Peru prepares for economic and logistical impacts of El Niño

The potential for an intense El Niño event is creating significant economic and operational challenges across various sectors in Peru. The textile and garment industry faces risks ranging from reduced demand for winter clothing due to higher coastal temperatures to potential disruptions in cotton production in Piura and Lambayeque caused by heavy rains and pests.

Logistical hurdles, including possible flooding and road closures, threaten the transport of raw materials and finished goods. This comes as textile exports saw a 5.6% decline between January and April 2026 compared to the previous year. To mitigate these risks, industry representatives suggest diversifying markets and increasing investment in automation and digitalization.

Financial institutions, such as Caja Piura, have warned micro and small enterprises (MYPES) about the need for strategic continuity plans. Experts emphasize that many small businesses lack the liquidity and documented inventories necessary to survive sudden sales halts or to support insurance claims following climate-related disruptions.

In response to severe weather conditions in high Andean regions, social initiatives like the ‘Abriga Puno 2026’ campaign by the Brisas del Titicaca Cultural Association are collecting clothing and food supplies to support vulnerable communities facing extreme cold.