This guide offers a comprehensive overview of Honduras's agroindustrial and agrifood potential, highlighting the main investment opportunities, the favorable economic environment, and the applicable legal framework. It is designed as a practical starting point for entrepreneurs and institutions interested in developing business in the country.
SECTORIAL GUIDE FOR INVESTMENT IN AGROINDUSTRY
Iris Xiomara Castro Sarmiento President of the Republic of Honduras
Miguel Medina Minister of Investment Promotion Executive Secretary of the National Investment Council
Board of Directors National Investment Council 2023-2025
Editorial team: Lourdes Carrasco Melchor Alvarenga
Mario Alexander Peña Karen Cecilia Alvarenga
Design and layout: Luding Guzmán
Omar Pantoja Sergio Canales
Publication coordination: Lourdes Carrasco
Translation: David A. Cruz Pineda
Special thanks to the Food and Agriculture Organization of the United Nations (FAO).
Printed in: Papelería e Imprenta Honduras S. de R.L. Tegucigalpa, Honduras. This document is for public use and may be distributed, copied and used for social purposes, without altering its contents, citing the source.
First edition R 2025
Technical Directorate of Sector Development Directorate of Innovation and Investor Service Head of Data Intelligence National Investment Council Main Offices Centro Cívico Gubernamental, torre 1 nivel 12. Tegucigalpa, M.D.C. Honduras Website: www.cni.hn
San Pedro Sula Regional Office Chamber of Commerce and Industry of Cortes. (CCIC) Col. Las Brisas 22 y 24 calle entre 1 y 4ta. avenida Junior.
All rights reserved. Total or partial modification of this material by any means is strictly prohibited without the prior written consent of CNI and the responsible authors.
Iris Xiomara Castro Sarmiento President of the Republic of Honduras
With the Government of Honduras, we seek to increase investment and trade flows, strengthening tourism and the development of new mechanisms to drive economic growth. We work to consolidate strategic relations that generate greater opportunities and benefits for the country.
”
Miguel Medina Minister of Promotion and Investments and Executive Secretary CNI
The Agricultural Guide is a strategic tool that reflects Honduras’ commitment to promo - te sustainable investments and turn our agricultural potential into real opportunities for growth and territorial development.
”
PhD. Laura Elena Suazo Secretariat of State in the Offices of Agriculture and Livestock (SAG)
We are working for a more competitive environment, with policies that define the path of the agrifood sector. The future of agriculture is built with vision, commitment and strategic alliances that place our producers at the center.
”
Fátima Espinal Mercedes Resident Representative Food and Agriculture Organization of the United Nations (FAO)
We contribute to the development of the agro-alimentary sector, promoting investments through technical support for the generation of instruments such as this guide, which will orient and motivate investments in the sector, generating employment and increa- sing the income of producer families.
”
Prioritized investment sectors
Tourism Manufacturing Infrastructure
Energy
Agroindustry
This guide offers a comprehensive overview of Hon- duras’ agribusiness and agri-food potential, highligh - ting the main investment opportunities, the favorable economic environment and the applicable legal fra- mework. It is designed as a practical starting point for entrepreneurs and institutions interested in doing business in the country. Although we have worked exhaustively to ensure the accuracy of the information, we recommend seeking professional advice from the National Investment Council (CNI) team who will provide personal gui- dance and support throughout the Investor’s Route process
Content
10 11 12 14 15 16 17 18 21 22 25 26 29 32 33 33 34 35 37 38 40 47 51 54 56
Executive summary Acronyms and abbreviations Reasons to invest in Honduras Honduras in figures Population of Honduras Human talent 1. Economic overview of Honduras 1.1 Economic growth
1.2 Economic growth outlook 1.3 Macroeconomic Context 2. Investment outlook for Honduras 2.1 Foreign Direct Investment 3. Overview of the Honduran agro-industrial and agrifood sector 3.1 Characteristics of the agrifood sector in Honduras 3.2 Forest coverage and land use 3.3 Climate of Honduras 3.4 Watersheds of Honduras 3.5 Productive water infrastructure 4. Product with high investment potential in Honduras 4.1 Specialty and organic coffee 4.2 Tropical fruits 4.3 Vegetables and greens 4.4 Spices and aromatic plants 4.5 Fine cocoa and aroma 4.6 Tobacco
4.7 Other products with investment potential 5. Agri-food chains with production and trade potential in domestic and international markets 5.1 Meat (beef and pork) 5.2 Dairy products 5.3 Corn 5.4 Beans 6. Legal and commercial aspects for investing and operating in the agribusiness sector
60 57
58 60 64 66 69 70 71 72 76 80 83 84 87 90
6.1 Formalization and incorporation of a company 6.2 Legal framework for the agricultural sector 6.3 Agribusiness regimes and benefits 6.4 Export and import formalities 6.5 Free trade agreements 7. Institutional framework 7.1 Public entities 8. Success stories 9. Portfolio of investment opportunities
Executive summary
nable production technologies and efficient supply chains, aligned with the global demands of the sector. Finally, the document addresses current interna- tional trade deals and agreements, detailing the requirements for access to demanding markets. Key standards and certifications are presented in areas such as phytosanitary and animal health regulations, packaging and materials, labeling, sustainability and product quality, ensuring that investors have the in- formation they need to compete in global markets. With this guide, investors will be able to understand the potential of the Honduran agro-industrial sector, know the opportunities available and have a clear roadmap to start or expand their investment in the country.
