Factfinding Horticulture Peru

Commissioned by the ministry of Foreign Affairs

July2016-MichelPeperkamp-AssignedbytheRoyalDutchembassyinLima

ICIBusiness

Factfinding

HorticulturePeru

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Contents

Executivesummary.................................................................................................................................2

1. WhatisthescaleofagribusinessinPeru?......................................................................................6

Mostpromisingproducts....................................................................................................................8

Leveloftechnology&innovation........................................................................................................9

R&Dinstitutesandsectororganizations...........................................................................................12

Whatarethemainchallengesofthesectorforthecoming10years?............................................13

2. Whatarecurrentgovernmentpoliciesandactivitiesinthesector?............................................15

Policygoalsanddilemmas................................................................................................................15

Supportprogrammesindetail..........................................................................................................17

Plannedpublicinvestments..............................................................................................................19

Investmentopportunities..................................................................................................................21

Regulatoryrequirements..................................................................................................................22

Examplesofbilateralcooperation....................................................................................................22

3. WhataretherisksandopportunitiesregardingCSR?..................................................................23

Labour...............................................................................................................................................23

Environment......................................................................................................................................24

Landrightsandlandclaims...............................................................................................................25

4. OpportunitiesandchallengesforDutchcompanies.....................................................................26

DutchcompaniesinPeru..................................................................................................................26

FundingopportunitiesinPeru...........................................................................................................27

Whataretheobstaclesandpossibilitiesregardingfinanceandcredits?.........................................29

Whoarethemainplayersthathavethefinancialmeanstoinvestininnovation?..........................30

Whatareinterestingdevelopments?................................................................................................31

WhatarethechallengesandneedsforDutchcompaniesinPeru?.................................................33

Whataretheconstraintsinthebusinessclimatethathampermarketentry?................................36

WhatarepotentialleadsforcooperationbetweenDutchandPeruvianpartners?.........................38

ANNEXI-XXXIV...................................................................................................................................45

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Executivesummary

OverthelastdecadePeruvianexportoffreshfruitandvegetablesandotherhighvaluecropsexperiencedastronggrowth.Asuitableclimate,favourablegeographyandpositiveeconomiccircumstancescontributedtoafastupscalingandprofessionalizationinproduction.Perunowadayshasadiversifiedofferofagriculturalexportproductsamongwhichareasparagus,avocados,grapes,mangoes,mandarins,(organic)bananas,blueberries,quinoa,coffeeandcocoa.Thecountryalsoexpectsfurtherdevelopmentinnewproductssuchascherries,kiwisandpistachios.Peru’sprogressingintegrationintheworldtradeaswellasitsnationalmarketgrowthandaprofessionalizingagriculturalsectorgenerateopportunitiesintheupcomingyears.

Thesupplychainforexportableproductsisrelativelywelldeveloped,althoughtherearenotabledifferencesinthelevelofdevelopmentbetweenthetopagriculturalexporters,SMEcompaniesandagreatnumberofsmallandmicroscalefarmers.Whilethelargestcorporationshaveinvestedinvaluableirrigationtechnology,theirownnurseriesandhighlyautomatedsortingandpacking,avastmajorityonlyhasaccesstopartofthistypeoftechnologyornoneatall.However,theleadingcompaniessettheexampleandinspireotherbusinessestoimprovetheirstandardsaccordingtotheircapacities.Currentandfuturechallengesthatthesectorfacescanbeidentifiedinwaterresources,institutionaldevelopment,knowledge&education,informality,humanresourcesandinfrastructure/logistics.

Thegovernmentpolicyfocusesonthecompetitivenessandsustainabledevelopmentoftheagriculturalsector,withanemphasisonthesmallagriculturalproducer.Thereareseveraldecentralizedprogrammesandfundsavailablewiththeobjectiveforsmallproducerstogainknowledge,adaptnewtechnologiesandimprovetheireconomicposition.Inrealitythemajorityofthegovernmentspendinggoestolargeinfrastructureandirrigationprojectstocreatenewarableland.PublicinvestmentininnovationandR&Disstillminimalandmostlylefttotheprivatesector.Ambitionsofpublicinstitutes,however,arehighandorganisationssuchasINIA,SenasaandConcytecwelcomeforeigncooperation.

Despiteofthegovernment’sambition,theirreachislimitedandNGOsandmicro-financeorganisationsmaintainanimportantroletofillinthegap.IntermsofCorporateSocialResponsibility(CSR)therearestillimportantissuestotackleininformallabour,landrightsandenvironmentalconsequencesduetolackingwaterresources,mismanagementofsoilandpooragriculturalpractices.

ManyoftheDutchfreshtradingandsourcingcompanieshavefoundareliablepartnerinPeru,andthesamegoesforaselectionofNetherlands-basedNGOsandsuppliersoflogisticalservices,seedsandagriculturaltechnologies.TheNetherlandshasasolidreputationinPeruconcerningagriculturalandlogisticalknowhow.

Unfortunately,theDutchexperienceinhorticulturedoesnotalwaysmatchwiththeproductsandenvironmentinPeru(whichconsistsofmainlytropicalandsemi-tropicalproductscultivatedinawarmanddryclimate).Otherhorticulturalproductsareoftencultivatedforthenationalmarketwhichislessdynamicduetoahighinformalityrateandlowerqualitystandards.Theexpansionofmoredemandingsupermarketscouldchangetheperspectiveoflocalhorticulturalproducts.

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Internationalcompetitioninhorticulturaltechnologyandsuppliesissignificant.Amongimportantsuppliersare,forexample,Spain(sortingandgradingequipment),Israel(irrigationtechnology),ChinaandtheUSA(agriculturalmachineryandagrochemicals),butalsovariousPeruviancompaniesthatarespecialisedinmechanicalandmetalengineering.

Todobusinesssuccessfullysuppliersneedtodemonstratetheirproductandshowproofofconcept.Peruvianentrepreneursvaluelocalpresenceandservice.Inaddition,trainingisconsideredcrucialduetotheloweducationallevelofworkers.

Financialfacilities,suchasDutchGoodGrowthFund(DGGF)andDHI(Demonstration,FeasibilityandInvestmentpreparation)canhelpDutchcompaniestofinanceprojectsorinvestmentsinPeru.ThereareinternationalandPeruviansupportfinancetoolsaswell,buttheaccessdependsontheeconomicpoweroftheapplicantoritsabilitytoorganizesmallandmedium-sizedfarmers.

Foranemergingmarket,itisrelativelyeasytosetupbusinessinPeru,whichholdsa50thplaceintheWorldbankindexEaseofDoingBusiness.Thecountrymaintainsanopenpolicytowardstradeandforeigninvestments,providingequalityandinvestmentprotection.Weakpointsarepooreducation,complexlabourmarketandthelowcapacityforinnovation.Informalityisamajorissuewhichthewholesectorhastodealwithandcanbeafactorinslowingdownsomeofthetechnologicalprogress.

ConcreteopportunitiesforNGOs,knowledgeinstitutesandtheprivatesector:

§ Knowledgedevelopmentinagriculturalpracticesandcropmanagement;§ Seedandplantbreedingtechnology;§ (Alternative)agrochemicalsandagriculturalinputs;§ Irrigationtechnology;§ Precisionagriculture;§ Post-harvesttechnology(e.g.sorting,grading,packing);§ Logistics&coldchainmanagement;§ Foodprocessingtechnology;§ Opportunitiesinrelatedindustries(e.g.dairy,fishery,poultry,food,feedorfloriculture).

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Resumenejecutivo

Durantelaúltimadécadalaexportaciónperuanadefrutasyhortalizasfrescasyotroscultivosdealtovalorhanexperimentadounfuertecrecimiento.Unclimaadecuado,geografíafavorableylascircunstanciaseconómicaspositivascontribuyeronaunescalamientorápidoyalaprofesionalizaciónenlaproducción.Perúhoyendíacuentaconunaofertadiversificadadeproductosagrícolasdeexportaciónentrelosqueseencuentranlosespárragos,aguacates,mangos,uvas,mandarinas,plátanos(orgánicos),arándanos,quinua,caféycacao.Elpaístambiénesperaunmayordesarrollodenuevosproductos,comolascerezas,kiwisylospistachos.LaintegracióndelPerúavanzaenelcomerciomundial,asícomosucrecimientoenelmercadonacionalylaprofesionalizaciónenelsectoragrícolageneranoportunidadesenlospróximosaños.

Lacadenadesuministrodelosproductosexportablesestárelativamentebiendesarrollada,aunquehaynotablesdiferenciasenelniveldedesarrolloentrelosprincipalesexportadoresagrícolas,empresasPyMEyungrannúmerodepequeñasymicroescalaagricultores.Mientrasquelasgrandescorporacioneshaninvertidoentecnologíaderiegovalioso,suspropiosviverosylaclasificaciónyembalajealtamenteautomatizada,unagranmayoríasólotieneaccesoapartedeestetipodetecnologíaoningunoenabsoluto.Sinembargo,lasempresaslíderesdanelejemploeinspiranaotrasempresasparamejorarsuniveldeacuerdoconsuscapacidades.Retosactualesyfuturosqueenfrentaelsectorsepuedenidentificarenlosrecursoshídricos,eldesarrolloinstitucional,elconocimientoylaeducación,lainformalidad,recursoshumanoseinfraestructuras/logística.

Lapolíticadelgobiernosecentraenlacompetitividadyeldesarrollosostenibledelsectoragrícola,conénfasisenlospequeñosproductoresagrícolas.Existenvariosprogramasyfondosdescentralizadosdisponiblesconelobjetivodequelospequeñosproductoresadquieranconocimientos,adaptennuevastecnologíasymejorensusituacióneconómica.Enrealidad,lamayorpartedelgastopúblicosedestinaagrandesproyectosdeinfraestructuraderiegoyalacreacióndenuevastierrascultivables.LainversiónpúblicaeninnovacióneI+Destodavíamínimayensumayoríaenmanosdelsectorprivado.Ambicionesdelosinstitutospúblicos,sinembargo,sonaltosyorganizacionescomoelINIA,SenasayConcytecapoyanlabienvenidadelacooperaciónexterna.

Apesardelaambicióndelgobierno,sualcanceeslimitadoylasONGyorganizacionesdemicro-financiaciónmantienenunpapelimportanteparallenarelvacío.EncuantoalaResponsabilidadSocialEmpresarial(RSE)todavíahaycuestionesimportantesparaabordareneltrabajoinformal,derechossobrelatierraylasconsecuenciasambientalesdebidoaquecarecendelosrecursoshídricos,elmalmanejodelossuelosylasmalasprácticasagrícolas.MuchasdelasempresasholandesasenelcomercioyabastecimientodeproductosfrescoshanencontradounsociofiableenelPerú,ylomismopasaconunaseleccióndelasONGylosproveedoresdeservicioslogísticos,semillasytecnologíasagrícolasconsedeenHolanda.LosPaísesBajostienenunareputaciónsólidaenelPerúenrelaciónaconocimientosagrícolasylogísticos.Lamentablemente,laexperienciaholandesaenlahorticulturanosiemprecoincideconlosproductosyelmedioambienteenPerú(queconsisteprincipalmenteproductostropicalesysemi-tropicalescultivadosenunclimacálidoyseco).Otrosproductoshortícolasamenudosecultivanparaelmercadonacional,locualesmenosdinámicodebidoaunaaltatasadeinformalidadydemenorcalidad.Laexpansióndelossupermercadosmásexigentespodríacambiarlaperspectivadelosproductoshortícolaslocales.

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Lacompetenciainternacionalentecnologíaysuministroshortícolaessignificativa.Entrelosproveedoresimportantesestán,porejemplo,España(aparatosdeclasificación),Israel(tecnologíaderiego),ChinaylosEE.UU.(maquinariaagrícolayagroquímicos),sinotambiéndiversasempresasperuanasqueestánespecializadoseningenieríamecánicaymetal.Parahacernegociosconéxitolosproveedorestienenquedemostrarsuproductoymostrarpruebadelconcepto.Empresariosperuanosvaloranpresenciayserviciolocal.Además,lacapacitaciónseconsideracrucial,debidoalbajoniveleducativodelostrabajadoresFacilidadesfinancieras,comoelDGGF(FondoHolandésdebuencrecimiento)yDHI(Demostración,estudiodefactibilidadypreparacióndeinversiones)puedenayudaralasempresasholandesasparafinanciarproyectosoinversionesenelPerú.ExistenentidadesdeapoyofinancierointernacionalesyPeruanos,peroelaccesodependedelapotenciaeconómicadelsolicitanteodesucapacidadparaorganizaralospequeñosymedianosagricultores.

Apesardeserunmercadoemergente,esrelativamentefácildeestablecerunnegocioenelPerú,queocupaunlugarnúmero50enelíndicedefacilidadparahacernegociosdelBancoMundial.Elpaísmantieneunapolíticaabiertahacialasinversionescomercialeseinternacionales,proporcionandolaigualdadyproteccióndelainversión.Lospuntosdébilessonlaeducacióndeficiente,mercadodetrabajocomplejoylabajacapacidaddeinnovación.Lainformalidadesunproblemaimportante,queimplicatodoelsectorypuedeserunfactorenelretrasodealgunosdelosavancestecnológicos.

OportunidadesconcretasparalasONG,institutosdeconocimientoyelsectorprivado:

§ Eldesarrollodelconocimientoenlasprácticasagrícolasydemanejodeloscultivos;§ Semillasytecnologíadecultivodeplantas;§ Agroquímicos(alternativos)einsumosagrícolas;§ Tecnologíaderiego;§ Laagriculturadeprecisión;§ Tecnologíapos-cosecha(porejemplo,selección,clasificación,embalaje);§ Logísticaygestióndelacadenadefrío;§ Tecnologíadeprocesamientodealimentos;§ Oportunidadesenlasindustriasconexas(porejemplo,productoslácteos,lapesca,avesde

corral,alimentos,ganadoolafloricultura).

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1. WhatisthescaleofagribusinessinPeru?

Peru’spotentialinagriculture:Sizeandclimate

Peruhasanareaof128.5millionhectares(incomparison:TheNetherlandshas3.4millionhectares),ofwhichapproximately7.6millionhectaresissuitableforagriculturalcropsand5.4millionisactuallyused.

With2400kilometresfromnorthtosouthandawell-definedcoast,mountainsandjungle,Peruisabletoproduceagreatvarietyofcropsinmanydifferentclimatezones.ThemainadvantagesforPeruvianagricultureare:

§ Thediversityofclimates§ Thecontra-seasonalproductionwiththenorthernhemisphere§ Extendedharvestseasons

Corporativeagribusinessesareupscalingcommercialproduction

Asaresultoflandreformsinthelate60s,mostofPeru’sfarmerstodayaresmallholders.Smallfarmersgenerallyproduceforself-subsistenceandthelocalmarket.Butlandownershipischangingagain.Inthepast20yearsbigcompanieshavebeenabletoacquirelargequantitiesoflandforcommercialdevelopment,particularlyinthecoastarea.Thisgrowthcanbecontributedtothecreationofnewarableland,landexpropriationandacquisitionfromsmalllandowners.

Lotsofthislandisusedforindustrialproductionofbiofuelcrops(sugarcane),butithasalsoprovidedanexcellentopportunityfortheproductionofnon-traditionalexportablefruitandvegetables.TheeconomicdevelopmentoflandusehasbeensupportedbygovernmentalpoliciesandisexpectedtocontinueunderthenewlyelectedpresidentKuczynski.

Concentrationintopsegment

Theconcentrationintheagriculturaltophasresultedinadecreasingnumberoflargecompanies.Instead,thesecompaniesgrowbigger.Meanwhilemanyofthecooperativesofsmallholdersfallapartandincreasethenumberofmicro-levelfarmers.Thetechnologicaldistancebetweensmallholdersandlargeagriculturalcompaniesisincreasing.

Facts

GeographyofPeruTotalsize:128.5millionhaSuitableforagriculture:7.6millionhaCurrentlyusedforagriculture:5.4millionha

Thereare2.2millionfarmersinPeru:

§ 0,6%arelegalentities§ 91%manageupto10ha§ 0,9%own100haormore§ 64%workinthemountains§ 10%oftheagriculturallandisusedfor

exportSource:IVCensoNacionalAgropecuario2012

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Agriculturalexportscontinuetheirgrowth

InthelastdecadePerucontinuouslyincreasedtheproductionof‘non-traditional’exportableproducts.Theexportvalueoffreshfruitandvegetablesreachedalmost2billioneurosin2015.Thefreshfruitsectorhasbeenverysuccessfulinparticularandaround25%istradedviatheNetherlands.Exportinvegetablesconsistsfor80%ofasparagus.AGAP,theassociationofPeruvianagrarianproducerguilds,expectstheexporttocontinuegrowingwiththesamespeed.

