Colon Free Zone- market study, commissioned by the Embassy of India, Panama, has been circulated to export promotion councils and chambers.
the largest Free Trade Zone in the western hemisphere and the second largest in the world. It has an area of 400 hectares and has 2000 companies. US Dollar circulates freely.
The zone offers free movement of goods and complete exemption from taxation on imports and exports. no corporate income tax, dividend tax,customs duty or federal or municipal taxes.
Trade in 2006 in the zone
total trade 14.5 billion dollars. imports 6.8 billion and reexports 7.6 billion dollars.
source of imports: 63% of total imports come from far east. China 1.9 billion$, Hongkong-1.2 bn$, Taiwan-0.7 bn $, Japan-250 million$ and South Korea-166 million$.
destination of reexports: south america-3.75 bn$ and central america-3.2 bn$
venezuela- 1.58 billion$, Colombia-1.24 bn$, Ecuador-341 million$, Brazil- 145 m$, Peru- 136 m$,Chile-140m$, Guatemala-411m$, Honduras-235 m$, El Salvador-209m$, Costa Rica-359 m$, Dominican Republic-404 m$, Cuba-215m$, Nicaragua-122 m$, Haiti-129 m$, Jamaica-110 m$, Trinidad and Tobago-91 m$, Mexico-170 m$ and USA-275 m$
Imports from India -57 million$
main items of trade: textiles, electronics,shoes,pharma and cosmetics
Indian companies are invited to take advantage of this Zone for their exports to central and south american regions.