Table of Contents FOREWORD .................................................................................................................................................................. TRINIDAD AND TOBAGO/GUATEMALA PARTIAL SCOPE TRADE AGREEMENT ................................... SECTION 1.0: MARKET OVERVIEW ............................................................................................................................... 1 1.1
Introduction .............................................................................................................................................1
1.2
Population ................................................................................................................................................1
1.3
Demographics..........................................................................................................................................1
1.4
Climate .....................................................................................................................................................1
1.5
Language ..................................................................................................................................................2
1.6
Hours of Business ...................................................................................................................................2
1.7
Public Holidays .......................................................................................................................................2
1.8
Travel & Transportation .........................................................................................................................2
1.9
Time Zones...............................................................................................................................................3
1.10
Currency ...................................................................................................................................................3
1.11
Communication .......................................................................................................................................3
SECTION 2.0: ECONOMIC AND POLITICAL ENVIRONMENT .........................................................................................3 2.1
Economic Performance ...........................................................................................................................3
2.2
Business ....................................................................................................................................................4
2.3
Labour Force ............................................................................................................................................4
2.4
Political Stability and Structure .............................................................................................................4
SECTION 3.0: TRADE ENVIRONMENT ...........................................................................................................................4 3.1
Import Statistics.......................................................................................................................................4
3.2
Import Tariffs & Taxes ...........................................................................................................................6
3.3
Trade Barriers ..........................................................................................................................................7
3.6
Trade Agreements ...................................................................................................................................7
SECTION 4.0: MARKET CHALLENGES ..........................................................................................................................7 SECTION 5.0: TOP MARKET OPPORTUNITIES & PROSPECTS ........................................................................................7 5.1
Aerated Beverages ..................................................................................................................................2
5.2
Household Cleaners ............................................................................................................................... 2
5.3
Paper Products ........................................................................................................................................2
5.4
Pasta ..........................................................................................................................................................2
5.5
Sauces .......................................................................................................................................................3
SECTION 6.0: MARKET ENTRY STRATEGIES .................................................................................................................3 6.1
Using an Agent/Distributor ...................................................................................................................3
6.2
Franchising...............................................................................................................................................4
6.3
Selling to the Government .....................................................................................................................4
6.4
Establishing an Office ............................................................................................................................. 4
SECTION 7.0: SELLING, MARKETING & PROMOTIONS .................................................................................................4 7.1
Selling Factors/Techniques ....................................................................................................................4
7.2
Trade Promotion .....................................................................................................................................5
7.3
Advertising ..............................................................................................................................................5
7.4
Pricing .......................................................................................................................................................6
7.5
Payment Terms........................................................................................................................................7
7.6
Shipping Information ............................................................................................................................. 7
7.7
Due Diligence ..........................................................................................................................................8
SECTION 8.0: REGULATIONS & STANDARDS................................................................................................................8 8.1
Sanitary Product Registration ...............................................................................................................8
8.2
Product Shipment/Samples ...................................................................................................................8
8.3
Packaging, Labelling and Marking Requirements .............................................................................8
8.4
Customs Regulations .............................................................................................................................. 9
SECTION 9.0: TRADE EVENTS .......................................................................................................................................9 SECTION 10.0: FINANCING EXPORTS TO GUATEMALA.............................................................................................. 10 SECTION 11.0: USEFUL CONTACTS ............................................................................................................................ 11 Appendices....................................................................................................................................................................... Appendix I – Public Translators .........................................................................................................................
FOREWORD This Market Guide is intended to give Trinidad & Tobago exporters relevant and valuable information for successfully exporting their goods to Guatemala. The information contained therein is based on a compilation of exporTT’s visits to the market, in-market consultant information, and desk research which is cited accordingly. Feel free to contact us at 1.868.623.5507 to discuss your exporting needs.
**********
TRINIDAD AND TOBAGO/GUATEMALA PARTIAL SCOPE TRADE AGREEMENT Trinidad and Tobago is currently negotiating a Partial Scope Trade Agreement with Guatemala.