Necessarydevelopmentssuchasprofessionalizingpackaging,coldchainmanagement,logisticsandexportpromotionsupporttheaggressiveexportgrowth.

Source:AGAP

Peruimprovesonworldrankingagroexport

ComparedtoneighbouringcountriesColombia,EcuadorandChile,thehighestpotentialforgrowthinfreshagriculturalproductsisinPeru.

Peru–Colombia-Ecuador:ThefreshfruitexportinPeruhasbeendevelopedtoamoreprofessionallevelthaninColombia.LogisticalchallengesinColombiaareevengreaterthanthoseinPeru.Ecuadorismuchsmalleranddoesnothaveaccesstothesameamountofarableland.LikePeru,theexportsoffreshfruitfromColombiaandEcuadorareincreasing,but90%consistsofbananatrade.

Peru–Chile:BothPeruandChilehavemanagedtodiversifytheirofferoffreshproducts.IntechnologyChileismoreadvanced,butPeruiscatchingupquickly,takingtheirneighbouroftenasanexample.KnowledgetransfertakesplaceasChileancompaniesareactivelylookingintoproductionopportunitiesinthesouthofPeru(Ica).CropsandtechnologiesthatarebeingadoptedinChile,arelikelytobeimplementedinPerushorttimelater.PeruisabletoproducethesamecropsasinChile,butalsohastheadvantageofmorearablelandandextendedproductionseasons.

Facts

Exportvaluefreshfruit:2005:108millioneuros2015:1437millioneurosExportvaluefreshvegetables:2005:156millioneuros2015:469millioneuros

Soure:ITCTrademap

Worldrankinginexport

2005 2015

Asparagus 1 1Quinoa 2 1Avocados 6 2Tablegrapes 20 5Mangoes 5 5Ginger >30 6Mandarins 14 7Cocoabeans 19 8Blueberries - 9*Onions 19 9Coffee 10 9Bananas 18 10Pomegranate 57 12*

*datablueberriesandpomegranatesconcerns2014

Soures:ITCTrademap,AGAP

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Mostpromisingproducts

Awholerangeofproductshavebeendevelopedoverthepastyearsandarenowexportedworldwide.ThiswayPeruhasbecomeoneofmainsuppliersoffreshproduce,thelargestexporterofasparagusandthesecondlargestexporterofavocados.

Copyingasastrategy

Numerouscropssuchasgrapes,avocados,mandarinsandasparagushaveshownstronggrowthandincludesomeofthelargestcompaniesinPeru.Theseproducersarecontinuouslyanalysingnewopportunities.Whennewpotentialcropsareidentified,manycompaniescopythesameexample.Developingandupscalingnewproductsnotonlyrequireskillbutalsotheflexibilitytoadapt,forexample:

WhilethechoiceofproducingHassavocadoscontinuestobeanexportsuccess,themassiveorchardsofredglobegrapeshaveputproducersinafinancialdownfallbecauseinternationalmarketsgrewapreferenceforseedlessgrapes.Similarlymanyoftheoldasparagusfieldsinthesoutharereplacedbynewhighvaluecropsthatneedlesswatersuchasblueberries.Blueberriesarenowoneofthenewcropsthatarequicklyexpandinginproduction.

Needfororganizationandknowledge

SomeofthesuccessfulcropsinPeruaremorerelatedtosmallproducerssuchasbananas,coffeeandcocoa.Thesuccessoftheseparticularproductsiscontributedtonichespecifications:organic,fairtradeandspecialqualities(handpickedcoffee,aromaticcocoa).

Themainchallengeinthesecropsisimprovingorganizationandknowledge.Smallproducersorganizethemselvesincooperatives,butitisnotunusualforfarmerstodropoutduetosuspectedcorruptionorlackoftrust.Withoutaleveloforganizationitisdifficulttogetaccesstotechnicalassistanceandfacechallengesinclimateandquality.OrganizationssuchasSolidaridadandAgriterrahelpsmallfarmerstoorganizethemselves,andspecializedcompaniescontributetothecommercialdevelopment,whichisthecasewithAgrofairandFairtrasainbananas.

Fordetailedinformationondifferentproducts,seeannexes.

WhatwillPeruproduceinthenextdecade?

In2009theMinistryofforeigntradeandtourism(MINCETUR)executedastudyfortheselectionofexportableproductsthatareadaptabletothePeruvianterritory.Theseproductswere:Physalis(goldenberry),blueberry,pomegranate,quinoa,dates,granadilla,figs,tuna,ajíamarillo(yellowchilipeppers),camote(sweetpotato)andsnowpeas.Infact,manyoftheseproductshavealreadyproventheirpotentialinPeruvianproduction.

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ThenextproductswecanexpecttodevelopinPeru,mentionedbyproducers,areforexample:§ cherries§ kiwi§ raspberries§ pistachionutsOtherinterestingproductsthatarepromotedfromPeru:§ Ancientgrains:besidesquinoaalsocañihuaandkiwicha(amaranth)§ Healthingredients:camucamu,lúcuma,maca§ Exoticfruitandvegetables:kaki(Sharonfruit),cherimoya,purplecorn,ginger§ Flowers:roses,bromeliads,orchids,hortensia’sTheflowerindustryinPeruisunderdeveloped.Flowersarealuxuryproductbutthedemandforthemisgrowingstrongerwithanincreasingmiddleclasspopulation.Exporthoweverwillbedifficultduetologisticalreasons.Thedriversforthedevelopmentfornewproductsinclude:§ Thefocusonhighervalueproducts§ Thedemandorthepotentialgrowthindemand§ Climatecircumstances(fittingtheclimateandirrigationsystems)§ Seasonaladvantagecomparedtootherproducingcountries

Leveloftechnology&innovation

TheproductionoffreshproductsforinternationalmarketsisarelativelyyoungsectorinPeru.TocomplywithinternationalrequirementsofthemainexportmarketsinNorthAmericaandEuropeproducershaveinvestedinqualityproductionandprocesses.Thedifferenceintechnologylevelissignificant.

Largecompanies

Thetopagriculturalcompaniesarethemostadvancedintermsoftechnologyandorganization,althoughsizeisnotalwaysaguaranteefortechnologicalsuccess.Thesefront-runnersgenerallyofferadiverseassortmentoffreshand/orprocessedproductsandoftenhaveanintegratedproduction,packingandexportsupplychain.Theyhavethemeanstoacquireknowledgeenablingthemtoexperimentintheirownplantnurseries,insteadofimportingyoungplantsfromothercountries.Intheirfacilitiesyoucanencounterpalletisers,foodprocessingtechnologies(IQF)andevenprecisionsortingandgradingsystems.ADutch-Peruvianjointventureintroducednear-infrared(NIR)spectroscopyintheprocessingplantT&TFruitthatwasinauguratedin2014.

Medium-largecompanies

Thetechnologylevelamongmedium-largecompaniesvariesfromlowtosemi-advanced.Formediumlargecompanieslowtechisconsideredaffordable,effectiveandunderstandable.Many

Flowerproductioninhectares:Colombia 6,500haEcuador 2,500haPeru 300ha

Source:ElComercio

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companieshavenotfullyintegratedtheirsupplychainsanddependontherelationwithfarmersorindependentpackinghouses.Someonlysourceandexportfreshproductsfromfarmers,othershavetheirownfieldsorpackingstation.Theyareaccustomedtohavingmanuallabouraroundandeveryprocesstheyautomatizeiscarefullycalculated.Onthefieldstheyrentmachineryoflargercompanies,althoughreplacingmanuallabouriscomplicatedduetothespecificcharacteristicsoftheproducts.Inthepackingplantsautomationiscommon.Mostarecertifiedandusemechanicalsorting,weighing,packingandlabellingsystems.Medium-largecompaniesareawareoftheirneedtoimprovesotheycanremaincompetitiveinthefuture.Theyfollowtheleadingcompanies.

Smallcompanies

Smallfarmersandinformalpackinghouseshavelittlechanceontheinternationalmarket.Theydependonlargercompaniesortheyselltheircroptothelocalmarket.Amajoritylacksthemeanstoinvestinexpensiveorchardssuchasblueberries,grapesorasparagus.Theyhaveahighlevelofinformalityandaremostlydedicatedtolocalwholesalers.Certificationrelatedtoagriculturalpractices(GlobalGAP)orHACCParenotcommonforsupplierstothenationalmarket.

Intypicalexportproductssuchascoffeeandcocoatheproductionandpost-harvestisartisanal-fewtechnologiesarebeingused.Theroastingofcoffeeforexportisincreasing,butitisstillafractionofthelargevolumeofunroastedcoffeethatisexported.

Therealityandchallengesofsmallfarmersisverydifferentfromthoseofexportcompanies.

Overviewoftechnologicaldevelopmentandinnovation

Protectedhorticulture

Basic § Somecropssuchasblueberryandgrapesaresometimesprotectedwithnets(avoidingbirdsandinsects)

§ Plasticisusedonthegroundagainstweed§ Localvegetablescropsaremostlyonopenfield§ Estimatedsurfaceofgreenhouses:500ha(mostlynets)§ Nethouses(‘casademalla’)areoftenusedasnurseries§ Glassgreenhousesarerareduetofavourableclimate

Netgreenhouse

precisionhorticulture

Upcoming § Dripirrigationiscommon§ Hydroponictechnologyispresent,butmostlyexperimental§ Droneshavebeenintroducedveryrecently§ Peruhasalsoahighdefinitionsatellite(alsoforpotentialagricultural

use),butknowledgestillhastobeimproved

Plantbreeding Basic § Ingeneral:Plantbreedingis‘old-fashioned’/lackofknowledge§ Morecommonforlargescaleprofessionalgrowers§ Youngplantsareoftenimportedfromcountrieswithcropexperience

(blueberryfromUSA,avocadofromChile)

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Universitytestfacilities

Seedtechnology Basic § Basictestingfacilitiesbygovernment(highambitions)§ Seedproductionoflocalgrowersinformalandlowquality§ Lackofknowledgeonbiogenetics§ InternationalseedcompaniesareactiveinPeruforexportableseed

production(inIca,Piura,Cañete)

INIADonosofacility

Agrochemicals

Import § Agrochemicalsarecontrolledbyfewinternationalcompanies,thereforeveryexpensive.Localproductsarelowquality.

§ Coastalfarmersusemostinsecticides(67%),herbicides(55%),fungicide(52%).Inmountainsandjunglepercentagesvarybetween14and37%

Materials Import § Plastic,nets,mostlyimportedfrome.g.China,Chile§ Tubesandpumpsmakedrippingirrigationpossible

Packaging Good

(old)packingstation§ Accordingtoprofessionals,thereare5-7professionalsuppliersofexport

packaging(example:Trupal)§ Exportershavetheirownpackagingsystemsinpackinghouses.

Packinghousewithweighingsystemandboxfoldingmachine

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Certifiers&Laboratories

Good § ForexportGlobalGAPiscommoncertification§ CNTA,ControlUnion,SGS,BureauVeritasareallactiveinPeru

Cultivation/cropmanagement

Manual § Inexportproductsautomationincultivationisdifficult.In(openfield)cultivationoflocalproducts,financialresourcesareoftenless.

§ Machinery:tractorsforfruitcollection,weedingmachines.§ Average22,7%offarmersusetractorandpercentageincreases.§ Oftentractorisrentedfromalargercompany.Onthecoasttractorusein

highest(52%).Post-harvest Increasing

automation§ Verycommon:manuallabour§ Common:Mechanicalsorting,automatedweighingandpacking,

conveyors,coolstorage§ Earlyadopters:Infraredgrading(NIR),palletisers§ Lackofexperienceinadvancedtechnologyandnotapplicabletoall

products:- Avocado:Toodarkforinfraredtechnology(hardtospotflies).

Alsolittlesavingonhumanresources.- Asparagus,coffee:Remainslabour-intensive;automationisnot

alwaysdesired- Mango:Levelofautomationislowerbecauseplantsexclusively

focusedonmangoandperiodofoperationisshort.

Coolchain&monitoring

Good § Coolinghousesalmoststandardforlargercompaniesandpackingstations.

§ Monitoringpresent,butnotfullyautomated.Logistics&supplychain

Basic § Alternativeportsareindevelopment§ Lowavailabilityoftrucksinpeakseason§ LimitedadoptionofICTandlogisticalsoftware

Irrigation Advanced § Useofirrigationsystemsandrain(mostlycombination)- 88%surfacegravityirrigation;- 12%otherirrigationsystems,ofwhich127,000hadrip

irrigation,87,000hasprinklingsystems,4,000haexudation§ Largecompanieshavetheirownwaterresources:waterreservoirs,

pumpinginstallations,tubes.§ Tablegrapesboostedtheimplementationofdripirrigationsystems.

Techniquealsocommonforcitrusandblueberriesoncentralcoast.Foodprocessing Increasing § Equipmentforfrozenproducts(IQF),pulp,juiceandconcentrates

(example:http://www.viru.com.pe)Sources:IVNacionalAgropecuario2012;interviews

R&Dinstitutesandsectororganizations

Organisation Description website

INIA InstitutoNacionaldeInnovaciónAgraria

NationalInstituteofAgraculturalInnovation

http://www.inia.gob.pe/

Concytec ConsejoNacionaldeCienciaTecnologíaeInnovaciónTecnológicaNationalCouncilofScience,TechnologyandTechnologicalInnovation

https://portal.concytec.gob.pe

UNALM“LaAgraria” UniversidadNacionalAgrariaLaMolinaNationalAgriculturalUniversityLaMolina

http://www.lamolina.edu.pe

AGAP

AsociacióndeGremiosProductoresAgrariosdelPeruAssociationofagriculturalproducerguildsinPeru

http://www.agapperu.org

§ ProHass

AsociacióndeProductoresdePaltaHassdelPerúAssociationofproducersofHassavocados

http://www.prohass.com.pe

§ ProCitrus AsociacióndeProductoresdeCítricosdelPerúAssociationofproducersofcitrus

http://www.procitrus.org

§ Provid AsociacióndeProductoresdeUvadeMesadelPerú http://www.providperu.org

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Associationofproducersoftablegrapes

§ IPEH InstitutoPeruanodelEspárragoyHortalizas

Peruvianinstituteofasparagusandvegetables

http://www.ipeh.org.pe

§ Apem AsociaciónPeruanadeProductoresyExportadoresdeMangoAssociationofproducersandexportersofmango

http://www.peruvianmango.org

§ ProArandanos AsociacióndeProductoresdeArandanodelPerúAssociationofproducersofblueberries

ProMango AsociaciónPeruanadeProductoresdeMangoAssociationofproducersofmango

http://www.promango.org

CAC CámaraPeruanadelCaféyCacao

Peruvianchamberofcoffeeandcocoa

http://www.camcafeperu.com.pe

CentralCafé&Cacao AsociaciónLaCentralCaféyCacaodelPerúAssociation‘LaCentral’coffeeandcocoa

http://www.centralcafeycacao.org

JuntadelCafé JuntadelCaféCouncilofCoffee

http://juntadelcafe.org.pe

APPCacao AsociacióndeProductoresPeruanosdeCacaoAssociationofPeruviancocoaproducers

http://appcacao.org

Whatarethemainchallengesofthesectorforthecoming10years?

I-Lackofwateristheprinciplereasonfornotcultivating

AccordingtothePeruvianNationalAgriculturalCensusof2012,thelackofwaterisin48,9%themainreasonwhyagriculturallandisnotcultivated.Thesecondmostimportantreasonisthelackoffinancialresources.

Coast Mountains Jungle1. Lackofwater 1. Lackofwater 1. Lackoffinancialresources2. Lackoffinancialresources 2. Lackoffinancialresources 2. Lackofwater3. Erosionorsanitation 3. Lackofhumanresources 3. Lackofhumanresources4. Lackofhumanresources 4. Lackofseeds 4. Lackofseeds 5. Erosionorsanitation 5. Naturaldisaster 6. Erosionorsanitation

Thedependenceofirrigationis100%incoastalagricultureand40%inthemountainarea.Itiscalculationthatcoastalagricultureuses80%ofthewaterresources.AccordingtoananalysisbythePeruOpportunityFundthereare300thousandhectaresonthecoastwithsalinityproblems.Thecostsofirrigationtechnologyishighcomparedtotheaveragecostsofcultivation,butnecessary,andonlyfewhaveaccesstofinancialservices.

Waterissues

§ Lowawarenessofthevalueofwater§ Poorwatermanagementresultingsalinizationanddrainageproblem§ Lowmaintenanceinexistingirrigationcanalsresultinginwaterloss§ Climatechange(meltingglaciers,ElNiño)resultinginchangingwateravailabilityandsub-

climates

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II-Institutionaldevelopment

InstitutionaldevelopmentisoneofthebigchallengesinPeru.ThefasteconomicgrowthinPerurequiresacoherentpolicy,efficientandtransparentinstitutionsandimprovedcooperationwiththeprivatesector.Peru,traditionallyanextremelycentralisedcountry,alsohasstartedanimportantprocessofdecentralisationwiththeintentiontoincreaseeconomicdevelopmentnationwide.

