Honduras’s economic activity is directly linked to the United States. Imports from the U.S. were 43 percent of total imports in 2014. Honduras exports to the United States were 34 percent of total exports. The country’s per capita Gross Domestic Product (GDP) was $2,236 in 2014, with 3.1 percent growth. Additionally, the inflation rate in 2014 was 5.8 percent. Despite the recent economic diversification, there continues to be a large subsistence farmer population with few economic opportunitie

U.S. exporters should keep in mind the relatively small size of the Honduran market and the high elasticity of demand for consumer products when devising marketing strategies. Price is one of the most important elements that influence the receptivity score of most Honduran imports. In many cases, purchasers buy from abroad if they feel that the cost of imports available in the local market is too high. U.S. exporters should carefully analyze both their cost and market approaches when making pricing decisions.

U.S. exporters who offer attractive financing terms on sales to Honduran traders have the best chances of gaining market share. This is particularly true for large-scale projects. It is important to emphasize, however, that international firms must exercise due caution when granting credit to Honduran trading partners. U.S. firms should investigate the creditworthiness and reputation of potential partners before granting credit.

Helpful Link:

Honduras Exporter Guide