Belize's Pulse in Latin America- April 2020

BELIZE'S PULSE IN LATIN AMERICA TRADE IN GOODS

02 PAGE

BENEFITS OF THE BELIZE-GUATEMALA PARTIAL SCOPE AGREEMENT

Central America, a market of 47.4 million people PAGE 11

TRADE WITH BELIZE'S NEIGHBOUR,

MEXICO

PAGE 14

CONTENTS 01 What We Do: The Latin America Unit

02 The Belize - Guatemala Partial Scope Agreement

05 Market Access under the Belize - Guatemala PSA

09 Belize - Guatemala Trade 10 Belize - Central America Trade 12 Central America Country Profiles 14 Belize - Mexico Trade 16 Belize - South America Trade 17 Latin American Countries in the Caribbean 19 Resources

Cover and Collage Photographs: © BELTRAIDE

WHAT WE DO:

THE LATIN AMERICA UNIT The Latin America Unit is a unit within the department of the Directorate General for Foreign Trade (DGFT), Belize. It's primary responsibility is to increase market access for Belizean exports into the Latin American market and thus stimulate more dynamic trade relations between Belize and the Latin American group of countries, inclusive of those in the Caribbean.

CORE FUNCTIONS:

TRADE NEGOTIATIONS: Conduct preparatory research and analysis required for bi-lateral trade negotiations with Latin American countries.

TRADE AGREEMENTS: Implement and monitor the Belize-Guatemala Partial Scope Agreement (PSA).

MARKET RESEARCH: Assess and explore trade opportunities available for Belize through economic integration with Central America.

PRIVATE SECTOR ENGAGEMENT: Engage the private sector as part of the policy formulation process.

TRADE POLICY DEVELOPMENT: Assist with the formulation of Belize’s foreign trade policy to boost Belize’s international trade portfolio.

THE DGFT'S MISSION: To foster sustainable and inclusive economic development through a responsive Trade policy that stimulates trade, enables investment and facilitates Belize's integration into the multilateral trading system.

BELIZE'S PULSE IN LATIN AMERICA | 01

FUN FACTS

B

ELIZE-GUATEMALA PARTIAL SCOPE AGREEMENT

HISTORY

The negotiations on the Partial Scope Agreement (PSA), between the Government of Belize and the Government of the Republic of Guatemala, were launched on the 22 November 2004. Both countries signed the agreement on the 26 June 2006. In 2009, Belize obtained CARICOM's approval of the agreement and deposited its Instrument of Ratification to the CARICOM Secretariat; it completed its internal ratification process that same year. Guatemala completed its ratification in March of 2010. With the exchange of information notifying the completion of the internal process in each country, the PSA took effect on the 4 April, 2010, thirty days (30) after Guatemala ratified it.

The PSA with Guatemala is Belize’s first bilateral trade agreement; and one which takes into account the obligations to the CARICOM Single Market and Economy (CSME). This agreement has been seen as an opportunity to enhance trade and commercial relations for both countries.

A PSA is a trade agreement that grants tariff preferences to a limited number of goods.

MAIN OBJECTIVE: To strengthen the commercial and economic relations between Belize and Guatemala by: FACILITATING

EXPANDING PROMOTING & DIVERSIFYING TRADE IN GOODS

Guatemala is Belize's largest export destination in the Central American Region.

DESTINATION OF BELIZE'S EXPORTS TO CENTRAL AMERICA (2019) Rest of Central America

91% Guatemala

Belize's annual average exports to Guatemala from 2015-2019 was over BZ$9.6 million.

02 | BELIZE'S PULSE IN LATIN AMERICA

Source: SIB

BELIZE - GUATEMALA PSA ADMINISTRATIVE COMMISSION

INVESTMENT

The PSA established an Administrative Commission that is tasked with supervising the administration and implementation of the Agreement. This Commission ensures that both Parties comply with the provisions of the Agreement and recommends the adoption of suitable measures and mechanisms to mitigate barriers to trade.

This entity is required to meet, at least once, every year and as often as needed, or upon request by one of the Parties.

