Note: Exports are FOB values and imports CIF values.
Source: Nicaraguan Customs.

Nicaraguan and international companies are investing in food processing equipment to improve sanitary and quality standards for foods sold locally and for export. Fresh and processed foods are among Nicaragua’s fastest growing exports.

Best Products/Services  

Refrigeration equipment, such as refrigerated trucks, containers, and cold storage rooms and laboratory equipment for testing and product certification are in high demand. Demand is highest for used equipment in good condition.

Opportunities                                 

The Central America-Dominican Republic-United States Free Trade Agreement (CAFTA-DR) offers improved access to U.S. markets for Nicaragua’s agricultural goods. Nicaragua is poised to take advantage of these opportunities, especially in the areas of meat, dairy, seafood, produce, and processed foods.

Currently there is only one public cold storage facility in the country, run by the Association of Producers and Exporters of Nicaragua (APEN). The facility has limited capacity and is too small to meet demand both for export and import shipments of perishable goods.

Resources                          

• Association of Producers and Exporters of Nicaragua
• National Commission for Export Promotion
• Inter American Institute for Cooperation in Agriculture
  

Agricultural Goods                                                                  Return to top

The agricultural sector, including livestock, forestry, and fisheries, suffers from drought and poor irrigation systems, limited infrastructure, and thin credit markets. In spite of the challenges, primary agriculture is an important sector in the Nicaraguan economy, accounting for 19.6% of the GDP in 2007. The agricultural sector employs over 29% of the labor force. Raw coffee, beef, sugar, peanuts, hardwood, shrimp, and lobster are among the leading agricultural products. U.S. imports from Nicaragua in 2007 totaled $350 million. U.S. exports to Nicaragua reached $184 million in 2007, up 34% from 2006.

Wheat                                                                                  Return to top

Overview
Statistical Summary (millions of U.S. dollars)

	2005	2006	2007
Total market size	25.7	31.3	36.4
Total local production	0.0	0.0	0.0
Total exports	0.0	0.0	0.0
Total imports	25.7	31.3	34.6
Imports from the United States	24.1	31.3	34.6

Note: Exports are FOB values and imports CIF values.
Source: Nicaraguan Customs.

Best Prospects/Services                                                            

Nicaragua imports primarily spring wheat and small quantities of soft and hard red wheat.

Opportunities                                                                                 

Imported wheat is processed into flour to be used in local bakeries. Bread is a main substitute for corn products in the Nicaraguan diet. Nicaraguan consumers perceive U.S. wheat as wholesome and of higher quality than alternatives.

Resources                                                                                      

• U.S. Foreign Agricultural Service: U.S. Foreign Agricultural Service: www.fas.usda.gov and agmanagua@usda.gov
   

and and

Yellow Corn                                                                Return to top

Overview
Statistical Summary (millions of U.S. dollars)

	2005	2006	2007
Total Market Size	13.7	15.9	28.1
Total Local Production	0.0	0.0	0.0
Total Exports	0.0	0.0	0.0
Total Imports	13.7	15.9	28.1
Imports from the United States	13.7	15.9	28.1

Note: Exports are FOB values and imports CIF values.
Source: Nicaraguan Customs.
 

Best Prospects/Services                                    

Yellow corn for animal feed is the main prospect. Yellow corn is used as a main ingredient in livestock feedstuffs, particularly in poultry feeds. The Nicaragua poultry industry is has grown rapidly and produces high quality products.

 

Opportunities                                                                                             

Nicaragua does not produce significant amounts of yellow corn. The Commission for Risk Analysis of Genetically Modified Organism has conducted and approved genetic material approved in the United States for yellow corn. U.S. yellow corn imports into Nicaragua for the purposes of processing and for animal feed have been approved. Under CAFTA-DR, Nicaragua imposes a tariff-rate quota (TRQ) for yellow corn that expands gradually and will eliminate tariffs on yellow corn in 2021. See Chapter 5: Trade Regulations and Standards, Import Tariffs and Import Requirements and Documentation for more information.

 

Resources                                                                          

• U.S. Foreign Agricultural Service: www.fas.usda.gov and agmanagua@usda.gov
• National Association of Poultry and Animal Feed Producers: Email: anapa@anapa.org.ni
  

 

Rice                                                                           Return to top


Overview
Statistical Summary (millions of U.S. dollars unless noted)

	2005	2006	2007
Total market size	36.4	45.8	57.6
Total local production (thousands of metric tons)	412.0	411.0	350.0
Total exports	0.2	0.1	1.0
Total imports	36.4	45.8	57.6
Imports from the United States	34.8	45.0	56.2

Note: Exports are FOB values and imports CIF values.
Source: Nicaraguan Customs and the Nicaraguan Association of Rice Producers

Best Prospects/Services                                                            

There are approximately 15 private rice importers in Nicaragua, but one of these companies imports most of this commodity.

Opportunities                     

Nicaragua complements its local rice production with imports. Over 95% of Nicaraguan rice imports originate in the US. Golden U.S. rice is repackaged in 5 or 10 kg bags.

Under CAFTA-DR, Nicaragua imposes a TRQ for rice that expands gradually and will eliminate tariffs on yellow corn in 2024.

Resources                                      

• U.S. Foreign Agricultural Service: www.fas.usda.gov and agmanagua@usda.gov
• Association of Nicaraguan Rice Producers: Tel: (505) 222-4570, 222-5513. Email:anar@cablenet.com.ni
• Association of Nicaraguan Rice Processors: Fax: (505) 222-4371. Email:proarroz@cablenet.com.ni
  

 

The U.S. Embassy, Managua, Economic/Commercial Section takes no responsibility for actions readers may take based on the information in this guide. Readers should always conduct their own market research and due diligence before entering into any commercial arrangement.