The investor´s guide of Agroindustry sector in Hon- duras has been designed as a comprehensive tool for those seeking to explore investment opportunities in the country´s agroindustry sector. It provides an overview of Honduras, its economic environment and its potential in the agroindustry sector, serving as a starting point for investors interested in this strategic sector. The document begins with an analysis of the natio- nal economic outlook, highlighting the main growth indicators, macroeconomic stability and key drivers of the economy. Through an analysis of production and marketing, a selection of products with high potential for in- vestment in cultivation, agro-industrial processing and exports is presented. Priority has been given to agro-industrial value chains that respond to interna- tional market trends and generate added value, em- ployment and territorial development. The guide also details the legal and regulatory fra- mework applicable to investments in the agroindustry sector, including national and international regula- tions of agricultural and agro-industrial products. It presents the key requirements and procedures for creating and formalizing an agrifood company, from initial registration to obtaining specific permits. In addition, practical guides on how to invest in some of the prioritized products are included, highlighting the essential steps for setting up operations, avai- lable incentives and market trends. It also explores opportunities in agricultural infrastructure, sustai-
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SECTORIAL GUIDE Agroindustry
Acronyms and Acronyms
Km: Kilometers
ARSA: Health Regulation Agency
lb: Pounds
BCH: Central Bank of Honduras
CACM: Central American Common Market
WB: World Bank
MDC: Central District Municipality
CICs: Research and Training Center
MM: Billions
CNI: National Investment Council
msnm: Meters above sea level
ECLAC: Economic Commission for Latin America and the Cari- bbean
GDP: Gross Domestic Product
CST: Central Standard Time Zone
PECH: Honduran Electronic Commerce Platform
CENTREX: Export Processing Centers
PAMEH: Administrative Platform of the Exonerations Module
DICTA: Directorate of Agricultural Science and Technology
of Honduras
DUCA: Single Central American Declaration
PRONAGRO: National Agrifood Development Program
EF: Education First
pp: Percentage Points
FAO: Food and Agriculture Organization of the United Nations
RPM: Revision of the Monetary Program
FHIA: Honduran Foundation for Agricultural Research
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RAP: Private Contributions Regime
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FENAPROCACAHO: National Producers Federation of Cacao in Honduras
SECTORIAL GUIDE Agroindustry
RTN: National Tax Registry
RIT: Temporary Import Regime
FOB: Free on Board
SAR: Revenue Administration Service
IMF: International Monetary Fund
SAG: Secretariat of Agriculture and Livestock
HAACP: Hazard Analysis and Critical Control Points
SENASA: National Agrifood Health and Quality Service
ha: Hectare
SINAPH: National System of Protected Areas of Honduras
IHCAFE: Honduran Coffee Institute
SIECA: Central American Economic Integration System
IHSS: Honduran Institute of Social Security
TGR: General Treasury of the Republic
INFOP: National Institute of Professional Training
TM: Metric Tonnes
ISR: Income Tax
UA: National University of Agriculture
ISV: Sales Tax
EU: European Union
IPC: Consumer Price Index
UHT: Ultra High Temperature
FDI: Foreign Direct Investment
Kg: Kilograms
National Investment Council Honduras
REASONS WHY TO INVEST IN HONDURAS
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Page Strategic Position and Connection with the World 1 coastline on the Caribbean and 133 km on the Pacific. 11 Trade Agreements in force covering 45 nations and the Central American Common Market (CACM), with access to more than 1.3 billion consumers. In the heart of Central America, 671 km of
2
Port Efficiency and Quality 3 Located in the Caribbean Sea, Puerto Cortes is positioned as one of the largest and most efficient ports in the region with Super Post Panamax cranes, its certification as a Mega Port and the Integrated US Customs.
SECTORIAL GUIDE Agroindustry
Modern Infrastructure and Logistics Efficiency
8 logistics corridors, including the Logistics Corridor, a vital route linking the Pacific and Atlantic oceans. 8 maritime facilities , 6 in the Caribbean and 2 in the Pacific, 4 international airports and 1 domestic airport , in addition to 21 airlines.
Demographic Advantage 4 9.9 million inhabitants with an annual growth of 1.5 % and an average age of 31 years. 70.7 % of the population in working age of which 55.7 % of the population is economically active. From 2020 - 2023, there were more than 899 thousand graduates in extracurricular education
Capable Bilingual Personnel 5
System 6
Solid and Growing Financial
1st in Central America and 3rd in Latin America in English proficiency according to the 2024 EFL English proficiency index. linguistic proficiency of the population and solid educational environment, with more than 830 bilingual educational centers.
9 foreign and 6 domestic owned banks, 2 state owned banks and 12 insurance institutions , with optimum levels of solvency, profitability, liquidity and adequate administrative management, complying with national and international norms and standards.
and 101 thousand graduates in higher education.
HONDURAS in Figures General Data:
Official Name
Honduras Republic
Capital City
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Tegucigalpa, M.D.C.
