
Sugar continues to be one of the pillars of the salvadoran economy, despite the climate and trade challenges it faces. This was stated by Julio Arroyo, representative of the Asociación Azucarera de El Salvador during a presentation in which the association shared progress on sustainability and projections for the upcoming harvest.
According to industry data, approximately 6 million tons of sugarcane are produced each year, grown by nearly 7,000 producers. This production produces approximately 700,000 tons of sugar and 300,000 tons of molasses, which supply both the domestic and export markets.
Currently, El Salvador sells sugar and molasses to more than 25 countries through preferential quotas under agreements with the United States, the European Union, and the United Kingdom.
Arroyo emphasized that sugarcane is a crop resilient to climate change, which has allowed the industry to adapt to both excessive and insufficient rainfall.
“We want to publicize the contributions we are making to the country’s sustainability and biodiversity, because we know we are a key player in national life”, he stated.

Impact of trade policy and the latest harvest
Regarding international trade, Arroyo acknowledged that the recent tariff changes in the United States generate uncertainty, although he emphasized that all sugar-producing countries face the same scenario.
“Fortunately, it is a commodity consumed globally, so our main effort will be to continue meeting export quotas”, he explained.
El Salvador currently has two quotas for shipping sugar to the United States: the CAFTA Free Trade Agreement, for approximately 37,000 metric tons, and the World Trade Organization, for 27,000 tons, which totals approximately 66,000 tons annually. However, the last harvest saw a 9% drop in total sugar production.
This decline was due to both the reduction in cultivated areas and lower yields resulting from adverse weather conditions. According to industry estimates, the reduction could represent up to $40 million less in export revenue.

Recovery and sustainability
Looking ahead to the 2025-2026 harvest, which will begin in november, the outlook is more encouraging.
The union representative noted that this winter has seen favorable rainfall distribution and that forecasts indicate levels above the historical average, which could favor production recovery.
Another challenge facing the sector has been the shortage of agricultural labor. To address this, the industry is accelerating mechanization and promoting green harvesting to reduce sugarcane burning and mitigate environmental impacts.
“Salvadoran sugar is reaching the main international markets, and we will continue working to strengthen the sector’s competitiveness, sustainability, and contribution to the country’s economy”, Arroyo concluded.