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Heading towards a million inhabitants (in addition Accommodation and service an increase of US $ 881.9 million to 1.5 million living activities (5.29%); Water supply, compared to the month of July positive change abroad), which makes it one of the sewerage and waste management 2019. This is mainly due to the most densely populated countries (4.69%); Exploitation of mines placement of funds for bonds by The Republic of is in the world. and quarries (4.36%); Supply the Government of El Salvador . located in Central America, it On June 1th of 2019, Nayib Bukele of electricity, gas, steam and On the other hand, the Liquidity borders to the north and east took office as the new president of air conditioning (4.33%); Reserve, formed as demand with Honduras, to the west with El Salvador, prioritizing his efforts Administrative and support deposits in the Central Bank, and to the south with in the security and economy services activities (3.64%); increased US $ 13.6 million with the Pacific Ocean. To the east of the country. Bukele also has Real estate activities (3.42%). respect to the previous months. it has a maritime border with managed to avoid conflicts with Other service activities (2.59%); As for the Foreign Direct Nicaragua in the Gulf of Fonseca, the president of the USA, Donald where it has 9 islands. Trump, in the field of migration. In El Salvador is situated in the fact, he has preferred to articulate pacific Ring of Fire, and its messages that attract foreign volcanic territory is very active. In capitals, especially Americans. fact, 90% of its soil is composed it is important to mention that of volcanic materials. El Salvador has significant As for its climate, it has two competitive advantages for seasons: the dry season the location of companies, (November-April) and the highlighting the response speed, rainy season (May-October). In and geographical proximity, which addition, the country is affected by is complemented by free trade hurricane season in the Caribbean agreements that give access to (June-November). an important customer market. With a territorial extension of The free trade agreements that 21 041 km², the country has 6.4 the country has signed with several countries allow access to a FACT FILE potential market of 1,200 million customers worldwide. Official name: Republic of It is also relevant the fact that El Salvador the country has one of the most competitive labor costs in Central Capital: San Salvador America, including labor benefits, and the high quality of the workforce that is distinguished in President: Nayib Bbukele Manufacturing industries (1.94%); the region. Investment (FDI), according to Trade, repair of motor vehicles and Regarding the economic the BCR, during the first quarter Population: 6,420,746 motorcycles (1.89%); Information indicators, the quarterly Gross of 2019, the net flow reached an and communications (1.59%); %); Domestic Product in chained amount of US $ 177.3 million. Transport and storage (1.43%); Surface: 21,041 km² volume indices in its seasonally These resources were mostly Agriculture, livestock, forestry adjusted series determined in the associated with the services and fishing (1.19%); Artistic, second quarter of 2019 an increase sector, including the financial Official language: Spanish entertainment and recreational of 1.98%. sector (US $ 91.5 million) for activities (0.15%), according to The behavior of this indicator operations of companies holding data from the Central Reserve Currency: US is determined by the favorable shares; the electricity sector with Bank of El Salvador (BCR for its performance of the following US $ 75.5 million, thanks to the acronym in spanish). Annual Growth 2018: 2.5% economic activities: Construction new renewable energy projects, The Net International Reserves at (7.73%); Financial and and air transport services and the end of August 2019 reached logistics operators with US $ 59.1 Unemployment rate: 6.40% insurance activities (5.46%); the level of US $ 4,575.6 million, million. “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 2 FINANCE