SECTORIAL GUIDE Agroindustry
Total area
President of the Republic of Honduras Iris Xiomara Castro Sarmiento
112,777 km2
Official Language Spanish Modern languages
Time zone Central Standard Time (CST), UTC -6
Misquito, Pech, Tol, Tawahka, Chorti, Garifunas y Englis/speaking Black or Islander
Form of Government Republican, democratic and representative
HONDURAS Population 2024 Total Population:
9.9 million inhabitants
Male: 46.6 % Female: 53.4 %
Age percentage: 31 years
working-age population (WAP) 7.0 million of inhabitants 70.7 % of the total population (2024) 45.1 % Men Women 54.9 % Economically Active Population (EAP) 3.9 million of inhabitants 55.7 % of the working-age population (2024)
59.7 % Male
Female 40.3 %
Occupied Population: 3.6 million inhabitants (2024)
Unoccupied Population: 206 thousand inhabitants (2024)
Source: National Institute of Statistics (INE)
Human Resources Extra-curricular education
+of 899,000 graduates (2020-2023) 38,700 Agricultural 827,800 Commerce and services 32,600 Industrial
Higher Education
+of 101,400 professional graduates (2020-2023)
8,200 Technicians 8,500 Post grades
31,400 Social Sciences
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SECTORIAL GUIDE Agroindustry
22,100 Administrative Sciences, Accounting and Economics
3,400 Natural and exact sciences 800 Humanistic and Arts Sciences
17,100 Engineering and IT
8,700 Health Sciences
650 Specialties
6 public and 15 privates
21 Superior Education Institutes
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Economic overview of Honduras
Sectorial Guide for Investment in Agroindustry
1.1 Economic Growth In recent years Honduras has shown remarkable resilience, with periods of sustainable growth , reaching an annual GDP variation of 3.6% in 2024, higher than expected, exceeding the minimum of the target range established in the revision of the 2024-2025 Monetary Program, In 2024, the country ranked as the fourth fastest growing economy in Central America and the second in the Northern Triangle of Central America (El Salvador, Guatemala, Honduras). Economic growth was mainly supported by Financial Intermediation; Communications; Electricity and Water; Commerce and Construction. It should be noted that for 2024, the Economic Commission for Latin America and the Caribbean (ECLAC) estimates projected lower growth for some of the sub-regions with respect to 2023: South America at 2.1% (1.7% in 2023); the group formed by Central America and Mexico, 1.8% (3.2% in 2023), and the Caribbean (excluding Guyana), 2.4% (2.5% in 2023).
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SECTORIAL GUIDE Agroindustry
STRUCTURE PERCENTAGE OF ECONOMIC ACTIVITIES WITH RESPECT TO GDP
Constant Values, 2024
28
%
Financial Brokerage, Insurance and Pension Funds
12 % 12 % 8 % 4 % 5 %
17 % 10 % 4 % 7 %
Agriculture, livestock, forestry and fishing
Manu- facturing Industries
Commerce: Hotels and Restaurants
Commu- nications
Property and Housing: Real Estate and Business Activities
Educational Services: Social and Health Services
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SECTORIAL GUIDE Agroindustry
Electricity and Water Distribution
Transportation and Storage
3
%
Cons- truction
Public Administration and Defense
Community Services: Social and Personal Source: National Accounts Department, Short-Term Statistics Section, BCH. 2 %
0. 2%
Mines and Quarries Exploitation
National Investment Council Honduras
GDP GROWTH IN CENTRAL AMERICA, 2024 (%)
3.5 Guatemala
3.6 Honduras
1.6 El Salvador
3.8 Nicaragua
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SECTORIAL GUIDE Agroindustry
4.3 Costa Rica
6.1 Panamá
Source: Prepared by the authors with data from the Central Bank of Honduras and its counterparts in Central America.
1.2 Economic growth prospects In 2025, the region is expected to recover slightly at a rate of 2.4%, equivalent to 0.2 percentage points more than in 2024. In this context, according to data from the BCH, a favorable evolution is expected for the Honduran economy in the next two years, placing it in the range, according to the recently published Monetary Program, between 3.5 % and 4.0 %. Likewise, according to international organizations, they agree that Honduras will maintain its economic growth in a range of 3.5 % to 3.8 % for this year. ECLAC placed its GDP growth projection for Honduras at 3.6% for 2024, above several countries in the region such as El Salvador 3.0%, Mexico 2.4%, Panama 2.6%, and Guatemala 3.5%. It also exceeds the average for Latin America and the Caribbean region 2.2% and Central America 2.8%. By 2025, exports of goods are projected to increase by 6.3%, as a result of higher coffee prices due to lower pro- duction forecasts in Brazil because of adverse weather conditions. Higher international prices are also forecast for palm oil, sugar and shrimp. However, this will be partially offset by the drop in banana exports, affected by lower volumes and prices. In addition, sales of goods for transformation, such as apparel and harnesses, are expected to increase, driven by the recovery in demand for vehicles and the reduction of textile inventories in the US.
Growth Projections CENTRAL AMERICA 2024-2025
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3.6 4.3 2.5 2.6 3.3 3.7 3.2 3.6 3.1 3.6 3.1 2.9
3.5 4.0 2.7 2.9 4.0 3.7 3.6 3.7 3.5 3.6 3.0 2.6
3.4 4.3 2.5 2.6 4.1 3.7 3.3 3.6 3.2 3.6 4.0 2.9
Year: 2025 2024
Costa Rica
SECTORIAL GUIDE Agroindustry
El Salvador
Guatemala
Honduras
Nicaragua
Panamá
Source: Own elaboration with data from ECLAC, WB and IMF.