The Directorate General for Foreign Trade (DGFT) has taken ongoing steps to facilitate full implementation of the Agreement. The inaugural meeting of the Belize-Guatemala Administrative Commission was convened on the 28 February 2014 at the George Price Centre in Belmopan, between a high level trade delegation and other officials representing the Government of Belize, and its counterparts from the Republic of Guatemala. On the 6 and 7 August 2015, the Administrative Commission convened again at the Ramada Princess Hotel in Belize City, Belize.

The Agreement provides for investment promotion between both countries. It ensures that both countries maintain a favourable investment climate to attract investment. Emphasis on the discouragement of anti-competitive business practices is enshrined in the chapter on Investments. The agreement also contains provisions to ensure that investments, of either party, are not nationalized, expropriated or subjected to measures that would nullify their value, or have effects equivalent to nationalization or expropriation. It also contains provisions for the settlement of disputes between an investor and the country in which the investment is made, concerning any breach of obligations under the Agreement.

TRANSPORTATION

Chapter Ten of the PSA covers land transportation with the objective of facilitating the trade of goods between Belize and Guatemala. The chapter also contains key provisions on freedom of transit, in which vehicles and their drivers should be allowed to transport between the countries freely, without any hassle. Transportation in the chapter does not refer to local load or cabotage; it is limited to the transportation of goods originating in Belize and Guatemala only.

BELIZE'S PULSE IN LATIN AMERICA | 03

CURRENT STATUS MARKET ACCESS

The PSA currently provides for seventy two (72) Belize originating product lines to receive preferential treatment from Guatemala and seventy eight (78) Guatemala originating product lines to receive preferential treatment from Belize. These product lines include certain goods under the headings of: animal products; prepared foodstuffs; products of the chemical or allied industries; plastics and articles thereof; wood and articles of wood, wood charcoal; paper and paperboard, articles of paper pulp, of paper or of paperboard; textiles and textiles articles; footwear, gaiter and the like; parts of such articles; glass and glassware; among other items.

Currently, Belize is interested in increasing the level of formal trade under the PSA so that the full benefits of the Agreement can be realized for both countries.

Therefore, efforts are being directed towards: (1) resolving trade facilitation issues that impacts trade between both Parties and (2) possibly expanding the list of products eligible for tariff concessions under the PSA. PRODUCTS EXPORTED BY BELIZE IN 2019 THAT BENEFIT FROM THE PSA 2008.30.00- Oranges, otherwise prepared or preserved 2009.11.00- Frozen orange concentrate 2009.21.00- Grapefruit juice 2103.90.00- Pepper Sauce 3301.12.00- Essential oils of orange 4818.10.00- Toilet paper 0

100,000

200,000

300,000

400,000

VALUE

Scan this QR Code, with a QR reader mobile application, to access the complete Belize-Guatemala PSA.

04 | BELIZE'S PULSE IN LATIN AMERICA

500,000

72

MARKET ACCESS

Seventy Two Belize Originating Products Benefit from the PSA

The Agreement is only partial in scope, meaning it allows for reciprocal (two-way) trade between Belize and Guatemala on a limited number of goods. The Agreement covers 150 specified tradable products between both Parties; seventy two (72) products originating from Belize and seventy eight (78) products originating from Guatemala. The PSA specifies for the elimination and or reduction of tariffs applied to these products based on three categories: A, B and C. The list of products can be found in Annex I & II of the Agreement.

CATEGORY Parties are to eliminate tariffs by 100% or reduce them by 50% immediately.

This means that when the Agreement entered into force, Guatemala granted Belize immediate preferential (duty free, in many instances) access to their market. All seventy two (72) Belize originating products fall under this category. This allows Belize to sell products at preferential tariff margins to Guatemala such as, tilapia, yellow maize (up to 20,000 MT at 0% duty), black beans (up to 875 MT at 0% duty), rice, and toilet paper, among others.

A B C

Belize is to eliminate tariffs on products originating from Guatemala by 50% or 100% in three (3) equal annual cuts. Seven (7) Guatemala originating products fall under this category.

Belize is to eliminate tariffs on products originating from Guatemala by 50% or a 100% in five (5) equal annual cuts. Eight (8) Guatemala originating products fall under this category.

