The Diplomat: What’s in Kazakhstan’s 2025 Development Plan?

 

"What’s in Kazakhstan’s 2025 Development Plan"

Wilder Alejandro Sanchez

Crossroads Asia

The Diplomat

23 March, 2021

Originally published: https://thediplomat.com/2021/03/whats-in-kazakhstans-2025-development-plan/

On the road to 2050, Nur-Sultan aims to diversify its economy and develop new industries.

 The government of Kazakhstan recently released its National Development Plan Through 2025, which complements the government’s primary objective of becoming one of the world’s 30 most developed nations by 2050.

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Peru Promotes Avocados In The US Market

"Peru Promotes Avocados In The US Market"
W. Alejandro Sanchez and Brittney J. Figueroa
Living in Peru
5 September 2017
Originally published: http://www.livinginperu.com/peru-promotes-avocados-us-market/

Avocado toast, avocado face masks, and avocado desserts are only some of the latest trends in the U.S. growing the demand for the delicious fruit and Peru is ready to provide.

Marketing for Peruvian products has hit the streets of the U.S. capital, Washington DC. One of the authors of this commentary has seen posters promoting Peruvian avocados plastered on the sides of DC public transportation metro-buses, which show aPeruvian avocado, with the renowned Machu Picchu in the background and the phrase “Avocados from Peru” in large font.

A web address (avocadosfromPeru.com) links to a site maintained by the Peruvian Avocado Commission, headquartered in Washington DC. The commission is part of the Hass Avocado Board, an organization that has a membership of some 20,000 producers and importers from California, Chile, the Dominican Republic, Mexico, New Zealand, and Peru all involved in the U.S. Market.

A Growing Market for Avocados

The increase in demand and trendiness of the fruit has greatly affected thepopularity of avocados, particularly in the coveted U.S. market (a 2014 USAID report explains that “the U.S. is a negligible avocado exporter”, so practically all of the 245,000 MT of domestic production is consumed domestically).

As an example of how this fruit has gone viral, at the time of this writing, there are6,424,857 public posts under the Instagram hashtag “avocado” with posts including colorful recipes by health gurus, tutorials on how to implement avocado into a beauty regimen, and even avocado art. According to the Hass Avocado Board’s report on market trends, 52.2% of US households purchased avocados in 2016, a 0.5% percent increase from the prior year, and one that is expected to grow further during 2017.

While grocery stores continue to possess the main share of avocado purchase dollars at 73%, Wal-Mart has been the main growth driver in trends with +$10.7 million in incremental purchases and 28.9% of avocado-purchasing households buying from its stores during 2016. In the First Quarter of 2017 alone (ending on 3/26/17), avocados headed the list of top trending fruit.

The Peruvian-US avocado trade has grown rapidly in the last six years.

Peru has projected to ship about 150 million pounds of avocados to US markets during this June-August season, a number more than twice the amount of its 70 million pounds of shipments last year. An off-bearing year in California coupled with decreasing shipment volume from Mexico in recent years has allowed this increase.With more than 10,000 hectares of avocado farms along the coast of Peru, heavy rains due to El Niño in March were a big concern for growers. However, the damage, mostly done to roads and bridges, only set back the harvest by a few weeks. Even with the setback, Peruvian avocados will be welcome this season, as this year’s inconsistent Mexican avocado crop season ended in June.The Peruvian-US avocado trade has grown rapidly in the last six years.

Keep In Mind: Mission Produce

Mission Produce of Oxnard, California has been and continues to be, a pioneer in the Peru-US avocado trade. Following their initial import of Peruvian avocados to the US in 2011, they began planting 6,500 hectares of Hass avocados in Peru in 2012, and most recently, in 2015, Mission completed the world’s largest avocado packing facility in Chao, in Peru’s La Libertad region.

The joint venture between Mission Produce and the Gonzalez Group operates under the name Avocado Packing Co.; which has proven to be a win-win initiative.The $30 million packing house is massive, covering more than 12 acres. It’s packing capacity is even more impressive, as it has the ability to handle 30 tons of avocados per hour when operating at full capacity with 60% to 70% of the fruit destined for US markets.

In line with Peru’s commitment to sustainable projects (see the authors’ article “Peru and Green Energy”) the facility features an MAF Rodaoptical sorter,conserves energy by incorporates motion sensitive lighting, and will be LEED certified. There are plans to incorporate a second packing line sometime in 2017 that would increase packing capacity twofold, to 60 tons per hour.

A Competitive Market

As a final point, it is worth mentioning that apart from the U.S. market, Peruvian companies are also looking for other customers in other parts of the world. For example, the Peruvian daily La Republica reported in 2015 about Peruvian avocados en route to the big Chinese market. More recently, in mid-July, the daily Gestion explained how a potential free trade agreement with Australia will allow the import of eight Peruvian products, including avocados – the newspaper reported that the Australian avocado market is worth US$ 72 million.

In spite of these successes, Peru is not the biggest avocado exporter at the global level.

According to a March report by the Mexican daily El Financiero, Mexico has the largest production of avocados, followed by the Dominican Republic, Colombia, and then Peru, in fourth place. It is worth mentioning that Mexico’s place as the biggest global exporter, and its access to the U.S. market, may be in jeopardy, not due to anything wrong with the product itself but rather due to politics. Namely, U.S. President Trump has discussed the idea of a tax on Mexican imports, which would include avocados; and, as CNN Money explains “in 2017, the U.S. is expected to get about 80% of its avocado supply from its southern neighbor, according to Tom Bellamore, president of the California Avocado Commission. That’s 2.14 billion pounds of avocados.”In spite of these successes, Peru is not the biggest avocado exporter at the global level.

