Farming, then exporting. Another big opportunity to make money from your property in Ecuador. Learn how to get started this week as I report from Anyang, China, where I will be for the next 10 days on an Ecuador-export-related mission.
I’ve noticed a lot of interest in owning a farm in Ecuador. It makes sense considering Ecuador has everything from deserts to the fertile valleys of the Andes to the jungle (all packed into an area about the size of Nevada).
Anything you want to grow, you can probably find the climate and elevation for it in Ecuador. It’s true, the land is more fertile than a date on prom night!
For instance, the strawberries sold street-side in Ibarra look like freaks of nature (in a good way).
Overlooked by many Ecuador exporters, China, with 1.3 billion people and a raging need for raw materials and produce, should not be. A few observations:
I’ll be reporting on this in depth shortly from my site, but currently, wood is one of the top exports from Ecuador to China. For instance, Bamboo and Teak Wood are easily grown in Ecuador and highly sought after in China. Ecuador’s top exports also are in high demand in China… the Ecuador top 5 (besides oil) are Banana, Coffee (unprocessed), Cacao (unprocessed), shrimp, and tuna. I know several shrimp farmers on the coast who export. And yes, many Chinese are coffee drinkers.
Other hot Ecuador exports that could be farmed and do well in China are raw leather, rubber, plastic, alpaca and even flowers (particularly during the Chinese holidays, like Chinese New Year or Valentine’s Day where I see the Chinese have picked up the custom to give their loved ones flowers).
To begin exporting in Ecuador:
1. Go to the governmental website cae.gov.ec where you need to register as an exporter.
2. Go to the SRI office (like the IRS of Ecuador) and get a RUC number (like your tax ID number).
3. Get the needed certifications or authorizations depending on the product being exported. To find out which you may need contact Corpei, a public institute I like that helps exporters in Ecuador, or try a freight forwarder.
To find buyers for your products:
There are the more expensive, traditional ways of finding buyers like trade shows, but simply publishing on the internet is very effective in today’s world. Currently, Alibaba.com is the leading international trade site on the planet… and a great place to post your products and find importers. It also helps to have a simple website that can be found in Google. Or if you want to be a little more aggressive you could look in the Yellow pages online for importers in your sector and reach out to them.
The exporting process:
1. Buyer contacts seller (you!) and asks for a quote, you give it.
2. Buyer and seller agree to price, quantity and terms and seller sends a “proforma” which specifies terms of payment and shipping info.
3. Payment…usually a bank to bank transfer involving a letter of credit issued by the buyer’s bank…then ship!
Now, to find the perfect farm for you at the lowest price possible, you’re going to want to read my full Ecuador property hunting guide found here, it could literally save you thousands knowing how to property hunt like a local.
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