BELIZE'S PULSE IN LATIN AMERICA | 05

ANNEX II OF THE BELIZE - GUATEMALA PSA LIST OF PRODUCTS THAT RECEIVE PREFERENTIAL TREATMENT FROM GUATEMALA BASKET

Treatment for products subject to tariff rate quota access granted by Guatemala to Belize: Note 1 Note 2 Black beans Yellow maize (corn) Tariff line 0713.33.10 Tariff line 1005.90.20 875 MT 20,000 MT In quota duty 0% In quota duty 0% 3% of annual growing for 5 years 3% of annual growing for 5 years

rules of origin

A Certificate of Origin is required for the product to obtain the preferential tariff treatment granted under the BelizeGuatemala PSA. Each certificate is valid for 180 calendar days from the date of issue and is valid for one use only.

The provisions of the PSA stipulates that Belize’s Customs and Excise Department is the only competent authority in Belize to issue Certificates of Origin for Belize’s exports to Guatemala.

Specifically, the Rules of Origin provisions in the PSA provide that for a product to qualify for origin criteria, goods have to be wholly produced or substantially transformed (see Annex III of the PSA for the rules of origin for each product type). It does not include re-labelled and repackaged goods.

WHOLLY PRODUCED

A good that contains no imported inputs and that has been wholly produced or obtained within the country.

STEPS TO OBTAIN A CERTIFICATE OF ORIGIN:

Obtain the Certificate of Origin form from the Belize Customs & Excise Department.

The exporter, or their customs broker, fills out the Certificate of Origin form and presents it to the Customs & Excise Department.

The Customs & Excise Department then verifies, stamps and signs the Certificate of Origin, and returns it to the Exporter.

The exporter presents the verified Certificate of Origin along with the export declaration form of the shipment, at the Belize Western Border Station, at the time of exportation.

SUBSTANTIALLY TRANSFORMED

A good that results in a new and different good, after the production process, which then has a name, character, use, and tariff code different from those of its constituent materials.

08| BELIZE'S PULSE IN LATIN AMERICA

© BELTRAIDE

BELIZE-GUATEMALA TRADE EXPORTS AND IMPORTS FOR THE PERIOD 2015-2019 SOURCE: STATISTICAL INSTITUTE OF BELIZE

EXPORTS TO GUATEMALA CHART 1

EXPORTS Belize exported to Guatemala an annual average total of BZ$9.6 million worth of goods for the period 2015-2019 (Chart 1).

These exports include products such as pepper sauce, citrus concentrate, corn, cattle feed, and essential oils of citrus.

$15,000,000

)$ZB( EULAV

$10,000,000

CENTRAL AMERICA

$5,000,000

9%

$0

89% of Belize's annual average exports (20152019) to Central America were destined for Guatemala.

2015 2016 2017 2018 2019

YEAR

IMPORTS FROM GUATEMALA CHART 2

89% GUATEMALA

IMPORTS Belize imported from Guatemala an annual average total of over BZ$138.1 million worth of goods for the period 2015-2019 (Chart 2).

These imports include products such as tubes, pipes, fertilizers, cement, and butane.

91%

$200,000,000

)$ZB( EULAV

$150,000,000 $100,000,000 $50,000,000 $0

2015 2016 2017 2018 2019

GUATEMALA

YEAR

Item 3 42.4%

58%

58% of Belize's annual average imports from Central America (2015-2019) were from Guatemala.

Item 2 57.6%

CENTRAL AMERICA

Central America includes: Guatemala, Honduras, Nicaragua, El Salvador, Costa Rica and Panama. © BELTRAIDE

BELIZE'S PULSE IN LATIN AMERICA | 09

BELIZECENTRAL AMERICA TRADE - The Region in Numbers -Â

THE REGION The Central American region is comprised of seven countries: Belize, Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica and Panama. The estimated combined population size of the region, in 2018, was 47.4 million people; and its combined Gross Domestic Product (GDP) for the same year was US$268 billion.

The country with the highest GDP in the region was Guatemala - US$78.5 billion and the country with the lowest GDP was Belize - US$1.8 billion [1].

INTRA-REGIONAL TRADE In 2019, 3.5% of Belize's total exports to the world was destined for Central America and 14.5% of Belize's total imports from the world originated from the region.

Belize’s top exports to Central America in 2019 were shrimps, complete animal feed, red kidney beans, orange concentrate and citrus oil.

