The Carrier’s Strike Affected Peru’s Agro-exportsApril 14, 2022
The carrier’s strike in Peru has had negative consequences for the country’s agro-export sector. In week 13, the sector exported almost 2,700 containers, i.e. 10% less than the average of previous weeks. The week began with more critical results, as only 471 containers were shipped out on Monday 4 and Tuesday 5, i.e. 35% less than on the same days of the previous weeks.
The impact is greater if we consider that the pomegranate campaign is starting and that the avocado campaign is entering its most important period (when more than 30 thousand tons per month are usually shipped).
Ica is the main pomegranate producing region in the country, accounting for 85% of Peru’s production. This was one of the most affected regions by the conflicts in recent weeks. In fact, the transport routes in Ica were blocked until April 7, when the government had to intervene to reach a temporary agreement. The fruit is transported through this route to the port of Callao, where it is dispatched to international markets.
This year, scheduled shipments were exceeded during the first two weeks. However, as a result of the strike, exports contracted by 4% and reached 272 containers with 4,791 tons in week 13. The impact was greater on Monday 4 and Tuesday 5, when the sector expected to dispatch more than 140 containers with 2,600 tons. However, they were only able to ship 82 containers with 1,350 tons. This means shipments decreased by 49%.
In the case of avocado, the most important production area in the country is La Libertad, with a 33% share. This region was one of the most affected by the strike, as not only were the roads closed, but there were also violent incidents that affected the activities.
In the first weeks of March 2021, it was possible to export much more than 250 containers, but in the last weeks, there was a severe contraction in shipments. In week 13, avocado shipments reached 489 containers with 11,633 tons, i.e. 6% more than in the previous year, even though the sector expected a double-digit increase. The negative impact was more evident in the first two days of this week, when only 12 containers with 187 tons were shipped, i.e. 94% less than in the same days of the previous week.