Guanacaste Province - Economy

Economy

The province has an economic and cultural heritage based on beef cattle ranching. Most of the area is covered by small patches of forest, scattered trees and large pastures of coarse grasses where Brahman cattle and related breeds graze. Historically, the main source of income of Guanacaste was cattle ranching. Cattle ranching is declining in Guanacaste due to an international drop in the demand for beef. Many pastures are naturally reverting back to dry forest or are being converted to tree plantations.

The other agricultural products of relative importance in the province are sugar cane and cotton, and since the late 1980s, with the creation of a large-scale irrigation program (the water comes from Lake Arenal after passing through several power generating stations), rice has become a prominent crop.

For the past two decades tourism has emerged as the new and growing activity in the local economy. The combination of beaches like Playas del Coco, Playa Tamarindo, and the sunny dry season that coincides with the winter months in northern latitudes have made tourism a key economic activity. A lot of tourists are also attracted by the abundance of natural beauty. The Province has no less than seven national parks like Santa Rosa, Guanacaste and Rincon de la Vieja National Park.