Doing Business in Ecuador

Subject (Course): International Trade and Business in Ecuador. Quito. Syllabus:

1. Introduction to the Republic of Ecuador (Andean Community).
2. Doing Business in Guayaquil and Quito.
3. Ecuadorian Economy.
4. International Trade of Ecuador.
5. Customs of Ecuador.
6. Import and export formalities.
7. Foreign Direct Investment (FDI) in Ecuador.
8. Case Study: Business Opportunities in:
   - The industrial sector
   - Fashion and accessories
   - Services
9. Agribusiness sector. Case Study:
   - UBESA.
   - Holding Favorite Fruit Company.
10. Case Study: Manta - Manaus Multimodal Transport Infrastructure in Ecuador.
11. Introduction to Spanish
12. Access to the Ecuadorian Market
13. Business Plan for Ecuador

Objectives of the subject "Doing Business in the Republic of Ecuador":

1. To analyze the Ecuadorian economy and foreign trade
2. To evaluate business opportunities in Ecuador
3. To explore Ecuador's trade relations with the student's country
4. To know Ecuador's Free Trade Agreements (FTAs)
5. To examine the profile of Ecuadorian Companies
6. To develop a business plan for the Ecuadorian Market

Sample of the subject - Doing Business in Ecuador:

Subject Description (Doing Business in Ecuador):

The Republic of Ecuador.

1. Borders of Ecuador: the Republic of Colombia and Peru
2. Ecuadorian Capital: Quito. Guayaquil is the second-largest city.
3. The official language of Ecuador is Spanish
4. Ecuador's population is 15.7 millions of people
5. Area: 283,561 sq km
6. Ecuadorian currency: Dollar USD
7. The main religion in Ecuador: Christianity (Catholicism: 13 million).
8. Ecuador belongs to the Latin American Economic Area of the Western Christian Civilization
9. Abolition of slavery in Ecuador: 1851
10. African Diaspora in Ecuador: 1.1 millions of people (7,2% of the Ecuadorian population)
11. Independence from Spain: 1809, recognized in 1830

Ecuadorian Economy.

1. Ecuador benefits from his strategic position that provides direct access to East Asia markets and the West coast of the United States.
2. Its proximity to the Panama Canal permits safe access to Europe, the Eastern Coast of the United States, Africa, the Middle East, and the rest of Asia.
3. Ecuadorian economy is the eighth biggest economy in Latin America after Brazil, Mexico, Argentina, Chile, the Republic of Colombia, Venezuela, and Peru.
4. The Dollarization of Ecuador creates an advantage in negotiation under strong currency (since January of 2000, the United States of America Dollar is the official currency).
5. Oil, manufacturing, commerce, and agricultural production are the pillars of the Ecuadorian economy
6. Oil accounts for 40% of Ecuadorian exports, oil exports allow having a positive trade balance.
7. Ecuadorian GDP growth: 3.8% (economic slowdown)
8. The inflation: 3.7%
9. Tax reform in Ecuador in 2014 and 2015 tax amnesty
10. The Union of South American Nations (UNASUR) is in Quito
11. Ecuador is a leader in production: bananas, shrimp, fresh tilapia, tuna, fine cocoa, passion fruit concentrate, palm, pond, leaf snuff, and broccoli

The main activity of the Holding Favorite Fruit Company is the production and export of first-class green bananas, Cavendish variety. Favorite Fruit Company has a 4.5% share of the worldwide market; exports have shown a continuous growth.

Foreign Trade of Ecuador.

1. Thanks to its geographical location, Ecuador has an appropriate climate for the growth of many export agricultural products.
2. Ecuador has an international reputation as a reliable supplier of seafood and aquaculture products, and the manufacturing industry is known for its strengths in design, quality, and reliability.
3. Ecuador exports to 150 countries. The largest export markets of Ecuador are the United States, Peru, the Republic of Colombia, Chile, Venezuela, Italy, Panama, and Russia.
4. Ecuador exports 14,000 million dollars, 50% belongs to the oil sector and the other 50% of non-traditional and traditional exports.
5. Export growth: 6.7%
6. Import growth: 2.2%
7. Ecuador is the largest exporter of bananas, palm of hearts, balsa wood, passion fruit juice, and roses in the World.
8. Ecuador is renowned for its high-quality food products, including cocoa, coffee, aromatic, and medicinal plants.
9. Major import partners of Ecuador: Latin America excluding the Andean Community 37%, the United States 25%, the Andean Community 22% Asia 19%, and the European Union 10%.
10. The Port of Guayaquil handles a majority of international trade of Ecuador; it is the economic capital of Ecuador.
11. Other important ports in Ecuador are Esmeraldas, Manta and Puerto Bolívar (banana). A larger bulk of international trade takes advantage of ocean routes. Every year, there are over 2.500 vessels that leave from Ecuadorian ports.

Ecuador is:

1. World's leading exporter of bananas
2. The first exporter of Palmito
3. The first exporter of Roses
4. The third largest exporter of flowers

Ecuador's Free Trade Agreements (FTA)

Ecuador is a member of the Andean Community and associated to the MERCOSUR

1. Andean Community
2. The Andean Community Free Trade Agreements (FTA): the MERCOSUR, Chile, Mexico, Panama, and the European Union
3. Union of South American Nations (UNASUR)
4. Latin American Integration Association (ALADI)
5. Bolivarian Alternative (ALBA)
6. Latin American and Caribbean Economic System (SELA)