III-Knowledgeandeducation

Knowledgeiskeyinthesuccessoftheagriculturalsector.Manyofthecommercialfarmersarguethattheloweducationlevelandunskilledlabourisaweaknessinthesector.Trainingandincreasingagriculturalknowledgeoffarmersandagriculturalworkerswillbeoneofthemainchallengestobringthesectoronahigherlevel.

IV–Informalsector

Theinformalityinagribusinessslowsdowntheprofessionalizationofthesectorasawhole.Inequalityintheagriculturalsectorfavoursthepositionofthelargerenterprisesthathavethefinancialpowerandknowledgetobecomesuccessfulexporters.Thisunequalrelationshipputsmallfarmersinadisadvantagedposition,causingthemtothinkshorttermandprovokinganinformalrelation.Informalfarmersandserviceprovidersarenotboundtothesamerulesasformalbusinesses.Sourcingintheseconditionsbecomesdifficultasfarmersdonotalwaysrespectsupplycontractsandservicesarenotalwaysthebestofquality.Thementalitywithininformalagricultureisdestructivefortheinternationaltrade.

V-Humanresources

Labourcostsaregraduallyincreasingandpeopleincreasinglyprefertoworkinthecitythanintheperiphery.Findingworkersforthefieldisprobablymostchallenging.

VI–Infrastructure&logistics

InfrastructureremainschallengingforPeruvianproducers.Poorroadsandheavytrafficmaketransportveryinefficientandexpensive.Forfarmersinthemountainsandfurthereastitisnearlyimpossibletosupplyfreshproductsforexport.Butalsointhecoastalareaimprovementsininfrastructurearenecessarytomaintainacompetitiveposition.

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2. Whatarecurrentgovernmentpoliciesandactivitiesinthesector?

PolicygoalsanddilemmasThegoalsanddilemmasoftheNationalAgriculturalPolicyarewelldocumentedintheSupremeDecreeapprovingthenationalagriculturalpolicy–orDecretosupremoNo.002-2016-MINAGRI.Generalobjective“Achievesustainedincomegrowthandlivelihoodofagriculturalproducers,givingprioritytofamilyfarming,onthebasisofhighercapacitiesandmoreproductiveassets,andsustainableuseofagriculturalresourcesinthecontextofprocessesofgrowingsocialandeconomicinclusionoftheruralpopulation,contributingtofoodsecurityandnutrition.”

Specificobjectives§ Increaseagricultural

competitivenessandmarketintegration,withemphasisonthesmallagriculturalproducer.

§ Managingnaturalresourcesandbiodiversitysustainablyinthecompetitionoftheagriculturalsector.

FocusareasinAgriculturalpolicy:§ Humanrights§ Territorial

(decentralisation)§ Gender§ Intercultural§ Socialinclusion

1. Useofland(degradation)TheNationalInstituteofNaturalResources(INRENA)identifiedhighpercentagesofdegradedlandbyerosion(99%),desertification(26.8%)andsalinization(0.24%),especiallyinthemountainsandcoastalareas.§ Policy:Improvingwatermanagementforagriculturaluse.Recover,preserveandexpandthe

qualityandquantityofsoilforagriculturaluse.2. WaterresourcesTerritorialdistributionofwaterandpoorutilizationaremajorchallengesforPeru.Useofpollutantsandlackofwatertreatmentgeneratealimitingfactorforefficientuseofresources,compromisingboththequalityandquantityofwatersupply.§ Policy:seeirrigationinfrastructure3. ForestresourcesandwildlifeIncreasingdeforestationisaworryingtrend,butatthesametimeforestrycontributeslittletoPeru’seconomy(1.1%).§ Policy:Improveconditionsforthedevelopmentofactivitiesofforestmanagement,exploitation,

processingandtrade,aswellastheuseofwildlifeandbiodiversity,withprofitabilityandsocial,environmentalandterritorialsustainability.

4. IrrigationinfrastructureTheagriculturalareaunderirrigationhasshownasteadyincreaseoverthepast50years,buttheefficiencyofirrigationwaterisonlyaround35%duetothepoorconditionofdistributionnetworks,uncoatedwaterchannelsandthemassiveuseofgravityirrigation.§ Policy:Increaseefficiencyandprovisionofirrigationinfrastructure,throughforexamplethe

modernizationoffarmirrigationandinvestmentinirrigationinfrastructurenationwide,givingprioritytosmallandmediumagriculture.

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5. AgriculturalinnovationandinvestigationTheagriculturalsectorcountswithlittletechnologyandlowlevelofinvestmentinR&D,resultinginanunderperformanceandalowerproductivityinagriculturethanChileandEcuador.§ Policy:Increaseinnovationandmodernization,withanimpactonagriculturalproductivityand

profitability.6. AgriculturalheathandsanitationPeruhasmadeprogressinestablishingzonesfreeoffruitfliesandmanyvarietiesofpests,butthereislittledetailedinformationaboutthepeststatusandrisksinPeru.Alsomalpracticeshavebeenobservedinproduction,processing,distributionandhygieneinfoodandfeed.AccordingtotheNationalAgriculturalSurvey(ENA)in2014,76%ofthefarmersdonotperformgoodagriculturalpracticestopreventsoildegradationand79%ofthefarmersdonothaveanadequateuseofpesticides.Only1%ofthefarmerscomplywithGoodManufacturingPractices.§ Policy:Protect,strengthenandexpandthesanitaryandphytosanitarypatrimonyaswellasthe

foodsafetypractices.7. AccesstofinanceTheagriculturalsectorhasapoorpenetrationinthefinancialsectordueto§ lowfinancialeducation;§ absenceofloanguarantees;§ lackofpropertyrights;§ failureinpreviouspayments;§ lackofconnectionto(inter)nationalmarkets.Theaccessoffarmerstoformalcreditiscalculatedatonly8%.Thislowratepreventsfarmerstoaccessworkingcapitalandtechnologicalimprovementsthatcouldincreaseproductivityandcompetitivenessoftheircrops,butalsoreflectstheperceptionofthefinancialinstitutionsintheagriculturalmarket:highrisk,highinformalityandlowprofitability.§ Policy:Strengthenandexpandthecreditmarketsandagriculturalinsuranceforsmalland

mediumfarmersnationwide.8. ProcessoflandownershipThesectorstillcountswithaproblemofinformalityinruralproperty,leadingtolowincentivesfromproducerstoinvestinimprovementsoftheirasset(land)andreducedaccesstocredit,whichimpactsintermsofproductivityofagriculturalunits.§ Policy:Increaselegalcertaintyoflandintheagriculturalsector.9. TechnicalassistanceandtrainingAccordingtoCENAGRO(2012)only8%offarmershavereceivedsomeformoftechnicalassistanceandonly5%havereceivedsometypeoftraining.Inbusinessmanagementandadvicethisislessthan1%.§ Policy:Increaseproductiveandentrepreneurialcapacitiesofagriculturalproducers,with

particularattentiontoruralwomenandyouth.10. DevelopmentofmarketandvaluechainsThecommercialperformancehasincreasedwithadiversifyingofferofagriculturalproductsandimprovedaccesstointernationalmarketsthankstovarioustradenegotiations.However,themajorityoffarmersaresmallholderswithalowleveloforganisation.

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§ Policy:Strengthenandexpandtheaccessofproductsofsmallandmediumfarmerstolocal,regionalandnationalmarketsaswellasexportmarkets.

11. AgrarianinstitutionsLimitedcoordinationandcommunicationwithinandbetweensectorsmakeitdifficulttobuildandimplementanintegratedsectoraldevelopmentmodel.Inaddition,therearedeficientmanagementcapabilitiesofinstitutions,inadequatemanagementofhumanresources,limitedmanagementinformationsystems,amongothers.Atasectorlevelrelevantaspectsare:a.Vulnerabilityandclimatechangeb.Changeinproductionpatternsandtechnologicalneeds§ Policy:I)Strengthengovernanceinthenationalagriculturalsector.§ II)Implementprocessesfordisasterriskmanagementinagriculture,ensuringthecontinuityof

productivefarmersandtheirlivelihoodsinacontextofclimatechange.§ III)Promoteprocessesofchangeandcropdiversification,generatingfavorablesocial,economic

andenvironmentalimpacts.

Supportprogrammesindetail

ProgramaNacionaldeInnovaciónAgraria(PNIA)

http://www.pnia.gob.pe/es/fondos-concursables/convocatoria-2016.htmCallforproposals(competitivefunds)STRATEGICINVESTIGATION

ADAPTIVEINVESTIGATION

EXTENSIONSERVICES SEEDSANDLIVESTOCKREPRODUCTION

TRAININGCOMPETENCY

Researchtogenerateknowledgetocapacitybuildingforagriculturalinnovationandcompetitiveness,withhighimpactonthenationalpolicy(e.g.inclusion,sustainability)

Researchfocusedonsolvingspecificproblemsthatlimitproductivityandcompetitivenessinvolvinganadjustmentorupgradingofexistingtechnologies.

Providingtechnicalassistanceandtraininginproduction,post-productionandmarketingofagriculturalproducts.

Provisionofgoodsandprofessionalservicesfortheproduction,post-productionandmarketingofseeds.

Education(grants)forleadingproducersandprofessionalswhointeractinthemarketforagriculturalandforestryservices.

AgroIdeas

http://www.agroideas.gob.peAgroIdeasisanon-reimbursablefund,varyingbetween30and70%ofcoststoincreaseagriculturalcompetitiveness,utilizedfortheconstitution,managementortechnicalimprovementofthebusiness.AgroRural

http://www.agrorural.gob.peAGRORURAListheexecutingunitattachedtotheViceMinistryofDevelopmentandAgriculturalInfrastructureandIrrigation,whichaimstopromoteruralagriculturaldevelopmentthroughfinancingofpublicinvestmentprojectsinruralareasofminordegreeofeconomicdevelopment.

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ProgramaSubsectorialdeIrrigaciones(PSI)

http://www.psi.gob.pe/programa/mi-riego/TheSubsectorIrrigationProgram(PSI)contributestoincreasingagriculturalproductionandproductivityinthehighlands,promotingsustainablechangeintraditionalagriculturewithahigherprofitabilitythroughmodernizationofirrigationsystemsandassociativityofsmallfarmers.MiRiego PSI-Sierra Programa

Presupuestal0042FondoEmpleo VallesVulnerables

2011-2015 2011-2015 permanent 2014–2017 2016–20201billionPeruvianSoles

12.8millionPeruvianSoles

1.75millonPeruvianSoles

5.4millionPeruvianSoles

180.3millionPeruvianSoles

FundforpublicinvestmentprojectsinwaterinfrastructureandirrigationtechnologytoimproveconditionsinhighlandPeru.

Increasingagriculturalproductionandproductivityinthemountains,throughmodernizationofirrigationsystemsandassociationofsmallfarmers.

Increasingproductionandproductivityofirrigatedagriculture,improvingutilizationofwaterresourcesandefficiencyintheuseofarableland.

Improveeconomicemploymentthroughcropproductionofyellowcorn,cowpeasandorganicbananasofsmallfarmersintheoldvalleyofOlmos.

Providecomprehensiveandpermanenttreatmentofriverbedstoreducetheriskofflooddisastersofvulnerablevalleys.

InadditiontotheprogrammesabovePSIalsohasregularresources(RecursosOrdinarios)toapplydirectly.SierraExportadora

http://www.sierraexportadora.gob.peSierraExportadoraisthepublicexecutingagencythatseekstopromoteanddevelopanexportableofferofqualityproducts.TheyarticulatethePeruvianhighlandsinnationalandinternationalmarketsandencouragelocalentrepreneurshipandinnovation,convertingtheAndeanregionintoacompetitiveregion.FondodeCooperaciónparaelDesarrollo(FONCODES)

http://www.foncodes.gob.peTheCooperationFundforSocialDevelopment(FONCODES)isanationalprogramoftheMinistryofDevelopmentandSocialInclusion(MIDIS)workingongeneratingmoresustainableeconomicopportunitiesoftheextremepoorruralhouseholds.FundaciónparaelDesarrolloAgrario(FDA)

http://fdaunalm.com/TheFoundationforAgrarianDevelopmentisaprivate,nonprofitorganizationcreatedbytheNationalAgrarianUniversity(UNALM)tosupportitsresearch,training,advocacyandoutreach,contributetothenationaldevelopmentandimprovingthequalityoflifeoffarmers.InnóvatePerú

http://www.innovateperu.gob.peTheNationalInnovationProgramforCompetitivenessandProductivity(InnóvatePeru),isoneofthemainexecutorsoftheNationalProductiveDiversificationPlanoftheMinistryofProduction.

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FINCyT FIDECOM FOMITEC MIPYMEFundforInnovation,ScienceandTechnology

ResearchandDevelopmentFundforCompetitiveness

FrameworkFundforInnovation,ScienceandTechnology

Fundtostrengthentheproductivedevelopmentofmicro,smallandmediumenterprises

ProInversión

www.proinversion.gob.peTheAgencyforprivateinvestment(ProInversión)offersvariouswaysforcompaniestoparticipateinpublicprojects.AsociaciónPúblico-Privada(APP) IniciativasPrivadasAutofinanciadas

(IPA)Obrasporimpuestos

Public-privatepartnershipsforself-financedorco-financedprojectsbythegovernment

Privateself-financedinitiativesforpublicprojects

Workfortax–publicprojectsbyprivatecompaniesthroughadvancepaymentoftheirincometax

PlannedpublicinvestmentsAlargebudgetsharegoestoirrigationinfrastructure:

Interventionsininfrastructureinagriculture2016

MillionPeruvianSoles

Sharein%

Irrigation 1719 71.1Agricultural 143 5.9Scienceandtechnology 140 5.8Fishery 81 3.4Riskmanagementandemergencies 80 3.3Other 255 10.5

Source:MinistryofEconomyandFinance(MEF)

Thepublicbudgetforagricultureisregionallyoriented:

Divisionofagriculturalbudget(2013) Million

PeruvianSoles

Sharein%

Localgovernments 923 38.4Regionalgovernments 763 31.8Nationalgovernments 718 29.8- Ministryofagriculture(MINAGRO) 589 24.5- NationalAgriculturalHealthService(Senasa) 99 4.1- NationalWaterAuthority(ANA) 26 1.1- NationalInstituteofAgriculturalInnovation

(INIA)4 0.2

Source:MinistryofAgricultureandIrrigation

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Investmentininfrastructure

PublicinvestmentsthatarerelevantforPeruvianagriculturalsectorarefocusedon:1.Logisticalinfrastructure2.Agriculturalinfrastructure(irrigationprojects)LogisticalinfrastructureInfrastructureisextremelyimportantforthefurthergrowthoffreshexport.Efficientlogisticstonearbyportsandbeyondcontributestoitsqualityandcompetitiveness.PlansininfrastructureareexecutedundersupervisionoftheMinistryofTransportandCommunication.

