Coffee was first cultivated in El Salvador in the 19th century, and it its beginnings it was only for domestic consumption. In the middle on the century, the government encouraged the people giving tax breaks, exemption from military service for coffee workers and elimination of export duties for new producers. By 1880, coffee was an exportable product and was becoming more important to the economy.
Coffee production flourished throughout the 20th century, reaching its peak in the late 1970s. By 1980, coffee was responsible for the 50% of the gross domestic product. The civil war of 1980 affected the production of coffee and the production was decreased.
Ending the civil war, Salvadorian producers started investing on technology in the farms, and also new coffee varieties were planted and The Institution of Coffee was created. All of these important factors, helped to develop the coffee industry. And in the following years coffee production is an important economic factor in El Salvador.