Guatemala is Belize’s largest trading partner in Central America. This is mostly as a result of the land border shared between both countries, making both markets relatively accessible. This is also supported by the Belize-Guatemala PSA.

BELIZE-CENTRAL AMERICA TRADE

BY COUNTRY (2019) $200,000,000

BELIZE-CENTRAL AMERICA TRADE 2015-2019 VALUE (BZ$)

$150,000,000

$400,000,000

$50,000,000 $200,000,000

$0

R ic a

C os ta

$100,000,000

Pa na m a

$0

G ua te m al a El Sa lv ad or N ic ar ag ua H on du ra s

VALUE (BZ$)

$300,000,000

$100,000,000

COUNTRY

2015

2016

2017

2018

2019

YEAR

[1] The World Bank- Extracted from https://data.worldbank.org/indicator/NY.GDP.MKTP.CD?locations=ZJ Charts developed from data obtained from the Statistical Institute of Belize (SIB).

EXPORTS

IMPORTS

BELIZE'S PULSE IN LATIN AMERICA | 11

CENTRAL AMERICA COUNTRY PROFILES

BZ Annual Average Exports to GT 6.5%

GUATEMALA

Belize's annual average exports to Guatemala was BZ$9.6 million and its annual average imports from Guatemala was BZ$137.9 million.

Population: 17.2 million Gross Domestic Product: US$78.9 billion GDP/Capita: US$4, 579 thousand GDP Growth Rate: 3.1% Merchandise Exports: US$10.8 billion (14% of GDP) Merchandise Imports: US$19.7 billion (25% of GDP)

Main Products Traded Include:

BZ Annual Average Imports from GT 93.5%

BZ Annual Average Exports to HN 0.2%

HONDURAS Population: 9.6 million Gross Domestic Product: US$23.8 billion GDP/Capita: US$2,484 thousand GDP Growth Rate: 3.7% Merchandise Exports: US$8.7 billion (37% of GDP) Merchandise Imports: US$12.2 billion (51% of GDP)

BZ Average Annual Exports to ES 1.8%

Population: 6.4 million Gross Domestic Product: US$25.9 billion GDP/Capita: US$4,033 thousand GDP Growth Rate: 2.4% Merchandise Exports: US$5.9 billion (23% of GDP) Merchandise Imports: US$11.8 billion (46% of GDP)

Belize's annual average exports to Honduras was BZ$92,048 thousand, and its annual average imports was BZ$39.1 million.

Exports: cattle feed and red kidney beans.

Imports: liquefied butanes, cartons boxes and cases, and pitchpine.

Belize's annual average exports to El Salvador was BZ$423,908 thousand, and its annual average imports was BZ$ 22.9 million.

Main Products Traded: Exports: pepper sauce, cattle feed, and citrus oils.

Imports: lard, vegetable fats & oils, and pharmaceutical products.

BZ Average Annual Imports from ES 98.2%

12| BELIZE'S PULSE IN LATIN AMERICA

Exports: corn, pepper sauce, and cattle feed.

Imports: bunker C fuel oil, mineral or chemical fertilizers, and liquefied butanes.

Main Products Traded Include:

BZ Annual Average Imports from HN 99.8%

EL SALVADOR

Annual Average Trade 2015-2019

El Salvador is Belize's second largest export market in the Central American Region.

Sources : Central America Country Profiles - United Nations Conference on Trade & Development , UNCTADSTAT, 2018; ¤ Annual Average Trade 2015-2019- Extracted from data provided by the SIB. ¤

BZ Annual Average Exports to NI 0.1%

NICARAGUA

Annual Average Trade 2015-2019 Belize's annual average exports to Nicaragua was BZ$504, and its annual average imports was BZ$849,383 thousand.

Population: 6.4 million Gross Domestic Product: $13.2 billion GDP/Capita: US$2,048 thousand GDP Growth Rate: -4.1% Merchandise Exports: US$5 billion (37% of GDP) Merchandise Imports: US$6.6 billion (50% of GDP)

Main Products Traded: BZ Annual Average Imports fro NI 99.9%

Exports: cocoa plants.

Imports: milk and cream, dialysis fluid, and other medicaments.

BZ Annual Average Exports to CR 0%

Belize's annual average exports to Costa Rica was BZ$3,186 thousand and its annual average imports was BZ$20.8 million.