Solid and the productive sectors of , Government of President Bukele, cane and some other specialized but because it is a tangible, Dynamic products that the Government evident and forceful reality. In decides to support. Currently,, just a few months the country’s The Latin American countries this is under review because the conditions are changing rapidly. To with the lowest inflation in August Government aspires to be much the Salvadoran brothers residing 2019 (compared to the same broader in coverage, reaching in the US I tell you, every time period last year) are El Salvador other non-traditional sectors. It one of them comes to El Salvador (-0.5%), Ecuador (0.3%) and also would like to include other with intentions to invest, they Panama (1.1%), These economies crops that are not limited to first go through adequate training have in common that their official coffee. where they have an overview of currency is the dollar. According to Durán, Bandesal the situation. Furthermore we El Salvador has a solid financial wants to develop the following will make sure that they have the Juan Pablo Durán Escobar three strategic areas: essential data and information, system, comprising 13 private President banks. The role of the bank as Bandesal First, ensure that those who do and we will provide all the an intermediary is decisive in the not have conditions to manage a necessary guidance, so that when economic dynamics because it “Of the good things that have loan due to the lack of guarantees investing, they do it safely”, captures money from the public, happened in El Salvador is that the can be supported through the affirms Durán. which are subsequently used as financial system is very robust, Salvadoran Guarantee Fund. The Bandesal’s vision is to be a funds to give loans to both, people solid and quite conservative, experience of private banking relevant strategic partner for and businesses. allowing to overcome difficult shows that half of the loans are the national and international The Salvadoran banking system times without negative impacts denied because they do not have community for the development is very solid and dynamic and it at the financial level. We have a enough of El Salvador’s economy. In this grows even twice as much as the very strong commercial bank, a warranty. In this sense, Bandesal sense, the institution has a high country’s economy. state bank in good condition, a would contribute significantly if it interest in helping successful As of June 2019, the amount of cooperative bank that emerges could help solve this situation. Salvadorans residing in the US deposits were $ 12,704 million very strongly and Bandesal, Second, Bandesal does not just and who already have very good and in loans $ 12,744 million, more the only development bank in than the same period in 2018, the country, an entity totally “On January 1, 2001, the Monetary Integration both, loans and deposits maintain linked to the great policies of a stable trend of average growth the Presidency of the Republic”, Law entered into force, incorporating the dollar near 5% since January of this year, indicates Juan Pablo Durán, as El Salvador’s currency, relegating gradually indicating a favorable growth for President of Bandesal. the sector. Bandesal currently supports 63 the Colón” The factors that have contributed institutions. It fulfills the role to this stage are: the rebound of a first and second-tier bank, want to allocate resources, it also resources, so upon their return in international trade and allocating exclusive resources for wants to make sure that they they can feel that the Government the recovery of investment in priority productive areas such as, are well used and successful. attends and accompanies them advanced economies. small and medium enterprises. Its To achieve this, it has created to be successful. The results of the banking objective is quite clear, however, it the Training and Business In this respect, it is also important system as of August 31, 2019 are also support the big companies. Development Management. to mention that as a result of as follow: equity reached US $ Bandesal, among other services, Third, the bank’s funds will the migration from this country, 2,212.2 million, assets totaled US specializes in the management of multiply. In the five-year period, remittances have taken a leading $ 18,647.5 million $ 1196.8 million trusts in the country, currently it it can grow with more than USD $ role in the development of this (6.9%) more if compared to the handles 11, of which five are public 1.3 billion. Bandesal is a bank with sector. balance of August 2018, and the and six are private. triple AAA rating, which can easily According to BNR data, family gross loans totaled US $ 12,881.2 In the agricultural sector, Bandesal raise funds at good rates. remittances received by El millions. operates as a fiduciary with “We are living in times of change Salvador as of September 2019 In August 2019, the liquidity money that the State channels in El Salvador and I do not say it amounted to US $ 4,159.3 million, indicator totaled 33.92%. through the bank to support because I am an official of the with a growth rate of 4.4%, “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 3 FINANCE

advice and training to residents an opportunity for banking, both encouraging that the money that of the United States and family for Salvadorans living in other arrives in the country is being members in El Salvador on countries and for people who seek controlled, and that the method how to convert remittances to invest with remittance money of sending is credited in electronic into something better than an in El Salvador. accounts to avoid the handling of expense, which would mean a Banco Cuscatlán was one of the cash and the banking segment plus for the country”. pioneers in starting an electronic of remittances. So recipients can “Remittances in El Salvador transfer system. At the end of have an account and withdraw represent practically the Nation’s the 90s it had alliances with the with a debit card at any of their budget and in terms of GDP it Western Union and Money Gramm branches. represents 15% or 20% and it remittance institutions, also The limitation for this service is cannot be that this becomes with Real which is a very strong that Salvadoran law requires NIT only consumption, it must allow company, especially in California. and DUI to open a bank account José Eduardo Luna generating a virtuous circle of the “In the financial sector, the and many of those who receive Executive Director Banco Cuscatlán economy”, concludes Durán. attention of sending remittances remittances do not have a NIT. If we refer to remittances, we in a traditional way is critical, “The legal framework was equivalent to US $ 176.2 million. cannot stop mentioning Banco it must be agile, safe, reliable, changed 2 years ago to facilitate During September, the country Cuscatlán, an entity that manages transparent, legal, controlled and the simplified account opening captured US $ 459 million in a flow of remittances that monitored, even to avoid money which is the only one that can be remittances, an amount that laundering. You must have robust opened electronically and does systems, which means a lot of not require the holder to have a technology because it is important NIT,” says Luna. “The growth of this sector reaffirms the to do it right and we have been Luna adds: “We are about to strength of the Salvadoran economy” facing this challenge since 2016 launch our simplified account to when we relaunched the bank”, benefit those who receive family says José Eduardo Luna, Executive remittances but currently do not exceeds US $ 429.3 million exceeds US $ 250 million and has Director of Banco Cuscatlán. have a bank account. This is very received in the same month of the expectation of doubling this Currently Banco Cuscatlán works important for financial inclusion, 2018. In addition, 1.7 million amount. It believes that there is with remittances in a traditional and it is something we are working operations were registered in the way through Real. However, it is on, both in the financial industry financial system for remittances. Of the total family remittances, those received from the United States amounted to US $ 3,949.3 million, growing 4.8% over the previous year. The second country with the highest amount of family remittances was Canada with US $ 37.7 million, experiencing a 6.3% of growth. In this context, BANDESAL is a believer in the productive remittance, and Durán explains that: “It is a product that already exists in some banks but they are not giving it the volume nor are they managing or taking it to the appropriate levels, however, if we join efforts with the national financial system, Bandesal could led the work in providing “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 4 FINANCE

