The Chamber of Exporters of Costa Rica (CADEXCO, its initials in Spanish) said it is concerned about the stagnation in exports in the country’s priority sectors, according to reports in Central America’s Summa business magazine this week.

The agricultural sector, which represents 28 percent of the country’s exports and is the largest employer in rural areas, has shown no growth this year compared to the same period last year. This is particularly worrisome because the sector generates 12 percent of salaried employment and 15 percent of independent employment in the country, said CADEXCO,

“In CADEXCO we have reiterated the lack of competitiveness that we face, the high cost of electric energy, also the lack of adequate infrastructure is making logistics more expensive, and the lack of access to credit is another factor that influences this slow or negative growth. We need increased support from the Ministry of Agriculture and Livestock (MAG) to implement actions such as new technology, availability of seeds, and genetic improvements,” detailed Laura Bonilla, president of the chamber.

Other major economic sectors showed decreases including meats (-3 percent); paper and cardboard (-10 percent); plastics (-2 percent); and plants, plants, flowers and foliage (-8 percent), said the report by CADEXCO.

In the 1980s, the country went from exporting few products to a wider offering based on non-traditional products due to assistance from the Foreign Trade Ministry, said Bonilla, who said she did not see this strategy being replicated, despite the fact that the sector has the experience and potential to increase exports such as granadilla, pejibaye, and other products that can be competitive.

Experts at CADEXCO concluded based on this latest data that specific actions can reverse the stagnation and increase growth of exports.

These include innovation, focusing on value-added products, reducing costs of electricity, establishing an office to administer free trade agreements, improve infrastructure, and adopting a change-oriented policy. The chamber also said improvements were needed on aspects of supply and demand, education, paperwork, and access to financing.