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Costa Rican Agriculture Struggles with Coffee and Banana Decline

by Jessica

Costa Rica’s agricultural sector faces significant setbacks this year, despite overall economic growth. Recent reports show negative growth for two consecutive months. While the national economy grew by 3.6% in April and 4.2% in June, agricultural production declined by 0.2% and 2.4%, respectively.

The Central Bank of Costa Rica (BCCR) anticipates a possible recovery later this year, though current conditions remain challenging. The drop in coffee and banana production, exacerbated by a strong colón and adverse weather, has severely impacted exports.

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Oscar Arias Moreira of the National Chamber of Agriculture and Agribusiness (CNAA) notes a potential 30% reduction in exports. Although pineapple initially offset the decline, its performance has also waned. Jorge Sauma of Corporación Bananera Nacional (Corbana) expects improved conditions later in the year.

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Juan Manuel Sanchez of the National Chamber of Coffee Growers confirms a lower 2023-2024 coffee harvest, impacted by exchange rate fluctuations and economic strain on growers.

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