He shows that although most campesinos received no land at all, those who did get land were unable to obtain the inputs needed to farm efficiently. In addition, inflation and unfavorable terms of trade have further eroded reform benefits.

Although El Salvador has recorded impressive overall economic growth in the 1990s, during this period, agricultural growth has lagged considerably below the rest of the economy, which raises concerns about the long-run capacity of the sector to raise incomes and employment in rural areas and contribute to overall growth. The main objectives of this sector review are twofold: to develop a strategy to revitalize the agricultural sector and realize its full potential for efficient and sustainable growth by enhancing competitiveness; and to present the main findings of the analysis of rural poverty and develop its implications for the design of a strategy for poverty alleviation.