Peru has become one of the largest agro-export markets in Latin America. Thus, the Ministry of Foreign Trade and Tourism (Mincetur) has presented expectations for record figures in exports, surpassing $65 billion in international sales.

In this context, Beatriz Tubino, the Head of New Business, Corporate Affairs, and Sustainability at Agroextiende, commented in an interview with DFSUD that the plan is to transform the company into “an agro-export complex” in the country.

Agroextiende is a Peruvian capital company that manages investment funds for the development of the agro-export business. It operates over 1,000 hectares in Piura, where it is currently developing the Agroindustrial Complex.

Tubino, who is also a national basketball player—although currently injured—mentioned that “our vision is to become an agro-export complex.” She projected that “by 2028 we will have 400 hectares of blueberries with a business model that invites third-party investments (individuals) to develop the business.”

In that regard, the food industry engineer from the Agrarian University of Peru detailed that the return on investment provided to investors over time is “a minimum of between 25-30%, which is much higher than the financial system.”

This is under the microfinance system, where investment is made in small plots of a few hectares. For larger plots, between 40 and 100 hectares, whose objective is also to develop the agro-export business, a minimum investment of $15,000 is required, and a return is delivered by the third year.

“Throughout my professional career, I have been in associations and the private sector. Now I am in charge of creating and generating a whole business model and trust for third parties to invest in Peru, specifically in Peruvian agro-export of blueberries, which is a product in which the country is the leading exporter worldwide,” emphasized Tubino.

Seeking Investments: Chile and China in Focus

According to the expert, globally, the consumption of agricultural products is increasing, and Peru is a market that continues to grow. One of the factors that will drive the industry and the country is the port of Chancay, “which looks towards Asia with efficiency and has a profitability margin that we can share.”

Tubino recalled that they already have 300 investors, and a few months ago, they opened the first office in Chile to attract more people interested in their business model.

“We chose Chile because we are brother countries in agroindustry,” emphasized the engineer. However, they won’t stop at just these two markets, as the plan is to expand in the region, and “we are also looking at China to bring investments to Peru, and since we will have this efficient gateway with the Port of Chancay, we will be much more connected.”

Regarding this market, Tubino revealed that they have already had conversations with Chinese firms to invest in Agroextiende, “they are even more advanced than with countries in the region, but since many of these companies have a component of the Chinese government, the timelines are longer.”

Peru in Leadership

Today, the Peruvian market leads blueberry exports, surpassing Chile, which used to lead this industry. This, according to Tubino, is because Peru has comparative advantage factors that they have leveraged, such as the climate, which allows for faster varietal replacements, harvests, and return on investment.

Additionally, the Peruvian market has commercial windows with “flexibility” and agronomic management that looks towards markets with higher opportunities. “That management and commercial strategy in managing the fields is because we have a more stable climate, which helps us penetrate markets.”

Furthermore, Peru’s productive units “are larger than many other countries, which allows us to have economies of scale, efficiency, and a more uniform product in export batches.”

These characteristics have provided confidence to investors and consumers regarding the Peruvian product. However, Tubino clarified that “all of this is also thanks to Chile and all its expertise in fruit agro-export, which they have shared with us, thanks to more than $4 billion in Chilean agro-export investments in Peru.”

Read the full article here: