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[BUSINESS] · Costa Rica, Panama, Honduras · 3 sources

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Central American trade connectivity faces logistical hurdles and infrastructure proposals

The Chamber of Foreign Trade of Costa Rica and Foreign House Representatives (Crecex) has called for the removal of logistical restrictions between Central American nations, specifically targeting Panama and Honduras. Crecex warns that current operational frictions, such as the inability of empty trucks to return from these countries, could increase regional transport costs by 50% to 75%.

Rodney Salazar, president of Crecex, emphasized the need for a regional system based on freedom of transit and non-discriminatory regulations to maintain competitiveness. While Costa Rica's Ministry of Foreign Trade reported progress with Honduras regarding empty unit entry, further barriers remain in Panama.

In a separate development regarding regional infrastructure, the Panama-David-Border railway project is moving forward as a potential link between western Panama and southern Costa Rica. The project aims to create a binational logistics hub to complement Panama's logistics capabilities with Costa Rica's production strengths. A feasibility study for the railway has been submitted to Panama's Ministry of Economy and Finance and is currently undergoing review and validation with multilateral organizations.

Entities

CRECEX · Ministry of Economy and Finance of Panama · Panama-David-Border Railway Project