§ From2011to2016thelengthofpavedroadsincrementedfrom12,500km’sto20,000km’s.§ TheplannedinvestmentinimprovingportsinPeruexceeds2billionUSD,ofwhich25%will

beexecutedbetween2015and2017.AccordingtotheNationalPortAuthority,thereare7concessionprojectsinportdevelopment,ofwhich4relevantforthehorticulturalexport:Project/port Place Concessionholder Startdate&periodPortterminalofPaita

Piura TerminalesPortuariosEuroandinos(TPE)

09/2009(30yrs)

ContainerterminalCallao–southernzone Callao(Lima) DPWorldCallao 07/2006(30yrs)Northterminal(multipurpose) Callao(Lima) APMTerminals 05/2011(30yrs)PortterminalGeneralSanMartin Ica TerminalPortuario

Paracas(TPP)07/2014(30yrs)

AgriculturalinfrastructureWithaportfolioofseverallargeirrigationprojects(amongothertypesofprojects),Peruaimstoincreasetheamountofirrigatedagriculturefrom989thousandhectaresin2012to1,408thousandhectaresin2016.Principleagriculturalprojects2016 Location Peruvian

SolesMajes–stageII Arequipa 196millionProyectoChavimochic–stageIII LaLibertad 181millionImprovementofstrategicservicesofagriculturalinnovation Lima 61millionImprovementofirrigationandgenerationofhydropowerinhighlandPiura

Piura 55million

Cadastre,titlingandregistrationofrurallandinPeru,3rdstage Loreto,MadredeDios,SanMartinandUcayali

47million

ExtensionofsupportforruralproductivepartnershipsinHighlandPeru-PartnersII

Apurimac,Ayacucho,Huancavelica,Huanuco,JuninandPasco

39million

ConsolidationofAgriculturalInnovation Lima 38millionWaterconsolidationofthebasinofTamboriverbasinfortheimprovementandExpansionoftheagriculturalfrontier

MoqueguaandArequipa 30million

StrengtheninglocaldevelopmentinhighlandandhighjungleareasofPeru

Amazonas,Cajamarca,LimaandSanMartin

29million

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Source:AGAP2014,ProInversión

Investmentopportunities

Independentinvestmentopportunities

§ Jointventuresinsourcingand/orprocessing(Production,processingandpackingoffreshfruit,cocoaorcoffee)

§ Innovativeprojectsinhorticulture(Precisionagriculture,protectedhorticultureinhighvaluecropsorflowers)

§ Privateknowledgeandinnovationcentres(Plantbreeding,seeds,agriculturalpractices,post-harvest)

Tenders

TendersbythePeruviangovernmentcanbefoundonthewebsiteofPeruContrata(www.perucontrata.com.pe),theportalforpubliccontracts.TendersarepublishedaccordingtotheLegislation30225forStateContracts.MostinformationisinSpanish.Alternativeinternationalsources:§ TendersInfo-www.tendersinfo.com§ GlobalTenders-www.globaltenders.com§ DgMarket-www.dgmarket.comInvestmentAgencyPeru:§ InvestinPeru-www.proinversion.gob.pe

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Regulatoryrequirements

Phytosanitaryrequirements

Phytosanitarypermit

Sanitaryinspectiononentrance

Phytosanitarycertificate

Subjecttoquarantineonentrance

Processedproductsofplantoriginwithoutthepotentialofcontainingplagues

No No No No

Processedproductsofplantoriginwithpotentialofplagues No Yes No NoSemi-processedproductsofplantorigin,freshordry,fordirectapplicationoruseandwithpotentialofplagues

Yes Yes Yes No

Seeds,plantsortheirpartsforpropagation,reproductionorsowing

Yes Yes Yes Yes

Otherproductswithpotentialphytosanitaryrisk Yes Yes Yes YesSource:Senasa

Importduties

ImportdutiesDutyRates 0%to11%(Someproductscanbeimportedfreeofduty)SalesTax 16%VATonimport(SumofCIFvalue,duty,andexciseandtariffsurchargeifapplicable)Minimumthresholds UptoUSD200(FOB,bycourier)areexemptfromdutiesandtaxesOthertaxesandcustomfeesAdditionalfee 0%-5%onthesumoftheCIFvalueanddutyExcise(ISC) forsomeproducts:0%-50%onthesumoftheCIFvalueanddutyTariffsurcharge variousrates,calculatedonthesumoftheCIFvalue,dutyandexciseifapplicableMunicipaltax 0%-2%onthesumoftheCIFvalue,duty,exciseandtariffsurchargeifapplicable

Source:DutyCalculator,SUNAT

Competentauthorities

§ Senasa,AgriculturalSanitary-www.senasa.gob.pe§ Digesa,FoodsafetyandSanitary-www.digesa.minsa.gob.pe§ SUNAT,Taxofficeandcustoms-www.sunat.gob.pe

Examplesofbilateralcooperation

§ Netherlands:MemorandumofUnderstanding(MoU)betweenthePeruvian‘ServicioNacionaldeSanidadAgraria’(SENASA)andtheDutchFoodandGoodsAuthority(NVWA)regardingthedigitizationofphytosanitarycertificatesforthetradeofagriculturalproducts(2015)

§ Spain:CallforbilateralcooperationontechnicaldevelopmentandinnovationbyCONCYTEC(throughFONDECYT)andtheSpanishCentreforIndustrialTechnologicalDevelopment(CDTI)

§ Israel:TheNationalWaterAuthority(ANA)andIsraelsignedacooperationforthemanagementofwaterresources(2013)

§ India:AgreementbetweenIndianCouncilofAgriculturalResearch(ICAR)andthenationalInstituteofagriculturalResearchofPeru(INIA)(1997)

§ Japan:AgreementbetweentheNationalInstituteofAgriculturalResearchandPromotion(INIPA)andtheInternationalCooperationAgencyofJapan(JICA)todesigntheinfrastructureofaCenterforResearchandTrainingHorticulture(1987)

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3. WhataretherisksandopportunitiesregardingCSR?

ManyexportingproducershavealreadyadoptedCSRpoliciesandhavecertifiedtheirproductionandprocessing(GlobalGAP,BRC).Othercompanieswillfollowthisdevelopmentinordertobecomeattractiveinternationalsuppliers.Meanwhile,Peruviangovernmenthasputtheirfocusonlargeinfrastructuralprojectsbutalsoonthecompetitivenessandinclusionofsmallfarmers.Greateffortisneededtoorganiseandformalisetheagriculturalsectorandtofaceseriouschallengesinlabourpractices,environmentandequality.

LabourIntheagriculturalsectorthelevelofinformalityishigh.Formanysmallfarmersitisnotcommontohaveworkersonthepayroll(planilla)and,especiallyinfamilyfarms,childrenareoftenhelpingonthefield.Thereisariskofchildlabour,althoughinrecentyearsseriouseffortshavebeenmadetoencouragechildrentogotoschool,increaselabourinspectionandstrengthenpenaltiesforhumantrafficking.AlthoughPeruhasmadealongtermstrategyonlabourpractices,labourinspectionremainsunderfunded.

Modernagribusinessessupplyingexportmarketscannotaffordtohaveinformallabourpracticesandmanyofthempayspecialattentiontothewell-beingoftheirworkers.Theyevenindicateitisdifficulttofindskilledworkers.Expandingagriculturalexportcompaniesareexpectedtodoubleformalemploymentinthesector.Nevertheless,therearealsoconcernsintheunlimitedshort-termcontractsanddifficultyforworkerstoorganizethemselvesinunions.

Source:FCE

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Furtherreading:

www.producebusinessuk.com/supply/stories/2015/09/09/peru-takes-serious-csr-strides-but-more-support-is-needed

www.dol.gov/ilab/reports/child-labor/findings/2014TDA/peru.pdf

www.laborrights.org/releases/us-labor-dept-finds-labor-rights-abuses-peruvian-export-industries

EnvironmentThemainenvironmentalissuesinPeruvianagriculturecanbefoundin:

§ Waterconflicts§ Depletionofsoilandnaturalresources§ Agrochemicalseffectinghealthandenvironment

Waterconflicts

WateravailabilityandefficientwatermanagementisasevereprobleminPeru.InIcaithasreachedapointthatcompaniesareimplementingmorepreciseirrigationsystemsorarechangingtolesswater-consumingcrops.Itisoneofthereasonswhytheasparagusproductionhasbeenreducedoverthepastyears.Meanwhilegroundwaterlevelsaregoingdownandfarmerswithlessfinancialresourcesarenotabletoreachwaterresources,whichsometimesresultinconflictsbetweenlargeproducersandsmallerfarmers.

Depletionofsoilandnaturalresources

InPerutheproblemsaffectingsoilandnaturalresourcesareserious.Thecoastalareaisachallengingenvironmentwherewind,excessiveirrigationandpoordrainageleadtosalinisationandunproductivefields.InhighlandPerulandtherearerisksofover-exhaustionandlandslidesoflandthroughgrazing,burninggrasslandandpoorsoilmanagement.Inthejungledeforestationthroughloggingandslash&burnmonoculturearethreatsforboththeregion’sbiodiversityandfertility.Although(illegal)goldminingisthebiggestinfluenceondeforestation,largescaleoilpalmand(recentlyalso)cocoaplantationsreducedprimaryforestswith30,000hectaressincetheyear2000.

Intheend,thedepletionofsoilandnaturalresourceswillincreasethegapbetweenwellmanagedagribusinessesandsmallerfarmersthatlackresources,knowledgeandefficiency.

Agrochemicalseffectinghealthandenvironment

Thesuccessfulgrowthofthehorticulturalsectoralsomeansanincreaseoftheuseofagrochemicals.InPerusomeoftheverytoxicpesticidesarestillallowedandoftenusedinexcess,withrelatedconsequencesforitseffectivenessandthelocalecosystem.Poorinformationandtrainingalsofrequentlycausehealthproblems.AccordingtoPeruviansourcesthewaste(suchaspackaging)ofagrochemicalsisoftenburiedorburnedinpits.

TheActionNetworkonAlternativeuseofAgrochemicals(RAAA)attemptstogenerateinitiativestoreducetheuseofpesticidesandpromotesustainablefarming.

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Furtherreading:

www.ecologyandsociety.org/vol21/iss2/art35/ES-2016-8512.pdf

www.producebusinessuk.com/supply/stories/2015/09/16/the-irrigation-projects-transforming-peru-s-produce-prospects

www.peruthisweek.com/news-water-shortages-threaten-agriculture-in-southern-peru-103584

www.oecd.org/environment/country-reviews/16-00313%20Evaluacion%20desempeno-Peru-WEB.pdf

www.peruviantimes.com/19/toxic-pesticides-still-allowed-in-new-agriculture-regulations/23786/

www.agriculturesnetwork.org/magazines/global/finding-common-ground/pesticides-in-perus-highlands

http://maaproject.org/2015/maap-synthesis1/

LandrightsandlandclaimsTheambitionofcurrentgovernmentalpoliciesistoincreasecompetitivenesswithanemphasisonsustainableincomegrowthandsocialinclusionofthesmallfarmer.However,thispolicyisnotconsistentwiththeeconomicreality.LargercompanieshavethebestmeansfortechnicaldevelopmentandareconsideredimportantcontributorstoPeru’seconomy.Itmakesthemmorepowerfulinrelationtosmallfarmers.Withtheirfinancialresourcestheyarebetterequippedtoacquirenewfertilelandorevenincorporatefarmsintotheirorganisation.Likewisemanysmallfarmersdecidedtoselltheirland,forvariousreasons:

§ Lackofcapital§ Increasingcostsofproduction§ Highcostofaccessinggroundwaterormaintainingirrigationinfrastructure(forexampleinIca)§ Climaticdifficulties(mainlytheeffectofElNiño)§ Debtswithcreditentities

Insteadoffarmersbenefittingfromsocialincentives,theirlandistransferredtolargeproducingfirms.Buttheotherwayaroundalsooccurs:Privatelandthatisnotlookedafterisbeingoccupiedforinformalcultivation,whichisoftenfollowedbyalongandslowlegalprocess.Alargequantityoffarmersdonothaveofficiallandrights.Thisinequalityinthesectorwithholdssmallholderstoescapepoverty.

Furtherreading:

www.landcoalition.org/sites/default/files/documents/resources/PERU_ENG_web_21.06.11%202.pdf

OpportunitiesforDutchcompaniesandorganisations§ Providetechnicalassistanceortrainingthroughgovernmentaidincentives;§ HelpwithcertificationandcompliancefortheEUmarket(e.g.GlobalGAP);§ ProvideknowledgetransferonIPMandprecisionhorticulture;§ Helporganizesmallfarmers(NGOs);§ Helpdevelopfarmerstodeliveraqualityandcompetitiveproductforthelocalmarket.Notallsmallfarmerscan

becomeexportfarmersandcooperativesdonotalwaysworkout.

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4. OpportunitiesandchallengesforDutchcompanies

DutchcompaniesinPeruFormanyyearsPeruhasnotbeenaprimaryfocusforDutchcompanies.Untilthelate90straditionalexportssuchasminingproductsandafewcommoditycropsdominatedPeru’seconomy.Horticulturalandagrofoodexportswereminimal.InthelastdecadePeru’sexporthasmadearadicalshift.Thefastemergenceoflargecommercialfarmersgavewaytoeconomicandtechnicaldevelopment,notonlyattractingtheinterestfromDutchcompanies,butalsofromBrazil,Chile,China,Spain,Israel,theUnitedStatesandseveralothercountries.DutchcompaniesthatareactiveinPeruoftenoperatethrougharepresentative,someareabletohavedirectclientsandonlyfewhavelocaloffices.ExamplesofDutchcompaniesandNGOsinPeru:KLM Logistics Localoffice www.klm.comAPMTerminals Logistics Localoffice www.apmterminalscallao.com.peSeatrade Logistics Localoffice www.seatrade.comGreefa Sorting-packaging Representative www.greefa.nlRijkzwaan Seeds Representative www.rijkzwaan.comEnzaZaden Seeds Representative www.enzazaden.comAnthura Youngplants Direct www.anthura.nlControlUnion Inspection/laboratory Localoffice www.cuperu.com/portalTriodos Finance Partners www.triodos.nlAgriterra NGO Localoffice https://agriterra.orgSNV NGO Localoffice www.snv.orgSolidaridad NGO Localoffice www.solidaridad.nlPUM NGO Localoffice https://pum.nlCBI Publicagency Partners www.cbi.eu

InthepastseveralPSIandPSOMprojectshavebeenapprovedinPeru.AmongtheapplicantsareHillfresh,VanOoijenCitrus,LaFlechaImport-Export,Chocolatemakers,Jarwo,HandelsmaatschappijDemeter,VanderStaaij,AgrofairEurope,DelidorDelicatessenandMachinehandelLekkerkerker.MostoftheDutchimportersoffreshfruitandvegetablesarefamiliarwithPeruandhaveestablishedtraderelations.Theycanbeaninterestingsourceofinformationforsupplierselsewhereinthevaluechainsuchashorticulturaltechnologyorlogisticalservices.ExamplesofimporterswithexperienceinPeruEosta import www.eosta.comHillfresh import www.hillfresh.euNature’sPride import www.naturespride.nlVanOoijen import www.vanooijencitrus.nlHagé import www.hage-international.nlVanderStaaij import www.staayfoodgroup.comFairtrasa import www.fairtrasa.comJaguar import www.jaguarfreshcompany.comBUDHolland import www.bud.nlVerdiImport import www.verdiimport.nlAgrofair import www.agrofair.nlOTCHolland import http://otcholland.comZoutewelle import www.zoutewelle.nl

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FundingopportunitiesinPeru

FinancialfacilitiesfromtheNetherlands

DGGF

TheDutchGoodGrowthFundDGGFsupportsDutchSMEthatdobusinessindevelopingcountriesandemergingmarketswithtailoredfinancialservice.Servicesarerelatedtofinancingexportofcapitalgoodsoraninvestmentinadevelopingcountry.MoreaboutDGGFDRIVE

DevelopmentRelatedInfrastructureInvestmentVehicleDRIVEisaflexiblefinancialinstrumentthatcontributestotherealisationofpublicinfrastructuralprojectsthatisarerelevantforthedevelopmentoflowandmidincomecountries.MoreaboutDRIVEFactsheet

FDOV(currentlyinactive)FacilityforSustainableEntrepreneurshipandFoodSecurityTheFacilityforSustainableEntrepreneurshipandFoodSecurity(FDOV)encouragespublic-privatepartnershipsinthefieldoffoodsecurityandprivatesectordevelopment,indevelopingcountries.MoreaboutFDOVDHI

Subsidyfordemonstrationprojects,feasibilitystudiesandinvestmentpreparationstudiesTheobjectiveofDHIistoincreasethenumberofDutchcompaniesthatinternationalizesuccessfullyinemergingmarketsanddevelopingcountries,andmakingapositivecontributiontosustainablelocaldevelopment.TheDHIschemeconsistsofthreemodules.Demonstrationprojects:demonstrationofyourtechnology,capitalgoodsorservices.Feasibilitystudies:researchintothefeasibilityofaforeigninvestmentinyourproduct.Afeasibilitystudywillincreasethelikelihoodthatyourpotentialcustomerwanttoinvestinyourtechnology,capitalgoodsorservices.Investmentpreparationstudies:studyofthetechnicalandcommercialfeasibilityofyourinvestmentinacompany.MoreaboutDHI

G2G,K2KandNMTP

Government-to-government|Knowledge-to-knowledge|NetherlandsManagementTrainingProgrammeTheaimistocreatefavorableconditionsfordoingbusinesswithcountriesthatareinterestingforDutchentrepreneurs.Intheseprojects,Dutchgovernmentorganizationsandresearchinstitutesexchangeknowledgewiththeirforeigncounterparts.MoreaboutG2G,K2KandNMTP

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InternationalfundingfacilitiesRabobank&RabobankFoundation

Banking www.rabobank.com

Triodos Impactfinance www.triodos.comRootCapital agriculturalimpactinvestor www.rootcapital.orgOikocredits Microcredit www.oikocredit.nlImpactFinanceFund Impactfinance www.impact-finance-fund.comCommonFundforCommodities

intergovernmentalfinancialinstitution http://common-fund.org

FMO Developmentbank www.fmo.nlLAAD LatinAmericanAgribusinessDevelopment

Corporationwww.laadsa.com

IDB Inter-AmericanDevelopmentBank www.iadb.orgCAF DevelopmentBankofLatinAmerica www.caf.comIFC InternationalFinanceCorporation(Worldbank) www.ifc.orgCoface Exportcreditinsurance www.coface.nlAtradius Exportcreditinsurance https://atradius.nlSeaf SmallEnterpriseAssistanceFund http://seaf.com

FundingfacilitiesinPeru

COFIDE DevelopmentBankofPeru www.cofide.com.peAgrobanco GovernmentalBank www.agrobanco.com.pePeruOpportunityFund

Fundforsmallproducers www.peruopportunity.org

Concytec NationalCouncilforScience,TechnologyandTechnologicalInnovation

Callsforproposal

https://portal.concytec.gob.pe

InnóvatePeru Managesdifferentfundsforinnovation Callsforproposal

www.innovateperu.gob.pe

AgroIdeas Programmeforcompensationincompetitiveness

Callsforproposal

www.agroideas.gob.pe

PSI Subsectorprogrammeforirrigationprojects

Callsforproposal

http://www.psi.gob.pe/programa/mi-riego/

PNIA Nationalprogrammeforagriculturalinnovation

Callforproposal

http://www.pnia.gob.pe/es/fondos-concursables/convocatoria-2016.htm

FONCODES Fundfordevelopmentcooperation http://www.foncodes.gob.peFDA Fundforagriculturaldevelopment http://fdaunalm.com/

AcompleteoverviewoffinancialservicesinPerucanbefoundonthewebsiteoftheSuperintendenceofbanc,insuranceandpensionfunds.