It’s unclear if Washington-Mexico City relations will deteriorate to the point that Mexican imports are taxed if they want to enter the U.S., but if such a situation does happen, avocado exporters like Peru could greatly profit.

Final Thoughts

In various articles for Living in Peru, the authors have covered some of Peru’s signature agricultural exports to the world (particularly the U.S. market), such asblueberries, quinoa and, now avocados. Indeed, agriculture and minerals continue to be the cornerstone of Peruvian exports, which means that the country’s economy is at the mercy of either a precious mineral (e.g. copper) drying up, or a massive weather pattern destroying crops. Thankfully, the latest El Niño in Peru did not significantly hurt the avocado crops, but a similar situation could occur in the near future.

For the time being, Peruvian avocado growers and exporters will continue to profit from U.S. consumers’ growing interest in this crop.

The Peruvian Avocado Commission’s feature of Peruvian avocados on Washington DC’s public transportation system, with the always-recognizable Macchu Picchu in the background, is just one example of the ingenious ways agencies are successfully marketing this crop in the U.S. When Americans eat avocados, they should think beyond California and Mexico, and think of Peruvian avocados. 

Alejandro Sanchez Nieto is a researcher who focuses on geopolitical, military, and cyber security issues in the Western Hemisphere. Follow him on Twitter: @W_Alex_Sanchez

Brittney J. Figueroa is a recent graduate of the University of California, Santa Barbara with a Bachelors degree in Global Studies, and a Minor in Latin American Iberian Studies.

The views presented in this essay are the sole responsibility of the authors and do not necessarily reflect those of any institutions with which the authors are associated.

LIP: Puno to host World Congress on Quinoa

"Puno to Host World Congress on Quinoa"
W. Alejandro Sanchez & Brittney Figueroa
Living in Peru
20 February, 2017
Originally published: http://www.peruthisweek.com/food-puno-to-host-international-conferences-on-quinoa-111276

Peru will host the VI World Congress on Quinoa and the IIIInternational Symposium of Andean Grains on March 21-24, 2017. The event will take place at the Universidad Nacional del Altiplano de Puno in the Puno region of southern Peru. The Congress’s objectives include promoting the nutritional, cultural, and gastronomic aspects of this grain to improve its stance in the global market, and also as a way to “reduce poverty and hunger, particularly in the communities of the high Andes.”

Peru is a global producer of this healthy grain, and is in constant competition with neighboring Bolivia for the title of Biggest Producer. The income gained from quinoa exports, as well as the way it helps promote the “made in Peru” brand across the world, makes the production of this grain a matter of national importance.

Export Numbers – Markets

Data from last year’s quinoa production and exports highlights the importance of this Peruvian crop, with the U.S. being its main destination. According to the Peruvian export association, Adex, between January and August of 2016, the country exported 33,778 tons of quinoa, 36% more than during the same period in 2015. Of this amount, 43% was bought by the U.S., with other destinations being Canada, Hong Kong, Israel, Italy, Japan, the Netherlands, and the United Kingdom. While the developed world continues to favor the grain as part of an ongoing health food craze, Peruvian quinoa is not just for consumption, as it can be utilized to produce cosmetics that Peru aims to export to the Asia Pacific region. Over half a million Peruvians make a living from growing quinoa,according to the Peruvian government.

Meanwhile, Bolivia continues to be a major quinoa producer with exports totaling 25 thousand tons in 2015, and 26 thousand tons in 2016. Moreover, other countries, like France, the United Kingdom, and the United States have their own variations of homegrown quinoa.

While production (in terms of volume) in the latter countries cannot be compared to the Andean states, it still poses a problem, as these are the target export countries for Lima and La Paz. Hence, consumption of locally-grown quinoa decreases the profits the South American countries obtain.

Another problem is the over-saturation of the market, which could reduce profits across the board. This is already happening in Bolivia, as a January 27, 2017 report in the daily Los Tiemposexplained. According to the article, 10% of two thousand Bolivian quinoa growers (members of the national quinoa association ANAPQUI) have stopped growing this crop “due to a fall in the international price and due to a drought.” Although not yet an issue in Peru, the situation in neighboring Bolivia should be of concern for Peruvian quinoa growers as well.

Culinary Diplomacy

A final word should be said about the role of quinoa as a component of a country’s culinary and cultural diplomacy. In 2013, Peru achieved a major victory when the Food and Agriculture Organization of the United Nations declared that year as the International Year of the Quinoa. Peruvian delegations regularly participate in international food fairs, in which different types of quinoa are shown to business owners and the general public. The goal is to not only increase Peruvian exports, (and by default, help the Peruvian state obtain more revenue) but also to establish a globally-known “made in Peru” brand that is associated, in this case, with culinary flavor and richness. Given the saturation of the global quinoa market, it is critical that Peruvian authorities ensure that international consumers regard Peruvian-grown quinoa as the most preferable.

Conclusions

In a 2013 commentary for Blouin News, one author argued, “Peru should embark in an aggressive culinary diplomacy by taking advantage of its rich agricultural resources and well-regarded traditional dishes. Capitalizing on the global craze over quinoa was a well thought-out initiative by the Peruvian government.” Lima has generally followed this suggestion, and the upcoming World Congress on Quinoa and the International Symposium of Andean Grains in Puno should cement a global association between quinoa and Peru. (While not the objective of this analysis, the authors would like to applaud the fact that the congress will take place in Puno, not in the capital, which is a step toward diversifying where international events are held in Peru.)

