A country of opportunities Republic of El Salvador Economic, Trade & Tourism Office www.rree.gob.sv/cect [email protected] El Salvador ...at a glanze! Capital: San Salvador Language: Spanish Area: 21,041 Km2 Population: 6.5 mill. (2015) Chalatenango GDP (BIP) 26,7 bill. USD (2015); $4,107 per cap. Santa Ana Currency: $ USD Cabañas Ahuachapán Time Zone: UTC -6 San Morazán SonsonateLa Salvador San Vicente Libertad La El Salvador, located in the heart La San Unión Paz Miguel Usulután of the Americas, has an export- Islas del Golfo oriented economy! de Fonseca …Why invest in El Salvador? Productive labor force Investors certify that Salvadoran labor force is world famous for its industriousness, efficiency and work ethic. 2.9 million 57% 23,000 21 % Eng. & Tech. Labor force under 39 years Graduates per year or younger Competitive costs The Financial Times’ investment journal fDi Intelligence has classified El Salvador as the most cost effective country in Central America. Minimum Monthly Wage per Sector Commerce & Textile & Agriculture Industry (in USD) Services apparel $200.00 $300.00 $300.00 $295.00 Monetary stability Salvador dollarized its economy in 2001, therefore offers greater certainty to investors as a result of the elimination of foreign exchange risk . Only country in Central America with the US Dollar ($) as a legal tender. …Why invest in El Salvador? Competitive infrastructure The World Economic Forum places El Salvador’s infrastructure as one of the most competitive infrastructure in Latin America. Global Competitiveness Report - Quality of infrastructure ranking 2016-2017 (out of 138 countries) 59 51 73 86 74 76 91 83 84 102 98 109 92 125 116 CR ES HN GT NI ES HN NI GT CR HN GT ES CR NI Attractive tax incentives The country’s legal framework provides full exemption from income tax, municipal taxes, taxes on transfers of real-estate property as well as customs duties and other taxes. Free Zones law International Services law Tourism law Renewable energies Investment law incentive law Construction projects Law and legal stability for Public Private procedure streamlining law investments law Partnership law (PPP) Strategic location El Salvador’s geographic location enables a short access time to major cities in North and South America. Preferential access to international markets Multiple trade agreements provide preferential access to more than 1.2 billion consumers in 43 countries around the world. Attractive investment climate Foreign Direct Investment FDI Stock 2016 USD 9.2 billion 34 % of GDP Examples of multinational companies with investment in El Salvador: Actual investment opportunities in El Salvador Vertically integrated Market based on Commercial aircraft Voice Business Process industry. production costs. maintenance service Outsourcing (Call Manufacture of yarn Bids based on long-term operations. Centers) and fabrics. contracts (20 years). R44 helicopter Non-voice Business Manufacture of knitted Clear rules under a legal maintenance operations. Processes Outsourcing garments (embroidery, framework that Light Sports Aircraft (LSA) (BPOs) screen printing, heat promotes the airframe part Shared Service Centers transfers, etc.). diversification of our manufacturing. (KPOs) Manufacture of energy matrix, at small Painting and garments (“Single and large scale. maintenance of Transformation”): bras, Attractive tax incentives commercial aircraft girl dresses, boxer for renewable energy interiors. shorts, sleepwear and investments. luggage. Actual investment opportunities in El Salvador Surf, fishing, adventure As a platform to produce and Auto parts (harnesses, tourism, the Mayan world export, El Salvador offers safety belts, inflators and and medical tourism ... all attractive opportunities in modulators for airbags, shock in one place. the following sectors: absorbers, brake drums & In tourism: Mixed-use rotors, etc.). developments, hotels, Aquaculture Sector. Medical devices (medical vacation homes, Marinas, Fruit Farming Sector. supplies, orthopedic etc. Processed Foods Sector. products, furniture, etc.) In health services: Passive electronic Hospitals, specialized These sectors are highly components. clinics, rehabilitation favored by good weather, Footwear (assembly of Centers, “Medical Spas”, connectivity and easy access components and parts, “Resort Hospitals” for to regional and international inputs, accessories and chronic diseases, etc. markets. footwear manufacturing.) El Salvador… open for business! IMPORT Products from EU EXPORT Products to EU # Mill. US$ # Mill. US$ (2010-2015) (2010-2015) 1 Mechanical artifacts & machinery$ 639.4 1 Coffee$ 586.3 2 Pharmaceutical products$ 409.7 2Tuna$ 363.9 3 Electrical & electronical parts & machines, products$ 345.7 3 Sugar and derivate$ 76.8 4 Metals (tantalum)$ 170.9 4 Textile & confection$ 77.9 5 Paper/cardboard, cellulose$ 150.2 5 Plants/cuttings$ 41.4 6Fertilizers$ 142.4 6Honey$ 35.4 7 Optical & medical instruments$ 129.1 7 Machinery Parts$ 12.1 8Food preparations$ 117.5 8 Shoes, parts & accessories$ 11.3 9 Plastic & manufactures$ 112.4 9 Beverages$ 10.7 EU 10Steel products$ 103.8 IMPORT Products from POLAND EXPORT Products to # Mill. US$ # POLAND Mill. US$ (2010-2015) (2010-2015) 1 Mechanical artifacts & machinery$ 3.3 1 Sugar and derivate$ 1.5 2 Pharmaceutical products$ 1.6 2Coffee$ 0.5 3 Essential Oils, cosmetic preparations, perfumes$ 1.5 3Tuna$ 0.1 4 Electrical & electronical parts & machines, products$ 1.4 5 Paper/cardboard, cellulose$ 0.6 4 Textile & confection$ 0.1 6 Inorganic chemical products$ 0.5 5 Medical Equipment$ 0.1 PL 7 Fertilizers$ 0.5 6 Chemical products$ 0.0 8 Optical & medical instruments$ 0.4 El Salvador is an ideal platform to export a diversity of goods and services to different markets MINERAL PRODUCTS 2% METAL MECHANIC OTHER 5% INDUSTRY 5% MACHINERY AND MECHANICAL PRODUCTS 5% PAPERS PRODUCTS 5% CHEMICALS PRODUCTS 6% APPAREL TEXTILES 6% 41% PLASTICS AND RUBBER 6% AGROINDUSTRY 11% FOOD AND BEVERAGES 8% El Salvador Exports 2016 (goods) USD $5.34 billion Others 6% USA 48% Central America 39% Panama 2% Dom. Rep. 2% Mexico Spain 1% Taiwan 1% Italy 1% 1% Tourism in El Salvador Trade Investment Embassy of El Salvador in Germany [email protected] - Tel: (+49) 30 2064660 Economic, Trade and Tourism Counselor [email protected] - Tel: : (+49) 30 20646617 Tourism Export and Investment Promotion Agency of El Salvador (PROESA) http://www.proesa.gob.sv - Tel: (+503) 25927000 Download our free App: Invest in El Salvador (PROESA).