Pedro Beirute Prada Chief Executive Officer, PROCOMER
Winner: Best initiative to ensure that trade is inclusive and sustainable
Export Promotion Agency of Costa Rica
(PROCOMER)
THE GREEN GROWTH PLATFORM
‘We seek for Costa Rica’s exportable offer to be more sustainable, because we understand this is where the world, consumers and new markets are going.’
‘The programme aims to make our exporters more competitive, and that sustainability sophistication can be a differentiating element for international buyers.’
‘This recognition makes us proud and grateful. It recognizes Costa Rica’s efforts to protect our planet.’
Pedro Beirute Prada Chief Executive Officer, PROCOMER
WHAT THE JUDGES SAY
‘Well-designed and documented. Evaluation is conducted externally.’
‘Aligned with the TPO mission of export promotion and Sustainable Development Goals.’
‘Reflects Costa Rica’s focus on sustainability.’
‘Strong focus on clean energy, waste management and water usage.’
‘Great to see the falling carbon footprint – fascinating project.’
AT A GLANCE
Sustainable transformation for SME competitiveness
PROCOMER recognized that consumers are increasingly basing their purchasing decisions on environmental issues.
The Green Growth Platform, launched in 2018, demonstrates Costa Rica’s commitment to sustainability. It aims to benefit 260 SME exporters or potential exporters over four years. This represents 10% of the export sector.
The platform was based on an alliance between PROCOMER and the Costa Rica-USA Foundation for Cooperation. It started with $3 million in funding, for seed capital for innovations that help Costa Rican SMEs to be more sustainable, productive and competitive. Funding for the platform totals $4.5 million, with support from the Inter-American Development Bank.
Currently, 105 SMEs are receiving $1.3 million. Of these companies, 36% are located in less developed regions and 40% are women-owned. This demonstrates the initiative’s commitment to inclusive development.
PROCOMER’s five objectives drive the Green Growth Platform:
- Exporter creation
- Consolidation and diversification
- Productive linkages
- Simplification of procedures
- Institutional excellence
LOOKING CLOSER
A green exportable offer
Aligning with Costa Rica’s reputation for sustainability and social welfare, PROCOMER focused on improving environmentally responsible production and ensuring certified quality. The early adoption of technologies, particularly exportable green energy projects, is creating a more innovative, sustainable and resilient export sector.
When a company approaches PROCOMER for support, it carries out a diagnostic to determine gaps and recommend how to improve the company’s export profile. These companies then compete to join the Green Growth Platform. They are selected for their strategy and potential for impact.
The four key performance indicators are renewable energy use, emission reduction, water management and integrated residue management.
In addition, the technologies should be usable for agricultural products with high international demand that can be processed in Costa Rica. Among them are dragon fruit, passion fruit, cocoa, sweet potato, turmeric, tropical roots and organic products.
PROCOMER chooses companies based on the technical merits of their proposals through open bids held every six months, evaluating companies for their approach and potential impact.
Winning companies receive funds and support to develop and carry out their projects. They are expected to complete the transformation process in one year.
Sustainable impact
Initially, 370 companies expressed interest in participating. Of these, 229 presented projects, 170 received one-on-one support to formulate proposals and 105 were chosen.
The first group of 26 companies, selected in October 2018, completed their green transformation. Impressively, they collectively reduced their carbon footprint by the equivalent of 405.81 tons of carbon dioxide.
Focused on green energy, they saved $57,000 in just two months, which is recovery of 20% of their investment.
Exports rose by 23.3% in 2018–2019. These numbers should continue to rise, because the higher-quality products can be placed in the global market.
MEASURING SUCCESS
The Green Growth Platform measures the impact of each project by analysing environmental indicators, economic savings and – one year after its transformation – the specific impact of the project, with an econometric evaluation, through a regression discontinuity design.
The combined evaluation of the projects provides a measurement of success for the programme as a whole.
Importantly, an independent authority carries out the evaluation.
DECREASE WASTE, INCREASE EXPORTS
As a typical successful example of a company using the Green Growth platform, a woman-owned small firm radically transformed its fruit cleaning and packaging, and increased exports. This resulted in a 50% decrease in waste and a 97% reduction in water use at the packing plant. Given local water shortages and challenges to legalize wells, this is critical. The company obtained Rainforest Alliance certification, which gives it access to the European market. Exports rose 35% in one year.
‘The production transformation processes are in accordance with world trends, which helps us to achieve better recognition by our international clients due to our commitment to the environment.’
SME manager
‘Our responsibility is to invest from our own resources to complete the project. Our company is growing thanks to the funding we received, but also due to the work we put in.’
SME manager
These results demonstrate how the Green Growth Platform is part of an institutional strategy that enables PROCOMER to provide customized services. Its services address the needs of individual companies and have the ongoing support of business and export promotion advisers. PROCOMER is proud of this accomplishment because it reflects Costa Rica as a small country with a huge vision.
PROCOMER
CONTACT Pedro Beirute Prada Chief Executive Officer
ADDRESS Complejo Plaza Tempo, piso 3 Apartado Postal: 1278-1007 San José Costa Rica
WEBSITE www.procomer.com