SECTION 1.0: MARKET OVERVIEW 1.1 Introduction Guatemala (Capital: Guatemala City), located in Central America, is currently Central America’s largest economy with the largest population in the Central American Common Market (CACM). The 1996 Peace Accords marked the end of a 36-year Civil War which the country has and continues to successfully recover its economy, society and culture. There has also been a recent thrust to revitalize and reinforce Maya culture and language in Guatemala that boasts a significant Maya population. The country is comprised of fourteen (14) Departments; Baja Verapaz, Chimaltenango, Chiquimula, El Progreso, Guatemala, Huehuetenango, Quetzaltenango, Retalhuleu, Sacatepequez, San Marcos, Santa Rosa, Solola, Suchitepequez and Totonicapan. 1.2
Population
Population:
14,647,083 (July 2014 est.)
Population Growth
1.86% (2014 est.)
Median Age
Total: 21 years Male: 20.4 years Female: 21.7 years (2014 est.)
Life Expectancy
71.74 years
(Source: CIA World Factbook, 2014)i
1.3
Demographics
Gentilic:
Guatemalan
Ethnic Groups:
Mestizo (mixed Amerindian-Spanish - in local Spanish called Ladino) and European 59.4%, K'iche 9.1%, Kaqchikel 8.4%, Mam 7.9%, Q'eqchi 6.3%, other Mayan 8.6%, indigenous non-Mayan 0.2%, other 0.1% (2001 census) Roman Catholic, Evangelical Protestantism
Religions:
(Source: EncyclopĂŚdia Britannica 2013ii and CIA World Factbook, 2014)
1.4 Climate The climate is tropical, hot and humid in lowlands and cooler in the highlands.
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1.5 Language The official language is Spanish and there are over 20 Mayan languages that are spoken amongst the many Maya groups across Guatemala. English is spoken in the business community, but it is advised that all correspondence, brochures and other forms of information or communication be translated into Spanish. (Source: Encyclopedia Britannica 2013)
1.6 Hours of Business Banks: Monday – Friday; 8:30 or 9:00 a.m. to 3:30 p.m. Government Offices & Businesses: Monday – Friday; 8:00 a.m. to 5:00 p.m. Lunch is from 12:00 noon and 1:00 or 2:00 p.m. which includes the traditional Latin American siesta (rest). Retail Stores: Monday – Saturday; 9:00 a.m. to 6:00 or 7:00 p.m. 1.7
Public Holidays Month January
Day 1
Observance
May
1
New Year's Day Easter Week (Good Friday, Holy Saturday, Easter Sunday, Easter Monday) Labor Day
June
30
Army Day
August
15
Assumption (Regional Observance Only: Guatemala City)
September
15
Independence Day
October
2
Revolution Day
November
1
All Saint's Day
April
December
Christmas Week
1.8 Travel & Transportation 1.8.1 Airline Travel Main Airport: La Aurora International Airport (GUA), Guatemala City Distance from the centre of Guatemala City: 6.4km Approximate driving time: 8 minutes Individual Entry Requirements 1. Valid Passport (should not be expiring in 6 months) 2. Airline Ticket Copa Airline (Non-Stop): TT to Panama = Approximately 3 hours, 7 minutes; Panama to Guatemala = Approximately 7 hours
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American Airline via Miami (Non-Stop): (US Visa required). TT to Miami = Approximately 3 hours, 55 minutes; Miami Guatemala = Approximately 8 hours and 50 minutes.
