Breaking the Silence: Organized Crime's Impact on Rural Entrepreneurs-Latin America

By Silvia Ontaneda

Over the past several years, I've had the privilege of working with farmers and entrepreneurs in the rural areas of Latin America, providing them with export readiness tools based on ethical sourcing and sustainable practices. This journey has been incredibly rewarding because it has allowed me to understand the challenges and opportunities the region faces at a microeconomic level—which, of course, affects the macroeconomics of the entire continent, including the United States.

In the case of Ecuador, for example, the challenges from 25 years ago are vastly different from those the country currently faces. Twenty-five years ago, the country grappled with the devastating effects of the 1999 economic crisis, known as the “Feriado Bancario.” Between 1998 and 2002, an estimated 500,000 Ecuadorian citizens migrated, primarily to Spain and the U.S.

Since 2020, however, the country has shifted from an economic crisis to an unsustainable wave of violence and crime perpetrated by mafias and international organized crime groups. This spike in crime and extortion is causing farmers and entrepreneurs, particularly in rural areas, to abandon their small businesses and farms to migrate to foreign countries. By 2024, this situation has also expanded to the main cities, where more and more young adults are fleeing the country in search of opportunities elsewhere. The number of Ecuadorians leaving since 2020 is estimated to surpass the migration from 1999 to 2002.

Ecuador’s situation is not isolated. Other Latin American countries are facing similar challenges. There is an urgent need for a regional plan that includes both the private and public sectors, with clear guidelines and commitments from all stakeholders. There is no time for bureaucratic delays or political rhetoric. Governments, multilateral organizations, corporations, small businesses, and civil society need to act now to prevent Latin America from being overtaken by cartels, mafias, and other transnational crime organizations. This is in the best national security interest of the entire continent, including the U.S. and Canada.

#LatinAmerica #RuralEntrepreneurship #MicroEconomics #MacroEconomic

#SustainableDevelopment #EthicalSourcing #CorporateSocialResponsiblity #Peace

#CommunityBuilding #SocialInclusion

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