Smuggled Beans From Nicaragua to Costa Rica

Nicaraguan producers are complain that phytosanitary controls applied by the government of Costa Rica have increased the illegal entry of Nicaraguan beans, estimated at $4 million a year.

Thursday, October 9, 2014

On average over 160 containers holding 480 pounds of beans each are smuggled to Costa Rica, amounting to approximately $26,000, as "... a result of phytosanitary measures restricting the entry of beans with impurities," say Nicaraguan businessmen.

Laprensa.com.ni reports that "... The School of Agriculture of the Humid Tropical Region (Earth) carried out a census at the border with Nicaragua in the cantons of Los Chiles, Upala, Canton de Guatusos and La Cruz, where they found that the smuggling of beans from Nicaragua amounts to $4.3 million annually. "

The president of the National Association of Bean Manufacturers (Anifri), Alejandro Monge said that "... besides generating shortages and more expensive prices, the phytosanitary measures make it more attractive for smugglers generating economic damage in both countries ... Costa Rica produces only 20% of the 50 thousand metric tons of beans that the country consumes. Nicaraguan beans, even after paying more taxes to enter Costa Rica, are cheaper than the national ones. "

More on this topic

Costa Rica: More Price Rises For Beans

August 2014

Industrialists say prices will keep rising due to shortages caused by the impairment of entry of shipments of red beans from Nicaragua and China.

The shortage of grain in the region and phytosanitary controls which have blocked the entry of shipments of Nicaraguan beans which have traces of soil on them is affecting prices in the domestic market, which have already risen about a dollar per kilo since the first import was stopped in February.

Costa Rica: No Reduction of Bean Prices

July 2014

Industrialist point out that the declaration of shortage of grain by the government has failed to solve the problem in the local market, where the price of a kilo has increased by $1.

The National Association of Manufacturers of Beans in Costa Rica (Anifri) argues that the change in the verification of phytosanitary measures by the Ministry of Agriculture is the cause of the grain shortages and price increases in the country.

Complaints Over Criteria of Health and Safety Checks

June 2014

The Costa Rican agribusiness sector has indicated that a phytosanitary law is being interpreted without technical or medical reasons to support the rejection of the entry of 100 containers of Nicaraguan beans.

The National Association of Bean Manufacturers (Anifri) insists that the Ministry of Agriculture should review the Phytosanitary Act and reconsider the way in which they are exercising controls on grain containers entering from Nicaragua, a country from which most of the beans consumed in the country are imported.

Costa Rica Could Import Beans From Outside Region

June 2014

The Government is analysing whether to declare a shortage of beans and authorize the entry, of zero tariff grain from countries outside of Central America.

A study which quantifies purchase inventories that industrialists have made to local producers, will be used as a basis for the National Production Council (CNP) to determine the amount and type of grain to be imported and recommend to the institutions responsible whether they should declare a shortage. Once the declaration has been made and in accordance with the Act 8763, there would be no tariffs applied on the import of beans from countries outside of Central America with countries which have international treaties that are in force.

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