Panama: Improvements to the Colon Free Zone

The government is proposing relaxing charges for maritime entry, waste collection, and security, and is awaiting a response from users of the Free Zone on 1 March.

Sunday, February 28, 2016

The proposal sent by the Government of Panama to the Association of Users of the Colon Free Zone (AU) provides for reductions in the charges for maritime entry from $150 to $25, as requested by the AU, a reduction in the fee for waste and security services and a change in the use of the declaration of commercial movement.

See also: "Ideas for Turning Colon Free Zone Around"

Prensa.com reports that "... while the cost of $15 for each form was not reduced, the Government has proposed eliminating the limit of 10 lines for registering sales and allowing this to be unlimited. This allows companies to avoid having to pay $15 each time they have more than 10 records. This format was inherited when the registration changed from being made on chemical paper to being made on a computer."

See also: "More Companies Leaving Colon Free Zone"

"... As for the proposal on tax matters, the parties involved chose not to reveal what the details are until the agreement between the government and entrepreneurs has been confirmed. The AU convened a special meeting for March 1st, where its president Marco Tellez will disclose the government's proposal and it will be seen if the adjustments presented by the Government is well received by users of the free trade area ".



More on this topic

Panama: New Law for Colon Free Zone

March 2016

MEPs have given the green light to legislation that modernizes the legal framework of the free trade zone, including the consolidation of business operations under other schemes.

From a statement issued by the National Assembly of Panama:

67 years after the creation of the commercial emporium, the plenary of the National Assembly approved on its third reading Bill No.

Businessmen: "Proposal for Colon Free Zone is Not Enough"

March 2016

Free Zone users require another type of measures on top of the proposals the government has discussed in the Assembly, such as reducing the charges for renting.

The bill that was discussed in Congress and which seeks to increase the competitiveness of the Colon Free Zone (CFZ), (already approved in the first debate) is not enough for entrepreneurs.

More Companies Leaving Colon Free Zone

February 2016

The lack of tax incentives has led to 55 companies leaving the free zone in January 2016, on top of the 125 who ceased operations last year.

In total, from 2015 to now, about 180 companies requested the removal of their key operations in order to cease doing business in the Colon Free Zone (CFZ), according to the Association of Users of the CFZ.

Colombia Extends Additional Tariffs for CFZ

January 2014

The imposition of tariffs on imports of shoes and clothing from the Colon Free Zone has been extended until March 2016.

The Colombian government announced that it will extend, for two more years, the measure which partially amended the Customs Tariff duties on imports of apparel and footwear, a ruling which affects the activities of re-exports from the Colon Free Zone (CFZ), according to customers of the free zone area.