Quinoa’s importance is multifaceted, not only to Peru, but also to the rest of the world, hence it is commendable that the organizers of the upcoming World Congress include the ministries of Agriculture, Culture, Environment, and Foreign Affairs. The anticipated success of the event will help reaffirm Peru’s position as a global producer of quinoa.

W. Alejandro Sanchez Nieto is an international security analyst. Follow him on Twitter:@W_Alex_Sanchez

Brittney J. Figueroa is a recent graduate from the University of California, Santa Barbara with a Bachelors degree in Global Studies, and a Minor in Latin American Iberian Studies.

The views presented in this essay are the sole responsibility of the authors and do not necessarily reflect those of any institutions with which the authors are associated.

Living in Peru: Peruvian blueberries go global

"Peruvian Blueberries go global"
W. Alejandro Sanchez

Living in Peru

Opinion

November 14, 2016

http://www.peruthisweek.com/food-peruvian-blueberries-go-global-110791

The blueberry market has steadily began to increase and make an important niche for itself within the country.

In a commentary for Living in Peru entitled Peru on its way to becoming leader in blueberry exports (November, 2014), the author was optimistic about Peru’s blueberry industry, stating that “while Peru continues to successfully export staple-goods like coffee, potatoes, and quinoa, the blueberry market has, in the span of only a couple of years, made an important niche for itself.” Two years later, this past October, Peruvian Minister of Agriculture Jose Hernandez declared that Peru could become the world’s biggest blueberry producer within the next two years. Needless to say, Lima has become quite ambitious about this particular berry.

According to said ministry, Peruvian blueberry producers are looking to cultivate up to 20 thousand tons of these berries in 2016. This seems like an achievable amount given how just in the first three months of 2016 alone, Peruvian farmers grew 3,600 tons of blueberries, four times the amount during the same period in 2015. If the situation continues, by the end of the year, Peru could have exported as much asUSD$200 million worth of blueberries.

A critical issue regarding the future of blueberry production is farming land. The good news is that according to Alfonso Velasquez Tuesta, president of Sierra Exportadora, the goal for this year is to have 3,200 hectares of land growing blueberries. Most of the farming land is found in La Libertad region.

Another positive news is that new markets are opening for Peruvian blueberry exports. Almost parallel to Minister Hernandez’s declaration, on October 10, Lima signed an agreement with the Colombian government via which five Peruvian agricultural products, including blueberries, can now enter the neighboring country. Even more, Peru has also signed a trade agreement with China, which allows Peruvian blueberries to be sold in this important Asian market. Similarly, Peruvian blueberries have also found their way to the United Kingdom. Finally, we should stress that Peru is also attempting to have a bigger foothold in the U.S. as a delegation of Peruvian trade representatives participated in the PMA Fresh Summit Expo held this past October in Florida – blueberries, among other products, were displayed for the thousands of attendees.

The interest in wellness has greatly contributed to the growing export of Peruvian crops associated with healthy eating, such as quinoa and blueberries.

In spite of these, we must remember that there are other South American blueberry producers which have similarly enjoyed recent accomplishments. For example, a new runway measuring almost 8,000 square meters was inaugurated in an airport in Tucuman, northern Argentina on October 6. The Argentinian daily La Nacion reported that, thanks to the expansion, just in October the airport transported 3,825,000 kilos of blueberries to the United States, which is more than the 3,200,000 kilos sent to said market in all of 2015. The report also mentioned that direct cargo flights (via Air Cargo Global) from Tucuman to London are now taking off in order to increase the presence of Argentinian blueberries in Europe. Meanwhile, Chile has also reported success in production and sales. A September report in Pulso states that Chilean blueberry exports reached USD$896 million in 2015. Chile is the third biggest exporter of this berry in the world, after the United States and Spain; this is an important fact to keep in mind since Peru attempts to enter the U.S. blueberry market, which means that Peruvian exporters will have to compete with local blueberry producers.

A final challenge regarding blueberries is that this is, obviously, an agricultural product. This means that it is at the mercy of the climate, which in Peru can include sharp changes in temperatures and other weather patterns that will be exacerbated by climate change. It is important to note that in Chile, the 2016/2017 season commenced two weeks early due to slightly higher-than-normal temperatures; this will negatively affect some varieties of Chilean blueberries. The author has not found sufficient information to discuss how climate change is affecting (or could affect) blueberry production in Peru, but hopefully appropriate research and planning is being carried out.

Miguel Cordano Rodríguez, general manager of Sierra Exportadora, declared earlier this year that there is “an unfulfilled demand for berries in the world. That’s why I encourage producers to keep on growing these crops to meet this demand, not only in terms of volume but also quality. This way, we will diversify our basket of products as well as the destination markets.” Analogous to the quinoa market, Peruvian blueberries are profiting from the global interest in wellness and healthy eating. Hopefully the new government will continue to support this booming berry industry so that the Ministry of Agriculture’s predictions become a reality by the end of the decade.

Follow W. Alejandro Sanchez on Twitter.