National Investment Council Honduras
1.3 Macroeconomic context 1.3.1 INFLATION AND MACROECONOMIC STABILITY
Economic activity continues to show strength, registering a 3.6 % cumulative growth to 2024, supported mainly by domestic factors and the good performance of most economic activities. Honduras ranked as the fifth fastest growing economy in Central America, Panama and the Dominican Republic in 2024. Total inflation continues to decelerate in 2024, remaining within the medium-term tolerance range established by the BCH (4.0% ± 1.0 pp), after remaining outside it since December 2021. Thus, as of December 2024, it showed an interannual variation of 3.88 %, 1.31 pp lower than that observed in the same month of 2023 (5.19 %). The BCH forecasts for total inflation indicate that it will remain within the established tolerance range (4.0% ± 1.0 pp) throughout 2025, indicating that the deceleration of inflation would be faster than expected in the RPM 2024- 2025, as inflation in services continues to moderate and international food and fuel prices register lower growth.
Inflation: year-on-year percentage change in the CPI
Period
2022 2023
2024
CPI Interannual Variation
9.80
5.19
3.88
Source: Own elaboration with data from the Central Bank of Honduras.
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1.3.2 FOREIGN TRADE In 2024, exports of goods and merchandise (excluding services) totaled US$11,047.1 million. The manufac- turing industry accounted for 41% of this amount (US$4,516.6 million), while textile products contributed 35% (US$3,904.8 million). Together, both activities accounted for 76% of the country´s total exports. The manufacturing sector showed significant growth in the assembly of machinery and electrical appliances, especially in the production of harnesses, with an increase of US$65.4 million. Other products that registered an increase in export volume and value were precious metals and other nonferrous metals (US$55.9 million), other food products n.e.c. (not previously classified) (US$45.8 million), and plastic products (US$28.1 million). In 2024, imports of merchandise and transformations goods under the CIF regime totaled US$19,640.7 mi- llion. Of this amount, merchandise represented US$16,244.1 million (83%), while transformation goods totaled US$3,396.6 million (17%). The main imported products were machinery, apparatus, electrical materials and their parts, as well as recor- ding devices: US$3,176.3 million, fuels and lubricants: US$2,713.9 million. Textile materials and manufactures: US$2,701.9 million. Chemical and related industry products: US$2,159.0 million. Together, these products repre- sent a 54.7% total imports.
SECTORIAL GUIDE Agroindustry
Principal export products (2024)
Machinery and electrical equipment (mainly harnesses)
Crude palm oil
Banana
Clothing
Gold coffee
US$429.2
US$3,427.4 millions
US$1,369.0 US$1,218.2
US$506.2
millions
millions
millions
millions
Source: Own elaboration with data from the Central Bank of Honduras, 2024.
Main export trading partners (2024)
United States of America
Central America
Mexico
Germany
Belgium
Netherlands
Italiy
Source: Own elaboration with data from the Central Bank of Honduras, 2024.
Main import products (2024)
Machinery and apparatus, electrical equipment and parts
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Textile materials and articles
Products of chemical or related industries
Fuels and lubricants
Food Industry
SECTORIAL GUIDE Agroindustry
US$3,176.3
US$1,956.3 US$2,713.9 US$2,701.9 US$2,159.0
millions
millions
millions
millions
millions
Source: Own elaboration with data from the Central Bank of Honduras, 2024.
Illustration 11 - Main import trading partners (2024)
United States of America
Central America
China
Mexico
Germany
India
Brazil
Source: Own elaboration with data from the Central Bank of Honduras, 2024.
National Investment Council Honduras
Exports of Goods FOB (Millions of dollars)
US$12,246.9 US$11,348.2 US$11,047.1
2022
2023
2024
Source: Balance of Goods by Category, Central Bank of Honduras, 2024.
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SECTORIAL GUIDE Agroindustry
Imports of Goods FOB (Millions of dollars)
US$20,69 9.4 US$19,255.4 US$19,640.7
2022
2023
2024
Source: Balance of Goods by Category, Central Bank of Honduras, 2024.
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Ecomonic overview of Honduras
Sectorial Guide for Investment in Agroindustry
2.1 Foreign Direct Investment (FDI)
FDI flows in several countries in the region have continued to experience significant growth after the post-pan - demic phase. Honduras since 2020 has stood out as one of the countries with the highest increase in FDI, registering a growth of 24.6% in 2022 and 17.0% in 2023, far outpacing other economies in the region. In comparison, Costa Rica registered a decrease of 2.1% in 2022 and a growth of 19.7% in 2023. Nicaragua presented a 22.9% growth in 2022, followed by a 13.5% decrease in 2023. In the case of Guatemala, there was a contraction of 58.3 % in 2022 and a recovery with a growth of 10.0 % in 2023. These data are based on official figures and estimates from the Central Bank of Honduras (BCH), its counterparts in Central America and SEMCA Data.
Central America: FDI inflows by recipient countries (Millions of dollars)
1,694.5 Guatemala
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Honduras 993.9
SECTORIAL GUIDE Agroindustry
El Salvador 639.6
Nicaragua 1,352.3
Costa Rica 4,321.6
Panamá 2,832.0
Source: Prepared by the authors with data from the Central Bank of Honduras and its counterparts in Central America.
