In 2023, Peru ranked tenth as the global exporter of capsicum. However, thanks to its quality, it has enormous potential to continue growing and improve its market share, said Walter Seras Pacheco, president of the Capsicum Committee of the Exporters Association (ADEX).

At the 1st Capsicum Business Meeting, organized by the association, he detailed that the country exports these products in various forms: canned, dried, fresh, and frozen.

"We are in tenth place, although we only account for 3% of global shipments. The challenge is to leverage our potential and double this percentage in the coming years,” he stated.

He recommends focusing on established markets like the United States—capsicum's most important market—Mexico, the main market for dried capsicum, and other emerging markets like Guatemala, whose orders grew by 26% last year.

He also highlighted Asian nations, particularly China, which, thanks to the Chancay mega-port, could become a major destination for fresh capsicum.

He suggested paying attention to capsicum paste, as their demand increases year by year. While they currently represent only 2% of the total, in 2 or 3 years, they could account for 5%. "The world needs inputs, and we are the ideal supplier," he emphasized.

Recommendations for the Capsicum Sector

Seras Pacheco raised concerns about issues facing the sector, such as the use of banned pesticides (chlorpyrifos, paraquat, and glyphosate), the shortage of certified seeds, and contamination of water resources by heavy metals. Climate phenomena and price speculation also affect production, reducing volumes by 35% in key areas like Barranca.

“We must avoid the use of these pesticides, they reduce our competitiveness and could cause us to lose markets. Remember, these crops generate income for thousands of Peruvian families and employ a significant portion of the rural population, who face considerable challenges in a context of political and economic crisis,” he added.

He also mentioned the increased demand from the United States, which in 2022 imported over 1,268 tons worth $1.537 million.

“It’s a key destination, with a preference for varieties like yellow chili and bell peppers,” he said.

He said the public-private needs to collaborate to overcome current challenges and solidify Peru's position as a global leader.

"With innovation, sustainability, and market diversification, we can take Peruvian capsicum to the next level," he concluded.

Capsicum Export Figures

According to data from ADEX's Commercial Intelligence System, ADEX Data Trade, between January and September 2024, capsicum exports amounted to $223.7 million, showing a modest increase of just 1% compared to the same period in 2023 ($222.5 million).

The most exported forms were dried capsicum, accounting for 54%, followed by canned products (42%), fresh capsicum (2%), pastes (2%), and frozen capsicum. Paprika was the main product ($103.5 million), representing 46% of the total, followed by piquillo peppers and bell peppers.

In terms of destinations, the United States led the ranking with USD 85 million, although it contracted by 11.3%, representing 38% of the total. Mexico was in second place (USD 57 million), with a slight decrease of 0.3% and a 25% share. The top ten exporters also included Spain, Puerto Rico, Guatemala, the United Kingdom, Canada, Germany, France, and Brazil.

Additional Data

In 2023, Peru ranked 19th globally as a capsicum producer. Lima, La Libertad, Lambayeque, Arequipa, Tacna, and Pasco accounted for 74% of the country's production last year.