the prospects are very good because the new administration guarantees legal certainty and the possibility of doing business in the country. It has directly attacked the problems that cause more pain to Salvadorans, which is crime”. Agueda Hilton, General Manager of Be Safe, indicates that the sector has grown thanks to different aspects, and one of the most relevant is the culture of Eduardo Montenegro Agueda Hilton William Carballo prevention. President General Manager President Sisa Be Safe Asesores Bancovi Be Safe is an insurance brokerage company, which provides advice to companies, institutions and and in the bank”. opportunity to make international of almost 30% so far in 2019, people who wish to purchase In other aspects, Banco Cuscatlán transfers with efficiency, speed from June to June. The outlook for insurance. The company focuses has been part of the great financial and especially at low cost. the end of the year is favorable on knowing the products and the advance of the country. Regarding “We have a solid bank, a very because they are in the final market to provide personalized deposits, it had a contribution stable financial industry that is process of acquiring operations of support to each client. of more than 10% and in credits growing and a dollarized economy Scotiabank and Scotiaseguros in “Almost all insurance brokerage about 10%. that eliminates foreign exchange El Salvador. By adding this, Sisa companies offer the same, but It is important to mention that its risk”, Luna concludes. ratify the first position in image our obligation as a company is growth is due to the productive As of May 2019, banks and insurers and size. to advice costumers on the best sector. Four or six years ago, most were the main liquidity providers, It is also important to mention the product that fits their needs, of the portfolios that grew were contributing 77.46% and 11.45% increase in the risk rating of the budget and circumstances ”, for consumer and productive respectively, and in terms of the company, which went from AA, to concludes Hilton. loans, however, these have Gross Domestic Product, they decreased. The trend now has contributed 4.8%. “Remittances are an important part of the changed and this financial entity Specifically, the Salvadoran is more focused on boosting insurance sector in the first half Salvadoran economy, considering the number the productive sector without of 2019 experienced a growth in of migrants living mostly in the USA” neglecting consumption, because its net premiums that experts say the growth of this sector is limited had not been registered in many AA + 1. Within the financial sector, by the indebtedness capacity of years. Most market indicators place Sisa it is important to mention the people. As of July 2019, there was an as the most profitable insurance cooperatives. The Federation of The bank currently has 4% market accumulated of $ 395.4 million in company in El Salvador, and Cooperative Savings and Credit share. “During the last 3 years we net premiums, which is equivalent its size places it at the Central Associations of El Salvador have doubled our market share. to a growth of 9.4% ($ 34 million) American level within the 10 most (FEDECADES) registered a 471.4% We do it in the traditional way but compared to the same period of important companies. growth in its assets in 10 years by we also facilitate new transfers 2018, according to data from the “We are the insurer that pays betting on the diversification of methods, such as, the mobile Superintendence of the Financial more insurance claims, for our services and the public. This 2019 wallet or the simplified account, System. size and for the philosophy of it is expect to close with a 15% where we see a great opportunity The Salvadoran Association of being with our clients when they growth and add $ 860 million in because with this Government Insurance Companies (ASES) need us the most, reaffirming the assets. there is a great opening for considers that the industry’s commitment and compliance of The credits are destined to sectors Salvadorans from abroad to have behavior is framed “slightly above obligations”, says Montenegro. such as, agriculture, commerce, savings in the country”, says Luna. the projections that the risk rating To conclude Montenegro states: consumption, housing, among Luna indicates that many agencies estimated for this year”, “Today is the best time of the last others. clients approach or write from in which they indicated that the 10 years to approach El Salvador, Demonstrating the strength of the US, mainly from California, industry would be growing for indicating that they would like to 2019 between 3.5% and 5% at the have an account or maybe they end of the year. are customers of US banks but At the end of 2018, the industry’s they need to have a local bank share of GDP was 2.52% and an that serves their families, either ASES study showed that only 26% Impulsando because El Salvador has better of the population has some type interests or because they want to of insurance policy. buy a home in this country. In this sector, it is necessary “Banks must facilitate the to mention SISA, the leading paperwork for compatriots, the insurance company in El Salvador, regulatory framework should be owning the largest market share modified so that they can open in terms of premiums, the highest Ahorro accounts online. There is good equity and the best results in the receptivity on the part of the industry. Government and there is a lot of “Within the insurance market work to do because the Bank Law of El Salvador there are different and regulations must be reformed. approaches to see companies, We are at the right time to change there are the so-called big ones, the world of investments and the

