Trade: Costa Rica and Panama Begin Dialogue

In order to overcome the trade conflict resulting from the blocking of the entry of animal products from Costa Rica into the Panamanian market, both nations have started a dialogue.

Friday, February 12, 2021

The trade conflict between the two countries began in July 2020, when Panama informed the National Animal Health Service (SENASA), an agency of the Costa Rican Ministry of Agriculture and Livestock (MAG), of the decision not to extend export authorization to a list of previously authorized Costa Rican establishments that have been trading in the Panamanian market for many years.

Since the trade dispute has not been resolved, the Costa Rican government decided to send on January 11, 2021 a request to open the consultation mechanism to the World Trade Organization (WTO).

After the WTO became aware of the case, the authorities of both countries decided to initiate a dialogue process to overcome the conflict.

Laestrella.com.pa reports that "... high authorities of Panama and Costa Rica are meeting today, Friday, February 12, in Paso Canoas, to discuss possible ways to solve the differences arising in relation to bilateral trade, mainly in agricultural products, official sources informed."

The trade dispute affects different types of Costa Rican livestock establishments, including dairy and dairy by-products, fish feed, beef, pork, processed poultry and sausages.

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Trade: Costa Rica Acts Against Panama

January 2021

As a result of the blockade to the entrance to the Panamanian market of products of animal origin coming from Costa Rica, on January 11 the Costa Rican government requested to the WTO the application of the mechanism of consultation with Panama.

The trade conflict began in July 2020, when Panama informed the National Animal Health Service (SENASA), an agency of the Costa Rican Ministry of Agriculture and Livestock (MAG), of the decision not to extend the export authorization to a list of Costa Rican establishments previously authorized and which have been trading in the Panamanian market for many years.

Movements in Regional Commercial Chess

August 2020

The blockade to the entrance of products of animal origin coming from Costa Rica to the Panamanian market, has derived in a commercial conflict in which both countries have their share of responsibility, since the authorities of both nations advocate for protectionist measures.

On July 10, 2020, Panama informed the National Animal Health Service (SENASA), an agency of the Ministry of Agriculture and Livestock of Costa Rica (MAG), about the decision not to extend the authorization for export to a list of Costa Rican establishments previously authorized and that have been commercializing in the Panamanian market for many years.

Entrepreneurs Support Trade Dispute

August 2020

After the Panamanian government agreed to ban the entry of animal products from Costa Rica, Panamanian businessmen supported the measure and asked to discuss the export and import requirements, since they claim that their agricultural products are prevented from accessing the Costa Rican market.

The trade dispute began when on July 10 Panama informed the National Animal Health Service (SENASA) of the Costa Rican Ministry of Agriculture and Livestock (MAG) of the decision not to extend export authorization to a list of previously authorized Costa Rican establishments that have been exporting to Panama for many years.

Tariff Dispute: Colombia's New Offensive

August 2019

The South American country decided to impose a tariff of 37.9% on clothing when its declared FOB price is less than or equal to $20, again affecting businessmen in the Colon Free Zone in Panama.

Decree Number 1416 of the Ministry of Commerce, Industry and Tourism of Colombia, dated August 6, 2019, specifies in its Article 1 that establishes "... a tariff of thirty-seven point nine percent (37.9%) on imports of products classified in chapters 61 and 62 of the National Customs Tariff, when the declared FOB price is less than or equal to 20 United States dollars per gross kilogram."

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