Just in time for Thanksgiving, we will see a reduction in the cost of our favorite Butterball. Over the years we became used to paying $50 for a 20 lb bird but this year we may see some relief on this and on a lot of other products.
Panama’s government has reduced import taxes on 42 food products in order to lower the price to consumers.
The list includes some products considered sensitive to Panamanian producers, such as cheese, coffee and tomatoes, whose tariffs fell from 30% to 10%.
“Also added to these are other foods of low production in Panama such as turkey, Jasmine rice, pancakes, popcorn, corn appetizer, goat milk and cheese, which registered sharp falls in tariffs”, reports panamaamerica.com.pa .
Additionally, 15% of the red bean tariff was removed, as well as a decrease from 30% to 10% on the tax paid for melted and mozzarella cheese.
Where do I get a list of duty-free or reduced duty products?
Ole’! Un pavo en la pava es fantastico. -JIMBO
The FTA will be beneficial for business investment and indirectly for future growth in employment in the services sector of Panama. The
agricultural infrastructure of Panama – for starters the small farmers and the small companies processing food products will be under
severe pressure to compete with lower priced products imported from the USA. And, quite frankly, I wouldn’t hold my breath waiting for
substantial reductions in the cost of food (and the government canasta of basic foods). Inflation of food prices has been a real problem in
Panama so it would be great if we would see a moderation in this increase. But, I am afraid that the supply chain will absorb a substantial portion of these savings before they get to the grocery store or supermarket. I know, call me a cynic. But I have a nice bridge (the Bridge of the Americas) that I will sell you real cheap.