The costs incurred by businessmen in Nicaragua, because of excessive procedures and low efficiency of foreign trade systems is 25% additional to the value of the goods, while in El Salvador and Costa Rica, amounts to 18% and 16%, respectively.
A study by the Economic Commission for Latin America and the Caribbean (ECLAC) specifies that the costs paid by businessmen in Nicaragua, because of excessive procedures and low efficiency of foreign trade systems is 25.3% additional to the value of the goods, followed by El Salvador with 18.3%, Costa Rica with 16.3%, Honduras with 15.8%, Guatemala with 14% and Panama with 9%.
Reducing trade barriers and procedures, increasing legal security and improving productive infrastructure are part of the changes required by the business sector for the region's economic development.
In Guatemala, the 12th Ibero-American Business Meeting is held, in which the private sector presents proposals to face the current challenges and generate opportunities for the countries of the region.
A free virtual seminar has been organized for November 30 on the procedures and requisites for exporting food products to the United States.
The free webinar organized by the Secretariat of Economic Integration (SIECA) is called "Exporting food products to the United States, who regulates it?"and will be held online on November 30, from 10 am to 11:30 am.
Salvadoran industrialists claim that with the presidential veto of the administrative simplification law, the country has lost a valuable opportunity to improve the already deteriorated business climate.
EDITORIAL
With the veto of the Administrative Simplification Act, the Salvadoran government is sending a clear message to the business community and to society in general: There is no interest in paving the way for the private sector to generate more jobs and, consequently, more wealth and socioeconomic development.
Proportion of people who have paid a bribe in the last year to access a public service: in Panama 38%, in Honduras 33%, in El Salvador 31%, in Nicaragua 30%, in Guatemala 28% and in Costa Rica, 24%.
EDITORIAL
The report "People and Corruption: Latin America and the Caribbean", prepared by Transparency International, shows how inhabitants of Latin American countries have got used to corruption: from the scandalous cases at the highest political level to under the table payments which are made on a daily basis when carrying out procedures as simple as requesting medical care in a public hospital or obtaining a document from a public office.
Central American citizens who have traveled to the United Kingdom four times in the last 24 months will have access to fast-track windows at airports and other British border controls.
An article by BBC World reports that this system facilitates immigration procedures for 16 countries, of which 12 are in Latin America,"...
From April 1st 2015 the only documents needed to send products to the Indian market will be the air declaration, the commercial invoice and bill of entry.
From a statement issued by the Costa Rican Foreign Trade Promotion Office (Procomer):
India has decided to simplify procedures for imports, which will reduce costs and time and aims to improve the country's position in the ease of doing business list produced by the World Bank.
A competition entitled "GovernArt: The Art of Good Government" makes clear the teachings on how creativity in management and the use of technology can eliminate the odyssey of public procedures.
From a report by the Inter-American Development Bank (IDB):
Three innovative processes conducted by subnational governments to improve management procedures for citizens and businesses are described in this technical article.
The shysters who live off government paperwork have reacted with alarm to the agility of the Ministry of Environment and Natural Resources regarding permits for Minimum Environmental Impact Activities.
Editorial
An article on Plazapública.com.gt reports that until very recently, "... there were only three ways of classifying Environmental Instruments.
Central American countries need to implement a series of improvements in customs procedures in order to meet the requirements of the agreement for the facilitation of international trade.
Within two years, as part of the commitments made in the 2001 Doha Round of the Bali Agreement, signed in 2013 by 160 nations belonging to the World Trade Organization (WTO), including Central America, governments will have to harmonize their customs systems ensuring trade facilitation. However, to date institutional progress on issues established by the Agreement such as simplification, harmonization and automation of procedures for international trade have not happened, particularly in relation to the requirements and formalities for import, export and transit of border freight.
European business people have criticised errors made by customs officials in implementing the terms of the Association Agreement.
After three months of the entry into force of the Association Agreement between Central America and the European Union, a lack of knowledge on the part of customs authorities has complicated the implementation of the trade agreement, as explained by the Chambers of Commerce and Industry of Spain (CAMACOES) Italy (Camcig) and Germany.
Now we transport thousands of tons of goods in fast trucks, we dispatch proformas and invoices online ... and there are still customs agencies.
EDITORIAL
The controversy which arose in Guatemala over the proposed creation of the Agile Import Window (VAI by its initials in Spanish) is as old as the world. Not going too far back into the past, we know that when in the late nineteenth century cars began to circulate, in many places the speed of their movement was restricted so that they would not go faster than a horse and buggy, and there were many who protested that this invention would put drivers of carts out of work along with horses and cattle breeders.
Trade ministers from the region are promoting the regional recognition of sanitary permits by its digitization and online availability.
Trade ministers from the region analyzed uploading permissions to a web platform in order to expedite the process of trading regionally. The initiative would allow an exporter registered in Guatemala not to have to send physical documents to another Central American country in order to register.
The competitiveness of the economies of the isthmus is being impaired by the inefficiency of the bureaucracy in the management of customs offices in the region.
The bureaucracy at customs offices has become a serious problem for the Central American region. Among other things it generates increases in the costs of exporting because of the procedures that must be paid for, loss of perishable goods and delays in production in processes that have to wait for raw materials.
Central American companies on average spend 217 hours and perform 34 different procedures in order to comply with the payment of taxes.
Even though the process for paying taxes are slower than in other regions, the overall tax rate paid by corporations in Central America is still lower than in other countries.
This is indicated in an annual study by PriceWaterHouseCoopers and the World Bank, which analyzes tax systems in 189 countries and compares them according to three indicators: the time it takes to make the payments, the number of procedures that must be carried out and the overall tax rate, which takes into account labour taxes, those on profits and others.