29

Whataretheobstaclesandpossibilitiesregardingfinanceandcredits?

TherearenumerousfinancialserviceprovidersandprogrammesinPeru,varyingfromdevelopmentbanksandcommercialbankstomicrocreditandimpactfinance.Theaccesstothesefinancialserviceprovidersdependsonthefinancialknowledge,profileandsizeoftheapplicant.

Sizedeterminesaccesstofinance

LargecompaniesinPerustillhaveagreatadvantageoversmallfarmersinattractingcapitalandfinancialservices.OxfampublishedareporttoshowthatprojectsfinancedbytheInternationalFinanceCorporation(IFC)oftheWorldbankarerelatedtosomeofthemostpowerfulentrepreneurialgroupssuchasGrupoBreca,GrupoRomero,IntercorpandGrupoWong.AlsoagriculturalcompaniesandforeigninvestorshavebeenabletobenefitfromIFCsuchasAgrokasaHoldings(30millionUSDforinfrastructureprojectsforagriculturalexportproduction)andAPMTerminals(75millionUSDfortheexpansionofthenortherndockattheCallaoPort).ThemostsuccessfulforeignapplicantswerefromSpain,theUSAandColombia.Theroleofsourcingcompanies

Despiteofthemanyinitiativesofmicrocreditandimpactfinance,theaccesstofinanceforsmallholdersisdifficultandexpensiveduetoagenerallackofcollateralandfinancialhistory.Impactfinanceorganizationsaregraduallymovingawayfromfundingmicro-farmersandtrytofindnewwaystoreachthemthroughmediumsizedsourcingcompanies.Forsourcingcompaniesitiscommontohelpgrowersfinancetheirproductionandprovidethemwithtechnicalassistance.Thesuccessofsourcingcompaniesandcooperativesinorganizingsmallgrowersandbuildingreliablerelationsisessentialforasustainableflowofcapitalandsocialdevelopment.ThecompanyMachuPicchuFoodsisanexampleofacompanyincocoaproductsthatusedFMOfundingtoinvestissmallfarmers.Financialeducationatopobstacleoropportunity

TheCenterofFinancialInclusionconcludedthatfinancialeducationisthetopobstacleandopportunityinPeruregardingfinancialinclusion.Expertshavealsoindicatedthehighcostofdeliveringservicestorural,remoteandpoorareasasamainobstacle.Localinterestratesarehigh

Thefinancingofinvestmentandworkingcapitalinagribusinessisconsideredhighrisk.Thecommercialinterestratesforfinanceandcreditareveryhigh.Forexample,Agrobancochargesinterestratesof10-17%forbusinesscreditinUSDollars,dependingonthetypeoffinanceandthedurationoftheloan.Inlocalcurrency(PeruvianSoles)interestratesareevenhigher.

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Whoarethemainplayersthathavethefinancialmeanstoinvestininnovation?Theproductionandprocessingofnon-traditionalexportproducts,suchasfreshfruitandvegetables,requiresknowledgeandnewtechnologies.Thelargestexportingcompaniesaremostlikelytoapplynewtechnologyandinvestinresearchanddevelopment.Theselargecompaniesoftenmanageanintegratedchainofplantbreeding,productionandpacking/processing.TheycompeteinaglobalmarketandtheyarethedriversofinnovationinPeru.Alargequantityofmedium-sizedcompaniescannotaffordtostaybehindandwillfollowsimilardevelopments.

Overviewofthelargesthorticulturalexporters

Source:Sunat-annualexport2015

RANKING EXPORTADOR EXPORT (FOB) x 1,000 USD

33 CAMPOSOLS.A. 179.303,536 PERALESHUANCARUNAS.A.C. 166.066,742 SOCIEDADAGRICOLAVIRUS.A. 134.950,846 COMPLEJOAGROINDUSTRIALBETAS.A. 118.134,848 DANPERTRUJILLOS.A.C. 112.087,459 SOCIEDADAGRICOLADROKASAS.A. 82.218,465 GANDULESINCSAC 73.745,668 ELPEDREGALS.A 70.621,073 MACHUPICCHUFOODSS.A.C. 66.394,177 SOCIEDADAGRICOLARAPELS.A.C. 59.357,782 TALSA 56.046,488 CONSORCIODEPRODUCTORESDEFRUTAS.A. 50.590,989 ECOSACAGRICOLAS.A.C. 50.570,490 CAFETALERAAMAZONICAS.A.C. 50.325,193 PROCESADORALARANSAC 48.471,096 PROCESADORADELSURS.A. 48.105,7

100 AGROINDUSTRIASAIBS.A 45.543,8115 EXPORTADORAROMEXS.A. 36.308,7118 GREENPERUS.A 35.450,9126 AGRICOLADONRICARDOS.A.C. 32.827,7133 SUMAQAOSOCIEDADANONIMACERRADA 31.386,0134 H.V.C.EXPORTACIONESSAC 31.287,8136 AGRICOLACERROPRIETOS.A. 31.026,2143 AMAZONASTRADINGPERUS.A.C. 29.532,8146 PRONATURS.A.C 28.228,7

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Whatareinterestingdevelopments?Newpresidency

Theelectionsof2016introducedthenewpresidencyofPedroPabloKuczynski.Kuczynskiisaformerministeroffinance(2001-2006)andformeradvisorfortheWorldbank.Heisconsideredapro-businesseconomistandtechnocrat,whohasbeenengagedintheprivatesectorforalargepartofhiscareer.Hispresidencypredictsagovernmentpolicytowardseconomicdevelopmentandacontinuationofthefavourablebusinessclimateforforeigninvestors.TradeAgreements

NewFreeTradeAgreements(FTAs)andbilateralphytosanitaryprotocolsopenupnewmarketsforPeru.InrecentyearsnewagreementshavebeenrealizedwithJapan,China,SouthKoreatheUSAandEurope.AsaresultPeruisnowexportingbellpepperstotheUSAandavocadotoChina.ThesedevelopmentsareimportanttosustainthePeruvianexportgrowth.PacificAlliance

Establishedin2011,thePacificAlliance(AlianzadelPacífico)isaninitiativebetweenPeru,Mexico,ColombiaandChilewiththeobjectiveofcommercialintegrationandthefreemovementofgoods,services,resourcesandpeople.AlthoughitsfocusisontheAsia-Pacific,italsooffersopportunitiesforcompaniesandinvestorsthathavearegionalambition.Developmentofpublicservices

ThelevelofpublicservicesforexportersinPeruisindevelopment.Althoughtheprivatesectorisoftenscepticaboutthefunctionalityoftheirservices,thepublicsectorismakingobviousattemptstooptimizeprocesses.Examplesofthesedevelopmentsare:§ Senasaande-certification(assistedbytheDutchNVWA)§ VentanillaÚnicadeComercioExterior(VUCE)–acentralisedwindowforexportdocumentationThesestepsarepartofthetotaldevelopmentandcompetitivenessofPeru.Foreigninvestment

Peruoffersanattractiveforeigninvestmentpolicy(ProInversion)amongwhich:§ non-discriminatorytreatment;§ freetransferofcapital;§ protectionofprivateproperty;§ freedomtoacquiresharesfromPeruviannationals;§ Freetoaccessinternalandexternalcredit;§ accesstointernationaldisputesettlementmechanisms.PerualsoparticipatesinandfollowsOECDguidelinesformultinationalenterprises.Growingdemandofconsumermarket

ThesupermarketpenetrationinPeruisstilllowcomparedtoLatinAmericancountries,butconsumerexpenditureisfeedingitsfastexpansion.Thiswillresultinahigherdemandinprocessedfood,aswellasimportedfoodproductsaccordingtotheretailfoods2015reportoftheUSDAGlobalAgriculturalInformationNetwork.Localsupermarketchainswillalsohelpraisingthequality

32

standardsforfreshfruitandvegetables,providingbetteraccesstoprofessionalgrowersandforeigntechnology.Developmentofhighvaluecropsdrivesinnovation

Futuredevelopmentsinhighvaluecropswillalmostcertainlydrivethesectortowardsnewtechnologicalsolutionsandfurtherautomation.Thistrendwillbestrengthenedby§ thecontinuationinexportgrowth§ thestrongcompetitionfromnationalandinternationalproducers§ alowavailabilityofskilledlabour§ theincreasingcostsoflabour§ theincreasingqualityrequirementsinexportmarketsHowever,everynewtechnologyneedsproveofconceptandtrainingonthejob.

DirectimportofgenericpesticidesimprovescompetitivenessPeru

Thelegislationno.30190(adoptedinMay2014)promotesthecompetitivenessofdomesticagriculturalproductioninPeru.UnderthislawthefoodsafetyauthoritySenasasupervisestheregistrationofpesticidesforagriculturaluse,allowingproducerstoimportgenericpesticidesdirectlyfromorigin.Professionalserviceproviders

Withawiderangeofserviceproviders,thePeruvianhorticulturesectorhasbeenabletoaccommodatetheexportoffreshproductsandcreateagoodbasisforfurthergrowth.§ Packaging(Trupal)§ Laboratories&certifiers(ControlUnion,CNTA)§ Inspectionbodies(SGS,BureauVeritas)§ Logistics(APMTerminals,Seatrade,CEVALogistics)LargeholdingcompaniessuchasGrupoGloria,knownfortheirdairyproducts,haveintegratedservicecompaniessuchasTrupalforpackagingandLogísticadelPacíficoforlogisticoperations.Theseoperationsarebeneficialforthecoreactivitiesoftheholding,butatthesametimetheyofferthirdpartyservices.Farmingcompaniessometimeshaveasimilarstrategy,suchasthecompanyAgrícolaViñasolthat,besidesproducingfreshproducts,alsoprovidesagriculturalequipment,transportservices,agrochemicalsandtechnicalassistance.Canlogisticskeepupwithexport?

ThemainportsforexportoffreshproductsareCallao(Lima)andPaita.PiscoandSalaverryalsomanagelogisticalserviceinthefreshsector,buttheavailabilityofreefersisofteninsufficient.However,thedevelopmentoftheseportsareisinprogress.Theplansforportmodernisationareextensiveandwillbeneededtohandlethegrowingfreshexport.ApositiveadditionisthedirectserviceofSeatradebetweenPaitaandEuropethatreducestheleadtimetojusttwoweeks.ThiswillincreasethecompetitivenessofPeruvianexportersagainstothersuppliersthatareclosertoEurope.

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Perulogistics:highcost,notcompetitive

ThePeruvianAssociationofLogisticProfessionals(APPROLOG)estimatesalogisticalcostof20to30%onthesalesvalue,comparedto12%inChileand8%intheUSA.Thetransportsectorisstillcharacterisedbyalargenumberofsmallandmediumcompanieswithlowefficiency.Thisresultsinavarietyofpredicaments:§ Lowavailabilityoftrucksinpeakseason§ Notransparencyincosts§ Largedifferencesinpricing§ ProfessionalityissometimeslackingOneofthemainbarriersfortheentranceoflargerfull-servicelogisticalcompaniesisthepoorinfrastructureaccordingtoananalysisoftheOxfordBusinessGroup.

WhatarethechallengesandneedsforDutchcompaniesinPeru?Findingagoodlocalpartner

DoingbusinessinPerustartswithalocalpresenceandfindingtherightpartner,localrepresentativeormanager.FindingtherightpeoplecanbeachallengeforcompaniesthatarenotfamiliarwithPeruvianbusiness.Localpartnersshouldbewellconnectedtothebusinesscommunityandmaintainagoodreputation.Whendoingabackgroundcheckonacompany,trycontactingthelocalofficeofPromPeruortheLimaChamberofCommerce.Tipsfordoingbusiness:§ Beflexible(theconceptoftimeis

different)§ Taketimetobuildrelations(getto

knoweachother)§ Giveapreferencetopersonalcontact

(Communicationthroughemailislesseffective)

“Traditionally,thebusinesscommunityinPeruhasbeensmallanditstiesrundeep.Companiesdon’talwaysacceptthelowestpriceorbestserviceproposalbecauseofotherfactors.Family,classmatesandthegoodwillandtrustthathavebeenbuiltwithmembersofthebusinesscommunityarethingsthatcomeintoplaywhenmakingbusinessdecisionsinPeru.”

Source:Peruthisweek:SeventipsfordoingbusinessinPeru

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Restrictionsinbiosafetyandcertification

Perumaintainsastrictpolicyinbiosafetyandbiodiversity,whichcomplicatestheimportoftransgenicproducts.ThePeruvianlawno.29811establishedthemoratoriumontheproductionandimportoflivingmodifiedorganisms(LMOsorGMOs)foraperiodof10years.Thepurposeofthemoratoriumistostrengthennationalcapacitiesinbiosafety,promotethedevelopmentofbiosafetyinfrastructureandgenerateknowledgetoprotectbiodiversityandregulatetheentryofLMOs.InternationalseedcompaniesareknowntoproduceandexportseedfromPeru.Seedproducersandcommercialseedsneedtoberegistered,butPerudoesnothaveacertificationbodyyetthatisinternationallyrecognizedbyISTA,theInternationalSeedTestingAssociation.INIAwww.inia.gob.pe

RegisterofseedproducersRegistrationofcommercialseeds(stilllimitedtoafewvarieties)CertificationofseedsLegislationforseeds(inSpanish)

Newtechnologyrequirestraining

Operatorsinpackinghouses,aswellasonthefarms,needsufficienttrainingwhenintroducingnewtechnologies.Theloweducationofworkersisoftenareasonforagribusinessesnottoinvestinmoderntechnology.Theyconsidertrainingandskilledlabourtobecrucialformodernisation.Serviceandknowledgetransferareequallyimportantastheproductitself.Thereforetechnologysuppliersthatinvestintrainingandlocalserviceshaveabetterchanceforsuccess.

WhataretheconstraintsincompetitivenessthathampermarketentryinthesectorforDutchcompanies?Localcompetition

TherelationofminingandagricultureMiningandagriculturearethetwomainindustriesinPeru.Thesearealmostcontradictoryindustriesthatoftencompeteforwaterresourcesandland,butthereisalsoarelationbetweenthem.TheminingindustryisresponsibleforalargeshareofPeru’scapitalandtraditioninmetalengineering.Theagriculturalsectorislabourintensive,lookingformodernization,andcanprofitfromtheknowledgeandtheinvestmentfrommining.ThismeansthatPeruisverycapableofdesigningandproducingtheirownmetalconstructionssuchasconveyorbelts,sortingtablesandbasicmachinery.ExampleofPeruvianengineeringcompanies:Vulcanotec Machineryforfoodindustry www.vulcanotec.comConveyorSystems Machineryandautomation http://conveyorsystems.com.peABG Metalengineeringcompany www.abg.com.pe

35

Internationalcompetition

TherelationofDutchandPeruvianhorticultureTheDutchexperienceinhorticultureisverydifferentfromthatinPeru.TheDutchclimateiswetandrelativelycold,whilethePeruviancoastisawarmdesertareathatlackswater.IncontrarytoPeru,theDutchhorticultureisahigh-techindustrywithlotsofgreenhousetechnology.Alsothetypeofproductsareverydifferent:ThesuccessofPeruvianfreshproductsisin(tropical)fruit(avocado,grapes,citrus,mango,banana),whiletheDutchhorticultureismuchmoredevelopedinflowersandvegetables(tomato,peppers,lettuce).ThevegetablesectorinPeruisverylocallyoriented,informalandhaslessattentiontotechnology.Moreover,thecommonlyconsumedvarietiesof(forexample)tomatoesandonionsinPeruaredifferentfromthoseconsumedintheNetherlands.CountriesthathavesimilarproductsandchallengesasPeruhaveabetterconnectionwithPeruvianhorticulture.Asaconsequence,businessrelationsarestrongwithcountriessuchasSpain,theUSA,Chile,Israel,BrazilandSouthAfrica.However,accordingtoPeruviancompanies,theNetherlandshaveagoodreputationintheagriculturalsector.Dutchsuppliersareadvisedtoeitherlookforspecificnichesinthesectororpayextraattentiontotheirpromotionandcompetitiveness.Internationalcompetition:Products MainsuppliersGeneticmaterial/youngplants e.g.blueberry,avocado Chile,USASoilpreparation/cultivationmachinery Brazil,China,Italy,MexicoHarvesting/threshingmachinery China,Brazil,USAPost-harvesttechnology Sorting&grading Spain,Israel,Brazil,USAIrrigationtechnology Dripirrigation,sprinkling Israel*,USA,SpainCooling&freezingequipment Compressors,tunnelfreezers USA,Italy,China

*In2013theNationalWaterAuthority(ANA)andIsraelsignedacooperationforthemanagementofwaterresources.

