Because Costa Rica has imposed several restrictions on the movement of goods entering its territory, the Guatemalan government announced that it will apply reciprocal measures to Costa Rican transporters from June 9.
The customs union between Guatemala and Honduras favors small companies in particular, as they do not have to deal with the costly and slow procedures for export and passage through customs offices.
Although it does not yet cover the entire tariff universe, the effective customs union between Honduras and Guatemala will facilitate trade between both countries and this will have a positive impact on the development of both economies.
From this year these three products will be traded duty-free under the DR-CAFTA agreement.
The tariff reduction process that started with the entry into force of the free trade agreement with the United States and Central America has now reached completion for rum, flour and fats exported from Guatemala.
"...The first product is rum, which in 2006, when the trade agreement came into effect, had a tariff base of 40 percent.Last year, the import tax had reached 3.3 percent and this year it is zero.Other products that are in the same situation are the residues from the treatment of animals and plant fats (other than poultry, cattle and pigs) and flour from wheat or morcajo (meslin), according to the Ministry of Economy."
Losses of up to $1 million a day in exports are being reported due to demonstrations which have closed off Customs offices in Tecun Uman, El Carmen and La Mesilla for the last 8 days.
Although the union of exporters has tried to contact the Mexican authorities to end the blockade that is preventing the free movement of goods from Guatemala to Mexico, the problem has not been resolved and customs offices have now been paralyzed for eight days.
The main products exported were articles of clothing, accounting for 11% of the total, followed by sugar, with 9%, bananas, with 6%, coffee with another 6%, and precious stones and metals, with 3%.
From a statement issued by the Guatemalan Exporters Association (-AGEXPORT-):
The Bank of Guatemala has confirmed growth in exports in 2014 of more than 8.1% more than that estimated by AGEXPORT in a report relased in the second week of December last year. This growth comes from overseas sales having recorded $10.833 billion in foreign exchange.