Brown Bag Seminar: Ecuador's Exportable Offer Potential in the Swiss Market

Abstract

A Convention on Friendship, Establishment, and Trade has existed between Switzerland and Ecuador since 1888, and it’s considered by many to have been the start of a formal trade relationship between the two countries. Even though trade with Ecuador is relatively modest, there is a high potential in Switzerland for the Ecuadorian exportable offer. In 2018 Switzerland imported goods worth over CHF 70 million, mainly agricultural products, precious stones, and precious metals.

Ecuador is the largest exporter of bananas in the world but is the second largest banana provider to the Swiss market. Import tariffs and other market access barriers have affected Ecuadorian banana exports to the Swiss market. Even though Ecuador is not the largest world exporter of cocoa beans, it´s the main exporter of "fine" or "flavour" beans. That explains why Ecuador is the second provider of cocoa beans to the Swiss market. Importers from around the world consider Ecuador as a top rose producer. Ecuadorian roses benefit from unique growing conditions which make them more attractive to Swiss buyers. Ecuador recently announced a new public mining plan. It aims to hugely expand mining exports from $270 million in 2018 to more than $2 billion by 2023. Copper, silver and gold will become Ecuador's main mining exports. Since Switzerland is the world's largest gold importer, commercial ties between the two countries are likely to deepen. Switzerland and Ecuador are complementary in trade, which means that export promotion efforts could increase the exchange of goods.