Country name: Panamá

Official country name: República de Panamá

Assessment dates:

From (Month / Year): 20 march 2018

To (Month / Year): 19 July 2018

Name of Assessor: Rodriguez Espinoza Jonathan

Title and Position: C.E.O // International Logistic Manager

Contact (email and phone number): Jonathan.rodriguez@westcoastexpress.com

+51 954812331

1. UNITED STATES PROFILE

Panama and its capital is the city of Panama, bordered on the north by the
Caribbean Sea, on the south by the Pacific Ocean, on the east by Colombia and
on the west by Costa Rica. It has an area of 75 420 km². Located on the Isthmus
of Panama, an isthmus that links South America with Central America, its
mountainous territory is interrupted only by the Panama Canal. Its population is 4
073 212.2 On January 1, 2014, the province of Panamá Oeste is created, thus being
constituted by 10 provinces and by five indigenous districts. Before December 31,
2013, it was constituted by nine provinces .Its condition as a transit country made
it an early meeting point for cultures from all over the world. The country is the
geographical scenario of the Panama Canal, a work that facilitates communication
between the coasts of the Atlantic and Pacific Oceans and that significantly
influences world trade. And now with the recent inauguration of the expanded
Canal, it offers a greater transit of cultures. Due to its geographical position, it
currently offers the world a wide platform of maritime, commercial, real estate
and financial services, including the Colon Free Zone, the largest free zone in the
continent and the second in the world.
 With a population of over four million inhabitants, it has a privileged position in
several classifications of growth and development in Latin America, such as the
2016 human development index (first in Central America and fourth in Latin
America). Panama is the second most competitive country in Latin America
according to the World Economic Forum and the Latin American country with
the highest economic growth. The country is cataloged in absolute terms, that is,
without taking into account the distribution of wealth, as of medium-high income
https://es.wikipedia.org/wiki/Panam%C3%A1

Panama Map

Humanitarian Info:

 World Food Programme

http://es.wfp.org/El-Programa-Mundial-de-Alimentos-en-Colombia-necesita-
US%2446-millones-para-ayudar-urgentemente-a-350000-migrantes-de-
Venezuela

 Office for Coordination of Humanitarian Affairs

www.unocha.org/search/node/PANAMA

Is country is available …. Yes / No

Facts and Figures:
 Wolfram Alpha
http://www.wolframalpha.com/input/?i=PANAMA

 World Bank
www.worldbank.org/en/search?q=PANAMA&currentTab=1

 Population Information
www.worldpopulationreview.com/countries/panama-population/
www.worldometers.info/world-population/panama-population/

 Trade products and services

https://atlas.media.mit.edu/en/profile/country/pan/

1.1 Panama Humanitarian Background

Disasters,
Conflicts and
Migration

Natural Yes / No Comments / Details

Disasters

Drought No Panama has not experienced major droughts in

recent years

Earthquakes Yes San vito and volcan have several minor

earthquakes every day

Epidemics Yes Last year they declare conjunctivitis epidemic

Extreme Yes in 2015 there will be heat wave in Panama;

Temperatures thermal sensation reaches 41 degrees centigrade

Flooding Yes in this year there was a flood, because of the rains
on the coasts of Colon, there were affected
Insect Yes
Infestation in 2015, Dengue spread throughout the country

Mudslides No They have not been reported

Volcanic No They have not been reported

Eruptions

High Waves / No They have not been reported,

tsunamis The last tsunami was in 1982, the earthquake
generated a powerful tsunami that devastated the
San Blas Archipelago

Wildfires Yes
Panama burned by forest fires caused by the hand
of man in great majority, this occurred in the year
2016

High Winds Yes strong wind in the peninsula of Azuero and the
Gulf of Panama, this occurred in 2016

Other Panama is characterized by having a great biodiversity in all its

Commets territory

Man-Made
Issues

Civil Strife Yes In recent years, smuggling, crime and

unemployment in Panama have increased, are the
main social problems in Panama, although its
economy is good

