Arabia
Cotton Brazilian nuts, pecansUnited Arab Emirates
CottonPhilippinesCotton Coffee and CocoaGreece Cotton-4-Coordinacin
General de Informacin y Av. Repblica de Panam 3647 Negocios
ElectrnicosSan Isidro PROMPERU: Promoting Business ofT (51-1) 222 1
222 ExportationSub Direccin de Inteligencia y F (51-1) 421
[email protected] Comercial www.promperu.gob.pe
5. Sectorial Report February 2009Cereals, grains and stew The
organic coffee exports are sent, mainly tosesame, amaranth, quinoa
the United States and Germany. Together they concentrate almost 54%
of the sales.Vegetables, tubers, roots and others Palm heart,
panela, peppers, etcPeru: Organic Coffee ExportsBy destinies2008
(d) (e)Aromatics, species and condimentsCountries%ginger, aromatic
herbs, etc Unired States 27,06%Germany 26,88%Natural Products maca,
purple corn, yacon, etcBelgium 12,02%Sweden11,31%Natural fibers and
textile productsCanada6,05% cotton, alpacaOthers16,69%In 2008, the
following organic products joined (d) Includes derivatives (e)
Estimatesto the exporting basket: Source: ADUANAS Elaborated by:
PROMPERUProductsCountriesThe main destiny of the organic banana
isBasil United StatesHolland concentrating 41.44% of the
exports.Pumpkin HollandCaihua Germany Note: A part of those exports
is redistributed to other European countries.GermanyUnited
StatesJojobaHollandPeru: Organic Banana ExportsEngland By
destiniesGuatemala 2008 (d) (e)NoniJapanCountries%NorwayHolland
41,44%Avocado EnglandAustralia United States
31,44%TrouthBelgiumBelgium 9,37%GuatemalaTunaNorwayJapan
9,13%Germany 6,11%Perus main exported organic product is
coffeeOthers2,52%concentrating 58.68% of the organic products (d)
Includes derivativesexports. (e) Estimates Source: ADUANAS
Elaborated by: PROMPERUIt is follow in importance by banana and
cocoaconcentrating 21.42% and 9.56%, respectively.In this way, the
main destiny of the organic cocoa is Switzerland concentrating
53.11% of Peru: Organic Products Exports By kind of product (d)the
exports.2008 (e) Cotton Mango OthersPeru: Organic Cocoa Exports
5,05% By end markets3,90% 1,38% 2008 (d) (e)Cocoa9,56%Countries%
Belgium37,61% Holland25,42% United States14,43%Coffee
Italy9,89%Banana58,68%21,42% Germany3,48%(d) Includes
derivatives(e) EstimatesOthers 9,17%Source: ADUANAS (d) Includes
derivativesElaborated by: PROMPERU (e) Estimates Source:
ADUANAS-5-Coordinacin General de Informacin y Av. Repblica de Panam
3647 Negocios ElectrnicosSan Isidro PROMPERU: Promoting Business
ofT (51-1) 222 1 222 Exportation Sub Direccin de Inteligencia yF
(51-1) 421 [email protected] Prospectiva
Comercialwww.promperu.gob.pe 6. Sectorial ReportFebruary
2009Elaborated by: PROMPERUFinally, the resultant information is
contrastedwith farmer guilds at a national level and withNote: The
exports of organic Cocoa to Belgium are onlytemporarily, the final
destination is Switzerland.the main producer/exporter companies.4.
International Customers6. ConclusionsAccording to the available
information for food,- The smaller growth rate in the sales ofPerus
international customers of organic organic products (13%) will
increase theproducts are mainly wholesale providers,competition in
the sector, stimulating thespecialized in the commercialization of
certain improvement of the efficiency of theproducts. productive
processes and of exportationbesides establishing strategic
alliances thatPeru: Organic Products Exportsallow sharing the
benefits of the market. By Customers2008 (d) (e)- The main reason
of the Peruvian performanceof organic products has been the
developmentof strategic alliances, which has allowed themotivation
of the international industry toconsider in the labelling of the
organicproducts, the origin Peru.- The new organic products in the
Peruvianexporter basket are: basil, pumpkin, caihua,jojoba, noni,
avocado, trouth and tuna.(d) includes derivatives(e)
EstimatesSource: Vernal Consultores- The new destinies that Peru
had reached withElaborated by: PROMPERU their organic products are:
Saudi Arabia,United Arab Emirates, Philippines, Greece,It is
necessary to highlight the effort of theGuatemala, Indonesia,
Singapore, Southexporting sector to attend directly the
retailAfrica, Thailand, Uruguay and Yemen.segment, where the
strategic alliances haveplayed a determinant role to commercialize
not- The international customers of organiconly fruits, coffee or
cocoa but also natural products of Peru are principally
wholesaleproducts. providers, specializ in the commercializationof
certain products.5. MethodologyFor the development of this report,
the Peruvianexport statistics are based in the information ofevery
export operation realised by all thecompanies (DUA).Then, the
export operations of organic productshave been classified.
-6-Coordinacin General de Informacin yAv. Repblica de Panam 3647
Negocios Electrnicos San Isidro PROMPERU: Promoting Business of T
(51-1) 222 1 222 Exportation Sub Direccin de Inteligencia y F
(51-1) 421 [email protected] Prospectiva Comercial
www.promperu.gob.pe