Blouin: Beat: Despite rocky start, L. America on board with the TPP

"Despite rocky start, Latin America on board with the TPP"
W. Alejandro Sanchez
Blouin Beat: Business
August 11, 2015
Originally published: http://blogs.blouinnews.com/blouinbeatbusiness/2015/08/11/despite-rocky-start-l-america-on-board-with-the-tpp/

There has been much discussion about the recent round of negotiations over the Trans-Pacific Partnership (TPP), which took place in Hawaii at the end of July. This is not surprising, as the attempt to create an ambitious free trade area that would bring together 12 nations of the Asia-Pacific and Western Hemisphere has yet to reach a final agreement. Despite the current setback, the White House can rest assured that the TPP’s three Latin American members – Chile, Peru, and Mexico – remain firmly interested in this initiative.

For Washington, this bloc is geo-strategically important because it will further increase U.S. influence in the Asia Pacific at a time of tensions with Beijing. Moreover, President Barack Obama has around a year and a half left in office, and his objective is to cement his legacy regarding foreign policy issues, in the vein of recent successes like historical agreements with Cuba and Iran. Hence, a successful TPP agreement would be the proverbial cherry on the cake for the Obama presidency’s foreign policy.

Nevertheless, it remains to be seen whether the TPP will be signed before the end of 2015. After failing to reach a final agreement, U.S. Trade Representative Michael Froman and the representatives from the other TPP states released a neutrally worded statement in which they stated, “We have made significant progress and will continue to work on resolving a limited number of remaining issues.”

Clearly every country has its own set of national interests, and while the TPP’s three Latin American members are generally in support of the partnership, it is worth stating their interests and concerns. For example, the Andean nation of Peru is particularly interested in biodiversity. For all its economic growth over the past decade and a half, Peru remains a developing nation and a pillar of its growth is its natural resources. Hence, it is critically important for Lima tocombat biopiracy in order to retain ownership of plants, vegetables, fruits, and other products that are indigenous to Peru. Apart from securing control over its biodiversity, Peru hopes that TPP nations will open their markets to foreign goods (to this end, Lima had a strong presence in the recent FODEX Japan 2015 fair). Case in point, Peru would like to see Japan relax restrictions over agricultural imports so that Peruvian products like quinoa and asparagus can more easily enter the Asian nation’s market. As for concerns regarding the TPP, the Peruvian media has focused in recent months on how the agreement could increase the costs ofpharmaceutical drugs, since the agreement would potentially limit competition.

As for Chile, Foreign Affairs Minister Heraldo Muñoz, who travelled to Hawaii for the TPP meeting, has declared that his country has concerns regarding “intellectual property, financial issues, and how the agreement itself will be implemented.” Nevertheless, sectors of the Chilean population believe that the TPP will be detrimental to the country. For example, Sara Larrain, the director of the Chilean think tank Chile Sustentable, has argued that the TPP would force Chile, and other countries, to change their domestic legislation regarding property rights and natural resources. She went on to attest that the TPP would signify the loss of Chilean national sovereignty.

In regards to Mexico, a recent commentary in the National Interest by economist Samuel Rines of Chilton Capital Management argues that the TPP would help Mexico City as it would A) give Mexican products new markets and B) “potentially provide the administration of Peña Nieto with the necessary cover to enact politically difficult changes to labor markets and state-owned enterprises.” Nevertheless, Mexican entrepreneurs are concerned about intellectual property rights and whether some TPP nations (i.g. Vietnam) will flood the Mexican market with cheaper products, like textiles, shoes, and meat products, among others. The Mexican dairy industry is particularly concerned that the TPP will bring imports from dairy nations like New Zealand and Australia, which would severely hurt Mexican dairy producers.

Regarding the round of negotiations in Hawaii, Chilean Minister Muñoz summarized the current situation well, “We are on the final stretch, but we have not reached a final agreement that is fair and that is obviously beneficial for our country.” For the Latin American members of the TPP, issues like dairy, pharmaceuticals, biodiversity, and intellectual property are major concerns; however, all three governments seem to believe that the TPP will ultimately be beneficial to their respective nations.

There is no such thing as a treaty in which every signatory is a winner (particularly one like the TPP, which has 12 member states), meaning there will undoubtedly be “losers” when it is signed. Hopefully, Latin American industries and the general population will benefit more than suffer when the TPP becomes a reality.

Peru This Week: Peru on its way to becoming leader in blueberry exports

 "Peru on its way to becoming leader in Blueberry exports"
W. Alejandro Sanchez
Peru This Week
November 17, 2014
Originally published: http://www.peruthisweek.com/news-peru-on-its-way-to-becoming-leader-in-blueberry-exports-104500

 

Blueberries (arándanos in Spanish) are becoming Peru’s prime berry-export as the Peruvian Association of Exporters (ADEX) has announced that between January and July of this year, the Andean state exported four times the amount of blueberries it exported during the same period in 2013. Although the fruit is not a staple of Peruvian cuisine, a diversification of agricultural exports is always a positive development for any country.

The history of blueberries in Peru is both interesting and brief. The fruit was introduced to Peru in 2007 and by 2012 only some 300 hectares of blueberries were cultivated, according to a 2012 commentary in PortalFruticola.com. An October 2012 article in the website of the Peruvian radio station RPP explains that in that month, a blueberry parcel was installed in Pichupampa, a community located in the Sayán district, north of Lima. The parcel was one of 18 that Sierra Exportadora (a Peruvian company) was planting in order to foment the production of blueberries throughout the country.

Máximo Jiménez, a Sierra Exportadora expert on berries, explains that Peru’s climate allows it to grow blueberries year-round, which can help the Andean country beat other regional producers, namely Argentina and Chile, two states that produce less blueberries in September and October. Chile is currently South America’s foremost blueberry exporter, followed by Argentina and Uruguay, but Peru seems to be on the path of overtaking them.