International No Panama does not have an armed force, so it is not

Conflict ready for war; it is not very common to have
international conflicts
 Internally Yes
Displaced A large data gap puts refugee, migrant and
Persons displaced children in danger and leaves them
access to basic services according to a UNICEF
study in 2016

ACNUR, the UN Refugee Agency, has an office

Refugees Yes
in Panama since 2004, which supports children,
Present young people who come mostly from Colombia

Landmines Yes If there are landmines on the border of Panama

and Colombia, they caused heavy damage in
some Panamanian police

Terrorist No The security minister of Panama says that his

activities country is not targeted by terrorist agents

Other Panama is a country that is characterized by having the Panama

Commets Canal that allows international marketing of many countries
allows the information of the continents, their economy and
growth.

Calamities and Seasonal Effects

Seasonal Effects on Transport

Transport Comments From

(month) to
(month)

Primary In the winter, the roads are temporarily wet by the April-
Road coasts of the rains that occur, this brings with it some December
Transport accidents
 Rainy
Season

Secondary In the winter, the roads are temporarily wet by the April-
Road coasts of the rains that occur, this brings with it some December
Transport accidents. Road construction always slows traffic Rainy
Season

Rail The Panama Canal Railway Company is the union of january-

Transport companies between the Kansas City Southern and December
Mi-Jack Products that provides transport service by Rainy
train to passengers and containerized cargo between Season
the cities of Panama and Colon given a concession
granted by the State for a period of 50 years

Air For the second time they postponed the date of january-
Transport receipt of offers for the study, redesign, December
implementation and training of the adaptation and
optimization of Panamanian airspace.

Waterway The maritime transport to Panama is, by far, the january-

Transport most natural alternative. Throughout the last December
decades, its economy has progressed steadily, which
has allowed it to position itself as the country with
the highest per capita income in the region. The
expansion of the Panama Canal, strong foreign and
domestic investments and its powerful logistics
industry make maritime transport to Panama a safe
investment option

The economy of Panama is one of the most stable in America. Among the main
activities are financial, tourism and logistics services, which represent 75% of
GDP.
The Panamanian economy is the tenth largest economy in Latin America in terms of
nominal GDP (after Costa Rica and before Bolivia) and the tenth in terms of GDP at
purchasing power parity (PPA) prices (after Guatemala) and before Costa Rica.) Panama
has a per capita income of USD 11 849 nominal and USD 20 512 PPP.

From 2003 to 2009, GDP doubled, driven by high external and internal investment,
tourism and the logistics industry. According to the World Bank, the IMF and the UN,
the country has the highest capital income in Central America, which is about $ 13,090;
It is also the largest exporter and importer at the regional level according to ECLAC.The
GDP has grown steadily for more than twenty years in a row (1989) .The country is
classified in the "investment grade" category by the risk rating companies: Standard and
poors, Moody's and Fitch Ratings.

In 2016, Panama is the tenth most unequal country in the world.( HASTA ACA ESTA
CORREGIDO, COPIE TODO EL DOCUMENTO DEL GORDO PARA GUIARME
QUE SIGUE ; CONTINUA CON LO QE SIGUE YA HICE TODO ESTO)

Seasonal Effects on Storage and Handling (economic, social, climate…)

Activity Comments From <month> to <month>

Storage

Handling

Other

REPLACE THIS TEXT with a 1 -3 paragraph narrative outlining potential seasonal

effects on miscellaneous commodity handling and storage activities, such as
repackaging parcel production. Specify if there is a potential need to pre-stock
before seasonal bottlenecks arise. Ie, winter freeze, hot climate, flooding. Etc.
etc.

IRS

USA GOV ORG QUALITY CONTROL ORGANIZATION FOR FUEL EPA FOOD
FDA

MEDICARE AND MEDICAID MEDICINE

 PREE SHIPMENT INSPECTION HIS STATE HAS ITS OWN REGULAROTY
COSTUMES SYSTEM

TRADE AGREEMENTS

1.2 UNITED STATES National Regulatory Agencies

(Government Departments)
Tax Revenue
In FY 2018, total US government revenue, federal, state and local, is “guesstimated” to
be $6.21 Trillion.