Individual Exit Requirements 1. Valid Passport 2. Airline Ticket 3. Departure Tax = US$30 which is included in the airline ticket price. 1.8.2 Ground Transportation Guatemala has one of the highest rates of crime in Latin America and therefore the public bus transportation is unsafe and not recommended. Business travelers should take taxis from the major hotels or dispatch taxis such as Taxis Amarillos (yellow cabs). 1.9 Time Zones March – October: Mountain Standard Time November – March: Central Standard Time Time Difference: 2 hours behind Trinidad & Tobago 1.10 Currency The national currency is the Quetzal. The plural is quetzales Symbol: GTQ The current exchange rate is 1US$ = 7,883 quetzales Banknotes are available in Q0.50; Q1, Q5, Q10, Q20, Q50, Q100, Q200. Coins are available in 1; 5; 10; 25; 50; 100 1.11 Communication Calls from Trinidad and Tobago to Guatemala = 011 – 502 – 8 digit phone number Calls from Guatemala to Trinidad and Tobago = 00 – 1 – 868 – 7 digit phone number
SECTION 2.0: ECONOMIC AND POLITICAL ENVIRONMENT 2.1
Economic Performance Indicator
Economic Performance
GDP:
$53.80 billion (2013 est.)
GDP per Capita:
$3,477.89 (2013 est.)
Growth:
3.7% (2013 est.) Agriculture: 11.31% Manufacturing: 20.24% Industry: 29.01% Services: 59.68% (2013 est.)
GDP by Sector:
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Inflation Rate:
4.3% (2013 est.)
Import Commodities:
Mineral Products, machinery and appliances, products of the chemical or allied industry, textiles and textile articles, transport equipment
Import Partners (2013)
China, Russia, USA, Switzerland, Norway
(Sources: World Bank 2014iii and EU Trade Directorate 2014iv)
2.2 Business Guatemala ranked 71 in the 2014 Ease of Doing Business report. They ranked 93rd in 2013. The main areas of concern are protecting minority investors (174), resolving insolvency (154) and enforcing contracts (141). (World Bank Group 2014). v 2.3
Labour Force
Labour Force: Labour Force by occupation:
4.465 million (2013 est.) Note: this official estimate (2013 est.) Agriculture: 38% Industry: 14% Services: 48% (2011 est.)
(Source: CIA World Factbook, 2014)
2.4 Political Stability and Structure Three powers: Executive: President and Ministers Legislative: 158 seats Judiciary
President
Otto Fernando PEREZ MOLINA (since 14 January 2012)
Political Party Presidential Elections
Patriotic Party Held every 4 years
SECTION 3.0: TRADE ENVIRONMENT 3.1
Import Statistics
TOTAL TRADE Total Imports ($)
$17,503,978,000
Imports of goods and services (% of GDP)
38.75%
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TRADE PARTNERS Import Volume (USD)
#
Top 10 Import Partners
1
United States (USA)
6,510,815,000
2
Mexico (MEX)
1,860,241,000
3
China (CHN)
1,438,540,000
4
El Salvador (SLV)
819,984,000
5
Colombia (COL)
767,948,000
6
Panama (PAN)
584,875,000
7
Costa Rica (COR)
519,813,000
8
Korea (KOR)
404,997,000
9
Honduras (HND)
394,757,000
10
Germany (DEU)
283,628,000
HS Code (2 digit)
Top 10 Import Commodities
Import Volume (USD)
27
Mineral fuels, oils , distillation products etc.
$3,338,498,000
84
Machinery, nuclear reactors, boilers etc.