“Banks, insurers and cooperatives are driving the development of industries in the country” direction of the economy, there which are those that have almost are going to be many changes 20% of market share, and our and we must think about people company is one of them. Then who are in different US states, to there is the group of medium- facilitate them to do business and sized companies, some with transactions through accounts in links to financial groups and El Salvador”, says Luna. others with surnames of relevant The idea is to facilitate international companies such as Salvadorans to open electronically Mapfre; these have support from an account, using products to their headquarters, and others facilitate transfers. Apart from may have links with financial the traditional methods the bank companies such as Davivienda or is working in different alliances Scotiaseguros. And we have the because it believes that there is an smallest group of companies, some very specialized and focused on bonds or health. Companies that have developed and become highly competitive which speaks well of the industry and the possibilities for our consumers to find a large number of suppliers. Soluciones This make our work hard because the competition is very large, Financieras de and this is generally good for AHORRO Y CRÉDITO consumers”, says José Eduardo Montenegro, President of SISA. In the particular case of SISA, it has shown a very strong growth “This supplementsupplement is is printed printed and and distributed distributed in select in select areas areas by the by LOS the ANGELES MIAMI HERALD. TIMES. It It does does not not involve involve the the editorial editorial staff staff of the of LOS the ANGELESMIAMI HERALD” TIMES” 25 FINANCE

As a financial institution, Bancovi, dedication and have experience with Master Card. This service is opens the doors to investors, they because they are constantly scheduled to be launched in late want to be known and show to trained to strengthen their 2020, and will initially only be the world that Bancovi is a 100% knowledge at a national and provided for remittances from the Salvadoran heritage. international level. The third pillar US. Another cooperative that is worth is its associates, who are given “Regarding remittances, we mentioning is Cosavi. It was advice, profiting their savings and receive between US $ 200 and 300 recognized by the World Business solving their financial matters thousand a month in all agencies”, Confederation, wining the highest with the different lines of credit. adds Coto. award for business excellence, the The fourth pillar is technology, Cosavi is also working on its “The Bizz” award, standing out Cosavi is innovating, working on infrastructure, one of its medium- among several companies across expanding services to handle term projects will be the Cosavi the country. family remittances through Business Center, an investment Manuel Coto At the end of 2018 Cosavi had prepaid cards, with an alliance that will reach US $ 15 million. General Manager Cosavi the cooperative sector, which has grown in the financial system and now represents 5% of the USD 20 billion of the total assets of the sector. There are 6 cooperative banks within the regulated and credit system and Bancovi represents the 25% of it. Willian Carballo, President of Bancovi, explains that his strategic product is the Current Account, a financial product that until now had been exclusive to the Commercial Banking. “We are also working to directly manage remittances, we have talked to a US company and we are already in the stage of signing contracts, having a Master Card and achieving an alliance, especially in the remittance line to provide direct access for clients who are outside and can invest”, says Carballo. Bancovi, within its strategic line, points to Salvadorans abroad, because when they become partners they become investors, assets for more than 30 million generating a return of around . At the end of July 2019 8%, 9% or 12%, which no other it had an increase of 8 million financial instrument offers. dollars Additionally, this is supported by

