Capsicum and pimenta fruits market in Central America

Earlier Report Observations

Between 2018 and 2023, production of fresh capsicum and pimenta fruits in Central America showed volatility but ended higher, rising from 3.5 million tonnes to 3.8 million tonnes. Exports more than doubled during this period, peaking at 1.3 million tonnes in 2021, which sharply reduced the domestic market size to 1.5 million tonnes that year before recovery to 2.7 million tonnes by 2023. This export expansion was primarily driven by increasing demand in North America, especially the United States, where protected agriculture boosted year-round consumption and import needs.

The strong export performance from 2020 onward aligned with heightened North American demand and a broader global trade uplift, as key markets like the United States and China increased their pepper imports. Adverse weather conditions in 2022 impacted supply in some producing regions, yet Central American production grew that year. By 2023, evolving consumer preferences toward high-quality and organic peppers further supported market expansion and domestic consumption recovery.

Production capsicum and pimenta fruits in Central America

In kind, 2017-2020, K t

Top producers of capsicum and pimenta fruits, 2017-2020

World map of production of capsicum and pimenta fruits, 2017-2020

In 2019, Central America produced 2,863 thousand tons of capsicum and pimenta fruits, which was the lowest output during the period. Production then increased modestly by 3.5% to reach 2,962 thousand tons in 2020. Looking at the broader trend from 2017 to 2020, production declined by 13.4%, averaging a 4.7% annual decrease. The peak was recorded in 2018 at 3,501 thousand tons, while the sharpest drop occurred in 2019 with an 18.2% decline.

Annual dynamics of production in Central America in kind, 2017-2020, K t

In value, 2017-2020, M $ US

In 2019, the value of capsicum and pimenta fruits production in Central America was at its lowest point, totaling 4,912 million US dollars. By 2020, this increased significantly by 12.5% to 5,524 million US dollars. Over the four-year period from 2017 to 2020, production value decreased by 7.7%, with an average annual decline of 2.6%. The highest value was recorded in 2018 at 6,332 million US dollars, and the largest decrease occurred in 2019 with a 22.4% drop.

Annual dynamics of production in Central America in value, 2017-2020, M $ US

Exports capsicum and pimenta fruits from Central America

Exports in kind, K t

Exports of capsicum and pimenta fruits from Central America have grown for three consecutive years. In 2019, exports stood at a certain level, and by 2020 they reached 817.9 thousand tons, marking a modest increase of 3.5%. From 2017 to 2020, exports rose by 31.2%, with a compound annual growth rate of 9.5%.

Annual dynamics of product's exports from Central America in kind, 2017-2020, K t

Between 2017 and 2020, the United States was the overwhelmingly dominant buyer of capsicum and pimenta fruits from Central America, accounting for 97.2% of total exports in volume.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Central America in kind, 2017-2020

Exports in value, M $ US

Exports of capsicum and pimenta fruits from Central America have increased for the third year in a row. In 2020, export value reached 1,525 million US dollars, representing a 12.5% year-over-year rise. Over the period from 2017 to 2020, exports grew by 39.7%, with a compound annual growth rate of 11.8%.

Annual dynamics of product's exports from Central America in value, 2017-2020, M $ US

From 2017 to 2020, the geographical pattern of exports in value terms showed a strong reliance on the United States, which absorbed 98.8% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Central America in value, 2017-2020

Imports capsicum and pimenta fruits to Central America

Imports in kind, K t

The data shows irregular changes, indicating a volatile market environment. In 2018, imports hit their lowest point at 0.6 thousand tons, with a 25.5% decline that year. They then surged by 85.3% in 2019, and by 2020 reached 1.2 thousand tons, marking a 2.0% increase from the previous year. The peak was recorded in 2020, creating a 1.9-fold gap compared to the 2018 low.

Annual dynamics of product's imports to Central America in kind, 2017-2020, K t

Over the period from 2017 to 2020, the United States was the main source for imports of capsicum and pimenta fruits into Central America, accounting for 6.2% of total flows in volume.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Central America in kind, 2017-2020

Imports in value, M $ US

Imports of capsicum and pimenta fruits into Central America have risen for three consecutive years. In 2020, imports totaled 6 million US dollars, up by 7.3% compared to the prior year. Between 2017 and 2020, imports increased by 85.7%, with an average annual growth rate of 22.9%.

Annual dynamics of product's imports to Central America in value, 2017-2020, M $ US

From 2017 to 2020, the United States stood out as the primary supplier of capsicum and pimenta fruits to Central America, accounting for 32.4% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Central America in value, 2017-2020