Tallow market in El Salvador

Earlier Report Observations

The tallow market in El Salvador experienced a pronounced contraction from 2018 to 2023, with total volume falling from 2 947 t to 1 699 t. This decline was interrupted only by a temporary recovery in 2021, when the market grew to 2 219 t. The overall trend was driven primarily by a substantial reduction in imports, which dropped by more than half over the period, while domestic production showed relative stability.

In 2022, the market volume fell to 1 973 t, influenced by broader economic conditions. An inflation rate of 7.3% eroded consumer purchasing power, likely reducing demand for tallow and its derivatives. Concurrently, government measures to contain rising international fuel and raw material prices aimed to mitigate production costs, but the complex global economic environment contributed to a slowdown in commercial transactions affecting the market.

Available import data for 2024 and 2025 shows a tentative increase to 1 226 t and 1 325 t respectively, suggesting a potential stabilization in foreign supply. However, without corresponding production figures for these years, the total market volume cannot be determined, leaving the post-2023 trajectory unclear.

Production tallow in El Salvador

In kind, 2018-2021, t

Top producers of tallow, 2018-2021

World map of production of tallow, 2018-2021

El Salvador's tallow production increased for the second consecutive year. In 2021, the country produced 559.5 tons of tallow, marking a gradual improvement of 4.7% compared to the previous year. Between 2018 and 2021, production grew by 11.2%, which translates to an annualized rate of 3.6%. The lowest production level was recorded in 2019 at 492.0 tons, with the largest decline that year of 2.2%. In contrast, the largest increase occurred in 2020, with production rising by 8.6%.

Annual dynamics of production in El Salvador in kind, 2018-2021, t

Exports tallow from El Salvador

According to industry reports, there was no export of tallow from El Salvador between 2018 and 2021.

Imports tallow to El Salvador

Imports in kind, t

After a two-year decline, cross-border shipments of tallow to El Salvador increased. In 2021, the country imported 1 659 tons of tallow, showing a significant rise of 18.3% compared to the previous year. However, between 2018 and 2021, imports decreased by 32.1%, equating to an annualized decline of 12.1%. The lowest import volume was recorded in 2020 at 1 402 tons, with the largest drop that year of 30.2%.

Annual dynamics of product's imports to El Salvador in kind, 2018-2021, t

From 2018 to 2021, Nicaragua accounted for 70.0% of total tallow imports to El Salvador in kind, while the remaining flows were distributed among multiple smaller partners.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to El Salvador in kind, 2018-2021

Imports in value, K $ US

The market exhibited volatility during these years, with a 2.2-fold difference between the peak in 2018 and the low in 2020. In 2021, imported tallow volumes in El Salvador totaled 1 535 thousand US dollars, representing a substantial increase of 103.5% over the previous year. The lowest value was recorded in 2020 at 754 thousand US dollars, and the largest decline occurred in 2019, falling by 36.3%.

Annual dynamics of product's imports to El Salvador in value, 2018-2021, K $ US

Between 2018 and 2021, Nicaragua and Honduras were the dominant sources for imports in value terms, jointly accounting for 91.1% of total flows, with the remainder going to other markets.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to El Salvador in value, 2018-2021