COSTA RICA Population: 4.9 million Gross Domestic Product: US$59.5 billion GDP/Capita: US$11,905 thousand GDP Growth Rate: 2.7% Merchandise Exports: US$11.2 billion (19% of GDP) Merchandise Imports: US$16.1 billion (27% of GDP)

Main Products Traded:

BZ Annual Average Imports from CR 100%

BZ Annual Average Exports to PN 0.9%

PANAMA Population: 4.2 million Gross Domestic Product: US$64.6 billion GDP/Capita: US$15,470 thousand GDP Growth Rate: 3.7% Merchandise Exports: US$11.5 billion (18% of GDP) Merchandise Imports: US$23 billion ( 33% of GDP)

© BELTRAIDE

Exports: pepper sauce.

Imports: other food preparations, shrimp feed, and fungicides.

Belize's annual average exports to Panama was BZ$526,097 thousand, and its annual average imports was BZ$55.2 million.

Main Products Traded: Exports: cattle feed, pepper sauce and red kidney beans.

Imports: clothing, cigarettes containing tobacco, and footwear.

BZ Annual Average Imports from PN 99.1%

Panama is Belize's second largest import partner from the Central American Region.

BELIZE'S PULSE IN LATIN AMERICA | 13

MEXICO Belize also shares borders with Mexico in the north with immediate access through Chetumal that falls within the State of Quintana Roo. Belize's proximity to a market of approximately 126.2 million people, as of 2018, presents significant opportunities for Belizean producers and service providers. The State of Quintana Roo, alone, accounted for approximately 1.5 million people in 2015.

Belize annual average (2015-2019) exports to Mexico was BZ$5.4 million and its annual average imports, for the same period, was BZ$206 million. Belize's exports to Mexico is only 2.6% of the total it imports from Mexico, on average, annually. Belize's exports to Mexico is significantly comprised of products derived from the fisheries and aquaculture sector, such as shrimp and prawns, and rock lobster. Other products exported include essential oils of grapefruit and pepper sauce.

BELIZE- MEXICO TRADE 2015-2019 $250,000,000

IMPORTS

$200,000,000

) $ Z B( E UL A V

$150,000,000 $100,000,000 $50,000,000

EXPORTS

$0

2015

2016

2017

2018

2019

YEAR COUNTRY

STATS

[3]:

Population: 126.2 million GDP: US$1.2 trillion GDP per Capita: US$9,694 thousand Merchandise Exports: US$450.7 billion Merchandise Imports: US$476.5 billion

STATE

OF

QUINTANA

ROO

[4]:

Population: 1.5 million Major Cities: Chetumal, Cancun & Cozumel Distance from Belize City: 271.2 km

Belize - Mexico Partial Scope Agreement Discussions

Belize has long recognized the importance of expanding trade and investment relations with Mexico. Stakeholder consultations, since 2010, have shown that there is general support for expanding trade and investment relations with Mexico in a manner that will allow for asymmetries in favour of Belize. The Ministry with responsibility for foreign trade, drawing on the increased interest of the public and private sector and the extensive level of cooperation and political dialogue between both countries, with approval from Cabinet, engaged its counterpart ministry in Mexico, the Ministry of the Economy, to begin working towards the negotiation of a Partial Scope Agreement (PSA).

On the 3 March 2014, a trade delegation from Belize met with a high-level team of officials from the Secretaría de Economía to discuss and agree on a General Framework and a Schedule for the negotiation of a PSA between both countries. Consensus on these terms could not be reached, consequently, an agreeable General Framework for Negotiations is still in the process of being established.

The General Framework serves as a negotiating guide for both countries as it details the scope, coverage and process for the negotiations. It covers areas such as: market access of goods, tariff preferences, non-tariff measures, rules of origin, customs cooperation and trade facilitation, technical barriers to trade (TBT), sanitary and phytosanitary measures (SPS) among others. It should be understood that the General Framework is not a legal instrument but rather sets out the general parameters for the negotiations.

Negotiations towards the establishment of a PSA would commence upon agreement and signature of the Framework by both countries. Belize and Mexico have been actively communicating to finalize the General Framework which will support these negotiations.