In 2011, Peruvian blueberry exports totaled a pitiful US$84 thousand. However, production has exponentially grown as exports soared to over US$13 million in 2013; the berries were mostly exported to the U.S. and the Netherlands. Hence, it is no surprise that even in 2012 there were predictions that “Peru can become the leading exporter of berries (blueberries, raspberries, and strawberries) and cherries in the Southern Hemisphere.” It appears that this year Peru will surpass its 2013 milestone. According to ADEX, blueberry exports (namely of the gongapa and pushay varieties) from January to July of 2014 reached $5.6 million USD, an impressive 408% increase compared to the same period last year.

It is no surprise that more Peruvian farmers want to grow blueberries, given their high profitability; nowadays blueberry crops can be found in regions like Lima, La Libertad, and Ancash, among others. The renowned Peruvian daily El Comercio explained in a December 2013 article that more than 3,000 hectares are used to grow different types of berries and cherries (including blueberries) and this momentum will likely continue.

Nevertheless, it is not all good news for Peru’s agricultural sector. Currently there is an El Niño climate phenomenon, which has produced a drought causing disastrous consequences on the agricultural sectors of several Latin American countries such as Costa Rica, Guatemala, and parts of Colombia. As for Peru, Lima’s Chamber of Commerce announced this past April that agricultural exports will fall between two to four percent this year due to El Niño. Products that will particularly suffer from this weather phenomenon include asparagus, mango, avocado, and grapes. It is unclear if blueberries will suffer from El Niño; as previously mentioned, the production of these berries has actually increased in the first seven months of the year as compared to 2013, but this could certainly change if El Niño worsens in the final months of 2014.

While Peru continues to successfully export staple-goods like coffee, potatoes, and quinoa, the blueberry market has, in the span of only a couple of years, made an important niche for itself. Since Peru’s climate helps the growth of blueberries and export revenue has now reached over US$13 million, Lima would be well advised to support farmers who choose to grow them. Additionally, President Ollanta Humala must ensure that Peruvian blueberry farmers are protected from any adverse effects that El Niño may cause.

Blueberry consumption in the U.S. and Europe is growing, which means that these small berries could be the key to a golden future for Peru’s agricultural sector.

You can follow W. Alejandro Sanchez on his Geopolitics & Geosecurity blog and on Twitter:@W_Alex_Sanchez.

COHA: Food Wars in Latin America

 

"Food Wars in Latin America"
W. Alejandro Sanchez
Research
Council on Hemispheric Affairs
September 8, 2014
Originalyl published:
http://www.coha.org/coha-research-food-wars-in-latin-america/

Bolivia has accomplished a major victory in its quest to consolidate itself as the world’s most-renowned producer of quinoa. In late August, the Andean Community, a South American bloc, recognized the miracle grain as being Bolivian in origin. This recognition will aid the government’s and local industries’ international marketing campaigns. In spite of the world becoming increasingly inter-connected, it remains important for a nation’s pride to have a local, popular commodity be internationally regarded as originating from a specific country.

Bolivia’s quest to be recognized as the birthplace of quinoa is not the sole case of a nation trying to gain recognition as being the point of origin for a priced commodity or dish. Several other Western Hemisphere nations are also in discussions over where popular foodstuffs or dishes originate from. While these culinary disputes will not end in an armed conflict, they nonetheless could exacerbate inter-state relations, which, in some cases (i.e. Peru and Chile) are perennially being tested.

Bolivia: Quinoa-R-Us

Bolivia is currently the world’s major producer of quinoa, a grain which has become a staple of healthy lifestyles in the developed world, for its pleasing taste and nutritive qualities. By the end of 2013, Bolivia was producing 46% of the world’s quinoa, followed by Peru with 30% and the United States with 10%. The Bolivian media has reported in several departments, particularly in Oruro and Potosí, more than 150,000 hectares are currently dedicated to growing quinoa.[1] Nevertheless, one problem that has arisen due to the high domestic as well as international demand is that the inhabitants of the aforementioned regions are now confronting each other over areas (specifically an area known as Chuta Vinto) that can be used to grow quinoa.[2]

Tensions between Bolivian departments aside (though this is a major issue that deserves more research), it is no surprise that the Andean Community has supported Bolivia’s claim on quinoa, as the Bolivian government has actively worked towards this goal. 2013 was labeled as “The International Year of the Quinoa,” and the Bolivian government spared no expense to make sure that the grain and Bolivia were used in the same sentence. For example, in December 2013 an International Symposium on Quinoa took place in the Bolivian city of Oruro.[3] President Evo Morales and the Director of the Food and Agriculture Organization of the United Nations José Graziano da Silva attended the symposium in order to add a VIP-pedigree to the event.[4]

Several of Bolivia’s neighboring nations are major quinoa producers, specifically Peru. In fact, Milton Von Hesse, Peru’s Minister of Agriculture, declared in September 2013 that Lima’s goal is to surpass Bolivia by 2016 as the world’s largest producer of quinoa.[5] Other countries, like Ecuador and Chile, also produce quinoa, and strains of the grain also can be grown in the U.S. and the U.K.[6]

With so many nations growing their own varieties of quinoa, it makes sense that the Bolivian government wants the world to know that the grain originally comes from this landlocked state. Therefore, it is an important victory for La Paz that the Andean Community’s members (apart from Bolivia, the other members are Colombia, Ecuador and Peru) recognized its claim regarding the grain. It was registered as “Quinua Real del Altiplano Sur de Bolivia” by Bolivia’s National Service of Intellectual Property (SENAPI) before the Community.[7]

On the other hand, it is worth stressing that it is bizarre that Lima supported La Paz’s claims, given the previously mentioned declarations by the Peruvian government that it plans to surpass Bolivia as the major producer of the grain. Victor Hugo Vasquez, Bolivia’s Deputy Minister for Rural Development, has declared that “the next challenge is to get the same declaration of origin from the European Union. We are working on that.”[8]

It has yet to be seen what extend President Morales will use this diplomatic victory throughout his re-election campaign as Bolivia will stage general elections on October 12. While the incumbent head of state is generally expected to be re-elected, it would not hurt Morales’ image to highlight how under his administration quinoa has become a major producer of jobs in Bolivia as well as revenue from abroad, not to mention national pride.

