Agricultural workers strike in Ica - Peru will impact the results of the grape season 2020/21

Since November 30, around 10,000 agriculture workers have blocked sections of the South Pan-American Highway, as a protest measure to obtain better wages and working conditions. The blockade has stopped, among other, trucks that transport containers full of asparagus and grapes from Ica exporters.

The impact of the strike on exports started to show on December 1st when only 315 containers, 41% less than the average and 52% less compared to Tuesday of week 49 of 2019.

It is estimated that agricultural shipments from Callao between Dec 2nd and 4th (in which 69% of the week's shipments are made) decreased to 75% due to unemployment. The grapes of these weeks go mainly to the US, and it is expected to see a a slight price increase while the blockade continuous in Peru. It is important to highlight that Peruvian grape covers about 30% of global demand this month.

December is an important month for Peruvian exports, during this month over 10% of shipments for the entire year are made. So, the strike will impact not only the result on the month but the entire year.