Pepper market in Costa Rica

Earlier Report Observations

The volume of the pepper market in Costa Rica showed a general upward trend from 1 961 t in 2018 to 2 110 t in 2023, despite a temporary dip in 2019. The initial high market level in 2018 was supported by active processing and production projects from the company Propica in key growing regions and by strong, unsatisfied export demand from Mexico, the country's primary regional market. This export-oriented dynamic provided a solid foundation for the market's activity.

The COVID-19 pandemic in 2020 prompted a shift in sales channels, exemplified by the launch of the online platform Pimiento Rosa, which facilitated distribution and helped maintain market volume during the disruption. In subsequent years, the market continued to expand, reaching 1 955 t in 2022. This growth occurred even as local production faced phytosanitary challenges from the spread of Fusarium spp., a pathogen affecting black pepper crops in areas like Sarapiquí and Guatuso. The market's resilience was underpinned by an increase in imports, which compensated for domestic production pressures.

By 2023, the market volume had climbed to 2 110 t. The consistent export demand from Mexico and the United States remained a key feature throughout the period, supporting overall market growth despite occasional local production constraints.

Production pepper in Costa Rica

In kind, 2017-2020, t

From 2017 to 2020, Costa Rica ranked 22nd globally in pepper production volume.

Top producers of pepper, 2017-2020

World map of production of pepper, 2017-2020

In 2020, Costa Rica produced 1 680 tons of pepper, an 8.8% increase from the previous year. Production reached its highest point in 2018 at 1 806 tons, then fell to a low of 1 545 tons in 2019, marking the largest decline of 14.5%.

Annual dynamics of production in Costa Rica in kind, 2017-2020, t

In value, 2017-2020, K $ US

Costa Rica's pepper production value declined for the third consecutive year. In 2020, output was valued at 7 548 thousand US dollars, a sharp 20.0% drop compared to 2019. Over the 2017-2020 period, production value decreased by 39.5%, with a compound annual growth rate of -15.4%.

Annual dynamics of production in Costa Rica in value, 2017-2020, K $ US

Exports pepper from Costa Rica

Exports in kind, t

After two years of contraction, Costa Rica's pepper exports increased in 2020, reaching 166.6 tons, up 47.0% year-over-year. However, exports hit their lowest point in 2019 at 113.3 tons, with the largest decline of 43.9% occurring in 2018. Overall, from 2017 to 2020, exports decreased by 53%, with a compound annual growth rate of -22.2%.

Annual dynamics of product's exports from Costa Rica in kind, 2017-2020, t

From 2017 to 2020, El Salvador (28.7% of exports in kind), Mexico (16.9%), and Honduras (13.7%) were the leading destinations for Costa Rica's pepper exports, collectively accounting for 59.3% of total flows.

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

World map of product's exports from Costa Rica in kind, 2017-2020

Exports in value, K $ US

Following a two-year drop, Costa Rica's pepper exports in value terms rose in 2020, reaching 748 thousand US dollars, an 8.2% increase from 2019. The lowest value was recorded in 2019 at 692 thousand US dollars, with the largest decline of 56.7% in 2018. Between 2017 and 2020, exports decreased by 71.4%, equating to an annualized rate of -34.1%.

Annual dynamics of product's exports from Costa Rica in value, 2017-2020, K $ US

During 2017-2020, El Salvador (31.8% of exports in value terms), Mexico (16.0%), and Guatemala (12.0%) topped the list of buyers for Costa Rica's pepper, together making up 59.9% of total export value.

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

World map of product's exports from Costa Rica in value, 2017-2020

Imports pepper to Costa Rica

Imports in kind, t

Costa Rica's pepper import volume declined for the third year in a row. In 2020, imports totaled 266.2 tons, a 14.0% decrease from the previous year. Over the 2017-2020 period, imports fell by 31.6%, with a compound annual growth rate of -11.9%.

Annual dynamics of product's imports to Costa Rica in kind, 2017-2020, t

From 2017 to 2020, the United States (57.6% of imports in kind), Vietnam (21.0%), and Spain (4.4%) were the primary suppliers of pepper to Costa Rica, together comprising 83.0% of total imports in kind.

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

World map of product's imports to Costa Rica in kind, 2017-2020

Imports in value, K $ US

Foreign pepper supplies to Costa Rica declined for the third consecutive year. In 2020, imports were valued at 1 462 thousand US dollars, a solid 10.6% drop from a year earlier. Over the 2017-2020 period, imports decreased by 49.2%, with a compound annual growth rate of -20.2%.

Annual dynamics of product's imports to Costa Rica in value, 2017-2020, K $ US

In 2017-2020, the United States (61.4% of imports in value terms), Vietnam (15.7%), and Spain (6.2%) together accounted for 83.2% of total import value, remaining the key sources for pepper to Costa Rica.

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

World map of product's imports to Costa Rica in value, 2017-2020