HowdoPeruvianspicktheirsuppliers?§ Establishedconfidence(e.g.existingrelation)§ Localpresenceandservice§ Priceandhowinvestmentcanbefinanced§ Proveofconcept(demonstration)

OverviewcompetitorsCompany Products WebsiteFomesaFruitech Post-harvesttechnology www.fomesafruitech.netSermac Sorting,grading&packing www.sermac.orgCompac Sorting,grading&packing www.compacsort.comMafRoda Sorting,grading&packing http://maf-roda.com/en/Sinclair Labelling www.sinclair-intl.com/Scanico Freezingequipment www.scanico.com/Eurodrip Irrigationtechnology www.eurodrip.gr/eurodrip-peru-s-a-c/Eurosemillas Seeds www.eurosemillas.com/es/

36

Whataretheconstraintsinthebusinessclimatethathampermarketentry?

Easeofdoingbusiness

TheWorldBankGroupclassifiedPeruonthe50thpositiononthe2016DoingBusinessranking.ThisplacesPeruassecondcountryintheregionofChile,ColombiaandEcuador.

Source:WorldBankGroup

Source:WorldBankGroup

Informality

TheinformaleconomyintheagriculturalsectorisbothaconstraintforlocaldevelopmentaswellasforDutchinnovations.OnonesideitpreventsPerufromcreatingacompetitiveplayingfieldanditwithholdsfarmersfrommakingtechnologicalinvestments.Ontheothersideinformalityismostdominantinagriculturalproductsforthelocalmarket,whicharecropsthatfitverywelltheexpertiseofDutchhorticulturists.Thetransitiontohighqualityseeds,precisionhorticultureandgreenhousetechnologyforlocalcropswillbeslowerthanthedevelopmentsinexportcrops.

Chile Peru Colombia Ecuador

Easeofdoingbusiness: 71,49 71,33 70,43 59,07

Startingabusiness: 89,84 85,02 86,13 68,51

Dealingwithconstructionpermits(e.g.warehouse): 78,78 74,69 75,99 71,03

Easeofregisteringproperty: 71,72 76,77 72,85 68,2

Easeofgettingcredit: 50 80 95 45

Strengthofminorityinvestorprotectionindex: 63,33 60 71,67 46,67

Easeofpayingtaxes: 84 81,18 63,32 62,84

Easeoftradingacrossborders: 80,56 71,45 62,83 61,38

Easeofenforcingcontracts: 62,81 60,7 29,66 56,68

Easeofresolvinginsolvency: 54,18 47,57 72,06 28,4

0

20

40

60

80

Chile(rank38)

Peru(rank50)

Colombia(rank54)

Ecuador(rank117)

Easeofdoingbusiness:“ThepositivetrendofregulatoryreformsthathasbenefitedPerusincetheearly2000shasstalledover2013-2014.However,thecountry’sbusinessclimatecontinuestoshowattractivefeaturesincludingrelativelylowtotaltaxrates,opennesstotradeandforeigninvestment,andarelativelystablemacroeconomicenvironment.Ontheotherhand,aspectssubjecttoimprovementremain,liketheweakqualityoftheeducationalsystem,relativelyrigidlabourmarket,andlowcapacityforinnovation.”

Source:Euromonitor

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Theinformaleconomyhasconsequencesfor:

§ Theuseofqualityseeds,pesticides,agriculturalpractices(GAP),certification§ Thelevelofcontrol,organization,knowledge,investment,technology,competition

InformalfruitandvegetablemarketinLaVictoria

Tomoveawayfrominformalityandintroducenewtechnologies,Peruneedstoorganiseandstandardisesupplychains.

Example:PotatoindustryAtypicalexamplewherestandardisationandorganisationarenecessary,isthepotatoindustry.Peru,hometomanypotatovarietiesandtheInternationalPotatoCenter,produced4.5milliontonnesofpotatoesin2015.AtthesametimePeruimportedthreetimesmorepre-friedfrozenpotatobetween2010and2014becauseofrisingdemandbythechickenrestaurants.Peruhasnotmanagedtosupplyforitsowndemandofpotatofries.ItisanopportunityforDutchsuppliersofprocessedpotatoes,however,localoptimisationandinvestmentinprocessingtechnologyremainsabsent.

Peru Europe/Netherlands• Smallfarmers:12,5ton/hayield

• Manypotatovarieties,butonlyfewfitforfries

• Competitionofinformalpotatocutters

• Dutchfamers:40-50ton/hayield

• Efficientuseofwaste(starch)

• Experienceandadditionalservices

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WhatarepotentialleadsforcooperationbetweenDutchandPeruvianpartners?Whatareinterestingproducts?

ThemajorityofPeruvianagribusinessfocusonsimpleandeffectivesolutions.Atthesametimethesectorisgraduallyimprovingitstechnologylevel,whichprovidesopportunitiesforavarietyofproductsandservices.Materials Technology Knowledge Services§ Plastics§ Tubes§ Nets§ Pesticides§ Agrochemicals

§ Nurseries§ Netgreenhouses§ Harvesttechnology§ Weedingmachinery§ Dripirrigationsystems§ Irrigationwells§ Filters&Pumps§ Automatedweighing

systems§ Automatedpacking

systems§ Cooling&pre-cooling§ Usedequipment§ ICT

§ Seedtechnology§ Plantbreeding§ Pestmanagement§ Productionefficiency§ Precisionagriculture§ Irrigationtechnology

§ Logistics§ Certification§ Laboratory

Knowledgeandtraining!

TrainingforfarmersOneofthetopopportunitiesinPeruisknowledgedevelopmentandtraining.Peru’smodernagriculturalsectorisstillemergingfromalonghistoryofinformalandtraditionalfarming.Professionalagriculturalpracticesaremainlydominatedbythelargerprivatecompanies,buttheyalsodealwithashortageofskilledlabour.Knowledgetransferusedtotakeplaceonaverylimitedscalewhenagriculturalinputswereprovidedbythegovernment.NowadaysthePeruviangovernmentpolicyismorefocusedonprivatizinginformationservicesandco-financinginvestments.Publicinvestmentinaknowledgeeconomyinagricultureisverylimited.Initiativestojoinforcesbetweenthepublicandprivatesectoraregraduallyexplored,butstructuralandintegratedcooperationinknowledgedevelopmenthasnotyetbeenrealized.ThetransferofagriculturalknowledgetosmallerfarmsisinthehandsofNGOsandlargecompanies.NGOsfocusonartisanalexportcropsforsmallholders,suchasorganiccoffeeandcocoa,inwhichqualitycontrolinproductionandprocessing(drying)iscrucial.Farmersareveryopentonewlearningexperiences,butmanyofthemarestillnotwellconnectedtoknowledgeprovidersandapplytheirownproductionmethods.Needforknowledge:• Cropprotection(forinsectsorpests)• IntegratedPestManagement(IPM)• Precisionagriculture• GoodAgriculturalPractices(GAP)&traceability• Post-harvestmethods• Plantbreedingtechniques• Managementsystems(ICT)

39

KnowledgetransfertopublicentitiesPublicinvestmentinagriculturalinnovationislimited,butorganisationssuchasINIAandSenasaarereceptivetoforeignknowledgeprovidersandinternationalcooperation.ForexampleSenanarunsane-certificationprojectwiththeDutchNVWA.INIAhasindicatedtobeinterestedtodeveloptheirknowledgeonbioinformatics.Theymanageexperimentalstations(EstaciónExperimentalAgraria)throughoutthecountrytotestnewseedsandprovidethesetogrowersinthearea.Dutchpublicorganisationsandknowledgeinstitutescouldcontributeto:§ Institutionaldevelopment§ Knowledgedevelopment(e.g.bioinformatics)§ Cooperationofgovernmentalorganisations(G2G)§ Cooperationofknowledgeinstitutes(K2K)§ Organizingandtrainingofsmallfarmers(e.g.coffee,cocoafarmers)

INIAInstitutoNacionaldeInnovaciónAgrariaAv.LaMolina1981,LaMolina,LimaApartadoPostal2791Telephone:+511349-2600/240-2100/240-2350E-mail:informes@inia.gob.peWebsite:http://www.inia.gob.pe

CONCYTECConsejoNacionaldeCienciaTecnologiaeInnovaciónTecnológicaCalleGrimaldodelSolar346,Miraflores,LimaTelephone:+511399-0030E-mail:comunicacion@concytec.gob.peWebsite:https://portal.concytec.gob.pe

UniversidadNacionalAgrariaLaMolinaAv.LaMolina,LaMolina,LimaTelephone:+511614-7800Website:http://www.lamolina.edu.pe

SENASAAv.LaMolina1915,LaMolina,LimaTelephone:+511313-3300E-mail:senasacontigo@senasa.gob.peWebsite:http://www.senasa.gob.pe

Potentialcooperationpartners:§ NAKtuinbouw§ NVWA§ WUR§ Agriterra§ Traininginstitutes§ Consultants§ NGOsSeedsandplantbreeding

PlantbreedingandseedtechnologyinPeruaregenerallyoldfashioned.Smallfarmersthatproduceforthelocalmarketoftenuseinexpensiveseedsorusetheirownseeds,withtheconsequenceofalowproductionandincreasedriskofplantdisease.Theemergenceofhigh-endsupermarketswillgeneratemoreconscienceamonggrowersandprovidealocalmarketforhighqualityfruitandvegetables.TheexperimentalstationsofINIAtestandreproduceseedsondifferentlocations.Eachlocationhasitsownproductfocusandprovideworkshopsforgrowers.AccordingtoDonoso,theexperimentalstationinHuaral,mostseedsarestillbeingimportedsuchasonion,carrotandwatermelon.At

40

DonosotheyreceiveseedsfromJapan,thankstoalong-lastingcooperation.Theyalsoshowedspecificinterestinseedtapeandseedgrowinglicences.

INIADonoso,Huaral

INIADonoso,HuaralPeruisalsoagoodproductioncountryforseeds.Despiteofnothavinganinternationallyrecognizedcertificationbody,Perubelongstothetop20exportersofvegetableseedsandiswithinthetop10offruitseedsandspores.Forexample,theNetherlandsisthemainimporteroftomatoseedsfromPeru.Professionalcompanieswithexportableproductsimportyoungplantsorsometimeshavetheirownplantbreedingnurseries.

41

Opportunities:§ SeedbreedingandproductioninPeru§ Plantnurseryequipment

Peruviancompanieswithseedandplantbreedingequipment:AgroGenesis Seedsandyoungplants www.agrogenesis.comAgritecPeru Plantbreedingmaterial www.agritecperu.comAGP Seeds www.agpsac.comNovaSeeds Seeds http://novaseeds.comLitec Plantbreedingmaterial www.litecperu.comSemiagro Seeds www.semiagro.com.peFarmex Seedsandbreedingmaterial http://farmex.com.peMaruplast Horticulturalequipment www.maruplast.com

Agrochemicals

Peruisasignificantuserofagrochemicals,especiallyinthecoastalarea.Thecoasthasaclimatethatismoresensitiveforpests,butisalsocharacterizedbylargercompanieswithgreaterfinancialresources.AgrochemicalsareconsideredtobeveryexpensiveinPeru.ThismarketisdominatedbyafewlargecompaniessuchasBayer,BASF,DowChemicalandSyngenta.Thenewlawthatpermitsdirectimportofagrochemicalsbyfarmerscreatesanopportunityfornewcompetitors.Thehighpricesofagrochemicalsandthestrictregulationinexportmarketsalsoprovidepossibilitiesforalternativecropscience.

Opportunities:§ Innovativesolutionsfortypicalproblemssuchasnematodes.§ Organiccropscience

Irrigationtechnology

Governmentprogrammesandinvestmentsininfrastructurefacilitatetheaccessofwaterresources.Availabilityofwatercanbeproblematic,especiallyinthesouth.Largecompaniesdonotwanttodependonthenationalwaterauthorityandsometimeshavetheirownwatersupplyfacility.Irrigationtechniquesarebecomingmoreadvanced.Thehighvaluecrops(citrus,berries,grapes)areverysuitableformoreprecisetechnologiessuchasdripirrigation.Inthefutureprecisionhorticultureisexpectedtogrow,providinginthelongtermopportunitiesforhydroponicsandgreenhouses.Opportunities:§ Waterreservoirs,sprinklers,dripirrigationsystems,waterpumps,filters,desalination

equipment§ Introducingprecisionhorticulture

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Importingcompaniesofirrigationtechnology:NaandanJainPeru Internationalcompany http://naandanjain.peSistemasdeRiegoIngenieros Irrigationsystems www.sistemasderiego.peRaesaPeru Sprinklingsystems www.raesa.comGuilboa Highfrequencyirrigation www.guilboa.comOlivosCorande Irrigationsupplies www.olivoscorande.peOrbesAgrícola Irrigation&othersupplies www.orbesagricolasac.comItagrif Irrigationsupplies http://itagrif.com

Precisionhorticulture

Precisionhorticulturewillbecomemoreimportantinthefuture.Theadoptionofhightechgreenhousesisstillfaraway,butproducersarekeenonprecisionhorticulturetechniquesbecauseofthemainissuesoflowwaterresources,labourcosts,soilmanagementandexpensiveagrochemicals.Solutionshavetobefeasibleforthelargescalehorticulture.Therecentapplicationofdronesinagricultureisanexampleofapotentialsolutionforlargefarmers.

Representativesofdrones:Skyvant http://skyvant.pe

DronesPeru http://dronesperu.com

Aerovision www.aerovision.pe

UAVdelPeru www.uavdelperu.com

Opportunities:§ Innovativesolutionscosteffectiveprecisiontechnologyforlargescalehorticulture

Post-harvestandpackinghouses

Automation:Faster&morepreciseFruitpackinghousesarelookingtotuneuptheirprocesses.Thegeneralfeelingisthatcontinuousimprovementisnecessarytoremaincompetitive.Becausemostfruitisbeingexported,manyofthepackinghousesadapttheirfacilitytointernationalstandardsandacquirefoodsafetycertificationsuchasBRC.Technicalimprovementsaremadewhenrequiredbytheirinternationalbuyersorwhentheyhaveadirectimpactoncosts.Theefficiencyandavailabilityoflabourisoftenonethemainissues:§ Reliablehumanresourcesarescarce§ Rotationrequiresextrainvestmentintraining§ Labourcostsareincreasing(onofficialpayroll)§ ManuallabourismoredifficulttomanageandlesspreciseForsomeproductssuchasasparagusandgrapes,thereishesitanceofusingautomationduetothecomplexityordelicatecharacteristics.IncreasingefficiencyNotonlytheefficiencyinprocessingitselfisimportant,butalsotheefficiencythroughouttheyear.InnorthernpartsofPeru,packinghousesformangosometimesonlyoperateonlyafewmonthsperyear.ButalsofacilitiesinforexampleHuaralarelookingforalternativestooperatetheirpackingcapacitymoreefficientlythroughouttheyear.Thisprovidesopportunitiesforfruitsourcingcompaniesandgrowerstoexperimentwithotherfreshproductsthantheregularavocadosandmandarins.