At the end of 2024, companies with foreign direct investment (FDI) in Honduras recorded a positive cumulative inflow of US$ 993.9 million, reflecting a decrease of 7.66 % compared to 2023. This decrease was mainly affec - ted by sectors such as manufacturing and commerce, which registered lower FDI inflows compared to those recorded in 2023, mainly due to lower reinvested earnings and an increase in accounts payable. In contrast, Financial and Insurance Activities led foreign investment with US$ 542.8 million, while the energy sector received US$ 111.1 million, strengthening the development of renewable energies. Regarding the origin of FDI in 2024, a net inflow of US$ 857.5 million was recorded from the Americas, with Co - lombia, Bermuda, Panama, Mexico and Guatemala standing out. While from Europe and Asia, countries such as Belgium, Spain, the Netherlands and the Philippines, are the ones that allocated the most capital to the country.
Net FDI flows by country of origin, 2024 (Millions of dollars)
Irlanda $1.4
Bélgica $120
$19.2 Canadá
España $78
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$147 México
Page
Japón $1.6
Bermuda $162
Países Bajos $35
SECTORIAL GUIDE Agroindustry
Corea del Sur $4.3
Bahamas $20
$6.7 Rep. Dominicana
$124 Guatemala $42
Hong Kong $2.8
Islas Caimán $19
Filipinas $20.5
El Salvador
$22 Nicaragua
Islas Vírgenes Britanicas $26
$15 Costa Rica
$9 Italia
$161 Panamá $2 Ecuador
Singapur $6
$298 Colombia
Nueva Zelanda $1.9
FDI flows in Honduras over the past four years
$208
$127 993.9
738.7
920.3
1,076.4
$79
2021
2022
2023
2024
$20.5
$12
$3.3
National Investment Council Honduras
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Overview of the agroindustrial and agri-food sector in Honduras
Sectorial Guide for Investment in Agroindustry
REASONS AGROINDUSTRIAL AND AGRO-FOOD SECTOR IN HONDURAS TO INVEST IN THE
Page Strategic location and logistical connectivity 1 2 3 Optimal agroecological conditions Wide agricultural diversity
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SECTORIAL GUIDE Agroindustry
Honduras is the logistical heart of Central America, with quick access to key markets in the Americas and the Caribbean . Its infrastructure includes ports and access to both oceans (Atlantic and Pacific), international airports and expanding highways , facilitating the export of fresh and processed products with lower logistics costs and delivery times.
The Honduran agricultural offer is vast and diverse , with traditional and specialized crops such as basic grains, tropical fruits, high value crops, vegetables and legumes. It also excels in raising cattle, aquaculture, beekeeping and fishing. The country's agricultural tradition, combined with advanced technical know-how, guarantees efficient and highly profitable processes.
Honduras offers an exceptional agro-ecological
environment that allows for year-round crop and livestock production. With 6 to 7 hours of effective sunlight per day for agriculture, altitudes ranging from sea level to 1,800 meters above sea level, fertile soils and abundant water sources , the country provides ideal conditions for growing a wide range of crops.
Page Skilled workforce 4 5 6 Honduras is the second country in Central America in availability of arable land per capita (0.36 ha per capita), which facilitates the expansion of large-scale agricultural Cultivable land with an ideal climate Agro-industrial sector competitivity
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SECTORIAL GUIDE Agroindustry
Honduras has a young, qualified and growing workforce with more than 70% of its working age population and a workforce with experience in the agro-industrial sector , where institutions such as Zamorano University, UNAG, INFOP and specialized universities are constantly training technicians and professionals in agriculture, agroindustry and food processing, ensuring trained talent for the demands of the sector.
Honduras stands out for its low cost of production, preferential access to markets and 2.7 million hectares suitable for cultivation. Its location facilities exports to the U.S., Europe and Central America, driving the growth of products such as coffee, cocoa, meat and basic grains. In addition to 11 free trade agreements and the CACM, it has access to more than 1.3 billion consumers in 45 nations.
projects. Its tropical climate allows the production of a variety of crops throughout the year, including high value-added products such as vegetables, cocoa, nuts, crustaceans, and forestry products.
National Investment Council Honduras
3.1 Characteristics of the agrifood sector in Honduras Honduras is the second largest country in Central America, with 48% of its territory covered by forests and approximately 2.7 million hectares of arable land, representing 24% of its total area. This natural wealth creates an ideal scenario for the expansion of the agro-industrial sector, offering opportunities in traditional crops, sus- tainable production and value-added agroindustry.
Agricultural activity is divided into regions specialized in different crops and products:
Atlantic Zone: Epicenter of oil palm, banana and citrus production, as well as an important dairy industry.
Central Zone: Recognized for the production of vegetables, basic grains, and non-traditional crops for export, with potential for demanding markets.
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Western and eastern zones: Distinguished for their production of co ee, tobacco and dual-purpose livestock, key export sectors.
Southern Zone: Famous for its melon and watermelon production, with a history of cotton production, making it ideal for agricultural diversi cation.
It also has a strong focus on exports, with close to 50% of the region’s sales to the world coming from agrifood products. Honduras, together with Guatemala and Costa Rica, generates 70% of the subregion’s total agricultural exports, confirming its relevance as a reliable supplier in international markets. The agricultural sector, which encompasses agriculture, livestock, hunting and fishing, accounted for 13.3% of GDP in 2023, with quarterly growth of 0.1%. This performance was driven by strong coffee production and the strengthening of basic grains cultivation, benefited by government programs for the delivery of improved corn, bean and sorghum seeds. It is one of the main drivers of employment in Honduras, with 24% of the economically active population linked to this industry, according to World Bank data in 2022. This high level of labor participation represents an ex- perienced and knowledgeable workforce, which facilitates the implementation of high-impact agricultural and agro-industrial projects.