$1,524,258,000
85
Electrical, electronic equipment
$1,422,926,000
87
Vehicles other than railway, tramway
$1,014,054,000
39
Plastics and articles thereof
$977,072,000
48
Paper and paperboard articles of pulp, paper and board
$637,016,000
30
Pharmaceutical products
$552,975,000
72
Iron and steel
$526,591,000
10
Cereals
$411,851,000
52
Cotton
$346,885,000
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Iron and steel 5% Pharmaceutical products 5%
Cereals 4%
Cotton 3%
Mineral fuels, oils, distillation products, etc 31%
Paper and paperboard, articles of pulp, paper and board 6%
Plastics and articles thereof 9%
Vehicles other than railway, tramway 10%
Machinery, nuclear reactors, boilers, etc 14%
Electrical, electronic equipment 13%
Foreign trade with Trinidad & Tobago, 2002-2013 (Millions USD)
Exports
2002 542
2003 613
2004 3,129
2005 11,157
2006 1,709
2007 4,649
2008 2009 2010 2011 2012 10,204 13,010 18,599 14,424 27,730
Imports
7,998
2,154
2,108
64,143 14,602 39,055 20,717 16,695 12,448 12,595 21,108 142,464
Balance
-7,456 -1,541
1,021 -52,986 -12,893 -34,406 -10,513 -3,685
Total 8,540 2,767 5,237 73,30 Trade (*Preliminary data. Source: ITC Trademap)0
16,31 1
43,704
30,92 1
6,151
1,829
2013* 22,759
6,622 -119,705
29,705 31,047 27,019 48,838 165,223
3.2 Import Tariffs & Taxes Tariff duties for exports from Trinidad and Tobago to Guatemala may be accessed here: http://www.macmap.org/Main.aspx
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3.3 Trade Barriers At this time, there are no known constraints for exports from Trinidad and Tobago to Guatemala. Guatemala is under The World Commerce Act and therefore commerce with any country should be treated with the Equally Treatment clause. 3.4 Prohibited and Restricted Imports The Guatemalan Ministry of Defense’s Department for the Control of Arms and Munitions (DECAM) enforces a law which virtually prohibits the import of offensive weapons, as well as a range of military weapons and hardware, except for use by the Guatemalan government. 3.6
Trade Agreements 1960: Central America 1998: Central America – Dominican Republic 1999: Central America – Chile 2002: Central America – Panama 2004: Central America/Dominican Republic/United States 2005: Guatemala – Taiwan 2007: Northern Triangle – Colombia 2011: Central America – Mexico 2012: Central America – European Union 2011: Partial Scope Agreement: Guatemala – Ecuador 2006: Partial Scope Agreement: Guatemala – Belize 1985: Partial Scope Agreement: Guatemala – Venezuela 2011: Signed but not in force: Guatemala - Peru
SECTION 4.0: MARKET CHALLENGES
Guatemala is plagued by violent crime and their weak judicial institutions pose serious challenges for Trinidad and Tobago exporters. Other challenges include corruption, impunity, labor rights, protection of intellectual property, food security, education and deep socio-economic divisions. (Source: Doing Business in Guatemala (Export.gov)) vi
SECTION 5.0: TOP MARKET OPPORTUNITIES & PROSPECTS Market opportunities in Guatemala may vary based on the type of product and the level of competition in that particular market. The markets researched include; Aerated Beverages Pasta Household Cleaners Sauces Paper Products
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5.1 Aerated Beverages The market for aerated beverages is very competitive in Guatemala. The multi-national brands are the undisputed market leaders with other local brands carving out a small portion of the market due to cheaper prices and variety of flavours. Trinidad and Tobago products would have a very difficult task in penetrating the market. If the local manufacturers are able to offer a competitive price, they would be able to find success. An additional challenge would be shipping rates due to the liquid weights. While the bottles present an alternative package to what is being offered in the market, the cost of shipping would be prohibitive. 5.2 Household Cleaners The population size of Guatemala is approximately 14 million which is considered to be a large market. The value of imports of household cleaners has been increasing over the last 5 years. There is high competition in retail of household cleaners in Guatemala because of the existence of strong local traditional brands. Trinidad and Tobago’s manufacturers should improve branding and pricing (key) to obtain a space in the market. 5.3 Paper Products The market for paper products is very competitive in Guatemala due the robust presence of Kimberly Clark. In addition, other small local brands as well as imports from Mexico make the market very difficult to penetrate, especially for a firm outside of the region. Buyers expressed interest in introducing new brands into the market, but the price would be the significant factor. Factors such as delivery times and costs may compound the issue. Away From Home products appear to be less competitive and appear to have opportunity in the market. However, local firms would need to look carefully at their pricing and promotion strategies as well as carefully plan their logistical arrangements, if they are to take advantage of market opportunities. 5.4 Pasta With the high level of domestic production and the steady increase of the Guatemalan Trade Balance over the last five years, the pasta market doesn’t offer many sales opportunities for exporters from Trinidad and Tobago, especially given the penetration of the local producers in the low income and middle market segments. Owing to the fact that Trinidad and Tobago is negotiating a partial scope agreement with Guatemala and the high quality of the Trinidad and Tobago product, companies may be able (in the future) to compete with principal players who currently have “zero” tariffs on their imports. However, interests were expressed in the market for private label and companies can pursue this option.