“The sector has growth expectations for 2020, and foreseen to continue contributing to the country’s development” the 54 years of experience of the “Our flagship product is our cooperative. Investment Certificate for “It is difficult for any other bank associates, which generates to offer to be part or owner of an added value, is tangible and institution, we open the door so they can see the profitability of that everyone can be associated. their savings”, says Manuel Coto, Some have their account and see General Manager of Cosavi. it as their pension fund, and year Cosavi’s work is based on 4 after year they withdraw dividends pillars: The first is that the Board and return to the country where of Directors and the Supervisory they have emigrated, but with Board work together towards the certainty that they money is the same vision. Second, working here”, says Carballo. their collaborators work with “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 6 INDUSTRY

Countless Opportunities

Currently, the Salvadoran industry represents 16.1% of the Gross Domestic Product, under the new system of National Accounts of the Central Reserve Bank, making it one of the most important productive activities in the country. This means that, as the industry advances, so Luis Antonio Tona does the economy. General Manager It is the economic sector that Toto produces 97% of the country’s exports and generates 16.2% of. The manufacturing industry, the GDP. It contributes 18% of including maquila, exported the tax collection and generates US $ 3,916.5 million with an 23% of the formal jobs in El interannual growth of 0.3%, Salvador. equivalent to an additional US The workers and businessmen of $ 10.8 million. The increases the industrial and agroindustrial in exports originated in sectors are the greatest the following sectors: food “According to the World Bank in its ease of according to BCR data. industry is trying to minimize in doing business ranking 2020, El Salvador is The plastics industry is the third El Salvador and other parts of ranked number seven in Latin America” most relevant sector in terms the world”, concludes Tona. of exports in El Salvador. During The company’s vision is to pack generators of employment, products processing with 2018, these accounted for 6.5% with sustainability, innovation stimulating at the same time a contribution of US $ 32.3 of all overseas sales equivalent and cutting-edge technology, in other sectors of the economy million; manufacture of paper to about $ 450 million. harmony with the environment. that provide goods and services and paper products (US $ 26.1 “In El Salvador this industry is In this sense, it will be the first to the industry. million); manufacture of textile the third most important, we company in the plastic industry Exports as of September products (US $ 22.3 million); are not the largest employers, in El Salvador to manufacture 2019 showed an increase of beverage manufacturing (US but we represent a large part bags with 100% biodegradable 0.5% equivalent to US $ 22.9 $ 22.3 million); manufacture of exports; The plastic sector technology, 100% recyclable million more for the same of pharmaceutical products, exports more than USD 400 material and renewable energy. period in 2018. The main export medicinal chemicals, and million a year, which represents Tona indicates the following: destination is the United States, botanical products for a significant part to the “The factory was installed with a 42.1% share, equivalent pharmaceutical use (US $ 18.8 country’s economy. The largest thinking that in the future it to US $ 1,909.4 million, followed million); manufacture of rubber exporter is the textile area, will work with renewable energy by Honduras, Guatemala, and plastic products (US $ however, our sector is the first in such as photovoltaics. We are Nicaragua, , Mexico, 11.8 million) and manufacture investments in both machinery the only plastic industry in El Panama, Dominican Republic, of chemical substances and and technology. There are no Salvador that has this capacity Canada and Spain. products (US $ 11.4 million), challenge in the background installed, there are others, but of this industry because it with very small capacity, we are is committed to growth and constantly growing”. economic sustainability”, says Toto believes in the Salvadoran Luis Tona, General Manager of market, but still considers Toto. the option of reaching other Within this industry is the markets to continue enhancing company Toto, which has their capacity and human 50 years of experience and quality skills. The company is is a leader in technological currently looking for a market in innovation. In 2018, it pioneered Guatemala, Honduras, Mexico in El Salvador introducing 100% and is in a raid to try to reach biodegradable packaging. By the US, a market it continues 2019 they will be the only ones in evaluating. the country to provide a water- It is also important to mention soluble solution, manufacturing that El Salvador offers an ideal flexible and water-soluble bags location for food production that dissolve in water. and processing, as well as, to specific market niches that go

