The regime for the free movement of goods would increase trade in El Salvador, Honduras and Guatemala.
Exporters expect the El Amatillo border to be the first to apply the freedom of movement of goods, as it is the first integrated. /Minec
The Corporación de Exportadores de El Salvador (Coexport) hopes that the free movement of goods in the Northern Triangle of Central America – made up of El Salvador, Honduras and Guatemala – will begin this year.
In June, the Ministry of Economy (Minec) reported that the negotiations for thefree movement of productsThey had been completed and the measure would be gradually resumed at the borders.
Coexport President Silvia Cuéllar said this month that, following the conclusion of the negotiations, the government has reported that it initiated a training process for border post personnel in each country and, subsequently, a pilot test has been scheduled.
Training on freedom of movement of merchandise and the implementation of the Central American Unique Declaration (FYDUCA) for entrepreneurs are carried out in parallel with the training of customs agents.
Are they preparing the plans and making training plans for companies for the use of the Fyduca, is when this is to be used. We hope that they will start this year (free movement) .
Silvia Cuéllar
President of Coexport
Coexport confirmed that there is still no free movement of goods in the region and expect the El Amatillo border, La Unión, to be the first to implement the system.
The measure would be linked to theThe Amatillois the first integrated border post with Honduras. In this place, customs, migration and plant health services in both countries have been working in an integrated manner since December 2023.
Products with freedom of movement
Coexport points out that products such as plastics and paperboard paper, as well as hygienic and packaging of drinks, food and sweets are some of those that have free movement.
Based on the list of products that are exempt from the free movement regime, published by the Secretariat for Central American Economic Integration (Sieca), Coexport points out that among the products exempted from the regime are some related to cattle, pigs, roosters and chickens.
Tariff freedom does not include tilapias, catfish, dairy, eggs, potatoes, onions, beans, jockeys, as well as yellow and white corn, rice, coconuts, and wheat flour, semolina and corn.
The scheme does not apply for ground-marketed aviation gasoline between countries, diesel, kerosene avjet turbo fuel, as well as natural gas, propane and butane, among others.
Impact of integration
The president of Coexport said that the free movement of goods will speed up the passage of goods across borders with Guatemala and Honduras.
This speed could increase trade for countries and reduce logistical costs.
This can generate other opportunities for exports outside the region, although free trade is only among the three countries, Cuéllar said.
Guatemala and Honduras are the main trading partners of El Salvador in the region, protected by proximity and trade agreements that eliminate tariffs on various products.
The Central Reserve Bank (BCR) reported that $3,209.3 million was exported in the first half of the year. Of this amount, 34.5 per cent went to the United States, 19 per cent to Guatemala and 15.1 per cent to Honduras.
El Salvador also uses the land route to mobilize merchandise to the ports of the Central American neighbors and deliver them to customers outside the region.
This article has been translated after first appearing in Diario El Mundo