El Salvador - 3.5 Food and Additional Suppliers

The agricultural sector and food sovereignty are among the priorities of President Nayib Bukele, as he has demonstrated since the beginning of his administration.

The agricultural and food sectors in El Salvador could face a difficult year in 2023. For the agricultural cycle 2023-2024, a reactivation of AGRO is expected, a cereal production in this year will be around 20 million quintals.

It is expected corn harvest in average of 15 million quintals, in the first planting from May to June 75% out of total is expected. According to the MAG, prepares 49,000 small producers in the department of Usulután for the planting of basic grains by delivering. Agricultural Packages of certified corn seed.

For the second sowing that will take place from August to September will be 20% out of total, mainly in the East around 3 million quintals and in the third sowing from November to December 5% is expecting an average of 746 thousand quintals. In the case of sorghum is expected 2 million quintals and rice 712 thousand quintals.

A study by the Inter-American Institute for Cooperation on Agriculture (IICA) on family farming and agri-food supply warns of the negative effects of measures taken in the face of the pandemic. The survey explored what has had an impact on family farming production and food supply and found that some of the difficulties have been due to health protection protocols (53%), food transportation and distribution (50 %), access to financial capital (49%) and lack of storage capacity (43%), among others.

According to the Latin American and Caribbean Coordinator of Small Producers and Fair-Trade Workers (CLAC), the pandemic has caused an increase in the costs of sanitary supplies necessary for production, packaging and export. Producers are suffering a double economic impact from phenomena associated with climate change and the COVID-19 pandemic. Countries that are exposed to climate change and COVID-19 have at least a 20% drop in their production level.

By June of 2023, El Salvador exported in general a total of US$1,754.23 million, it has decreased 6.29% compared to June 2022, where the exports were US$1,871.99 million.

About the imports, by June of 2023 the total was US$3,900.68 million, it has decreased 14.43% compared to June 2022, where the imports were US$4,558.74.

The table below shows the balance between import and exports as of June 2023.

image-20231012095252-1

Banco Central de Reserva de El Salvador - (bcr.gob.sv)

Generic country information can be located from sources which are regularly maintained and reflect current facts and figures. For a general overview of country data related to the service and supply sectors, please consult the following sources:

The Observatory of Economic Complexity – MIT (OEC): OEC El Salvador country page

https://www.bcr.gob.sv/comex/

https://www.bcr.gob.sv/esp/index.php?option=com_k2&view=item&id=1503:el-salvador-acumuló-us$26619-millones-de-exportaciones-a-julio-2020&Itemid=168

Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.

El Salvador - 3.5.1 Food Suppliers

Overview

In July 2023 the prices of basic grains have presented fluctuations, in the case of rice has the price amounts to $45.8 per quintal for the national class; however, the price of the national silk red bean amounts to $113.8 the fifth and presents an increase of 38% compared to the fourth quarter of 2022. It is important to mention that the government continues to verify price compliance at the national level.

Additional information can be located from sources which are regularly maintained and reflect current facts and figures. For more specific and detailed overviews of food availability and market conditions, please consult the following sources:

USAID Famine Early Warning Systems Network (FEWS NET): FEWS NET El Salvador

For more information on food supplier contact details, please see the following link:  4.10 Supplier Contact List.

https://www.mag.gob.sv/informe-diario-de-precios-de-productos-agropecuarios/

Retail Sector

The food retail is everywhere in the country. In most of the country´s 272 municipalities anyone can find a small retailer providing basic products. There are also two big supermarkets: Super Selectos, which is local, and Operadora del Sur (Walmart, Despensa de Don Juan, Despensa Familiar) which is a USA company. These two companies have more than 100 point of sales nationwide. Their prices are fair. On the east side of the country there is also Tienda Galo, which has 5 point of sale in Usulután and provide delivery service nationwide. San Miguel has three supermarkets which each have around two and 5 point of sales in the city. Chalatenango has Super Sarita with 3 point of sales, On the rest of the country there are small supermarkets with only one point of sale. Their capacity to sell goes around 35 to 50 people in a day. All these companies have survived the COVID-19 quarantine due that they had to be open for people to get their groceries while lockdown.

The experience has shown that Super Selectos, Tienda Galo, Lacteos El Rodeo provide credit. Operadora del Sur works only with cash.

