Wheat and meslin flour and cereals market in Panama

Earlier Report Observations

The market for wheat and meslin flour and cereals in Panama showed significant volume fluctuations between 2018 and 2023, starting at 108.5 thousand tonnes, peaking at 122.8 thousand tonnes in 2020, and declining to 105.2 thousand tonnes by 2023. A key regulatory shift occurred in May 2021 with the creation of the Panamanian Food Agency (APA), which established strict mandatory hygiene, safety plans, and Central American technical standards for food establishments, affecting production and market conditions.

Global supply factors significantly influenced the market, particularly in 2022 when drought in Russia, a major global wheat producer, drove up international wheat prices. This directly impacted Panama's entirely import-dependent flour market, increasing costs for flour-based products. Concurrently, the implementation of a new technical regulation for the mandatory enrichment of wheat flour with iron and vitamins in 2022 altered domestic production requirements. Local millers like Harinas del Istmo maintained market competitiveness through its FSSC 22000 food safety certification obtained in 2019.

The market volume stabilized around 113 thousand tonnes in 2021-2022 before a further adjustment in 2023, influenced by ongoing compliance with international standards such as the U.S. FSMA for exports and broader sustainability regulations affecting supply chains. These combined regulatory and global price pressures were central to shaping market dynamics throughout the period.

Production wheat and meslin flour and cereals in Panama

In kind, 2017-2020, K t

Top producers of wheat and meslin flour and cereals, 2017-2020

World map of production of wheat and meslin flour and cereals, 2017-2020

Panama produced 117.2 thousand tons of wheat and meslin flour and cereals in 2020, marking a significant 33.7% increase compared to 2019. Production reached its lowest point in 2019 at 87.6 thousand tons, with the largest decline that year at 17.0%. Over the period from 2017 to 2020, overall production grew by 18%, translating to an annualized growth rate of 5.7%.

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

In value, 2017-2020, K $ US

In 2020, the output value of wheat and meslin flour and cereals in Panama reached 56 939 thousand US dollars, reflecting a substantial 51.3% increase from 2019. The largest decline was recorded in 2019 at 7.6%. From 2017 to 2020, production value rose by 67.1%, which corresponds to an annualized growth rate of 18.7%.

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

Exports wheat and meslin flour and cereals from Panama

Exports in kind, t

Market performance showed noticeable fluctuations during this period. The lowest export volume was recorded in 2019 at 143 tons, while the highest was observed in 2017, resulting in a peak-to-trough ratio of 53 times. In 2020, Panama's foreign supplies of wheat and meslin flour and cereals amounted to 184 tons, representing a 28.7% gain compared to 2019. The largest decline occurred in 2019 at 96.9%.

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

From 2017 to 2020, the export partner base in kind was extremely narrow, with Venezuela alone accounting for 91.8% of total flows.

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

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

Exports in value, K $ US

Market behavior was characterized by volatility during these years. Exports reached their lowest point in 2019 at 61 thousand US dollars and peaked in 2017, showing a variation of 42 times between these years. In 2020, Panama's wheat and meslin flour and cereals exports totaled 89 thousand US dollars, corresponding to a 45.6% increase compared to the previous year. The largest decline was recorded in 2019 at 96.6%.

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

Throughout 2017–2020, Venezuela served as the primary destination for wheat and meslin flour and cereals exports from Panama, consistently absorbing 91.0% of total exports in value terms.

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

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

Imports wheat and meslin flour and cereals to Panama

Imports in kind, t

Panama's import volume of wheat and meslin flour and cereals declined for the third consecutive year. In 2020, imports totaled 5 833 tons, showing little to no change compared to 2019. Between 2017 and 2020, imports decreased by 50.8%, equating to an annualized decline rate of 21.0%.

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

From 2017 to 2020, Mexico (66.4% of imports in kind), Costa Rica (12.1% of imports in kind), and the United States (11.3% of imports in kind) were the principal sources for imports in kind, jointly accounting for 89.8% of total flows.

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

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

Imports in value, K $ US

In 2020, cross-border shipments of wheat and meslin flour and cereals to Panama amounted to 4 839 thousand US dollars, showing a 2.9% gain over the previous year. The minimum value was recorded in 2019 at 4 701 thousand US dollars, while the maximum was in 2018 at 7 308 thousand US dollars. The largest decline occurred in 2019 at 35.7%, and the largest increase was in 2018 at 9.0%. Between 2017 and 2020, imports decreased by 27.8%, equating to an annualized decline rate of 10.3%.

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

Throughout 2017–2020, Mexico (42.3% of imports in value terms), the United States (34.6% of imports in value terms), and Costa Rica (10.6% of imports in value terms) formed the core of imports in value terms, together taking 87.5% of total flows.

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

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