Peru has an extremely rich soil and tremendous silvicultural resources, yet these are insufficiently exploited and industry forms a relatively small part of the country’s economy. The mining industry produces the larger part of export resources: gold, silver, zinc and copper. Nevertheless, the mining industry employs a relatively small part of the population.
Fishery and fishmeal production is another important branch of industry. Yet this industry does not create a lot of jobs. The agriculture sector employs 33% of the labor force. Key crops for export include asparagus, artichokes, paprika pepper, coffee, cacao and high quality cotton, lama-and alpaca wool. In the Andes, crops are planted for home use and to be traded on the local market, whereas crops for export are planted on the coast. Peru’s largest trade partners are China and the US. In the deep Sierra, the cultivation of coffee, cacao, tea and banana’s is only slightly profitable.
The coca plant produces several crops a year and its leaves are a popular medicine for which farmers can get good money. Yet only a small portion of the production is used for traditional purposes, the bulk of it is being used as raw material for cocaine. Coca farmers are thus under threat by both the police and drug cartels. |