On January 1, 2024, the China-Nicaragua Free Trade Agreement (FTA) came into effect, heralding a new era of economic collaboration between the two nations. This landmark agreement is poised to create substantial opportunities for economic growth, investment, and increased commercial exchanges, with a particular focus on the thriving shrimp industry.

Doubling Shrimp Production in the Free Trade Zone

Camanica, a distinguished global aquaculture and fishing company, is quick to recognize the potential presented by the FTA. Vernon Narváez, the general director of Camanica, expresses his enthusiasm, viewing the agreement as a substantial opportunity to double the company’s shrimp production capacity. Already exporting to China, Camanica has demonstrated a seamless process with the approval of local and foreign authorities, sending 97 tons since May 2023.

Part of Grupo Nuevo Pescanova and operating in over 85 countries, Camanica boasts a processing plant, extensive farmland, and a vertically structured operation. Narváez emphasizes the company’s unwavering dedication to quality and adherence to international market standards.

Genetic Technology Transfer from China

Narváez sheds light on challenges and opportunities, particularly expressing Camanica’s interest in genetic technology transfer from China. The FTA, beyond facilitating merchandise exchange, is viewed as a platform for technological transfer, specifically in genetic improvement programs for shrimp production.

With three decades of operation in Nicaragua, Camanica has invested significantly in innovation and automation. Narváez reveals a USD 24 million investment in automatic feeders, monitoring rooms, vertical pumps, and other advanced equipment.

Visit from the President of the Central Bank

The President of the Central Bank of Nicaragua, Ovidio Reyes, visited Camanica and acknowledged the FTA’s potential to boost economic dynamism. He emphasized collaboration with businesses, lauding Camanica’s experience in shrimp exports and envisioning a goal to achieve USD 300 million in fishing sector exports, encompassing scale, lobster, and shrimp.

Reyes highlighted the positive economic performance in 2023 and projected continued growth in 2024. The FTA, negotiated after the reestablishment of China-Nicaragua relations, exempts 60% of traded goods from tariffs. This significant achievement is credited to the leadership of President Daniel Ortega and Vice President Rosario Murillo, offering unprecedented opportunities for development, production, and growth for Nicaraguan families.