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Overall, companies that have the financial wherewithal can pursue the market as the population is growing and innovation is not very common among pasta brands in Guatemala. 5.5 Sauces Imports have been increasing which indicates some level of acceptance of foreign products. A market research team observed that pepper sauce was not common on the supermarket shelves as well as not being readily available at restaurants and hotels. Ketchup, mustard and mayonnaise were the more popular condiments. These products attracted attention in the market however, most distributors admitted that new brands of ketchup and mayonnaise will be difficult to sell in the market mainly due to the market’s preference to traditional brands e.g. Kern’s, Heinz, Anabelly (Ketchup), Regia, McCormick & Hellmann’s (Mustard), Hellmann’s, McCormick, Regia (Mayonnaise.) The distributors also indicated that the Trinidadian products were aesthetically pleasing, however, for the products to be competitive in the Guatemalan market, manufacturers should improve branding and pricing (key) to obtain any space in the market. Suppliers to the food service industry were very interested in the small sachets of ketchup, mustard and pepper sauce (used in fast food outlets) as there is widespread demand in Guatemala and the products are not currently being produced there. (Source: ITC Trademap 2012)
SECTION 6.0: MARKET ENTRY STRATEGIES 6.1 Using an Agent/Distributor Choosing an appropriate agent or distributor requires careful attention. Trinidad and Tobago exporters should consider an agent/distributor who has a good track record and reputation, who has good product and industry knowledge and who is committed and enthusiastic about the job. As such, someone who is able to communicate in English should not be the deciding factor. Please note that most agents/distributors normally request product exclusivity, however, this should be considered carefully. The new trend is negotiating a non-exclusive agreement with well-defined, renewable periods of representation. Additionally, it is recommended that exporters take the lead with the assistance of a Guatemalan attorney to register intellectual property including trademarks and trade names, and for all other trade arrangements as well.
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6.2 Franchising Franchising has become popular in Central America, with Guatemala coming second to Costa Rica for franchises operating in the country. Franchising is guided by the Guatemalan Commercial Code which regulates five types of franchisors; corporations, limited liability companies, general partnerships, limited partnerships and special limited partnerships. Foreign based corporations much provide the following documentation if interested in establishing permanent operations in Guatemala, but limited to: 1. Proof of existence under laws of country of origin; 2. Certified copy of articles of incorporation (with amendments where available); 3. Purpose of competent authority; 4. Name of representative in Guatemala their qualifications and responsibilities as it relates to the corporation; For reading on the additional requirements for franchising in Guatemala, please visit the International Franchising Association at the following link: http://www.franchise.org/uploadedFiles/F2015%20Guatemala.pdfvii 6.3 Selling to the Government In some cases, it is a requirement for a local agent/distributor to be used for sales to the government. The complete public bidding process can be accessed at www.guatecompras.gob.gt - Concursos Publicados. 6.4 Establishing an Office The laws for establishing an office is also outlined in Guatemalan Commercial Code detailed and referenced in Section 6.2.
SECTION 7.0: SELLING, MARKETING & PROMOTIONS Doing business in Guatemala as in other Latin American countries depends heavily on personal relationships. The Guatemalan business community places great importance on personal contacts with foreign suppliers. New exporters should be prepared to travel to Guatemala periodically and follow up with customers regularly via telephone, Skype, email and fax. A patient sales approach is preferred over a “hard sell”. 7.1 Selling Factors/Techniques Selling factors and techniques are described in the following five steps to master the selling process. Steps 1. Greeting
Description You need to ‘arrest’ the buyer: Pay attention to dress, hygiene, grooming, handshake, etc.
