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Country Highlights

El Salvador Textiles: Driving Economic Growth

As one of El Salvador’s largest manufacturing sectors, textiles play an important role in the country’s economy. According to recent figures, the industry contributed approximately 4.5% to GDP in 2021 and was valued at $1.2 billion in 2020. The United States serves as the primary export market, underscoring textiles’ strategic significance.

El Salvador has a long history in textile production dating back to the 1970s. Over the decades, the industry has grown significantly through investment and trade agreements that granted duty-free access to US and other markets. Even with Covid-related disruptions in 2020, the sector recovered 74.8% of export volume the following year thanks to strong demand recovery in the US.

Going forward, there is potential to further strengthen the industry’s contribution. One strategy is developing new product categories and higher value-added textiles through technology upgrades. This could help El Salvador move into more specialized textile niches beyond basic apparel assembly. Investing in worker skills training is also important to support this.

As a management consulting firm with global expertise in textile industry development, Ruskin Felix Consulting is well-positioned to advise on strategic priorities. Our services include conducting market analyses to identify promising new product segments and export markets. We also provide guidance on quality certification standards, environmental compliance, and responsible sourcing practices important for market access and sustainability. By facilitating partnerships and helping secure financing, RFC can support the technology and skills investments needed to drive continued growth and competitiveness. With the right strategies in place, El Salvador’s textile industry stands to remain a pillar of the national economy for years to come.

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