Interested in linking to "Rebuilding a nation"?
You may use the Headline, Deck, Byline and URL of this article on your Web site. To link to this article, select and copy the HTML code below and paste it on your own Web site.
So revitalized is the Salvadoran economy that it enjoys an average inflation rate of only 1.4 percent. The country's leadership is intent on offering a fluid assimilation for potential investors by refining its infrastructure: roads, ports, customs, telecommunications and, perhaps most importantly, its workforce. In this effort El Salvador has established 15 "free zones" for export industry. The zones bisect the nation from east to west and offer the resources of millions of workers in nearby radii. Free zone infrastructures are essentially ready-made or made-to-order industrial and office parks linked to transportation centers. All of these zones are established, populating and under constant improvement.
Shipping to the U.S. takes five days or less and the country has begun development of Porto Cutaco,
| "Every time we have turmoil, we come out stronger. We are survivors and constructors of our future."
--Guillermo Valiente, Investment Promotion Manager for Proesa |
a colossal port by Central American standards, set to open in 2005. Global players like Unilever and Bimbo are already taking advantage of the benefits of proximity to U.S. and Mexican markets by establishing distribution centers in the country. There is already a warm market indeed; 33 percent of El Salvador's population is living in the United States and hungry for Salvadoran products. With 20 flights daily to and from the U.S., the cultural gap is disappearing. Companies like Arrocera San Francisco, S.A. de C.V., a distributor of Goya and manufacturer of Dona Lisa, among other brands, has been trading in New York and Western U.S. markets for years.
"We as a government can be the provider of the infrastructure the investor needs to do business, and that means, roads, better ports and better labor," says Vice President Quintanilla.
| Tiendecitas -- the network of economy.
Palm-leaf lean-tos weave together the Salvadoran packaged goods economy. Generally operated by Salvadoran women and children in colorful dress, these tiendecitas purvey everything from fresh fish and coconuts to Coca-Cola and cookies. Often little more than shade, there are approximately 50,000 of these independently operated tiendecitas, which dot nearly every street, road and path in El Salvador. Collectively, they form one of the most independent yet concerted distribution networks in the Americas, and are the key to product distribution for small and large manufacturers alike. "Eighty percent of our customers are tiendecitas," says Jose Carlos Bonilla, president of Embotelladora Salvadorena, the Central American operations hub of Coca-Cola. No matter how remote a tiendecita may be, it is well stocked with Coca-Cola and a menu of snack foods from Diana Productos Alimenticios and other manufacturers. "The key to the success of our business is this distribution," says Renato Barrera of Diana Productos Alimenticios. "We go to the small mom and pop stores; that's what this region is all about." Diana has a fleet of some 70 trucks and small vans that navigate through the country delivering the multitude of snack products. "We know where to find them," continues Barrera. "We know the people." Shack-like structures or more developed, the tiendecitas also serve as cultural centers for both rural and urban Salvadorans. After working hours, the roadsides are lighted by tiendecitas sending music and aromas of native dishes through the humid night. |
FoodProcessing.com is the go-to information source for the food and beverage industry. We offer processing best practices as well as new products, equipment and ingredients for food and beverage processors.