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Specificopportunitiesinautomation,qualityandefficiencyinpost-harvestinclude:§ automatedmulti-weighingsystems(e.g.forgrapesinclamshellpackaging)§ automatedpackingsystem(e.g.formandarins)§ settingupproductionprojectswithalternativeorcounterseasonalproductsfor

processing/packing§ performingresearchinpost-harvest(e.g.temperatureanddry-matterofavocados)

ExamplesofpackinghousesinHuaral:Agrihusa www.agrihusa.com.peTorreBlanca www.torre-blanca.netT&TFruit NowebsiteVerdeFlor www.verdeflorperu.comCampoVerde www.grupocampoverde.com.pe

Generalsuppliersofagriculturalandpost-harvestequipmentOrbesAgrícola Irrigation&othersupplies www.orbesagricolasac.comFerreyros Agriculturalequipment www.ferreyros.com.peAgroImex Agricultural&post-harvest www.agroimex.com.peCorporaciónJassi Post-harvestgrains www.corporacionjassi.comVidagro Sprayers www.vidagro.comMaquiPeru Tractors&machinery www.maquiperu.com

Coldchain&logistics

Thepost-harvestandlogisticscanhaveagreatinfluenceonthequalityofthefreshproducts.Mostoftheagriculturalcompanieshavereasonablecontrolovertheproductionandpackingoperations.Logisticsontheotherhandisalmostalwaysoutsourcedandanumberofexternalfactorsstartplayingarole:§ Coldstorageattheharbourisexpensiveandinefficiencyatthecustomsofficeleadstoextra

costs.§ Infrastructureofroadsandportsisunderdeveloped.§ Logisticalcompaniesarenotefficientandlacktransparencyandreliableplanning.Opportunities:§ Investmentopportunityininfrastructuralprojects(public-privatepartnership,port

development).§ Needforlogisticalinformationsystems(ICT),bettermonitoringandimprovedservices.§ Availabilityofcoldstorageatpackinghousesissufficient,butwillincreasetogetherwith

production.CompaniesactiveincoldtechnologyFriopacking Coolinginfrastructureandprocessing www.friopacking.com

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Opportunitiesinfoodprocessing

LookingfordifferentiationMoreandmoreoftencompaniesarelookingtodifferentiatethemselvesbyaddingvaluetotheirproducts.Somerealizethisbyintegratingtheirsupplychainfromfarmingtopacking,whileotherslookforpossibilitiesofprocessingfruitorvegetables.Preservationtechniquesarecommonpractices.Forexample,thePeruvianexportoffrozenfruitincreased5timesinthepastdecade,reaching56,000tonnes(mostlymango).FindingusesfordiscardedproductsEveryharvesthasaquantityoffruitandvegetablesthatisnotfitforexport.Toavoidthatthesefruitandvegetablesaresoldforanextremelowpriceonthenationalmarket,companieslookforalternativepossibilities.Basicprocessingcanbeaninterestingoption,suchasjuices,concentrates,pulpanddriedfruit.Opportunitiesinprocessingtechnologies:§ IndividualQuickFreezing(IQF)(forexamplefrozenmango)§ Juicers,pulpmachines,fruitconcentrateequipment(forexample:avocadopulp,orangejuice,

pomegranatesyrup)Importanttomentionisthatfreezingtechnologyisnotlimitedtothehorticulturalsector.ThefisheryindustryisalsoaveryimportantindustryforPeru’sexportthatrequirespreservationtechniques.Freshcompaniesthatinvestedinfoodprocessing:Icatom Freshproducts,tomatopasta,frozen

asparagus,plantnurserywww.icatom.com

Danper Freshproducts,sauses,Readymademeals www.danper.comSociedadAgrícolaViru Fresh,preserved,frozenproducts,sauses www.viru.com.peAgroworld Fresh,frozen,concentrates&sauses www.agroworld.com.pe

Diversifyingagribusinesses

DiversificationisacommonpracticeofmanyPeruvianagribusinessesandentrepreneursmaintainaveryflexibleattitudewhenitcomestonewventures.Example:PampaBajaPampaBaja,acompanythatstartedwiththeproductionofbellpeppersin1998,continuedwithforageandcattle,thendiversifiedwithgrapes,avocados,sweetonion,mandarinsandpomegranates.Andnowadaystheyareimplementingaprocessingfacilityfordairyproducts,amarketthatsofarhasbeendominatedbythetwocompaniesGloriaandLaive.Thesetypesofcompanies,withahighskillofadaptability,easilyswitchtoopportunitiesinrelatedindustries.Relatedindustriescanbefishery,poultry,dairy,flowers,food,feedetc.KnowingtherightentrepreneursinPerucanleadtoadirectopportunityandincreasethechanceofrealizinganinnovativeproject.

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ANNEXI:FactsheetAsparagus

Peruisthenumber1exporterofasparagusintheworld(2015).Theproductionhasdeclinedinrecentyears:

§ Asparagusareeitherprocessed(conserved)orfreshlypackedforexport§ Manyofthefieldshavereachedtheirmaximumlifespan§ Duetowatershortage,producersinIcachangetootherhighvaluecrops(blueberries)§ Fieldsmoveupnorth,eventhoughfieldsarelongerproductiveandhavehigheryieldsinthesouth

Varieties Greenasparagus,whiteasparagusSeason YearroundLocation Ica,LaLibertad,LimaAssociation IPEH-http://www.ipeh.org.peOtherinformation http://asparagus.pe/estadisticas.html

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

Company ExportintonnestotheNetherlands(2014)

Volumeintonnes(2012)

Camposol 1,931 23,641DanperTrujillo 1,436 18,418ComplejoAgroindustrialBETA 1,550 16,476SociedadAgrícolaViru 11,511TAL 904 6,976Drokosa 689 116,863Agualima 721 AgrícolaLaVenta 650 AgroParacas 423 Proagro 242 EmpresaAgroExportICA 356

Source:Inform@cción

0

100

200

300

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500

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Production

110

115

120

125

130

135

2011 2012 2013 2014 2015

Export(fresh)

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ANNEXII:FactsheetAvocado

Peruisthe2ndlargestexporterofavocadosintheworld(2015).ThemainexportedvarietyistheHassavocado.

§ ChallengeinProduction:fliesinsomeproductionareas.§ Challengeinpost-harvest:greypulp,decay,blackspots.§ Challengeinlogistics:Definingbestconditionsforcontrolledatmosphere(ratioO2/CO2inrelationtoseasonanddry

matter).§ DrymatterrequirementsinPeru(21.5%)arelowerthanothercountries(Chile,NewZealand).§ Opportunity:NewmarketssuchasChinaandJapanopenup.

Varieties Hass(onlyexport)–approx.26,000hectaresFuerte–approx.18,000hectares

Season January–March(Fuerte),March–June(Hass)Location Arequipa,Lima,Ica,LaLibertad,Ancash,PiuraYield Yield:8-9ton/hato10-15ton/ha(commercialproduction)Association ProHass-http://www.prohass.com.pe/

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

Company ExportintonnestotheNetherlands(2014)

Volumeintonnes(2012)

ConsorciodeProductoresdeFruta 6,213 12,418 Camposol 3,544 11,419 Drokasa 6,759 9,451 AgroindustriasSolcace 6,016 AvoPeru 3,601 AgrícolaCerroPrieto 4,965 AgropecuarialasLomasdeChilca 2,993 AgroindustriasVerdeflor 2,683 CorporaciónFrutícoladeChincha 2,749 EurofreshPeru 1,918 AgrícolaCampoverde 1,328 Dominus 1,219 Othercompanies:Agrofrutero,AgrícolaDonRicardo,HassPeruSA,ColcaAgroindustriaPeruanadeExportación,SociedadAgrariaEstanislaodelChimu,AsicaNatural,ProcesadoraLaran,AgrícolaChapi,AgricolaAyacucho,FairtrasaPeru,AgrícolaPampaBaja,FundolosPaltos

Source:Inform@cción,Equifax

050100150200250300350

2002

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2011

2012

2013

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200

2011 2012 2013 2014 2015

Export

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ANNEXIII:FactsheetBananas

Peruexportsalargeamountoforganicallyproducedbananas.Itholdsthe10thplaceintermsofglobalsupply(2015).

varieties organicCavendishValerybananasSeason YearroundLocation MainlyPiura

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

Companies ExporttotheNetherlandsintonnes(2014)

AsociacióndePequeñosProductoresdeBananoOrgánicodeSAM 12866AsociacióndePequeñosProductoresOrgánicosdeQuerecotillo 8528AsociaciónComunaldeProductoresdeBAN 7778AsociacióndeProductoresdeBananoOrgánicoSectorelMonte 5483AsociacióndeProductoresdeBananoOrgánicoValledelChira 4917BiorganikaSAC 4330FairtrasaPerúSA 4003AsociacióndeBananerosOrgánicosdeSalitralSUL 3499PronaturEIRL 3154Asoc.UnióndeBananerosOrganicosInmaculadaConcepcióndeH. 3093Others:CentralPiuranadeAsociacionesdePequeñosProductoresdeBAsociacióndeMicroProductoresdeBananoOrganicodelAlto

Source:Equifax

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300

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Export

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ANNEXIV:FactsheetBlueberries

BlueberriesisahighvaluecropthathasrecentlystartedinPeru.In2015theybecamethe9thlargestexporter.

§ Theinvestmentinblueberryplantationsishigh,estimatedat45to55,000USDperhectare.§ Theproductionofblueberriesisexpectedtogrowfromlessthan5,000tonnesin2015to30,000tonnesin2018.§ AccordingtoSierraExportadorain2015therewasalreadyanacreageof2,500hectaresandexportvaluereached70

millionUSD.

Varieties Biloxi,gongapaandpushaySeason Yearround/counterseasonalAugust-MayLocation Lima,LaLibertad,AncashandothersAssociation ProArándanosInformation Agronegocios

RedAgrícola

Source:www.redagricola.com

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ANNEXV:FactsheetCocoa

Peruisthe8thexporterofcocoaintheworld(2015),andthe2ndlargestexporterinorganiccocoa.Cocoaisatypicalexportproduct;90%isexported.

§ Perupossesses60%oftheworldwidevarietiesofcocoa.§ AccordingtoSierraExportadorathereare90thousandfamiliesincocoabusinesswithaproductionof77thousand

tonnes(136thousandhectares).§ Productionchainsofcocoaandcoffeereceivearelativelargeamountofpublicinvestmentsupport,mainlydistributed

throughlocalgovernments.

varieties ChunchoCusco,BlancoPiura,CriollodeMontañaSeason YearroundLocation 300–900metersabovesealevelin10regions

Mainproductionregions:Cusco,SanMartín,Amazonas,Piura,AyacuchoyJunínAssociation CámaradeComerciodelCaféyCacao-www.camcafeperu.com.pe

AsociacióndeProductoresPeruanosdeCacao-http://appcacao.org/CentralCaféyCacao-www.centralcafeycacao.org

Other InternationalCocoaOrganization(ICCO)

Source: Faostat in 1,000 tonnes Source: ITC Trademap in 1,000 tonnes

Companies ExportinmillionPeruvianSoles(2014)MachuPicchuFoods CacaodelPerúNorteSAC(UnitedCacao) NaranjilloLtda 25,935EcoandinoSAC 9,112SumaqaoSAC 7,853AsociaciónCacaoVREA 7,580AmazonasTradingSAC 6,403

Source:SierraExportadora,amongothers

01020304050607080

Production

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60

70

2011 2012 2013 2014 2015

Export

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ANNEXVI:FactsheetCitrus

Peruproducesavariouscitrusfruitsuchasmandarins,orangesandTangelos.Ofthetotalexportvolumein2015of117thousandtonnesofcitrus,102thousandtonnesaremandarinsandtangelos.Withthisvolume,Peruisthe7thlargestexporterofmandarinsworldwide(2015).

Type Mandarins Orange TangeloProduction 313,797tonnes 438,560tonnes 88,473tonnesSeason Feb–Sept Sept-Nov Jun-SeptVarieties Clementina

SatsumaNovaOkitsuOwari

NavelValencia

Minneola

Location Centralcoast:LaLibertad,Ancash,Lima,IcaAssociation ProCitrus-http://www.procitrus.org

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

Companies Volumeintonnes(2012)ConsorciodeProductoresdeFruta 26,402ProcesadoraLaran 20,617Coexa 5,965InversionesMarzala 5,520EmpacadorayProcesadoraHuamani 5,240

Source:Inform@ccion

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800

1000

1200

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ANNEXVII:FactsheetCoffee

AccordingtotheJuntaNacionaldeCafé(JCN)therearearound150,000coffeesmallholdersinPeru.Coffeefarmersdistinguishesthemselvesthroughhand-pickedandalargeshareoforganicqualitycoffee.Peruisthe9thlargestexporterofcoffeeintheworld(2015).Inorganicproductiontheyarenumber6.

§ AccordingtoSierraExportadorathereare160thousandfamiliesincocoabusinesswithaproductionofnearly300thousandtonnes,ofwhich69thousandtonnesorganic.

§ Thereare11regionsand32microclimateswherecoffeeisproduced.§ TheJuntaNacionaldeCafécounts75coffeeexportcompaniesinPeru,ofwhich20dominate90%ofthetotalexport

volume.§ Recentproductionandexporthavedecreasedduetoanoutbreakofrustdiseasein2014.§ Productionchainsofcocoaandcoffeereceivearelativelargeamountofpublicinvestmentsupport,mainlydistributed

throughlocalgovernments.

Varieties Arabica(Typica,Bourbón,Pache,Caturra,Catimor)Season March-SeptemberLocation 1000–1800metersabovesealevelin11regions

Mainregions:Junin,SanMartin,CajamarcaAssociation CámaradeComerciodelCaféyCacao-www.camcafeperu.com.pe

CentralCaféyCacao-www.centralcafeycacao.orgJuntaNacionaldeCafé-http://juntadelcafe.org.pe

InternationalCocoaOrganization(ICCO)

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

Companies Volumeintonnes(2012) ExportJan-May2015intonnesPeralesHuancaruna 70,694 3672LouisDrefusCommoditiesPeru 1198ProcesadoradelSur 1113Pronatur 939OutspanPeru 16,265 854H.V.C.Exportaciones 765ExportImportCandres 483CafetaleraAmazónica 14,490 449Comercio&Cia 29,300 432CooperativedeServiciosMultiplesCenfrocafePeru 408CooperativedeServiciosMultiplesSol&Café 396CoffeeGreen 391ImportacionesyExportacionesAgritum 268CompañíaInternacionaldelCafé(COINCA) 20,963 258 Inform@ccion CamCaféPerú

Source:CámaradeComerciodelCaféyCacao,Inform@ccion

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400

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ANNEXVIII:FactsheetGrapeIn2015Perubecamethe5thexporterofgrapesworldwide.IthasbeenoneofthefastestgrowingcropsinPeru.§ Thetrendininternationalmarketsisseedlessgrapes.TheincreasedproductionofRedGlobegrapes(withseeds)

surpassedthedemandofPeru’sexportmarketsandhaveputsomecompaniesinfinancialdifficulties.§ ChinahasbecomearelativelyimportantmarketforRedGlobegrapes.Varieties § RedGlobe

§ FlameSeedless§ ThompsonSeedless§ SugraoneSeedless§ CrimsonSeedless§ Others(e.g.AutumnRoyal)

Season October–MarchLocation 2015:Ica(9020ha),Piura(6000ha),LaLibertad(1800ha),Lambayeque(1500ha)Association ProvidPeru-http://www.providperu.org

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

Company Volumeintonnes(2011-2012) Marketshare2014ELPEDREGALS.A. 16,457 10%SOCIEDADAGRICOLARAPEL 7%COMPLEJOAGROINDUSTRIALBETAS.A. 13,811 5%AGRICOLADONRICARDOS.A.C. 5%SOCIEDADAGRICOLADROKASAS.A. 5%ECOSACAGRICOLAS.A.C. 8,164 4%CAMPOSOLS.A. 7,363 4%SOCIEDADAGRICOLASATURNOSA 4%AGROVICTORIAS.A.C. 3%ECO–AQUICOLAS.A.C. 8,164 inform@cción SunatOthers:EmpresaAgrícolaSanJuan,EcosacAgrícola,SociedadAgrícolaSaturno,AgrícolaPampaBaja,Gandules,AgrícolaJoséJuan,SociedadAgrícolaRapel,AgrícolaChapi,Fruitxchange,CorporaciónFrutícoladeChincha,AgrícolaAndrea,AgroindustriasJoseLuis,ComplejoAgroindustrialBETA,AgrícolaSanJosé,AgroexportacionesManuelita

Sources:SUNATinProduceReport,Inform@cción

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Export

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ANNEXIX:FactsheetMango

Asa5thlargestexporterofmangoes,Peruhastakenastrongpositionintheworldwidemangotrade.

§ Besidesfreshmango,Perualsoprocessesmangoes(dried,frozen,pulp)forthenationalandinternationalmarkets.

