Paraguay Explores Panama’s Colon Free Zone to Expand Trade in Central America

Paraguay is eyeing Panama’s Colon Free Zone (Zolicol) as a strategic hub to boost exports of meat, soybeans, oils, and pharmaceuticals to Central America. Deputy Minister of Industry Marco Riquelme recently visited Zolicol to assess its potential, accompanied by a delegation led by President Santiago Peña and Minister of Industry and Commerce Javier Giménez.

During high-level meetings, Paraguayan officials positioned the country as an emerging business hub in South America, aiming to attract investment and establish industrial parks and free zones. Talks with Zolicol’s leadership, including Luisa Napolitano, focused on a knowledge transfer agreement to enhance Paraguay’s logistics capabilities.

The discussions emphasized Zolicol’s role in streamlining trade routes to Costa Rica, Honduras, Peru, and Ecuador, reducing logistics costs and improving market access. Panamanian officials welcomed the initiative, seeing it as the start of a mutually beneficial commercial relationship.

By leveraging this re-export hub, Paraguay aims to diversify its exports, strengthen its agro-industrial and pharmaceutical sectors, and position itself as a key player in regional trade.

Source: RDN