AGRIBUSINESS IN NICARAGUA
Agriculture has always been of great socioeconomic significance for the country and one of its greatest growth engines. In 2015, this industry represented 43.2 percent of Nicaragua’s total exports.
To learn more about the reasons that make Nicaragua the ideal destination for agribusiness investment projects, visit our section Competitive Advantages.
MAIN INVESTMENT OPPORTUNITIES
According to the Exportable Offer Study, conducted by the Ministry of Development, Industry and Trade (MIFIC, for its acronym in Spanish), the products with greatest export potential are: yucca or cassava (waxed and frozen), peanuts (processed or shell-less), cocoa (beans or powdered), honey, beans (black and red) and cashews. Other products with a high potential include: sesame seeds, pineapple, mango, guava, watermelon, onions, vegetables and citrus (especially lemon and oranges).
LIVESTOCK, DAIRY AND MEAT PRODUCTION
Nicaragua has the largest cattle-raising industry in Central America. With a compound annual growth in meat exports of 13 percent and a 20 percent annual growth in milk stockpiling over the past 10 years, Nicaragua maintains its position as the main livestock, dairy and meat producer of the region.
Furthermore, with an extensive pasture-fed livestock production, costs are among the most competitive of Central America. As a result, renowned companies such as LALA and SuKarne have successfully established operations with great growing expectations.
Nicaragua produces a great variety of raw materials that could be processed locally. Some of the products with greater potential are: meat, cocoa, coffee, sugar, corn, seafood, beans, plantains, among others. Also, the country currently processes cookies, snacks, instant coffee, carbonates and non carbonated drinks, beer and rum.
Investments in this sector add up to over US$100 million in the past six years; and companies already established have shown interest to invest even more, motivated by the incentives reforms of Law 462 that resulted after the negotiations between the Government of Nicaragua and the Nicaraguan Association of Reforestation (CONFOR, for its acronym in Spanish). There are currently over 3.5 million hectares suitable for forestry plantations of commercial value, such as teak, mahogany and non-comercial species such as rubber, cocoa, among others.
Nicaragua also has thousands of underutilized hectares that are perfectly suitable for the production of forest biomass, which can be utilized as raw material for second-generation biofuels. Additionally, as part of its strategy to foster the production of biofuels, the Government of Nicaragua incorporated a special incentive into the Law for the Promotion of Energy Generation from Renewable Sources (Law 532). Likewise, the combination of Law 532 and Law 822, opens new doors to projects oriented to the generation of renewable energy based on forestry plantations with dendro-energy purposes.
CONTACT OUR SPECIALIZED ADVISORS
Our specialized advisors in agribusiness investments can assist you during your project's entire process with complimentary services that include:
- Tailor-made information packages and research to answer general and specific questions in order to determine the project's feasibility.
- Customized presentations about agribusiness in Nicaragua, via telephone, skype or during your site visit.
- Assistance coordinating your site visits and facilitation in customized agendas that include meetings with institutions and companies relevant to your project.