The agreement adds a legal framework for business with Switzerland, Norway, Iceland and Liechtenstein, countries which have average per capita GDP of $47,800.
From a press release from the Ministry of Foreign Trade of Costa Rica (COMEX):
This morning the Minister of Foreign Trade, Anabel Gonzalez and her counterparts from Panama, Ricardo Quijano, Norway, Trond Giske, Switzerland, Johann Schneider, Iceland, Gunnar Bragi Sveinsson and Liechtenstein, Aurelia Frick signed a Free Trade Agreement negotiated with the European Free Trade Association (EFTA), with which it consolidates its business relationship with the European continent.
Both countries have complied with the legal procedures for the entry into force of the trade agreement.
From a press release from the Ministry of Foreign Trade of Costa Rica (COMEX):
Today saw the exchange of notifications between Costa Rica and Peru, which confirmed mutual compliance with the legal procedures for the entry into force of the Free Trade agreement between Costa Rica and Peru, signed in the city of San Jose, Costa Rica, on May 26, 2011.
Those countries who have not ratified the Association Agreement with the European Union are at risk of losing markets compared to other Central American nations.
In an interview in Siglo21.com.gt by Celso Solano, with the ambassador to the European Union in Guatemala, Stella Zervoudaki, the official explained that there will not be any sanctions if Guatemala fails to ratify the agreement on or before May 15, but the country faces other threats.
The inclusion of textiles, onions and potatoes are the most difficult issues in the trade agreement between the two nations.
These issues remain obstacles to the completion of negotiations to modernize the Free Trade Agreement (FTA), which came into effect on November 7, 2002.
"The main problem arose when Costa Rica requested improving access for textiles.
Since the entry into force in 2006 of the DR-CAFTA, the tip in favor of the U.S. in the trade balance has multiplied by 5.
"The Central America to which President Barack Obama is coming to visit on on Friday is a region that maintains multiple communication vessels with the United States, including a growing trade relationship which in 2012 amounted to $40 billion, although very much in favor of the American power," reported Prensa.com.
Costa Rica and Canada have recognized the equivalence of regulations governing the accreditation and certification of organic agricultural products in both countries.
This agreement "... allows free passage for Costa Rican exporters, dedicated to this subsector, to export to the U.S. market," noted an article in Elfinancierocr.com.
Rice, bananas, banana purée, cocoa, coffee, sugarcane, blackberries, oranges, noni, pineapples, aloe, legumes, vegetables, fruits and spices are some of the organic products that can enter the Canadian market.
Private entrepreneurs and economic analysts say that countries in the region are still working in isolation, despite trade agreements.
"Every country does its own thing in order to grow, but we must begin to see ourselves as a unified block because we do not have the ability to compete alone. We must unite regionally" said the manager of the economic section of the Salvadoran Foundation for Economic and Social Development (Fusades), Álvaro Trigueros.
The Inter-American Development Bank has launched a new version of the Intrade website with information on tariffs and trade agreements for companies and countries seeking new markets for their exports.
A statement from the Inter-American Development Bank (IDB) reads:
IDB launches new version of Intrade, the most complete business information system in the region.
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There is a requirement to avoid duplicate collection of customs duties levied on imports in order to meet the provisions of the trade pact with the European Union.
The commissioner of Customs at the Superintendency of Tax Administration (SAT) in Guatemala, Oscar Funes, referred to the commitments made by the region in the signing of the Association Agreement between Central America and the European Union, signed on 29 June.
The European Free Trade Association (EFTA), comprising of Switzerland, Norway, Iceland and Liechtenstein, will negotiate a free trade agreement with Costa Rica, Honduras and Panama.
The announcement was made by the Swiss Minister of Economics, who said that EFTA member states agreed on the need to deepen relations with Central American states.
"The opening of free trade negotiations was set for November 14, 2011 in Geneva, during EFTA’s ministerial conference", indicated the Association.
The approval of the US-Panama FTA. brings to the fore the urgent need to increase competitiveness in the economy in order to reap the real benefits of that agreement.
When the economy of the United States and those in the rest of the world were booming, free trade agreements offered an immediate benefit in increased business transactions benefiting from the tariff preferences established in them.
An analysis of the production and export structure of both countries reveals complementarities between economies, ideal conditions for a trade negotiation.
COMEX Director General, Federico Valerio, presented the results of the study during a seminar on "Diversifying in Asia: an approach to South Korea, the largest Asian tiger", organized by the Foreign Trade Corporation.
The Free Trade Agreement between Costa Rica and China will come into effect on August 1, 2011.
The Costa Rican Ministry of Foreign Trade has indicated that they have fulfilled all the necessary operating procedures and exchange of diplomatic documents corresponding to the FTA with China which goes into effect on 1 August.
"China is the second largest importer in the world after the United States, it has a growth rate above 9%, its consumption capacity is increasing and it there is diversity of tastes and preferences, which means great opportunities for our country. We must now try to the get the maximum advantage from it, for which we have been preparing through the Foreign Trade Promotions (PROCOMER) office in Beijing and in San Jose through close coordination with other government agencies to ensure the agreement’s proper implementation", said Minister of Foreign Trade, Anabel Gonzalez.
Seasoned in negotiations with Europe, Central American employers are demanding to political sectors to accelerate the process for the economic integration of the isthmus.
50 years after the signing of the General Treaty of Central American Integration, over 40 million people living in the region still do not enjoy the economic benefits and development opportunities that could effectively be consolidated if Central America would act as a single economic unit, much like the European Union.