U.S. Army Captain Michael Kelvington, commander of the Battle company, 1-508 Parachute Infantry battalion, 4th Brigade Combat Team, 82nd Airborne Division, bows next to remains of Gulam Dostager, a member of Afghan Local Police who was killed in the blast of an Improvised Explosive Device (IED) during the joint Tor Janda (Black Flag in Pashtu) operation, in Zahri district of Kandahar province, southern Afghanistan May 25, 2012.  REUTERS/Shamil Zhumatov  (AFGHANISTAN - Tags: MILITARY CIVIL UNREST CONFLICT TPX IMAGES OF THE DAY)

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FACTBOX: Key facts about Honduran economy after coup

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Wed Jul 1, 2009 9:06pm EDT

(Reuters) - Honduran President Manuel Zelaya was ousted by a military coup on Sunday that sparked protests in the impoverished nation and drew worldwide condemnation.

The country's economy, heavily dependent on remittances from migrants and textile and coffee exports, could be affected by an international clampdown on the interim government or an escalation of unrest if the ousted president tries to return.

Here are some key facts about the country's economy:

* The biggest export sector for Honduras, part of the Central American Free Trade Agreement, is manufacturing, concentrated in the eastern city of San Pedro Sula where sprawling factories churn out t-shirts, bras and baseballs. The sector has been hard hit by a drop in U.S. demand, with some 19,000 jobs lost since last year. Analysts say the industry faces further trouble if any sanctions are imposed to pressure the interim government.

* Honduras is the second-largest coffee producer in Central America, expecting to export 3.45 million 60-kg bags of coffee in the 2009/10 harvest. But while coffee farmers are politically split, with small growers largely supporting Zelaya and major producers backing the caretaker government, the harvest season has already come to a close and the unrest is unlikely to affect exports. Some highways have been blocked by protesters, raising fears that an escalation of tensions could complicate access to plantations.

* The United States is its No. 1 export market, followed by Honduras' neighboring Central American countries. The regional governments decided to block commercial trade with Honduras for 48 hours after the coup. If they extend their blockade, small producers who trade grains and plastics will be seriously affected, the Guatemalan exporters' association said.

* The largest source of foreign currency is money sent home from the more than 1 million migrants living in the United States. Also dependent on loans from international financial institutions, Honduras had a setback when the World Bank and the Inter-American Development Bank said they would suspend new credits because of the coup.

(Reporting by Mica Rosenberg in Tegucigalpa; Editing by Gary Hill)

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