“El Salvador is an attractive investment destination for the following reasons: Productive labor, Competitive costs, Monetary stability, Competitive infrastructure, Attractive fiscal incentives and Strategic location”

These soluble bags are from beyond traditional agricultural the BIOBAGS brand, they are industries. made with Japanese technology El Salvador is a regional leader based on palm that in the production and export of accelerates biodegradation juices and snacks. It also has from 1 to 5 years, then be a proven record in attracting reintegrated into nature and investment in this area and thus avoid contamination. offers opportunities for the Biodegradable technology is establishment of production, certified worldwide under ASTM processing and distribution D6954 of the American Society centers for export-oriented for Testing and Materials; and food products. In addition, it approved by the FDA of the has complementary industries United States, allowing to be in in areas such as packaging and contact with food. process technology, among “Our difference and inside secret others. is our mystical relationship with The Investment Export the customer. We manage a Promotion Agency of El very close relationship, because Salvador (Proesa) has without that relationship the identified the following market business would not exist”, says niches that offer excellent Tona. investment opportunities in the “The plastics sector is at a time agribusiness sector: cultivation of difficult acceptance, has been of ornamental plants, El demonized incorrectly and that Salvador offers opportunities for is one of the challenges that this the establishment of indoor or “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 7 INDUSTRY

specializing in coffee production, raise the coffee sector so that In El Salvador it is possible to but it was in 1979 that Coex there is more production and make a special, differentiated acquired the San Miguel benefit, farms are not abandoned”. coffee. The farms are in the best located in Ahuachapán. The Coex will begin to create the area, are well maintained and company then started working name of its specialty , with a friendly environment that in merchandising and no longer and will seek financial support creates a positive environment in production due to the agrarian so that its people continue to for the community. reform, producing 4 million producing and exporting. “At COEX and in the roasting quintals at that time, and 600 Of its production, approximately plant, we focus on promoting millions today. 45% goes to the US, 35% to the production of differentiated Europe and the rest to Asia. The coffee through our brand, In 1989, COEX decided to give buyer of his special coffee is in Coffee Nest. We also support Raúl Álvarez equal importance to the financial the USA. the children of the producers President area, financing customers and “Every year 10 or 12 coffee through the COEX Foundation Coex shade cover crops, especially for the propagation and production of cuttings or stakes for the export market. For these crops, the elevations of 700 to 900 meters high offered by the western part of the country are ideal, since the average annual temperature is 22 to 24 ° C (72 to 75 ° F). In addition, it has water availability for irrigation and a topography that goes from flat to semi-flat. Aquaculture sector: The privileged warm tropical climate that the country has and its Source: ASI Ranking 2019 strategic location are ideal for aquaculture production throughout the year, and for the supporting them, looking to companies visit us, especially and the Supérate program, marketing of fresh fish fillets to how accommodate their product from the US, there is a specific where they can develop their markets in developed countries. in price and quality, allowing one that goes to the farms and technical skills, learn English Fruit sector: In El Salvador, them to grow over time. supports us in the social area to and attend courses of values. five types of fresh fruit have “This financing could also be work with the Coex Foundation, Under the Edubecas program, access to the US market: hybrid granted by the Government or for the education of children and we provide school scholarships coconut, Persian lemon, , private financial entities but to cover their basic needs. There from kindergarten levels to and pineapple, MD-2 unfortunately in El Salvador is a very good communication university careers to children variety and fine cocoa aroma . In the financing for the sector is that helps to improve the quality and youth in the coffee sector addition, the country has a large extremely limited, very few and social aspect of the area”, because we recognize that for number of areas available and people support, but financing says Álvarez. the coffee business to grow and suitable for the cultivation of could be obtained from the There are opportunities to work be sustainable we must ensure these five fruits and fine cocoa same consumers, something and invest in the coffee sector. the well-being of the people aroma , ranging from sea level important to give sustainability

