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The Peruvian agricultural sector, worried about the possible repeal of the Agrarian Promotion Law without a regulatory alternative

The Association of Agricultural Producers Guilds of Peru has issued a statement demanding that the Congress of the Peruvian Republic approve a new legal framework in case of repealing said law.

12/4/2020

Peruvian farmers.

The Economy and Agriculture Commissions of the Congress of the Republic have approved the repeal of Law No. 27360, Law for the Promotion of the Agrarian Sector, modified by Emergency Decree 043 -2019, which entered into force less than a year ago and which introduced important changes to this standard. This repeal will be debated today in the plenary session of Congress without knowing until now the proposals to replace the regulatory framework of the agricultural sector.

For this reason, we address the Congress, the Executive and the public to remember the important social and economic benefits that have been obtained thanks to the promotion of sustainable and modern agricultural activity. We share the priority of contributing to the progress of agricultural workers, however a repeal without any alternative for improvement would only put at risk the development obtained in the last 20 years.

  1. The promotion of the sector has allowed a reduction in the poverty rate of agricultural workers, which went from 81.3% in 2004 to 30.3% in 2019. This reduction was considerably higher on the coast, where poverty fell from 67% at 21%.

  2. Between 2004 and 2019, the average wages of workers in the formal agricultural sector grew from 726 to 1,543 peruvian soles per month. Our commitment is to continue working with stability to create more and better paying jobs.

  3. The sector has been an engine to reduce the gender gap, multiplying the participation of women by 8, amounting to 55% of agricultural workers to date. This means mothers who can give their children social security, better food and education.

  4. According to figures from the National Household Survey on Living Conditions and Poverty (Enaho 2019), in 2018 agricultural activity and agribusiness brought together 23% of the economically active population (EAP) employed, that is, about 4 million workers .

  5. The agricultural sector is the one that provides the most training to workers and in which labor productivity has grown, on average, 4.4% each year, between 2004 and 2017.

  6. The agricultural sector has created a value chain in the following activities: maritime, air and land transport, warehouses, suppliers of materials, supplies and packaging, nurseries, suppliers of fertilizers, agrochemicals and machinery, in addition to professional services. These activities together contribute 6% to the national GDP.

  7. Throughout Peru, the sector has managed to incorporate tens of thousands of small farmers of coffee, organic bananas, mangoes, avocados, quinoa, kión, to export benefits.

  8. Thanks to the promotion of the sector, we have reinvested profits and attracted large investments that allow us to compete and beat countries such as Chile, Colombia and Ecuador, in products such as avocado, asparagus, mango, blueberry and peppers.
We urge the Congress of the Republic that in case of repealing the Agrarian Promotion Law, it is required, immediately, to approve a new legal framework that ensures compliance with labor rights for agricultural workers, and an improvement in the competitiveness of the larger sector to that achieved in the last 20 years, thus consecrating the progress of the agricultural sector and with it the economic growth and social development of the country.

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