Varieties Kent,TommyAtkins,Haden,EdwardSeason December–MarchLocation Mainlynorth(Piura)Association Apem-http://www.peruvianmango.org

ProMango-http://www.promango.org

Source:Faostatin1,000tonnes Source:ITCTrademapin1,000tonnes

ExportintonnestotheNetherlands(2014)

Volumeintonnes(2011-2012)

Dominus 6,763 7,059FrutierrezLatinPerishablesPeru 4,829 Camposol 3,365 7,444SunshineExport 2,130 9,460FrutosOrganicosdelPeru 1,578 TropicalFruitTradingPERU 2,837 FundoLosPaltos 1,618 6,929Logifru 2,061 PeruFruitTropical 1,507 JumarPeru 1,176 FrutasPiuranas 3,677Others:EcoNatural,Pronatur

Sources:Equifax,Inform@cción

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2011 2012 2013 2014 2015

Export

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ANNEXX:SWOTAnalysis

StrengthsDutchsectorinPeru§ Highleveloftechnologicaldevelopmentandknowledgeinhorticulture.§ Well-organizedknowledgecentres,institutionsandbranchorganizations.§ GenerallytheNetherlandshasagoodreputationasanadvancedagriculturalcountry.§ Experiencedinseedandplantbreeding,whichcanbefurtherdevelopedinPeru.§ TheNetherlandsisamajortradehubforPeruvianfreshfruitandvegetables(integratedinthesupplychain).

WeaknessesofDutchsectorinPeru§ TheDutchexperienceinhorticulturedoesnotmatchfullywithPeruvianproducts.§ ThereislimitedknowledgeofspecificDutchtechnologiesinPeru.§ LackofDutchpromotionandproductdemonstrationinPeru.§ TheDutchsectorismoretradeorientedandlessinvestment-oriented,whilemostopportunitiesinPerudependon

investors.

OpportunitiesforDutchcompaniesinPeruPeruwillcontinuetobeaninterestingsupplierforDutchimporters§ Favourableclimate,climatezonesandcounter-seasonalproduction§ NaturalgreenhouseeffectPeruvianhorticultureisafast-growingsectorandwillneed‘moreofeverything’§ Successfulexportgrowthofhighvaluecrops§ NewFreeTradeAgreements§ StrongfocusonexportpromotionOpenattitudetowardsalternativeproductionmethods§ EUrequirementshaveapositiveinfluenceonimprovingqualitystandards§ CleanerproductionwillstimulateprecisionagricultureandtheuseofalternativeagrochemicalsPotentialforprecisionagricultureandirrigationtechnology§ Producersneedtoadvanceinefficiencytoremaincompetitive§ AgriculturalexportsarestronglylinkedtogoodwaterinfrastructureandmanagementInterestinimprovingseedandplantbreedingtechnology§ InstitutesinPeruareinterestedincooperationandincreasingknowledgeinbiogenetics§ LargerprivatecompaniesinsourceplantbreedingandsetuptheirownnurseriesNeedforknowledgeandtraining§ Strengtheningofthesectorthroughtradeguildsandproducersassociations§ Diversification:Newcropsforexportarebeingdeveloped§ Agriculturalpracticesareimprovingandquality/safetyprogrammesareimplementedDevelopmentofnationalmarketwillincreasetechnologicalinvestmentinlocalproducts§ Thesupermarketsegmentisgrowing,includinghighendshopsthatwilldemandhighqualityfruitandvegetables.§ Modernretailershelpdecreaseinformalityinthesector.§ Manysmallandmedium-largefarmersareeagerfornewknowledge.Extendingandupdatinginfrastructureguaranteefuturegrowthofthesectorandnewneedsinservices§ Stronginvestmentsininfrastructure(e.g.irrigationprojects,ports,roads)§ Exportersarelookingforcost-efficientlogisticalsolutionsandservices

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Supportforinvestmentprojectsanddevelopmentprojects§ SupportprogrammesandfundsforSME’sinPeru§ AttractivepropositiontoforeigninvestorsDecentralisationgiveswaytobroaderregionaldevelopment§ Moreregionalopportunitiesthroughdecentralization§ Increasingacreageforproductionoffruitandvegetablesinvariousregions(Olmos,Majes,Chavimochic)§ Improvedinfrastructureofportsinotherprovinceswillhelpotherproductionregionstodevelop.Technologicaladvancementsinpost-harvestandpacking§ Establishmentofmodernandprofessionalagriculturalcompanieswithinvestingpower§ AwarenessofthenecessityofautomationandmovingtowardsmoreadvancedpackingandprocessingIncreasinginterestinprocessingandaddedvaluetechnologies§ Companiestrytodistinguishthemselvesfromotherproducingcompanies

ThreatsforDutchcompaniesinPeruSocial§ Highlevelofinformality§ Lackoftrainingandknowledge§ Fragmentedlandownership§ Lackoforganisationandassociativity§ Markedsocialeconomicinequalityinruralareas.§ SocialconflictsoverlandrightsandwaterStrategical&Practical§ Choicesinproductionstrategyarehypesensitive§ Insufficientqualityofservices§ Highlogisticalcosts§ Limitedavailabilityof(skilled)labourEnvironment§ Scarcityofwater§ Soildegradation,salinization,erosion,deforestationandenvironmentalpollution.§ Inadequatemanagementandefficientuseofwater.§ Adversenaturalphenomena(ElNiño,climatechange)Technological§ Limitedprogressinresearch,innovationandtechnologytransfer.Financial§ Limitedaccesstofinancing§ Highinterestratesforcredit

56

ANNEXXI:Interviewsandcontributors

AgrícolaPampaBaja Mr.NadimSamanAgrihusac Mr.BrunoCaribaldiVásquezAgrihusac Mr.LuisGaribaldiVásquezAgrobanco Mr.WaltherHernánReáteguiVelaAsparragusdelPerú|SwissCapitals Mr.PierreGiannoniControlUnion Mr.YemilZarzarKourniatisControlUnion Mr.RickRuttenCorinor Mrs.LauraSanchezPierolaFarm2Market Mr.PabloRamirezFCEExport Ms.DianaSajamiTavoraFCEExport Mr.DenisSajamiTavoraFruitConsultancyEurope Mr.PietSchotelFundoelMilagro|FreshFarming Mr.ManuelM.ChávezAndíaFundoSacramento Mr.RodolfoPachecoM.FundoSacramento Mr.JoseGustavoPachecoEspejoIndependentconsultant Mr.ManuelYzagaIndependentconsultant Mr.ClaudioMenesesInstitutoNacionaldeInnovaciónAgraria(INIA) Mr.AlbertoDanteMaurerFossaInstitutoNacionaldeInnovaciónAgraria(INIA) Mr.BenjaminQuijandríaInstitutoNacionaldeInnovaciónAgraria(INIA) Mr.LuisdeStefanoBeltránInversionesMarzala Mr.AldoCombinaRattoInversionesMarzala Mr.AlvaroCombinaCrestoInversionesMarzala Mr.JoséCasapíaNuéMinisteriodeAgriculturayRiego Mr.MarioR.TaveraTerronesMinisteriodeAgriculturayRiego Mr.JorgeAugustoAmayaCastilloNatper Mrs.AndreaNavarreteNatper Mrs.JohannaVargasDutchembassy Mr.GerwinWoudtProHass Mr.VictorEscobedoProInversión Mrs.LisbethLojaArroyoProInversión Mr.LuisF.PitaChávezPromPerú Mr.IvánSerpaCárdenasPromPerú Mr.WilliamAlbertoArteagaDonayreRVRAgro Ms.RosieVillacortaRathSangBarrents&Company(SBC) Mr.EduardoTalaveraLarenasSenasa Mr.OrlandoDoloresSalasUniversidadNacionalAgrariaLaMolina Mr.AlfredoRodríguezDelfínUniversidadNacionalAgrariaLaMolina Mrs.SaraySiura

57

ANNEXXII:Informationsourcesandactivities

Portalsandnewsmedia

Organisation Description website

RedAgrícola Internationalwebsitewithreportsandnews www.redagricola.com

PortalFrutícola Internationalinformationportal www.portalfruticola.com

AgenciaAgrariadeNoticias

AgriculturalnewssiteofPeru www.agraria.pe

GrupoAgronegocios Peruwebsitewithnewsonagribusiness www.agronegocios.pe

Inform@cción Portalwithstatisticalandsectorinformation www.informaccion.com

Sectororganisations

Organisation Description website

AGAP AssociationofagriculturalproducerguildsinPeru http://www.agapperu.org

§ ProHass ProducerassociationofHassavocados http://www.prohass.com.pe

§ ProCitrus Producerassociationofcitrus http://www.procitrus.org

§ Provid Producerassociationoftablegrapes http://www.providperu.org

§ IPEH Peruvianinstituteofasparagusandvegetables http://www.ipeh.org.pe

§ Apem Producerandexporterassociationofmango http://www.peruvianmango.org

§ ProArandanos Producerassociationofblueberries

§ ProGranada Producerassociationofpomegranates

ProMango Producerassociationofmango http://www.promango.org

CAC Peruvianchamberofcoffeeandcocoa http://www.camcafeperu.com.pe

CentralCafé&Cacao Association‘LaCentral’coffeeandcocoa http://www.centralcafeycacao.org

JNC Nationalboardforcoffee http://juntadelcafe.org.pe

APPCACAO AssociationofPeruviancocoaproducers http://appcacao.org

Activitiesandtradefairs

Organisation Description website

ExpoAlimentaria

Mainplatformforinternationalbusinessinthefoodsector,beverages,machinery,equipment,supplies,packaging,services,restaurantsandgastronomy.

www.expoalimentariaperu.com

Tecnoagro Internationaltechnologyfairforagriculture,agroindustryandagri-export.

www.tecnoagroperu.com.pe

AgritechPeru TheAgritechIsraelExhibition,heldonceeverythreeyears,isaninternationaleventtoshowcaseagriculturetechnologiesfromaroundtheworld.

http://agritechperu.com

Symposia

SIMPOSIOINTERNACIONALDELAUVADEMESASIMPOSIOINTERNACIONALDELAPALTASIMPOSIOINTERNACIONALDECITRICULTURASIMPOSIOINTERNACIONALDELESPÁRRAGO

www.siuva.pehttp://sipa.pe/http://citrica.pehttp://asparagus.pe

58

ANNEXXIII:RelevantorganisationsinPeru-----AAAP:AsociacióndeAgentesdeAduanasdelPerú.ADEX:AsociacióndeExportadoresdelPerú.AGROBANCO:BancoAgropecuario.APACIT:AsociacióndeTransporteyLogística.APAM:AsociaciónPeruanadeAgentesMarítimos.APN:AutoridadPortuariaNacional.ASMARPE:AsociaciónMarítimadelPerú.ASPPOR:AsociaciónPeruanadeOperadoresPortuarios.BCRP:BancoCentraldeReservadelPerú.CCL:CámaradeComerciodeLima.COMEX:SociedaddeComercioExteriordelPerú.CONCYTEC:ConsejoNacionaldeCienciaTecnologíaeInnovaciónTecnológicaDIGESA:DirecciónGeneraldeSaludAmbiental.DGFFS:DirecciónGeneralForestalydeFaunaSilvestre.ENAPU:EmpresaNacionaldePuertos.INEI:InstitutoNacionaldeEstadísticaeInformática.INIA:InstitutoNacionaldeInnovaciónAgraria.MEF:MinisteriodeEconomíayFinanzas.MINCETUR:MinisteriodeComercioExterioryTurismo.MINAGRI:MinisteriodeAgriculturayRiego.MTC:MinisteriodeTransporteyComunicaciones.PRODUCE:MinisteriodelaProducción.PROINVERSION:AgenciadePromocióndelaInversiónPrivada.PROMPERU:ComisióndePromocióndelPerúparalaExportaciónyelTurismo.SENASA:ServicioNacionaldeSanidadAgraria.SNI:SociedadNacionaldeIndustrias.SUNAT:SuperintendenciaNacionaldeAduanasydeAdministraciónTributaria.UNALM:UniversidadNacionalAgrariaLaMolina.

59

ANNEXXIV:Sourcesandliterature

Analysis

GRADE-AgriculturaPeruana:NuevasMiradasdesdeelCensoAgropecuario,septiembre2015

GregoryJ.Scott-CompetitividadAgrícolayEldesarrollodeCadenasyClusteresdeValorenelPerú,febrero2011

ICONInstitute-AsistenciaTécnicaparalosPlanesOperativos(POS),SectorAgriculturayAgroindustria,septiembre2009

Libélula-DiagnósticodelaAgriculturaenelPerú–InformeFinal,julio2011

MinisteriodeAgriculturayRiego;INEI-IVCensoNacionalAgropecuario2012:ResultadosDefinitivos

MinisteriodelAmbiente/UniversidaddelPacífico-Perú–LaEvaluacióndeNecesidadesTechnológicasanteelCambioClimático;InformeFinalsobreTecnologíasenAdaptación,Noviembre2012

ProChile -PMP–EstudiodeMercadoMaquinariaAgrícolaenPerú,Agosto2013

RedAgrícola-LaRemolachahaciasuMáximoPotencial,enAguayRiego,sep/oct2014

USDAForeignAgriculturalService-AgriculturalCreditinPeru,October2015

WorldBank-EconomyProfile2016:Peru,inDoingBusiness2016

Sectorinformation

AGAP-Peru:ModernAgriculture,presentationbyAnaMariaDeustua

Agro&Exportación-RevistaInstitucionaldelaAsociacióndeGremiosProductoresAgrariosdelPerú,no.29

APEM-Perú:ReporteFinaldeExportacióndeMangoFrescoCampaña20132014,Informango,mayo2013

FAO-Agro-industriescharacterizationandappraisal:AsparagusinPeru,2007

LEI|WageningenUR-Plantreproductionmaterials:ADutchmotorforexportandinnovation,February2012

Lic.SegundoAugustínVergaraCobián-CaféPeruano:AromaySaborparaNosotrosyelMundo;ReportedeInteligenciadeMercados,abril2012

SierraExportadora-DirectoriodeBerries;CadenaProductivaenelPerú,2014

USDA-Peru:AnEmergingExporterofFruitsandVegetables,December2010

Statistics

CamaraPeruanadelCaféyCacao-EstadisticadeExportacióndeCafé–porexportadoramayodel2015

MinisteriodeAgriculturayRiego-BoletínEstadísticodeComercioExteriorAgrario,enero2016

MinisteriodeAgriculturayRiego-BoletínEstadísticodeComercioExteriorAgrario,febrero2016

MinisteriodeAgriculturayRiego-BoletínEstadísticodeMediosdeProducciónAgropecuarios,febrero2016

Faostat

ITCTrademap

MarketAccessDatabase

60

Governmental

BID;MinisteriodeTransportesyComunicaciones-PlandeDesarrollodelosServiciosdeLogísticadeTransporte;ParteA–DiagnósticoFinal,Capítulo8–Anexos,julio2011

CentroNacionaldePlaneamientoEstratégico-PlanBicentenario:ElPerúhaciael2021,marzo2011

MinisteriodeAgriculturayRiego;ElPeruano-DecretoSupremoqueapruebalaPolíticaNacionalAgraria;DecretoSupremoNo.002-2016-MINAGRI,NormasLegales,marzo2016

MinisteriodeAgriculturayRiego-ElMinisteriodeAgriculturayRiegoal2016,presentacióndelaOficinadePlaneamientoyPresupuesto,UnidaddeInversiónSectoral,noviembre2013

MinisteriodeComercioExterioryTurismo-PlanEstratégicoNacionalExportador:PENX2025:HacialaInternacionalizacióndelaEmpresaPeruana

MinisteriodeEconomíayFinanzas-GuíadeOrientaciónalCiudadano:QuehaceelEstadoconlosIngresosquerecauda?LeydePresupuesto2016

MinisteriodeEconomíayFinanzas-MemoriadelaInversiónPública2015,febrero2016

PromPerú-DesenvolvimientodelComercioExteriorAgroexportador,presentaciónInformeAnual,2015

Social/Sustainability

CenterforFinancialInclusion-OpportunitiesandObstaclestoFinancialInclusioninPeru,October2013

OscarOrtiz-EvolutionofagriculturalextensionandinformationdisseminationinPeru:Anhistoricalperspectivefocusingonpotato-relatedpestcontrol,inAgricultureandHumanValues,2006

Oxfam;CooperAcción-OpportunitiesandMissteps:LessonsfromtheInternationalFinanceCorporation(IFC)InvestmentPolicyinPeru,October2015

TheInternationalLandCoalition-TheProcessofLandConcentrationinPeru,January2011

WorldBank;CIAT;CATIE-Climate-SmartAgricultureinPerú;CSACountryProfileforLatinAmericaSeries,2014

Doingbusiness

EY-Peru’sBusiness&InvestmentGuide2014/2015

PWC-DoingBusinessandInvestinginPeru2015

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