Peru and Chile: Inter-State Strife and Culinary Tensions

In some instances, a dispute over one commodity has been aggravated by inter-state disputes. Case in point is the tensions between Peru and Chile, which dates back to the 19^th century’s War of the Pacific. Over the years, the Council on Hemispheric Affairs has repeatedly analyzed episodic Peruvian-Chilean tensions, including a conflict that almost happened in 1975 when the Peruvian military government planned to attack Chile in order to regain the territories that were lost during the aforementioned war. In recent years, both countries have embarked on major purchases of military hardware. Most notably, Chile purchased used F-16 warplanes from the Netherlands as well as Leopard tanks from Germany.[9] Meanwhile, Peru bought four Lupo-class frigates from Italy and this past June the Peruvian Navy sources announced they had  purchased a logistical vessel, the ‘Amsterdam,’ from the Netherlands.[10]

While the two nations have strong commercial relations, there are ongoing disputes. On January 27^th of this year, the International Court of Justice ruled on a long-standing maritime border dispute between the two countries.[1] While the ruling, has hopefully put an end to the maritime claims, the two nations still are engaged a territorial dispute, namely a land triangle composed of roughly 37 thousand square kilometers along the two countries’ coastal border.[12] The dispute over the triangle (known in Spanish as the “triángulo terrestre”) recommenced in August when, during a ceremony, Peruvian President Ollanta Humala displayed a new decree that confirms Peru’s new maritime border with Chile, namely the recently acquired maritime territory gained via the ICJ ruling.[13] The land triangle continues to be displayed as being under Peruvian jurisdiction. Santiago responded by sending two communiqués to protest the map, with Chilean Minister of Foreign Affairs Heraldo Munoz declaring that the map “adds tensions and adds a negative element” to bilateral relations.[14]

The tensions that have historically affected Peruvian-Chilean relations must be properly discussed in order to put in proper context the disputes between the two countries over foodstuff and national dishes.

There are two products that are worthy of being highlighted. First of all, the two countries argue over the origins of the potato. Peru is known for producing hundreds of types of potatoes, a staple of its natural diet, and the country also claims that the potato originated in its Southern highlands. This claim received important scientific support in 2005 when a team “led by a US Department of Agriculture potato taxonomist stationed at University of Wisconsin-Madison for the first time demonstrated a single origin in southern Peru for the cultivated potato.”[15] On the other hand, at one point over the last decade, however, Chilean officials argued that “99 percent” of all types of potato come from Chile.[16] Debates regarding where the potato originates broke out again in 2006, when a Chilean academic wanted to register types of potatoes grown in Chiloé, a Chilean island, as an important part of Chile’s national patrimony.[17] This provoked a strong reaction by the Peruvian government, which declared that the potato is Peruvian “and hence it is part of Peru’s national heritage,” said the then-Minister of Foreign Affairs, Oscar Martua.[18]

A second major point of debate between the two South American countries is the ownership of pisco, a popular alcoholic drink made of grapes.  Peru claims that the drink originated in the town of Pisco, located south of Lima. A Peruvian website, aptly calledPiscoesperu.com (Pisco is Peru), explains that the name pisco comes from the Quechua word “pisko” which means “bird.”[19] “Pisko” was used by the Inca Empire to refer to the valley where the modern-day city of Pisco is located. On the other hand, Chile argues that the country established the system of how grapes were cultured in order to be distilled to create the drink.[20] Peru gained an important victory regarding owning the trademark of pisco when, in November 2013, the European Commission granted “protection and commercialization in the [European] community market.” This decision does not ban Chile from calling its alcoholic drink “pisco” when it is sold to member-states of the European Union, but rather highlights that Peru has a special geographical connection to this name, and this can be used for marketing campaigns.

Enola Beans and Enola Beans

International recognition of a particular commodity as native of a country is a source of great national pride which is not centered solely in South America. Other countries around the world are also involved in dispute over the ownership of foodstuffs, dishes and drinks. For example, Mexico and the U.S. also have been at odds over the patent of a type of yellow bean called enola.[21] In 1996 a U.S. citizen managed to successfully patent in the U.S. the enola, a bean that has been grown in Mexico for centuries.[22] However, in a landmark ruling in 2008, the United States Patent and Trademark Office (USPTO) “rejected all of the patent claims for [the enola] a common yellow bean that has been a familiar staple in Latin American diets for more than a century.”[23]

Additionally, there are other claims between either nations or communities over traditional dishes. For example, El Salvador and Honduras dispute the ownership of pupusas, a type of tortilla stuffed with different ingredients.[24] The pupusa is the national dish of El Salvador, and the National Day of the Pupusa is celebrated in November.[25] In order to increase its standing as the creator of pupusas, El Salvador cooked the biggest pupusa in the world in 2012, which was a Guiness record 4.5 meters in diameter and 13.44 meters in circumference.[26] On the other hand, Honduran academics argue that pupusas come from the word “pupusawa” in Nahuatl, a Central American tongue. While Salvadoran academics argue that Nahuatlwas spoken in El Salvador, giving it ownership of pupusas from an etymological point of view, Honduran academics argue that the language has also been spoken in Honduras, making the argument invalid.[27] This debate was accentuated in 2003 when Honduras and El Salvador negotiated the Central American Free Trade Agreement (CAFTA) with the U.S. Ultimately; Honduras declared that it would allow El Salvador to claim a patent on pupusas.