Types of Retailers Available
Type of Retailer	Rank (1-5)
Supermarket – concentrates mainly in supplying a range of food, beverage, cleaning and sanitation products; have significant purchasing power; are often part of national/regional/global chains.	2.
Convenience Store/Mini Market – medium sized shop; offers a more limited range of products than supermarkets; usually has good/stable purchasing power; may be part of chain or cooperative.	1
Permanent shop with strong supply capacity – individually/family owned store; usually offers fewer commodities and a limited selection of brands; good storage and reliable supply options.	3
Permanent shop with limited supply capacity – individually/family owned store; offers fewer commodities and a limited selection of brands; limited storage and unstable supply options.	4
Mobile Shop/Market Stand – individually/family owned store; usually offers fewer commodities and a limited selection of brands; may be found at outdoor markets, camps or unstable environments.	5

Wholesale – ARROCERA OMOA

Arrocera Omoa processes and commercialize different types and qualities of beans, such as silk beans, common red, black and white, which are required and consumed in the country, as well as outside the borders. They also produce Rice Flour consumed by the typical Salvadoran food industry for the preparation of rice pupusas and others

Supplier Overview
Company Name	ARROCERA OMOA
Address	32 avenida Norte No. 405, Barrio Lourdes San Salvador, El Salvador C.A.
Does the supplier have its own production / manufacturing capacity?	Yes, They produce.
Does the supplier have its own retail capacity?	No. the product is sent to the shops.
Does the supplier have its own transport capacity?	Yes
Does the supplier have its own storage facilities?	Yes
Approximate Turnover in MT	No information available
Payment Methods Accepted	Credit, cash
Other Comments or Key Information

*Basic details for the main office should be shown here, additional contact details for local/regional offices and full contact details for the main office to be included in section 4.10 Supplier Contact List.

Wholesale – LA FABRIL

La Fabril is a company at national and Central American level that produces fats and oils, specialized in the manufacture and distribution of daily basic consumer products. They are currently part of the Jaremar group and have operations in Guatemala, El Salvador, Honduras and Nicaragua, with leading brands in the region.

Supplier Overview
Company Name	LA FABRIL
Address	Blvd. del Ejército Km 5 1/2 No. 5500 Soyapango, San Salvador, El Salvador
Does the supplier have its own production / manufacturing capacity?	Yes
Does the supplier have its own retail capacity?	No. The product is placed in supermarkets
Does the supplier have its own transport capacity?	Yes
Does the supplier have its own storage facilities?	Yes
Approximate Turnover in MT	Maximun capacity of production 3,000Mt
Payment Methods Accepted	Credit, cash
Other Comments or Key Information	It was a WFP supplier.

Other Locations
Region(s)	Service Location(s)
Honduras. Nicaragua. Guatemala	No information available

Primary Goods / Commodities Available
Commodities by Type** (SITC Rev 4 Division Code - Title)		Comments
00 - Live animals (other than fish, crustaceans, molluscs, etc.)	Goats and poultry	They are produced in the country.
01 - Meat and meat preparations	Meat of bovine animals, dried or smoked meat of swine, sausages.	Most of the meat is imported from Nicaragua. Sausages are imported from USA.
02 - Dairy products and birds’ eggs	Milk, yogurt, butter, cheese, eggs	El Salvador has production of dairy products, however in the case of cheese, it is imported.
03 - Fish (not marine mammals), crustaceans, molluscs…	Fish	The is few productions of fish. Mostly it comes from the coast zone.
04 - Cereals and cereal preparations	Rice, flour of maize, pasta.	El Salvador has mostly wholesalers for these products. Specially rice and pasta are imported.
05 - Vegetables and fruit	Vegetables, fruit and nuts, jams/jellies, fruit juices…	Vegetables are imported from Guatemala and Honduras.
06 - Sugars, sugar preparations and honey	Sugars (beet or cane) raw, natural honey, fruit/nuts preserved by sugar …	Sugar cane is produced in the country.
07 - Coffee, tea, cocoa, spices and manufactures thereof	Coffee, cocoa, chocolate, tea, mate, pepper	Coffee and coca are produced in the country
09 - Miscellaneous edible products and preparations	Ready-to-eat foods, margarine, sauces, soups and broths, yeasts…	There are two suppliers for ready-to-eat products in the country.
41 - Animal oils and fats	lard, fats and oils…	Mainly fats are produced in the country.
42/43 - Fixed vegetable fats and oils, crude, refined or fractionated	soya bean oil, olive oil, maize oil, vegetable oil…

**For non-FOOD products please see section 3.5.2 Additional Suppliers, and for FUEL/PETROLEUM products please see section 3.1 Fuel.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.

