Free Trade Zones in the export sector play a key role, since they possess important tax and labor benefits in Panama. But how do you know if a Free Trade Zone is ideal for your operations?

The first thing we must take into account is to understand the concept of  what a Free Trade Zone is  and then identify if we are in the types of users of these geographically delimited areas. 

Types of Free Trade Zone Users:

1. Operator: The legal entity authorized to direct, manage, supervise, promote and develop one or several Free Trade Zones, as well as to qualify its users.
2. Industrial user of Goods: The legal entity installed exclusively in one or several Free Trade Zones, who is authorized to produce, transform or assemble goods by processing raw materials or semi-finished products.
3. Industrial user of Services: It´s the legal entity authorized to develop exclusively, in one or several Free Trade Zones, among others, the following activities:
   •  Logistics
   • Transport
   • Handling
   • Distribution
   • Packaging
   • Repackaging
   • Labeling
   • Classification
   • Telecommunications
   • Technology Systems
   • Processing
   • Data Storage and Transmission
   • Scientific and Technological Research
   • Medical, dental or general health care
   • Tourism
   • Repair
   • Quality cleaning of goods
   • Technical support
   • Equipment Maintenance
   • Ships or Machinery
   • Audits or similar
4. Commercial: It´s the juridical person authorized to develop activities of marketing, commercialization, storage or conservation of goods in one or several Free Trade Zones.

The Law No. 32 of April 5, 2011 establishes the regime for the Free Trade Zones in Panama. According to this Law, companies dedicated to the following activities can be installed within the Free Trade Zones:

• Manufacture
• Assembly
• Processing of finished or semi-processed products
• Logistic Services
• Higher education
• Scientific investigation
• High technology
• Environmental services
• Provision of health services
• General services

If your company complies with any of the aforementioned profiles, you can click the button below to download the requirements and apply to a Free Trade Zone in Panama, and thus make a direct request in your area of interest.