Finally, it is worth stressing that debates over ownership of dishes, alcoholic drinks or even agricultural commodities is not an issue solely for developing states. Case in point, the U.S. and Europe are currently at odds over how to label certain food products, originally from Europe that are marketed in the U.S. As an August 2014 report by the Associated Press explains,

The argument is that the American-made cheeses are shadows of the original European varieties and cut into sales and identity of the European cheeses. The Europeans say Parmesan should only come from Parma, Italy, not those familiar green cylinders that American companies sell […] And it may not be just cheese. Other products could include bologna, Black Forest ham, Greek yogurt, Valencia oranges and prosciutto, among other foods.[28]

Conclusion

In the 21^st century, nations continue to strive in their national interest to gain international recognition over the ownership of trademark agricultural goods and traditional dishes.  Examples include Bolivia’s success in cornering the quinoa market, discussions between Peru and Chile over potatoes and alcoholic drinks, Honduras and El Salvador’s debate over pupusas, and the U.S. and Mexico discussing which country can patent yellow beans, are some examples of ongoing food disputes in the Western Hemisphere, and around the world. As stated previously, while these tensions will likely not end in an armed conflict, they could exacerbate inter-state relations, particularly between Peru and Chile (which fought a war in the 19^th century and continue to have a territorial dispute).

As for Bolivia, it is important that it gained support from its fellow Andean Community members (including Peru, a competitor in the production of quinoa) regarding where the highly desired and profitable quinoa actually comes from. Nobody doubts that pupusas, pisco, potatoes, quinoa and yellow beans are delicious, but while good food and alcohol can bring people together, they remain a potential source of diplomatic conflict in the 21^st century.

By: W. Alejandro Sanchez, Senior Research Fellow at the Council on Hemispheric Affairs

Please accept this article as a free contribution from COHA, but if re-posting, please afford authorial and institutional attribution. Exclusive rights can be negotiated. For additional news and analysis on Latin America, please go to: LatinNews.com and Rights Action.

Institutional affiliation is for identification purposes only and all opinions expressed are the author’s own. 