“El Salvador is a regional leader in the production and export of juices and snacks”

to 600 meters high. These crops to the business long term”, says offer opportunities for export to Raúl Álvarez, President of Coex. the United States, to meet local Currently, the company has five and regional demand, or to meet agencies distributed in the most the demand for pulp and fruit important coffee production concentrate. areas in the country. At the end of 2018, coffee The company provides its exports represented US $ 113.40 products to a wide range of million, equivalent to a 6.6% globally recognized buyers, from reduction compared to the US $ specialized merchandisers to 120.94 million reported in 2017. prestigious roasters. Meanwhile, exports by volume in Coex El Salvador was founded in 2018 showed an annual growth 1975, in 1976 in Guatemala and of 7.7% by sending additional in 1979 in Honduras and Miami. 35.18 million kilograms to the foreign market, equivalent to The Vision of the company is 2.53 million additional compared to offer the consumer and the to 32.64 million kilograms in buyer the coffee they need for 2017. their markets. It is necessary Between 2018 and April 30, 2019, to have the variety to serve El Salvador has exported 396,577 customers with differentiated, quintals of coffee, summing up controlled and well managed sales for $ 49,910,563. coffee so that producers have And talking about coffee, it profitability. is necessary to mention this Álvarez comments: “We want to great company called Comercial be an environmentally friendly Exportadora (Coex). company, that is very important The company was stablished in in the coffee sector, we must El Salvador’s western area in 1975

Exports and Total Imports January - August 2017 - 2019 / Millions of US $

FOB Exports GIF imports “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 8 INDUSTRY

secondly the search for more market in 1994, at that time nutritious such as eggs there was only one company and chicken meat, since they are that distributed water in glass the lowest-cost animal protein carafes to homes. Alpina compared to beef or fish. There changed the market by entering are opportunities in this area with plastic bottles, which because it is competitive in price quickly entered the market with and quality”, says Jorge Jiménez, good public acceptance, mainly General Manager of Sello de Oro. because the packaging was The company is over 50 years old, more practical. and it was founded by a group Another innovation that the of pioneer farmers in the chicken company had was to sell Jorge Jiménez industry. At the beginning the Alejandro Villalta water with a low percentage of General Manager production was quite artisanal, General Manager sodium. These two important Agua Alpina Sello de oro but over the years it started using characteristics led Agua Alpina technology and consequently it to be introduced in the market, who constitute it”, concludes reached volumes at an industrial followed by El Salvador, with starting then with 30 routes and Álvarez. level, until the moment they one million dollars, Costa Rica, reaching 180 today. Data from the Poultry Farmers needed to provide genetics, with 800,000 dollars, Honduras Alpina is associated with the Association of El Salvador which was given through their and Guatemala, with 600,000 IBWA (International Bottled (AVES), indicate that in 2018, per sister company Criaves. dollars each , and Nicaragua with Water Association). To be capita consumption of chicken Criaves is the largest chicken $ 400,000, as indicated by the members of that association and eggs grew 4.4% and fell incubator in Central America website CentralAmericaData. they must have the NSF 0.5% respectively, compared to and one of the leading genetics The North American country is certification, which makes an the 2017 data. companies worldwide with more the origin market of the imports annual inspection to evaluate In addition, they reveal that in than 40 exclusive distributors. that has grown the most in the the processes and quality. the last five years, Salvadorans Sello de Oro is a pioneer in the last eight years, since in 2012 it Alpina has different product went from consuming an average broiler industry and its strength represented 28% of the total lines such as: flavored water, of 40.6 pounds of chicken and lies in the development of value- Central American purchases, Alpina 5 gallons, Alpina sport, 207 eggs in 2014 to 47 pounds added products such as breaded and in 2019 that proportion “According to AVES, the investment in the poultry sector is around $ 15 million annually” and 186 eggs in 2018. foods and a variety of cold Compared to its Latin American meats. Other products include peers, El Salvador is below the fresh chicken, wings, fillets, average consumption of poultry marinades, shredded meat, and eggs. chicken taco, etc. The products According to the June 2019 are diversifying in respond to the report of the Poultry Industry market demands. magazine, the country consumes “Lately we have focused on an equivalent of 21.3 kilograms, certifications to be able to be representing only two thirds at the level of the different of the region’s average (30.7 countries of the region, and thus kilograms or about 67.6 pounds); have the capacity to leave the and almost reached the average borders of El Salvador to export. in the number of eggs consumed That is a great challenge and per person (209). opportunity, especially in value- An estimated of 9,000 people added products such as cooked are directly employed in poultry or fried products that do not increased to 58%. ice , Alpina Bebé, to mention production in El Salvador have sanitary restrictions for However, it is import to highlight few.. (80,000 indirect); 60% belong export”, says Jiménez. the presence of excellent The company’s main objective to the rural area and a large part In the medium term, the and recognized companies is to have national coverage with are women. company intends to reach the nationwide in the area of bottled quality service. Besides, they try “The poultry sector is growing US, a nostalgic market where water, such as Agua Alpina, to ensure that their equipment for two reasons: Firstly, the their products are known and a company that entered the and processes go with a degree population increase and, Sello de Oro is recognized as an of automation, investing in it to emblematic company. achieve greater productivity. Jiménez adds: “We want ES TOMAR DECISIONES “We are established in this to transcend in the Central VIVIR market although we also plan American region to go to other to reach abroad, we have very markets where we can be very good quality products, which competitive in terms of quality would allow us to reach other and product innovation”. countries, however, for the