The establishment of a PSA would allow domestic producers to trade an agreed set of goods on a less restrictive basis with Mexico. The Directorate General for Foreign Trade (DGFT) has continuously engaged the private sector and taken into account their stated interests in the Mexican market in order to negotiate a mutually beneficial agreement.

The estimated gains are expected to surpass those currently being received under the Belize-Guatemala PSA.

[3] United Nations Conference on Trade & Development , UNCTADSTAT, 2018- Extracted from https://unctadstat.unctad.org/CountryProfile/GeneralProfile/en-GB/484/index.html [4] City Population- Extracted from https://www.citypopulation.de/php/mexico-admin.php?adm1id=23

BELIZE'S PULSE IN LATIN AMERICA | 15

SOUTH AMERICA ARGENTINA BOLIVIA BRAZIL CHILE COLOMBIA ECUADOR

The South American region remains as one of the most untapped market by Belize. Belize's annual average (2015-2019) exports to the region was BZ$3.9 million, and its annual average imports, for the same period, was BZ$34.8 million. Belize's largest import partner from the region is Brazil (top products imported include seed of maize and canned corned beef), and its largest export partner is Guyana (top products exported include black eye peas and frozen orange juice concentrate), greatly due to the trade opportunities presented by CSME. Other products exported to the rest of South America include toilet paper, red adzuki beans, and other maize (corn).

As a member of CARICOM, Belize also benefits from two bilateral trade agreements with countries in the region. These trade agreements are CARICOM-Colombia (signed July 24, 1994) and CARICOM-Venezuela (signed October 13, 1992).

BELIZE- SOUTH AMERICA TRADE 2015-2019

GUYANA $40,000,000

PERU

IMPORTS

)$ZB( EULAV

PARAGUAY

TRADE

$30,000,000 $20,000,000 $10,000,000

SURINAME

$0

2015

2016

2017

2018

2019

YEAR

URUGUAY VENEZUELA CARICOM - VENEZUELA AGREEMENT 16| BELIZE'S PULSE IN LATIN AMERICA

CARICOM - COLOMBIA AGREEMENT

EXPORTS

LATIN AMERICAN COUNTRIES IN THE

CARIBBEAN DOMINICAN REPUBLIC

With a population of 10.6 million consumers and a GDP of US$80.3 billion [5], the Dominican Republic (DR) is the ninth largest economy in Latin America and the largest in the Caribbean region.

The economy is largely based on tourism, agriculture, free trade zone manufacturing and service industries. It is also the Caribbean’s second largest producer and exporter of sugarcane with other main exports including cigars, refined petroleum, and bananas. The island’s list of key trading partners includes the United States, China, and Haiti [6].

In 2019, bi-lateral trade between the Belize and the DR amounted to BZ$1.7 million, with Belize's exports to the DR totaling BZ$805,895 thousand and imports from the DR totaling BZ$915,164 thousand. Since 2014, main imports from the DR have included beer (Presidente), soup and broths, other plates, sheets, film, foil, mineral or chemical fertilizers, rolled or flaked grains of oats, among others. Belize's main exports, for the same period, have included orange and grapefruit juice, other mixtures of juices, red kidney beans, toilet paper, prepared complete animal feed, and mahogany, among others.

The expansion of Belizean exports into the DR market can be supported by capitalizing on the market access opportunities granted by the CARICOM-Dominican Republic Trade Agreement, for which Belize is a beneficiary of. In total, the agreement provides for preferential (reduced/eliminated duties) market access into the DR for 100+ Belizean originating products.

There is a strong demand potential in the DR for oil cake of soya-bean oil. The DR imports an average value of US$111.2 million of this product, from main suppliers that include the United States of America and Argentina. This product would face an applied tariff of 0%, upon entry into the DR, if exported from Belize [7].

