Geography

  • main agriculture in the jungle
  • main port is in Lima
  • in between is a mountain range
    • need to cross the mountain range to get anything to the global markets
  • coast is very flat and dry (desert)
    • large farms with heavy machinery and technology are here
    • all the large cities are here
  • jungle is green and fertile
    • many small farms with local farmers and less technology/machinery

Logistical Challenge

  • challenging to bring products to the cost (ports)
    • journey takes ~20 hours
  • from 40C in the jungle to -10C on the mountain pigs
    • hard to keep a cooling chain going
  • a lot of products are lost (damaged) on the way due to spoiling
    • 70% of products for local markets are lost through the mountains
  • problems with infrastructure
    • landslides and poorly maintained roads in the mountains

Social Aspects

  • 70% of people are not formally employed
    • 90% within agriculture sector
    • 90% within the jungle agriculture sector

  • informal companies pay less taxes/benefits etc
    • a lot of companies are informal
    • hard to compete otherwise with other informal companies
  • certifications are worth a lot
    • getting access to markets informal companies cannot