References

[1]“Crece la tension enlimite entre Oruro y Potosi poravallasanamiento.” Radiokollasuyo.net. August 28, 2014.http://www.radiokollasuyo.net/crece-la-tension-en-limite-de-oruro-y-potosi-por-avasallamiento  - Accessed September 3, 2014.
[2] Ibid.
[3]“Bolivia se consolidacomo mayor productor de quinua del mundo.” La Razon. Bolivia. December 8, 2013. http://www.la-razon.com/index.php?_url=/economia/Bolivia-consolida-productor-quinua-mundo_0_1957004381.html – Accessed September 3, 2014.
[4]  “Biography – Jose Graziano da Silva.” Food and Agriculture Organization of the United Nations.http://www.fao.org/about/who-we-are/director-gen/biography/en/ – Accessed September 4, 2014
[5] W. Alejandro sanchez. “Peru’s Culinary Diplomacy.”  Blouin Beat: World. Blouin News – Blogs. December 23, 2013.http://blogs.blouinnews.com/blouinbeatworld/2013/12/23/perus-culinary-diplomacy/ – Accessed September 4, 2014
[6] Kate Wafefield. “Quinoa: Ancient grain being grown in the UK.”BBC. Food. September 6, 2013.http://www.bbc.co.uk/food/0/23885313 – Accessed September 4, 2014.
[7] “Bolivia adquiere la denominacion de origen de la quinua en paises del CAN.” Bolivia’s Ministry of Rural Development. August 27, 2014. http://www.agrobolivia.gob.bo/index.php?in=74700f28f6f0f773e24e8251d0795c5963adf07a – Accessed September 4, 2014
[8] Dennis Luizaga. “CAN reconoce el origen boliviano de la quinua real.” La Razon. Economia. August 28, 2014. http://www.la-razon.com/economia/CAN-reconoce-origen-boliviano-quinua_0_2115388475.html – Accessed September 4, 2014. Also see:  Angel Paez. “Compra de Chile de 100 tanques Leopard 2A5 esunarespuesta al reemplazo de viejostanques T-55 peruanos.”La Republica. Politica. December 8, 2013.http://www.larepublica.pe/08-12-2013/compra-de-chile-de-100-tanques-leopard-2a5-es-una-respuesta-al-reemplazo-de-viejos-tanques-t-55-peru – Accessed September 2, 2014.
[9]Angel Paez. “Compra de Chile de 100 tanques Leopard 2A5 esunarespuesta al reemplazo de viejostanques T-55 peruanos.”La Republica. Politica. December 8, 2013.http://www.larepublica.pe/08-12-2013/compra-de-chile-de-100-tanques-leopard-2a5-es-una-respuesta-al-reemplazo-de-viejos-tanques-t-55-peru  – Accessed September 2, 2014. Also see:  Also see:  “Chile adquiereen US$ 270 millonesotros 18 aviones F-16 usadosporHolanda.” Emol. Chile. April 28, 2009.http://www.emol.com/noticias/nacional/2009/04/28/355733/chile-adquiere-en-us-270-millones-otros-18-aviones-f-16-usados-por-holanda.html – Accessed September 4, 2014.
[10]“Peru comprarafragatas y helicopteros para fortalecer la Marina de Guerra.” Infodefensa.com. February 19, 2009.http://www.infodefensa.com/latam/2009/02/19/noticia-peru-comprara-fragatas-y-helicopteros-para-fortalecer-la-marina-de-guerra.html – Accessed September 4, 2014. Also see: “Marina de Guerra de Peru compr a Holanda el buquelogistico ‘Amsterdam.’”La Republica. Politica. June 18, 2014.http://www.larepublica.pe/18-06-2014/marina-de-guerra-de-peru-compra-a-holanda-el-buque-logistico-amsterdam – Accessed September 2, 2014
[11] W. Alejandro Sanchez. “January 27, 2014: A Date with Destiny for Peru and Chile.” Council on Hemispheric Affairs. Research.  January 24, 2014. http://www.coha.org/january-27-2014-a-date-with-destiny-for-peru-and-chile/ – Accessed September 3, 2014.
[12] Ibid.
[13]  “Presidente Humala presenta mapa de la nueva frontera maritime con Chile.” La Prensa. August 19, 2013.http://laprensa.pe/actualidad/noticia-mapa-limite-maritimo-peru-chile-punto-concordia-humala-30420 – Accessed September 4, 2014
[14] EFE.“Chile envoi segunda nota diplomatica al Peru pormapa.”El Comercio. Politica.Internacional. September 1, 2014.http://elcomercio.pe/politica/internacional/chile-envio-segunda-nota-diplomatica-al-peru-mapa-noticia-1753939 – Accessed September 3, 2014.
[15] “Finding rewrites the evolutionary history of the potato.” University of Wisconsin-Madison. News. October 3, 2005. News.http://www.news.wisc.edu/11620 – Accessed September 1, 2014
[16]Redaccion Central. “Chile y Peru se disputan el origen de la papa.”  Los Tiempos. Actualidad. May 28, 2008.http://www.lostiempos.com/diario/actualidad/vida-y-futuro/20080528/chile-y-peru-se-disputan-el-origen-de-la-papa_10524_14122.html – Accessed September 2, 2014.
[17]“Chile y Peru se disputan la papa.” BBCMundo.com. March 26, 2006.http://news.bbc.co.uk/hi/spanish/latin_america/newsid_4858000/4858848.stm– Accessed September 2, 2014
[18] Ibid.
[19]“El NombrePisco.” Piscoesperu.com. http://www.piscoesperu.com/el_nombre_pisco.php – Accessed September 4, 2014
[20] Cristian Palma. “El pisco es chileno o peruano? Historico debate sobre la tradicional bebida.” Guiteca.com. Internacional. November 8, 2013. http://www.guioteca.com/internacional/el-pisco-es-chileno-o-peruano-historico-debate-sobre-la-tradicional-bebida/ – Accessed September 4, 2014
[21] “Anulada la patente sobre el frijol Enola – No lo hemos oido antes? (Si, si, si y si).” ETC Grupo. July 15, 2009.http://www.etcgroup.org/es/content/anulada-la-patente-sobre-el-frijol-enola-%C2%BFno-lo-hemos-o%C3%ADdo-antes-s%C3%AD-s%C3%AD-s%C3%AD-s%C3%AD-y-s%C3%AD – Accessed September 4, 2014
[22] Maria Elena Navas. “El caso del frijol robado.” BBC Mundo. BBC Ciencia. May 2, 2008.http://news.bbc.co.uk/hi/spanish/science/newsid_7380000/7380466.stm– Accessed September 1, 2014
[23] “Controversial court patent case for simple  yellow legume has become rallying point for ‘biopiracy’ concerns.”  CGIAR.  May 2, 2008.  http://www.cgiar.org/web-archives/www-cgiar-org-newsroom-releases-news-asp-idnews-753/ – Accessed September 3, 2014
[24] Tim Carman. “Pupusas, through thick and skin.”The Washington Post. Food. April 3, 2012.http://www.washingtonpost.com/lifestyle/food/pupusas-through-thick-and-thin/2012/04/03/gIQAxmG1sS_story.html – Accessed September 4, 2014
[25]Notimex.“El Salvador festeja el Dia Nacional de la Pupusa.” La Opinion. November 10, 2013. http://www.laopinion.com/el-salvador-festeja-dia-nacional-pupusa – Accessed September 3, 2014
[26] Alma Martinez. “Guinness Record para la pupusa mas grande.” El Mundo. Nacionales. November 25, 2012.http://elmundo.com.sv/guinness-record-para-la-pupusa-mas-grande – Accessed September 4, 2014
[27] “La Guerra de las Pupusas: Son salvadorenas u hondurenas – Univision34  Investiga.” Univision.com. July 27, 2011.http://losangeles.univision.com/mes-de-la-hispanidad/article/2011-07-27/origen-de-las-pupusas-salvador-honduras – Accessed September 4, 2014
[28] Associated Press (Published in the Daily Mail). “European Union wants to force the U.S. to rename products like Parmesan cheese that are made in America.” March 11, 2014.http://www.dailymail.co.uk/news/article-2578517/Europe-wants-Parmesan-seeks-change.html – Accessed September 4, 2014