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BUSINESS & ECONOMICS

Monday, September 08, 2008 Online Edition 34

Non-Traditional Crops Becoming Bigger Exports for Honduras

Alexander Sanné
Honduras This Week


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The hairy cucumber, picture above, is one of the new generation of non-traditional crops being grown in Honduras for export.

Héctor Andino, from Manzaragua, Honduras was surprised when it was his carrot, onion and chili pepper harvests brought in a higher income than traditional Honduran exports such as kidney beans and corn. He believes this interesting statistic is an example of the positive effect non-traditional exports can hold for Honduras.

Taking advantage of geographical and economic climate in Central America, Andino was able to harvest 16,682 kilograms of onions from only 21 hectares of land. The success of these non-traditional crops owes much to the financial and technical support given to farms from international organizations such as USAID-RED and ‘Cuenta del Milenio.’

Up to June 2008, the program of Agricultural Training (EDA) from Cuenta del Milenio was able to help 398 new producers, raising the total number of assisted farmers to 2,610.

The government also invests around 1.5 million Lempiras in technical assistance and trade support to over 120 new producers in Olancho and Comayagua, along with the distribution of fito-sanitary regulations to much of the country.

The government has also tried to promote non-traditional exports by formulating an agreement with Mejía Investments to promote the seeding of 110 hectares of land with non-traditional exports such as Chinese eggplant, hairy cucumber and thai okra for markets in North America. Action is also being taken to introduce new crops in the region north of Valle de Aguán, one of the most fertile growing areas of Honduras, with a special focus on European markets.

The directors of EDA agree that the main factor required for the success of these new products is to make sure there is an established market before export, so no time and money has to be wasted creating a new desire for the product. An example of such a success is the grapefruit, which every year increases its foreign market share and therefore aggregate demand. Honduras is now expected to export 900,000 boxes of the fruit from August until mid October, France being the biggest customer.

However, as well as penetrating new markets with their exports, Honduras should aim to conserve and advance their present stake in the traditional markets of Central American and the United States. Commonly appreciated products in Central America, such as oranges, watermelons, pineapples, bananas and sweet potatoes, are growing in demand within Honduras’ neighboring countries.

Noah Pine, civil servant for the Secretary of Agriculture and Cattle, (SAG) believes that the greatest increase in demand for Honduran exports is within El Salvador, with Guatemala and Nicaragua not far behind. The key for Honduras’ future export prosperity would seem to lie in successfully courting new foreign markets, whilst retaining a competent economic relationship with markets already established and to have the courage to make whatever changes are needed to ensure export sustainability and growth.

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