Collaborative Trade Exchange and the COVID-19 Event: Barter in the Andean Subregion of Ecuador

Collaborative Trade Exchange and the COVID-19 Event: Barter in the Andean Subregion of Ecuador

Jessica Silvana Matute-Petroche, Uriel Hitamar Castillo-Nazareno, Luis Fernando Pazmiño-Crespo
Copyright: © 2022 |Pages: 23
DOI: 10.4018/978-1-7998-8626-6.ch007
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Abstract

While the most serious part of the pandemic was taking place, key economic variables were aggravated such as unemployment, cost of the basic food basket, precariousness of the basic salary, and distribution of wealth (Gini). The objective of this chapter is to analyze the emergence of bartering during the pandemic as an anti-crisis measure and an initiative of mutual support, which originates from the population in the central highlands of Ecuador (the Andes), an area with social, cultural, and economic importance for the country. To achieve this objective, a methodology with a quantitative approach was applied with descriptive scope and non-probabilistic sampling, consisting of direct observation, interviews, and surveys. The results obtained reveal that bartering is a collaborative commercial exchange practiced to minimize the economic effects caused by COVID-19 and to compensate for the inefficiency of an absent state.
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Introduction

Bartering, or collaborative exchange, has had a transcendent insurgence in the economic depression generated by the COVID-19 pandemic. This phenomenon, bartering, has been present in Ecuador in some areas more than others, leading to the question: why is it present now with particular intensity, and how deep is it? To answer this question, a study of four provinces located in what is known as the central highlands of this South American country is presented.

There are four provinces (Cotopaxi, Chimborazo, Tungurahua and Bolivar) that, despite having a great endowment of natural resources, an enviable geography and an ancestral culture of farmers, cannot overcome social precariousness. This is very evident that, in pandemic conditions, and in the absence of public support policies, they have had to resort bartering as a solution to the need for surviva006C. The immediate thing, therefore, is to know the socio-economic structural nature of these provinces: their weaknesses and level of vulnerability.

The area where these provinces are located is the Andean1 subregion, also known as “The Avenue of Volcanoes” (Santillán and Lozada, 2013). Its altitude ranges from 1 800 m to 6 268 m, in this specific geography there are parallel rows of massive volcanic peaks. This is why the chains of large conical volcanoes are named as the provinces: Chimborazo, Tungurahua and Cotopaxi. Active volcanoes covered with glaciers, makes the cartography of this part of the South American mountain range unique (Chávez, 2012). But on the economic level, it is only possible to generate yields, with this peculiar landscape, often touristy, which was demolished with the COVID-19.

In addition, in these provinces there are three of the five most important national parks in the country, due to their pre-Hispanic and Inca content: Cotopaxi Park, Llanganates Park, and the Chimborazo Wildlife Reserve. These parks are open to the public in an attempt to generate incomes through tourism. The tourism region stands out for preserving unique ecosystems of the high Andean paramo, peaks and valleys of great scenic value, which is complemented by handicrafts, gastronomy and cultural expressions. However, none of these aspects were useful to solve the central issue of socioeconomics: family or community income.

A province of cultural and commercial importance in this area is Cotopaxi. It has a surface area of 6 071 km2, a population of 303 489 inhabitants and an average annual temperature of 12 °C. However, it contains a climatic peculiarity: it has a temperate, cold and warm-humid environment. For this reason, its ecosystem is home to several arboreal species, especially pines, which makes the place unique in South America, since it is more reminiscent of an alpine forest than a forest of the Andes, which makes it very visited according to the Development Plan and Land Management (Plan de Desarrollo y Ordenamiento Territorial PDOT by its acronym in Spanish) of Cotopaxi (2015). Extraordinary natural resource, but that makes it dependent on the possibility of the displacement of people to the place.

Its productive area is mainly agricultural, among its crops are barley, wheat, corn, legumes, vegetables and a great variety of fruits. In the western sector of the province, the cultivation of tropical products is favorable. Finally, the forest wealth is considerable, since there are wooded areas composed of walnut, alder, laurel, oak, among others. This variety of agricultural products shows the wide range of possibilities for a collaborative exchange when the neoclassical markets that work with coins are closed. The barter gene is hidden there.

Tungurahua is a province with an area of 1 200 km2 and a population of 297 011 inhabitants. It has interesting geographical features (peaks, gorges, hot springs, fast rivers, trails) and agricultural production based on tubers, roots, vegetables, fruits and flowers. Another important source of income are its tourist attractions, among which are: The Ambato Fair, which celebrates both the Carnival and the Flowers and Fruits Festival, which includes cultural and artistic activities, the international folklore festival, the book fair. In addition, in this province is located the city of Baños de Agua Santa, famous for being one of the cities more attractive for tourists in Ecuador.

Key Terms in this Chapter

Indigenous: Collectivities that assume an ethnic identity that defines them as the autochthonous peoples of the country, descendants of pre-Hispanic societies.

Minga: Voluntary and free community or collective work for the purpose of achieving a common work or objective.

Pawkar Raymi: In Quechua language means many colors. It is the exact point at which they can offer their fruits to be consumed.

Taita: Quechua word meaning father, father, God.

Collaborative Exchange: Active and cooperative participation of two people who exchange one good or product for another of the same or equivalent value.

Income Crisis: A situation of changes caused by the instability of the economic income from an activity, which is subject to evolution.

Cooperativism: Is the action that determines the cooperation of a group of members as a means to obtain a greater benefit for the satisfaction of their needs.

Fair: A space for open and inclusive participation where sellers and buyers of products, generally brought from the countryside, meet.

Community: Group of human beings who have certain elements in common or who have the same interests.

Plaza: Uncovered public urban space in which a wide variety of activities take place, generally used for fairs.

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