Colombia agricultural exports to US ‘could grow 250%’

ByMargie D. Moore

May 9, 2022 , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,


Colombia agricultural exports to the United States could mature 250% about the next decade, hitting $1.4 billion (all figures in USD), with US demand from customers for agricultural items established to spike.

A stock photo of a rural area in Colombia to accompany article on agricultural exports.
Colombia has an abundance of fertile land

That is according to a new report from the Colombian-American Chamber of Commerce (AmCham Colombia), which states that Colombia’s fertile, ample, and massively underutilized tracts of arable land could be utilized to help satisfy growing demand from customers globally.

With UN estimates suggesting that the world-wide populace could grow by 25% to strike 10 billion individuals by 2050, that will necessarily mean that in 30 many years worldwide demand from customers for agricultural products will be double what they have been a decade back.

SEE ALSO: Employer of Document in Colombia: Employ the service of Neighborhood Workers Now

In accordance to the AmCham Colombia report, the South American nation has much more than 25 million hectares of land that could be made use of for agriculture, of which minimal a lot more than 5 million hectares are presently effective – indicating the state has major scope to satisfy the increasing need to have.

That will contain an uptick in demand from customers from the United States above the coming yrs, which could see Colombia agricultural exports to the state maximize five-fold inside of a ten years.

“It is predicted that in the following 10 several years the proportion of land devoted to cultivation will increase, with Latin The us owning the biggest opportunity at the global degree, which will support the region to position itself as a earth provider of agricultural items,” reported María Claudia Lacouture, executive director of AmCham Colombia, in e mail correspondence with Biz Latin Hub.

Orinoco location could be important to growing Colombia agricultural exports

Among the regions of Colombia with the best potential for agricultural development are the expansive Orinoco location – 1 of five principal regions of the country, which is mostly manufactured up of the four departments of Arauca, Casanare, Meta, and Vichada.

A photo of AmCham Colombia Exec. Dir. María Claudia Lacouture and Colombian President Ivan Duque, taken from Facebook, to accompany article on Colombia agricultural exports.
AmCham Colombia Exec. Dir. María Claudia Lacouture and Colombian President Iván Duque (supply: Fb)

According to the AmCham Colombia report, the Orinoco region has much more than 2.8 million hectares of fertile land that is ideal for agricultural advancement and forestry initiatives, with Lacouture highlighting that the place is effectively positioned for expenditure in its agricultural sector.

“As aggressive advantages, the place has a low price tag for each hectare, which is beautiful for massive-scale assignments, as perfectly as large availability of h2o and photo voltaic radiation,” Lacouture wrote.

On the other hand, as the report highlights, having benefit of this chance will revolve around Colombia’s capability to make the investment required – something that Lacouture echoed.

“Investment is demanded to employ sustainable jobs with technological innovation to make those people crops successful in get to fulfill the intake requires of the US marketplace, as effectively as the phytosanitary demands necessary for commercialization in that market”, Lacouture wrote.

In that regard, the Colombia United States Trade Advertising Arrangement, a no cost trade arrangement among the two nations around the world that has been in force considering the fact that 2012, offers sizeable opportunity as a driver of US financial commitment into the Colombian agribusiness sector.

As the US Division of Condition highlights, the United States is Colombia’s premier trade spouse, accounting for more than 1-third of Colombia’s whole trade, though the South American country is among the major 10 suppliers of crude oil to the United States.

The very well-recognized professional partnership among the United States and Colombia, reinforced by their bilateral FTA, suggests that Colombia signifies an attractive spot for US buyers, as perfectly as becoming most likely essential to conference the coming spike in US demand from customers for agricultural items.

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