The “Cons” of the Panamanian Logistics Hub


News from Panama / Tuesday, July 31st, 2012

While Panama is truly a world hub for commence and travel, like many things down here, there is still has a need for improved systems and this also offers a lot of business opportunities.

Panama has proclaimed itself the No. 1 logistical hub in America, but there are still some weak links in the chain.

According to businessmen interviewed by Melissa Novoa and Oscar Brown for an analysis in Martesfinanciero.com, one of the weak links in Panama’s logistics chain is that “logistics are still not moving towards comprehensive e-commerce.”

Carlos Urriola, executive vice president of Manzanillo International Terminal (MIT), recognizes that “the National Customs Authority (ANA) has achieved a lot but what is lacking is an integration of services offered by land, air and sea into one set of documents.”

In turn, the commercial manager of Tree Logistics, Alexandre  Cuevas, talks about escalating costs, some of which are over the top and unreasonable. Cuevas believes that “the costs of storing goods in the Free Trade Area will depend on each of the companies with warehouses in place, but it is not understandable that moving a one cubic meter package or a box from the nearby ports of Cristobal or MIT to the zone costs $150. This is what Cuevas calls not having a Fair Economy. ‘Its no good asking for $20 to enter one place nor $200 for access to another’.