3.2 Forest cover and land use According to the Forestry Statistical Yearbook of Honduras, the forest cover of Honduras was estimated at 6,314,814.59 hectares, distributed as follows: • Broadleaf forest; 4,312,771.59 hectares, equivalent to 68.30 % of the total forest. • Coniferous forest: 1,951,977.87 hectares, equivalent to 30.91 % of the total forest. • Mangrove forest: 50,065.14 hectares, equivalent to 0.79 % of the total forest. Currently, the National System of Protected Areas of Honduras (SINAPH) is made up of 93 protected areas covering more than 5 million hectares.
LAND USE for productive activities was estimated at:
Technified Agriculture
Pastures/ crops
African Palm
Other Palm species
Sugare cane
Pineapple
Rice fields
Musacea
3,697.04 hectares
841.02 hectares
80,752 hectares
2,682,197 hectares
202,599 hectares
408.74 hectares
6,711.14 hectares
39,550.63 hectares
3.3 Climate of Honduras Honduras has a considerable climatic diversity, determined by its mountainous topography and its three geo- morphological regions: the mountains (which cover more than 82% of the territory), the Northern Coastal Plain and the Pacific Coastal Plain. The predominant climate is tropical, with annual temperatures between 26°C and 30°C in the lowlands and 17°C to 21°C in the highlands. According to the Köppen-Geiger system, the country has different types of climates such as tropical savanna, monsoon, rainforest and high mountain climate, which allows agricultural production almost all year round. The marked seasonality divides the year into a dry season (November to April) and a rainy season (May to October), facilitating the planting of crops adapted to each season, both short-cycle and permanent. These conditions also benefit livestock, allowing optimal reproduction and development of major and minor species.
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Honduras: Average monthly temperatures (Consolidated for several cities) 2024 Minimum temperature Maximum temperature
10 15 20 25 30 35
30.5
30.1
29.5
29.3
29.1
29
28.7
28
27.9
26.2
26.6
26.3
21
20.8
20.1
20.4
20.8
20.3
20.3
18.8
18.6
17.5
17.8
17.3
0 5
National Investment Council Honduras
Enero Febrero
Marzo
Abril
Mayo
Junio
Julio
Agosto Septiembre Octubre Noviembre Diciembre
Own calculations with historical information from meteoblue.com
3.4 Honduras Watersheds Honduras has a vast water network made up of 25 main basins, 133 sub/basins and more than 6,800 mi- cro-basins , which positions the country as a territory with high availability of water resources for agro-indus- trial development. This natural wealth makes it possible to supply both projects. The main watersheds are strategically distributed in key agricultural areas, which facilitates the development of export crops, livestock production, aquaculture and water-intensive agro-industries.
AVAILABLE WATER SUFRACE
SALT WATER AND INDUSTRIAL USE 811.58 km² NATURAL LAKES AND LAGOONS:
642.27 km² NATURAL LAKES AND LAGOONS: FRESH WATER
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ARTIFICIAL WATER BODIES (DAMS AND RESERVOIRS):
SECTORIAL GUIDE Agroindustry
208.95 km² SHRIMP AND SALT SHRIMP FARMS:
102.26 km²
583.29 km² RIVERS AND VARIOUS WATERCOURSES:
This water environment also offers opportunities to invest in water harvesting, irrigation and sustainable water management infrastructure, which are key to meeting the challenges of climate change and ensuring the resi- lience of agrifood chains.
3.5 Productive Water Infrastructure Honduras has 11 irrigation districts strategically distributed in agricultural valleys, covering approximately 12,500 hectares. These systems are supported by the Secretariat of Agriculture and Livestock (SAG) and allow the cul- tivation of a wide variety of products for both domestic consumption and export. These data demonstrate the agricultural potential of Honduras and the need for sustainable management of soil and water resources to ensure long-term productivity.
Distribution of irrigation districts in Honduras and areas under cultivation
District Selguapa
Location
Hectares
3,275
Comayagua (Comayagua, Ajuterique y Lejamaní) y La Paz (La Paz)
Chiquila
Santa Bárbara (Macuelizo)
2,383
1,549
San Juan de Flores
Francisco Morazán (San Juan de Flores y Villa de San Francisco)
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Comayagua (San Sebastián)
887
San Sebastián
SECTORIAL GUIDE Agroindustry
El Paraíso (Oropolí)
Oropolí
667
Comayagua (San Antonio)
2,065
Flores
La Paz (Cane) Yoro (Sulaco)
Guangololo
413
Sulaco
Aprox. 500
Tepanguare
292 227
Comayagua (Lejamaní)
Valle (Nacaome)
Cofaisita
Comayagua (Ajuterique)
225
Ganso
These data demonstrate the agricultural potential of Honduras and the need for sustainable management of soil and water resources to ensure long-term productivity. Together these irrigation districts reach an area of approximately 12,500 hectares, in which products such as: coffee, melon, chili, lemon, soybeans, cocoa, cattle pasture, avocados, carrots, oriental vegetables, tomato, cucumber, eggplant, sesame, tobacco, sweet potato, onion, mango, timber (mahogany, teak, cedar, pine), okra, ayote, guava and other fruit trees.
