Councilor of the EU: “The idea is to diversify and improve export quality”

Ecuadornews:

The European Union will exhibit its commercial offer at a fair that will attract more than 20,000 attendees in Quito. From October 10 to 13, the Europa 360 Expo will be held in Quito, a trade fair organized by the Eurochambers, the European Union (EU) and its member states.

More than 100 companies of the block will exhibit their products and business opportunities, as well as Ecuadorian firms. The agroindustrial, pharmaceutical, service and other sectors will be represented in this meeting to be held at the Bicentennial Convention Center.

About the event, Inmaculada Montero, commercial counselor of the EU, shared with EL TELÉGRAFO her perspectives on the application of the agreement between Ecuador and the EU.

How do you evaluate the execution of the commercial agreement?

The first year has offered us some figures, even surprising for us, with an increase of 20% of the bilateral commercial flow. Exports have increased on both sides. We see that Ecuador’s sales are concentrated in a reduced series of star products such as bananas, shrimp, flowers, tuna, and cocoa. The idea is to advance in the diversification and quality of the products.

Hasn’t the quality been improved?

We have seen companies with a good product but that is not adapted to the European reality. The European consumer is very demanding, with high purchasing power, and wants new products such as cocoa, quinoa, but of quality. You have to work on organic certifications and added value.

What new products would have potential? What challenges does the country have to increase the offer?

The fruit has a huge potential (for example). Neighboring countries have already made the effort to diversify fruits. If you increase the number of fruits and transform them into other products with added value, there are many opportunities. For example, uvilla is incorporated into energy bars, chocolates, etc., I am sure that it would have a place in Europe. The great workhorse of Ecuador is the increase in productivity. The challenge is in the modernization of processes and in creating alliances with European companies to exchange knowledge.

Is there progress in reducing paperwork for export?

One of our goals is to arrive at a single import procedure so that there are a number of authorized establishments that can export automatically. We are working on that. We also have an important announcement: the next annual Trade Committee meeting in December will be in Ecuador with the parties from Colombia and Peru.

From the EU, what is the current perception of the business climate in Ecuador?

Our preliminary opinion is that the measures are going in the right direction. Ecuador is an opening process that has no turning back and that is a good sign.

What is your opinion about the subsidy review?

It is common knowledge that the subsidies were not efficient. It is not about eliminating them, but we need smarter subsidies that focus on the categories that really need it.

And of the optimization of the State?

The weight of the State is quite large and that generates fiscal expenses that the Government cannot assume. We drag a legacy of oversizing the state, then it is very difficult to do the reverse process, but for me it is inevitable. It has to focus on a more efficient state, without duplication of functions. (I)

Source: https://www.eltelegrafo.com.ec/noticias/economia/4/exportaciones-ecuador-unioneuropea