Economic and social impacts of COVID-19 and climate change on coffee growing in the Central American Northern Triangle

December 16 2022
Mauren esquivel

December 16, 2023. INCAE consultant and researchers participated in the study "Economic and social impacts of COVID-19 and climate change on coffee growing in the Central American Northern Triangle", developed by the IDB and the Hanns R. Neumann Stiftung Foundation ( HRNS), with the participation and support of the coffee institutions and whose objective is to have quantitative information that allows guiding decision-making.

In the Central American Northern Triangle, the coffee value chain plays a preponderant role in the economy and in the social fabric. In Guatemala, Honduras and El Salvador, it contributes up to 5% of the GDP and around a quarter of a million families depend on it for their livelihood, the majority being small producer families. The chain presents challenges of productivity, labor availability, profitability and inclusion, among others. Challenges that are exacerbated in the context of COVID-19 and climate change.

“This study marks a before and after due to the level of detail and rigor with which it explores both the impact and the comprehensive response of the coffee value chain to COVID-19 and other climatic phenomena. It constitutes a central piece for decision-making at the regional level, in this crop that is so decisive for the social fabric of our rurality”, commented Alejandro Roblero, CLACDS/INCAE Consultant.

The results highlight important elements in terms of gender, youth and indigenous peoples considerations. The impact of climate change is imminent, amplifying the effect of COVID-19 at the family and production unit level. In addition, the migratory dynamics in this context are reported.

The analysis concludes by pointing out similarities and differences between the countries, lessons learned from the different actors in the chain, and recommendations to strengthen the sustainable, resilient, and inclusive development of this area.

This study was developed by Ana R. Ríos, IDB, Pablo Ruiz and Claudia Muñoz from HRNS, Alejandro Roblero Bogantes, CLACDS/INCAE consultant, and Jalima Noguera Marenco, INCAE researcher, with the technical collaboration of Juan Pablo López, CLACDS researcher. /INCAE, Jorge Sandoval (HRNS), Mario Chocooj (ANACAFE), Beatriz Moreno (ANACAFE), Tomas Bonilla (CSC), René de León-Gómez (PROMECAFE), Omar Funez (CONACAFE), Néstor Meneses (IHCAFE), Bayron Medina and Rogelio Arroyo (independent consultants).

You can find the study in the following link.

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