National Investment Council Honduras
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SECTORIAL GUIDE Agroindustry
4
Products with high Agro-industrial Potential in Honduras
Sectorial Guide for Investment in Agroindustry
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SECTORIAL GUIDE Agroindustry
National Investment Council Honduras
This section presents a selection of high standard products for investment in cultivation, agro-industrial proces- sing and export. Priority has been given to sectors. That responds to international market trends and generates added value, employment and territorial develo- pment. Each subsector is approached from a technical and commercial perspective, with key information to facilitate decision making by any entrepreneur. 4.1 Specialty and Organic Coffee Honduras is one of the main producers of Arabica coffee in the Americas, with a growing international reputation in the specialty coffee segment. The country produces varieties with distinctive sensory profiles and has farms certified under schemes such as organic, fair trade and Rainforest Alliance. Main export destinations: Eighty percent of this production was traded with 8 countries and received an average price (FOB) of US$4.47 per kilo. The main market is Europe, to which 54% of the total volume is exported, 34% is exported to the United States, and 12% to the rest of the world. Innovation and competitiveness The Hanns R. Neumann Foundation has implemented an innovative network of 118 weather stations designed to optimize coffee production through access to real-time climate information. This system provides key data on temperature, relative humidity, wind speed and direction, wind gusts, dew point, accumulated rainfall and leaf wetness, allowing coffee growers to make strategic decisions based on accurate environmental conditions. In addition, Honduras has six Research and Training Centers (CICs), strategically located in Ilama (Santa Bár- bara), Linderos (Santa Bárbara), Campamento (Olancho), El Paraíso (El Paraíso) and Marcala (La Paz). These Centers play a fundamental role in the training of producers, agricultural innovation and technology transfer, strengthening the coffee value chain through best practices and specialized knowledge. The Honduran coffee sector also stands out in the international market for its commitment to quality and sus- tainability. Approximately 54% of coffee exports correspond to varieties differentiated by quality or certification, with seals such as Rainforest Alliance (17%), Organic (10%), Fairtrade Organic (8%), 4C (6%), Fairtrade (4%), UTZ (3%), Café de Mujeres (2%) and others (3%).
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SECTORIAL GUIDE Agroindustry
Coffee growing areas in Honduras
Escanea o dale clic al código QR
Steps and requirements for registering as a produ- cer and exporter Requirements to register as a producer:
Para un mayor detalle del proceso de exportación de café se puede utilizar el Manual de exportación elaborado por el CBI-SIECA-Unión Europea
Requirements to register as an exporter:
General Overview of coffee: Coffee / 8th largest exporter in the world A.
Producing departments: 15 departments
454,796.03 hectares Area under coffee cultivation 419,341.28 hectares Area cultivated in production
Lempira 15.56 %, Copán 15.21 %, Comayagua 14.71 %, Ocotepeque 12.66 % and El Paraíso 8.85 % From October to march Production station:
Varieties grown: 6.06 millions qq Gold production
(46 kg sacks)
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Employment generation: +than a million jobs producing about a 38% of Agricultural GDP
Lempira, Parainema; IHCAFE-90, Caturra, Pacas, Villa Sarchi, Bourbon and Típica
SECTORIAL GUIDE Agroindustry
Producers:
+of 92 thousands
Export value and volume:
B.
8,000
6,990.2
5,973.9
5,879.6
6,000
4,000
2,000
1,218.2
1,392.5
1,404.9
0
2022
2023
2024
Value (US$)
Volume Sacks 46 Kg (Thousands of units)
Note: The trade data presented corresponds to tariff code 0901.11.00, which classifies unroasted and non-decaffeinated coffee. Source: Prepared by the authors with data from the Central Bank of Honduras, SAG-PRONAGRO and IHCAFE.
National Investment Council Honduras
4.2 Tropical Fruits Honduras has optimal agro-ecological conditions for the production and industrialization of high-quality tropical fruits such as guava, pineapple, melon, rambutan and watermelon, among others. Watermelon overview: Watermelon / 7th largest exporter in America A.
from 23 MT to 45 MT per hectare Productive Performance
10 producers in the southern zone and AGROLIBANO, which produces certified seed. Number of producers
3,600 hectares Production Area
Charlestón Gray, Sugar Baby, Mickey Lee Cultivated varieties
122,400 tons National production
Valle, Choluteca, El Paraíso, Olancho, Yoro y Comayagua. Production Zones
MAIN EXPORT DESTINATIONS: United States (88 %), El Salvador (11 %), Guatemala (0.6 %) y Nicaragua (0.4 %).
Export value and volume:
B.
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58.5
SECTORIAL GUIDE Agroindustry
57.2
60
42.4
45
30
15
12.8
19.2
19.4
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: Trade data presented corresponds to tariff code 0807.11.00, which classifies fresh watermelons. Source: Own elaboration with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
A.
Melon overview: Melon / 8th global exporter
10 to 15 small producers and 2 exporting companies Number of producers
of 30 MT/ha Productive performance
7,805 hectares Production Area
Honey Dew, Cantaloupe y Galia Cultivated varieties
Employment generation 11 to 12 thousand temporary jobs and about 1,500 permanent jobs
Choluteca and Valle Production Zones
234,150 tons National production
MAIN EXPORT DESTINATIONS : 13 countries worldwide, with the highest percentages in the United States of America (72%), the Netherlands (16%) and Japan (2%).
