Updated Jan 16, 2023 01:55

Pimenta Pepper Market in Guatemala

Market Overview
For the third year in a row, the Guatemalan pimenta pepper market recorded growth in sales value, which increased by % to $ in . Overall, consumption posted a significant increase. Pimenta pepper consumption peaked in and is likely to see steady growth in the near future.

For the third year in a row, Guatemala recorded growth in consumption of pimenta pepper, which increased by % to tons in . Overall, consumption saw significant growth. Over the period under review, consumption attained the peak volume in and is expected to retain growth in the immediate term.

The value of the pimenta pepper market in Guatemala amounted to $ in , standing approx. at the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption saw a significant increase. Over the period under review, the market reached the maximum level in and is expected to retain growth in years to come.

Market Forecast
Driven by increasing demand for pimenta pepper in Guatemala, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to tons by the end of .

In value terms, the market is forecast to increase with an anticipated CAGR of +% for the period from to , which is projected to bring the market value to $ (in nominal prices) by the end of .

Market Structure
Pimenta pepper market in Guatemala consists almost entirely of imported products. In recent years, import price have increased sharply. Despite the hike in price, Guatemala relies completely on foreign supplies: the volume of domestic output remains insufficient to satiate market demand. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports decreased moderately (- percentage point) over the period under review.

Trade Balance
Guatemala remains a net importer of pimenta pepper; in physical and value terms, imports consistently exceeded exports from 2007 to . In , there was a significant trade deficit of tons, which was equal to $. This tangible trade deficit reflects the fact that the market remains dependent on imports, which is likely to continue in the medium term.