El Salvador - 3.5.2 Additional Suppliers

Overview

El Salvador has several unions of wholesalers, producers, manufacturers (fabrics, pharmaceutical, plastic, hygienic, basic consumption products among other). For basic products there are more than 30 supermarkets, from which, two have over 100 point of sales each. Plastic products are sold in from supermarkets to small town shops. Many of these products are produced/manufactured in the country, with imported raw product.

Currently the trade has been activated and many companies that closed operations temporarily, started their activities again in 2021. At the beginning of 2022, the economy was activated by 85%, always using biosecurity controls. By 2023 the economy is 100% reactivated.

For more information on suppliers’ contact details, please see the following link: 4.10 Supplier Contact List.

Wholesale – FACELA

Grupo Facela, is a Central American company that was born in El Salvador in 1961. Its first industrial plant was located on Boulevard del Ejército and later moved to its current facilities at kilometer 11 highway to the Port of La Libertad.

Grupo Facela is part of the Holding "Aristos", a Salvadoran business group dedicated to different business areas, among which we can mention its industrial parks: American Park Free Zone and Parque El Progreso, as well as its food companies such as Pizza Hut El Salvador and Guatemala, KFC, Mama Nena, China Wok, Alimentos y Desserts, among others.

It has more than 55 years in the local and international market, with a group of 300 collaborators working in the plant and administrative offices. Their products are school products (pencils, paper, etc.), visibility items, plastic products (Hermetics, squeezes, ball, toys, etc.) and office equipment.

Supplier Overview
Company Name	FACELA
Address	Km. 11 ½ carretera al Puerto de la Libertad, Antiguo Cuscatlán, La Libertad, El Salvador
Does the supplier have its own production / manufacturing capacity?	Yes
Does the supplier have its own retail capacity?	No – they have distributing companies that take the products to the shops.
Does the supplier have its own transport capacity?	Yes
Does the supplier have its own storage facilities?	Yes
Approximate turnover in USD - $	No information available
Payment Methods Accepted	Credit, cash
Other Comments or Key Information

Other Locations

Region(s)

Service Location(s)

El Salvador

Guatemala

Honduras

Nicaragua

Costa Rica

Panama

Republica Dominicana

San Salvador

Guatemala

Tegucigalpa

Managua

San Jose

Panama

Santo Domingo

Primary Goods / Commodities Available
Commodities by Type** (SITC Rev 4 Division Code - Title)		Comments
24/27 - Crude materials, inedible, except fuel	Fuel wood, crude fertilizers, sand/stone/gravel	Only gravel is produced in the country, the rest is imported.
51 to 59 - Chemical and related products	Chlorine, pharmaceuticals, soaps, plastic tubes/pipes, chemical fertilizers	Even though there are pharmaceutical and chemical labs, most of the raw material is imported.
61 to 69 - Manufactured goods classified chiefly by material	Rubber tyres, wood pallets, textiles, cement, iron/steel pipe fittings, copper wire, metal tanks	Raw material is imported for all products. For wires, there is no manufacture, it is brought from abroad.
71 to 79 - Machinery and transport equipment	Engine/machine parts, generators, sewing machines, pumps, telecoms equipment, vehicles	Engines and vehicles are imported as well as raw material for telecom equipment. Many Brocken vehicles are brought to the country to be fixed and sold as second hand.
81 to 89 - Miscellaneous manufactured articles	Prefabricated buildings, lighting fixtures, furniture, clothing, medical/surgical instruments	Raw material is imported, and many finalized products are also imported.
91/93/96/97 - Commodities not classified elsewhere

**For FOOD products please see section 3.5.1 Food Suppliers, and for FUEL/PETROLEUM products please see section 3.1 Fuel.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.

https://www.bcr.gob.sv/bcrsite/?cat=1012&lang=es