COUNTRY PROFILE
Discover more about the Nicaragua market including overviews about the retail, food service, and food processing sectors. Events, resources, and more are linked throughout the profile.
$94.2 Million
In 2024 U.S. processed food exports to Nicaragua rose to US$94.2 million
6.3 Million
In 2024, Nicaragua’s population was 6.3 million
29 Years
is the median age in Nicaragua
USDA’s Office of Agricultural Affairs, OAA, in Managua, hereinafter referred to as “FAS Post Managua,” reports that the International Monetary Fund (IMF) expects the Nicaraguan economy to grow 4% in 2025 and 3% in the mid-term. Though record-setting remittances boosted consumer spending in 2023 and in 2024, increasing economic and political instability in Nicaragua could hinder economic progress. The U.S. is the leading source for food and agricultural imports, and Nicaragua, a net importer of food, will continue to offer opportunities for U.S. exporters.
Nicaragua is the smallest export market for U.S. processed foods in Central America, even smaller than Belize. In 2023, U.S. exports of processed food products to Nicaragua grew 12% to US$85.3 million. In 2024 U.S. processed food exports to Nicaragua increased 11% to US$94.2 million, and a new record high.
Top processed food exports to Nicaragua in 2024 included:
Snack Foods
$1.4 Billion
Retail packaged food sales were expected to reach just over US$1.4 billion in 2024
$1.9 Billion
estimated growth in sales of packaged food products by 2029
Euromonitor has estimated that the retail sales of packaged food products in Nicaragua will reach just over US$1.4 billion in 2024. They also forecast the packaged food market to grow to nearly US$1.9 billion by 2029.
FAS Post Managua reports that retail stores are expanding rapidly in Nicaragua as remittances continue to boost consumer spending. Small format stores remain the most numerous types of retail shopping outlets throughout the country, offering individual servings and smaller format products that cater to lower-income households. However, supermarket chains have expanded as well. Just in 2024, supermarket chains opened 10 new locations as Nicaraguan consumer trends are shifting towards modern retail channels, with remittances increasing purchasing pow
FAS Post Managua reports that among shelf-stable products, the best export prospects are soup & other food preparations, bakery goods, cereals & pasta, dairy products, non-alcoholic beverages, condiments and sauces, food preparations for infant use, dog and cat food, sauces and preparations, mixed condiments and seasonings, and sugar confectionary (including white chocolates), not containing cocoa.
FAS Post Managua reports that the hotel, restaurant, and institutional (HRI) sector has struggled since the 2018 social political crisis, which discouraged international tourism even before COVID-19-related disruptions. International tourism has been slowly increasing as more airlines have resumed flights to Nicaragua since 2022.
The loss of formal jobs due to the 2018 crisis and the pandemic has contributed to a significant increase in informal economic activity, including HRI businesses like food trucks, which are becoming more popular in urban areas. A few delivery service providers have also emerged from the pandemic offering not just restaurant meals, but also groceries and home goods. According to the Nicaraguan Central Bank, hotel and restaurant services for 2023 reached US$739 million, 23% higher compared to the previous year.
$128 Million
U.S. exports of intermediate products to Nicaragua grew to US$128 million in 2024
FAS Post Managua reports that Nicaragua’s food processing sector is largely focused on primary processing of meat, fish, dairy products, and sugar for exports. However, the food processing industry has been expanding as well to supply the local market.
In 2024, U.S. exports of intermediate products, where most food processing products are classified, grew 13% to US$128 million, a new record high. Top U.S. products exported included soybean meal, distiller’s grains, dextrins, peptones and proteins, animal fats, vegetable oils, and sugars, sweeteners, and beverage bases.
FAS Post Managua reports that as the Nicaraguan economy continues to contract, there will be less demand for high-value foods and greater demand for basic grains and lower priced processed products. Recent best prospects were yellow corn, rice, soybean meal, pork meat, chicken leg quarters, and a wide variety of lower priced processed products.
