Panama has a population of approximately 4.5 million people,^[1] with the majority, 70%, living in urban areas^[2] and the remaining 30% inhabiting rural areas.^[3] The agricultural sector accounts for 15% of total employment in Panama^[4] and represents 2.4% of the national GDP.^[5]

During the last two decades Panama has witnessed a great boost in its economy, focusing on service oriented economic activities, with agriculture playing a secondary role. This development is worrisome considering that a large share of the population lives in the countryside and relies on small scale agriculture for their livelihoods. Agricultural land represents approximately 30% of the country’s area, a number that has remained relatively stable over the years. However, stability is not typical in the agricultural sector in Panama, since yields depend highly on the climate conditions. Farmers usually do not have the means to protect their crops, lack farming technology and suffer high post-harvest losses.^[6]

Panama’s top produced crops are sugar cane, bananas, rice, oranges, and palm oil fruit.^[7] In terms of export, the top commodities are bananas, palm oil, raw sugar, watermelons and molasses.^[8]