CERTIFICADO moment we have not made any From January to March 2019, the POR: strategic partnerships but it is main importer of bottled water MIEMBRO DE in our future plans”, concludes in Central America was Panama, TOMA Alejandro Villalta, General with three million dollars, Manager of Agua Alpina. “This supplement is printed and distributed in select areas by the LOS ANGELES TIMES. It does not involve the editorial staff of the LOS ANGELES TIMES” 9 TOURISM

The best waves of previous year. October, where it is possible to see Salvador is the ideal destination El Salvador has a solid and waves of more than 3 meters. It is for the establishment of hospitals Central America growing tourist demand, it has there when the waves take large and specialized clinics aimed at an air hub with traffic of more dimensions and consistencies, attending patients residing in the than 470 weekly arrivals and achieving the maximum splendor United States and Canada. departures. Additionally, it offers of Salvadoran surfing. The arrival of tourists to El El Salvador offers a wide variety attractions and tax incentives Surf City is the emblematic project Salvador for medical reasons, of hotels; excellent gastronomic guaranteed by the Tourism Law that the Government of Nayib under the program of the and shopping options, as well as, and the International Services Bukele intends to promote in the Government and private entities an outstanding road connectivity Law. next five-year period in the main of the United States, quadrupled and proximity between multiple Among the main tourist tourist attractions. attractions of the country are El The natural wealth of the country Imposible National Park (a tropical “The strategic location of the country makes it together with the Tourism mountain forest that houses the an important hub for international events” Law with its attractive fiscal largest biodiversity of plants and incentives, and the strong support animal species in the country); of the Government of El Salvador, San Andrés (an old capital of a beaches of El Salvador with the to more than 24 thousand people have made this sector one of the Mayan manor that prevailed purpose to stimulate tourism in in less than seven years, according most dynamic in the Salvadoran over the other settlements of the the country. Morena Vigil, Minister to figures shared in Washington economy, according to official valley between 600 and 900 AD); of Tourism, explained that the DC by officials from that country. data, and for this year is expected Suchitoto (a colonial city with project will be implemented El Salvador promotes medical to continue this trend. entrenched cultural traditions, in “the premium beaches for tourism under the program From January to August 2019, stone streets, and adobe houses El Salvador received 1.7 million with forged balconies); just to visitors, representing an increase mention a few. of approximately 3% over the When referring to its , it “San Salvador is the oldest capital city in Central America. It was founded on June 18, 1524 by the conqueror Pedro de Alvarado” same period of the previous year. can be said that the typical food It is expected that more than 2.6 for excellence is the , million people visit El Salvador which is a filled with during 2019, presenting a growth , beans or , among of 6.2% compared to last year. other ingredients. The traditional As of August 2019, the income uses corn as of foreign currency derived from the main element, reflecting the Source: Ministry of Tourism visits for vacation to the country customs of the ancient villages. increased by 16.4%, reaching However, if El Salvador must $ 42.4 million. In terms of the be recognized for something, surfing”. “El Salvador: Destination for arrival of international visitors, is because it is one of the ten “El Salvador is more than what is Health” , a partnership between 62,552 tickets were registered, countries in the world that has said, we want you to come because the tourism industry, the health of which 48, 209 entered by land the best waves to surf. we have the 10 best beaches to sector and private companies in and 14,343 by airway. The best waves for surfing in surf and also is a place to share the United States. Regarding the income from El Salvador are those of Sunzal with family or friends; disconnect Medical January to August 2019, foreign beach, La Paz, La Perla beach and and enjoy the best weather and other countries is growing due exchange earnings in El Salvador El Zonte conditions and our people who are to as the high health cost in the have been $ 1,142 million, 12% The season to find the best waves very friendly”, says Vigil. United States, compared to those more than the same period of the is between the months of April to In the medical tourism niche, El in Latin American countries.