TOTAL GOVERNMENT REVENUE IN THE UNITED STATES FEDERAL, STATE AND LOCAL
YEAR 2018
INCOME TAXES $2.3 trillion
SOCIAL INSURANCE TAXES +$1.4 trillion
AD VALOREM TAXES +$1.5 trillion
FEES AND CHARGES +$0.5 trillion
BUSINESS AND OTHER REVENUE +$0.5 trillion
BALANCE +$0.0 trillion
TOTAL DIRECT REVENUE $6.2 trillion

USA Government Organization Quality Control

USA Organization Quality Control

Food and Nutrition United States Department of Agriculture
Food and Drugs United States Food & Drug Administration
Fuel United States Environmental Protection Agency
Taxes Internal Revenue Service

Pre-shipment inspection
The governments use pre-shipment inspection agencies’ services for a variety of
reasons, including to prevent capital flight or undervaluation of imports and to
compensate for the inadequacies in customs and other administrative structures.

The Agreement on Pre-shipment Inspection was negotiated in the Uruguay Round. The
Agreement on Pre-shipment Inspection recognizes that the principles and obligations of
the GATT 1994 and other WTO (World Trade Organization) Agreements apply to pre-
shipment inspection agencies’ activities which are mandated by governments.

However you transport your products, you need to be certain that they arrive as
intended and meet all relevant requirements.

The pre-shipment inspection include:

 Dimensional inspection
 Documentation review
 Packing and marking checks
 Visual inspection
 Witness Tests
 Verifying the number of packing cases and marking against contractual specifications.
 Checking for appropriate handling during loading.
 Checking the stowing, fastening and wedging on the means of transport

Trade Agreements in Chronological Order

 The US-Canada Free Trade Agreement (FTA) - 1988

 North American Free Trade Agreement (NAFTA) - 1992
 The World Trade Organization (WTO) - 1995
 China Permanent Normal Trade Relations (PNTR) - 2000
 The Jordan Free Trade Agreement - 2000
 Central America Free Trade Agreement (CAFTA) - 2005
 Oman Free Trade Agreement (OFTA) - 2006
 Columbia, Panama and Peru or Free Trade Area of the Americas (FTAA)
o The Peru – U.S Free Trade Agreement (PUFTA) was signed on April 12, 2006
o Colombia FTA was signed on November 22, 2006
 The Korea – U.S Free Trade Agreement (Korus FTA) - 2007
 South Korea, Panama and Columbia Free Trade Agreements - 2011

It is composed of fifty states and a federal district. It has an extension of 9.83 million
km², and more than 325 million inhabitants. The country is the fourth largest in total
area, the fifth largest in contiguous area and the third largest in population. It is one of
the most ethnically diverse and multicultural nations in the world, a product of large-
 scale immigration, and has the world's largest economy in nominal terms, with an
estimated GDP of 15.7 billion dollars. It is the main capitalist force, in addition to being
a leader in scientific and technological research.

1.3 UNITED STATES Customs Information

Duties and Tax Exemption
The Customs Duty Rate is a percentage. This percentage is determined by the total
purchased value of the article(s) paid at foreign country and not based on factors such
as quality, size, or weight. The Harmonized Tariff System (HTS) provides duty rates for
virtually every existing item. CBP (U.S Customs and Border Protection) uses the HTSUS
(Harmonizes Tariff Schedule of the United States Annotated), which is a reference
manual that provides the applicable tariff rates and statistical categories for all
merchandise imported into the U.S. ; American Goods Returned (AGR) don’t have to be
declared. The United States gives Customs duty preferences that is, conditionally free or
subject to reduced rates to certain designated beneficiary developing countries under a
trade program called “Generalized System of Preferences (GSP).

Many products from Caribbean, Andean countries, sub-Saharan African countries, Israel,
Jordan, Chile and Singapore are exempt from duty to have a reduced rate under the U.S
free trade agreements with those countries. All the each package or container must
have its own CBP Form 255 attached.