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Export value and volume:
B.
SECTORIAL GUIDE Agroindustry
160.9
160
149.2
152.9
120
84.0
86.7
85.7
80
40
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: Trade data presented corresponds to tariff code 0807.19.00, which classifies fresh melons. Source: Own elaboration with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
National Investment Council Honduras
Overview of pineapple Pineapple / 8th largest exporter worldwide
A.
Azucaron (sugar), Smooth Cayenne, Champaka and Md2 Cultivated varieties Throughout the year thanks to the country's tropical climatic conditions. Production stations
4,413 hectares Production area
Ocotepeque, Copán, Cortés, Atlántida, Yoro and La Paz. Production area
63,500 tons National production
MAIN EXPORT DESTINATIONS : 4 countries worldwide, with the highest percentages going to the United States of America (94.8%), Belgium (5.2%), Guatemala (0.006%).
B.
Export value and volume:
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74.1
67.8
SECTORIAL GUIDE Agroindustry
56.9
60
41.1
37.3
40
31.5
20
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: The trade data presented corresponds to the tariff code 0804.30.00, which classifies pineapples. Source: Own elaboration with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
Overview Cashew
A.
Cashew / 4th largest exporter in the Americas
2,300 Number of producers
from February to May Production Station
IAL 75, CIAL 14, DESIREE and Australian Cultivated varieties
3,100 hectares Production areas
22,500 quintals National production
Choluteca, Valle and Comayagua Production Zones from 4 to 7.5 quintals per block (0.70 ha) Productive performance
Employment Generation 2,300 direct jobs in cultivation and 342 jobs in processing
MAIN EXPORT DESTINATIONS : 4 countries worldwide, Germany (81%), El Salvador (15%), Costa Rica (3.5%), Nicaragua (0.3%), Guatemala (0.2%).
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Export value and volume:
B.
SECTORIAL GUIDE Agroindustry
58.5
57.2
60
42.4
45
30
15
12.8
19.2
19.4
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: Trade data presented are for the tariff code 0801.32.00, which classifies shelled cashew nuts. Source: Prepared by the company with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
National Investment Council Honduras
Overview of Rambutan:
A.
Rambutan / 8th largest exporter in the Americas
2,500 Number of producers
from August to November Production stations
R134, R156 and R16 Cultivated varieties
3,000 farms and 5,250 hectares Production Areas
Employment Generation 2,500 direct employments
Atlantida, Yoro, Colon, Cortes and Olancho Productive zones
10,998 tons National production
9,000 kilos per-manzana (0.70 ha) Productive performance
MAIN EXPORT DESTINATIONS : 6 countries worldwide, with higher percentages in El Salvador (50 %), the United States of America (43 %), Nicaragua (6 %) and Guatemala (0.6 %).
Export value and volume:
B.
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SECTORIAL GUIDE Agroindustry
28.1
28
21
14
11.0
6.0
5.6
7
5.2
2.5
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: Trade data presented are for tariff code 0801.32.00, which classifies shelled cashew nuts. Source: Prepared by the company with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
Avocado overview
A.
Avocado / 14th largest exporter in the Americas
from 4.2 tons per hectare Productive performance
350 producers Number of producers
Hass, Wilson Popenoe, Simmonds, Belice, Sureño, Choquette, Booth 7, Booth 8, Noviembre, Catalina, Simpson, FHIA 1, FHIA 3, Tardío y Lula Cultivated varieties
Productive zones
El Paraíso, Santa Bárbara, La Paz, Intibucá, Comayagua, Lempira, Copán, Colón, Ocotepeque, Yoro, Francisco Morazán, Choluteca and Olancho
Employment Generation 1,117 employments
560 hectares Production Areas
2,352 tons National production
MAIN EXPORT DESTINATIONS: El Salvador (77 %), Guatemala (18 %) and Nicaragua (5 %).
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Export value and volume: B.
SECTORIAL GUIDE Agroindustry
740.8
600
558.9
521.8
450
300
150
81.8
77.0
74.2
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: Trade data presented are for tariff code 0804.40.00, which classifies Avocado. Source: Prepared by the company with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
National Investment Council Honduras
Banana overview
A.
Banana / 13th largest exporter in the world
9 companies Number of producers
Cultivated varieties
Curaré enano and gigante, morocas or chatas, dominico harton, cuerno, as well as the FHIA hybrids (FHIA-17, FHIA-23, FHIA-18).
2,550 hectares Production Areas
Employment generation from 4 to 5 thousand employments
Cortes, Atlántida, Yoro and Colon Productive zones
During the year Production stations
30.4 million 40-pound cartons National production
MAIN EXPORT DESTINATIONS: 8 countries worldwide, with higher percentages in the United States of America (99 %), United Kingdom (0.99 %) and Ireland (0.05 %).
Export value and volume:
B.
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SECTORIAL GUIDE Agroindustry
800
684.9
638.6
600
490.9
506.2
491.6
449.3
400
200
0
2022
2023
2024
Value (millions of US$)
Volume (millions of Kilos)
Note: Trade data presented are for tariff code 0803.90.11, which classifies fresh bananas. Source: Own elaboration with data from the Integrated Foreign Trade System of the BCH and SAG-PRONAGRO.
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