BELIZE- DOMINICAN REPUBLIC TRADE 2015-2019 $6,000,000

)$ZB( EULAV

IMPORTS

$4,000,000

$2,000,000

EXPORTS $0

2015

2016

2017

2018

2019

YEAR [5]United Nations Conference on Trade & Development , UNCTADSTAT, 2018, - Extracted from https://unctadstat.unctad.org/CountryProfile/GeneralProfile/en-GB/484/index.html [6] Investopedia- Extracted from https://www.investopedia.com/articles/investing/011916/profits-paradise-top-4-economies-caribbean.asp [7] TradeMap- Extracted from https://exportpotential.intracen.org/en/products/diversification?fromMarker=i&exporter=84&toMarker=j&market=214&whatMarker=k BELIZE'S PULSE IN LATIN AMERICA | 17

CUBA

Belize and Cuba have always had a good relation but bi-lateral trade and investment has been almost insignificant, despite an existing trade agreement. The CARICOM-Cuba Trade and Economic Cooperation Agreement (TECA), originally signed by both parties in 2000, was recently re-negotiated with a Second Protocol to amend the TECA. The Secretary-General of the CARICOM Secretariat signed the Protocol, on behalf of the Community, on the 9 November 2017.

In 2019, bi-lateral trade between Belize and Cuba amounted to BZ$27,340 thousand, with no Belizean exports to Cuba. Imports from Cuba include mainly cigars and heparin and its salts (a blood-thinning agent).

Since 2000, certain U.S. exports of agricultural goods and medical devices to Cuba have been permitted. In 2019, leading U.S exports to Cuba included: poultry (US$189 million), oil cake and other solid residues (US$32 million), soybeans (US$15 million), and corn (US$10 million). These are all products that Belize has the potential to supply, especially, high quality non-GMO products including: Hazard Analysis Critical Control Point (HACCP) certified poultry products, maize, beans, cornmeal, and juices. The table below outlines products imported into Cuba for which the productive sector in Belize currently produces. Furthermore, all of the products in the table below are covered for duty free market access under the trade agreement, except for maize.

In the recent past, Cuba has expressed willingness to import the following: milk and cheese; wholly milled rice; dried, shelled kidney beans, black beans and other legumes; frozen concentrate orange juice; and sauces, jams and jellies. However, with proper awareness and preparations, other trade opportunities are highly possible.

Products of Interest to Belize Imported by Cuba from World Suppliers Value in BZ$ - Source: ITC Trade Map

BELIZE- CUBA TRADE 2015-2019 $125,000 $100,000

)$ZB( EULAV

$75,000 $50,000 $25,000 $0

2015

2016

2017

YEAR

Imports 18| BELIZE'S PULSE IN LATIN AMERICA

2018

Exports

2019

RESOURCES CARIBGATE

Visit www.caribgate.org to obtain product specific requirements, such as licensing & permits needed, and general taxes & tariffs that will apply to your product if you intend to export to the following countries: CSME member states, Cuba, the Dominican Republic, and Costa Rica.

THE BELIZE AGRICULTURAL HEALTH AUTHORITY

Visit www.baha.org.bz to obtain information on food and plant safety; and the necessary requirements to export animals, food, or plants.

THE BELIZE BUREAU OF STANDARDS

Visit www.bbs.gov.bz to obtain information on standards that your product has to meet for sale locally and for exportation. @BELIZEBUREAUOFSTANDARDS

BELTRAIDE

Get in contact with Export Belize, a unit of BELTRAIDE, to receive assistance in understanding the export process.

Visit www.belizeinvest.org.bz. @BELTRAIDE

THE BELIZE CUSTOMS & EXCISE DEPARTMENT

Obtain the Harmonized Coding System (HS) from www.customs.gov.bz to determine how your products are classified, when traded.

THE BELIZE INTELLECTUAL PROPERTY OFFICE

Visit www.belipo.bz to obtain information on how to protect the intellectual property of your product or service.

BELIZE'S PULSE IN LATIN AMERICA | 19

- OTHER PUBLICATIONS -

Scan the QR code to obtain a copy of Belize's Trade Policy 2019-2030.

BELIZE'S PULSE IN LATIN AMERICA

DIRECTORATE GENERAL FOR FOREIGN TRADE MINISTRY OF ECONOMIC DEVELOPMENT, PETROLEUM, INVESTMENT, TRADE & COMMERCE 3894 MOUNTAIN VIEW BOULEVARD, 3RD FLOOR GARDEN CITY BUILDING, CITY OF BELMOPAN, CAYO DISTRICT BELIZE, C.A.

Tel: +(501) 822-2832 • Email: foreigntrade@btl.net Web: www.dgft.gov.bz

CREATING GLOBAL OPPORTUNITIES

WWW.DGFT.GOV.BZ