Emergency Response

Agreements / Conventions Description Ratified by Country?

(Yes / No)

WCO (World Customs Organization) member Yes , 05 – 11 - 1970

Annex J-5 Revised Kyoto Convention Yes, 02 – 11 - 2011

OCHA Model Agreement No

Tampere Convention (on the Provision of

Telecommunication Resources for Disaster No

Mitigation and Relief Operations)

 Regional Agreements (on emergency/disaster Yes, Collaborative Disasters

response, but also customs unions, regional Preparedness (Vietnam, United

integration) States, and Regional Experiences)

20 – 08 - 2015

Exemption Regular Regime (Non-Emergency Response)

Organizational Requirements to obtain Duty Free Status

United Nations Agencies

All requests for the clearance of shipments, whether for the personal use of a
privileged individual or for official use, must be submitted to OFM/Customs on
form DS-1504 (Request for Customs Clearance of Merchandise).
The mission/organization member must provide accurate information in the
following boxes:
a) Name of Embassy, Legation, or International Org
b) Port of Clearance
c) Consignee’s Name & Title
d) Purpose
e) Personal Identification Number
f) Carrier/Supplier
g) Description of Merchandise
h) Request for International Organization members must be dated and bear
the signature of that agency’s authorized representative.
i) Bilateral mission members

Non-Governmental Organizations

All requests for the clearance of shipments, whether for the personal use of a
privileged individual or for official use, must be submitted to OFM/Customs on
form DS-1504 (Request for Customs Clearance of Merchandise).
Exemption Certificate Application Procedure

Duties and Taxes Exemption Application Procedure

Generalities (include a list of necessary documentation)

 Memorandum and Articles of Association or Business Registration Certificate.

 Documents pertaining to the purchase/installation/construction and lease of premise,

machinery and equipment, or Service Tax License from the Royal Customs Malaysia (if

applicable).

 Company’s Registration number from the Department of Occupational Safety and Health

(DOSH) or an acknowledgement letter from DOSH.

Process to be followed (step by step or flowchart)

1) Introduction

2) Eligible Services

3) Criteria for Exemption

4) Conditions for Application

5) Duration of Exemption

6) Procedures for Application

7) Documentation
 Exemption Certificate Document Requirements

Duties and Taxes Exemption Certificate Document Requirements (by commodity)

Food NFI Medicines Vehicle Staff & Telecoms

(Shelter, & Spare Office Equipment

Education) Parts Supplies

Invoice [example:

Yes,

Original,

1 copy,

applies to

UN and not

NGOs]

AWB/BL/Other

Transport Documents

Donation/Non-

Commercial

Certificates

Packing Lists

Other Documents

Additional Notes

INSERT ANY ADDITIONAL NOTES AS REUIRED

Customs Clearance
General Information

Customs Information

Document [Example: INSTRUCTION OF TEMPORARY IMPORT MUST BE

Requirements INDICATED IN THE INVOICE, THE RECEIVER MUST DEPOSIT A

GUARANTEE BEFORE THE CUSTOMS]

Embargoes [Example: NONE]

Prohibited Items [Example: SPECIFIC DRUGS, PROTECTED SPECIES, IMITATION AND

COUNTERFEIT MATERIAL, WINE AND SPIRITS]

General [Example: GMO COMMODITIES ARE NOT ALLOWED INTO THE

Restrictions COUNTRY]

Customs Clearance Document Requirements

Customs Clearance Document Requirements (by commodity)

 Food NFI Medicine Vehicle Staff & Telecoms

(Shelter, s s& Office Equipmen

Education Spare Supplie t

) Parts s

D&T [example

Exemption : Yes,

Certificate Original,

1 copy,

applies

to both

UN and

NGO]

Invoice

AWB/BL/Othe

r Transport

Documents

Donation/Non

-Commercial

Certificates

Packing Lists

Phytosanitary

Certificate

Other

Documents

Additional Notes
INSERT ANY ADDITIONAL NOTES HERE