Bureaucracy in the Food Industry

In Guatemala, companies say that the process to obtain a health permit to set up a food factory and register products can take several months.

Monday, September 11, 2017

Entrepreneurs in the sector say that the food industry is missing out on the possibility of attracting investments from foreign companies because of the cumbersome and slow processes that must be followed. Favorable factors for attracting investment in the food industry, such as the low price of sugar, do not make up for the high cost of bureaucracy faced when settling in the country.

See also: "Food Industry Imports in Central America"

Francisco Menéndez, an entrepreneur in the food sector, told Elperiodico.com.gt that "... a few years ago, a one-stop shop was functioning, which was quite agile in getting licenses and health permits. But today that no longer exists and procedures that should take only ten or 15 days, can take months."

"... "It took me almost two months to get a registration. I understand that you have to do tests, that should take about ten days, but no more. There is only one official laboratory, which is good quality, but it does not function well. That impacts on investments, since many prefer not to set up here because the procedures are a headache. And I speak knowingly, since my son has just started a factory and getting his license took him a year.'"

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