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Treat the buyer’s business card with respect and present your business card in a professional manner. Speak clearly, paying attention to voice, tone, eye contact, etc. Use correct titles and surnames. Have a positive body language. 2. Ask questions to understand the prospect 3. Present Benefits
4. Handle Objections
5. Close
Don’t ask direct questions but ask leading questions in a conversation type manner to find out the buyer’s need and what he/she is looking for. Present the benefits of your product/s or service/s in a manner that aligns them to the need of the buyer. If the buyer is not interested in your product/s or service/s, don’t end the meeting in despair, remain calm. Instead, take the opportunity to find out more about the market and their needs so that you can possibly make adjustments to your product to suit their needs. It is very important to know and agree on the next steps which should include a thank you email which captures the essence of the conversation and the activities that would follow.
Other Tips
Be prepared Know your business and your products Be confident Be a persuasive negotiator Confirm appointments at least 24 hours in advance and be on time. Prepare your marketing tools e.g. brochures, samples, PowerPoint presentations, etc. and make them come alive with images. Take notes and bring a notetaker. When using an interpreter, do not speak directly to the interpreter as if the buyer is absent, however keep the conversation focused on the buyer and allow the interpreter to interpret accordingly.
7.2 Trade Promotion Locally, exporTT Limited offers trade promotion programmes periodically, including trade missions, trade shows, trade fairs, matchmaking events, conferences, etc. These programmes are conducted with a pre-approved budget and with an element of exporTT’s “co-financing” service for selected exporter’s activities. 7.3 Advertising Advertising is carried out through the national and regional newspapers by the distributors at the retail level. Market Guide for Exporting Goods from Trinidad and Tobago to Guatemala
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The accepted norm amongst distributors is that manufacturers/exporters share the cost of advertising and promotion (at a percentage to be negotiated) and in instances where they have the exclusive sales rights. When they are not given the exclusive rights, they would expect the exporter to assume or accept the majority, if not the full cost of promotion. In situations where private labelling is utilised, the distributor in most situations would bear the full cost of promotion. When companies engage in advertising efforts, they usually invest in mass media campaigns as well as in below-the-line media. Companies target adult women, especially mothers, as is the case for many packaged foods products. In-store promotional activities usually comprise of giveaways (e.g. product samples). The use of recipe books to give as free promotional materials is also common for many brands. Additionally, companies use strategies to reach new consumers. For example, Malher SA sends newlyweds a basket with free products, so that these customers are aware of the assortment that is available and may go on to choose Malher products when they shop. This type of ‘pull-out promotion’ helps the retailer promote the product and ensure that the customer looks at the product. Therefore, this promotion should be appealing and give the customer the feeling that they gained something without doing any extra work such as typing or filling in a document. Additionally, the value of the item that goes together with the product should be of a certain value, if not the customer may deny their preference for that product. In contrast, the ‘push-in promotion’ helps the exporter to sell to the channel of trade (dedicated to the sellers of the Distribution chain). It could be something like a dinner for two every time a target has been reached. 7.4 Pricing Prices of products imported into Guatemala are typically based on: Cost of Product Transport and Insurance CIF Price Import Tax VAT 12% Landed Price Cost to distribute Cost of promotion Margin Importer Margin Retailer Products must be price competitive. Guatemalans are very price conscious and savvy shoppers.
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7.5 Payment Terms It is advised that exporters utilise cash in advance or an irrevocable letter of credit as it is the most secure means of payment. Financing for imports are usual done on 60 days (not limited to) lines of credit which is normally an arrangement between the exporter and importer. exporTT advises all exporters to enlist the services of a lawyer and a licensed customs broker for this process as the pursuit of claims in Guatemala for lack of payment is costly and time consuming. (Source: Doing Business in Guatemala: 2011 Country Commercial Guide for U.S. Companies) viii
7.6 Shipping Information Guatemala has various communication and transport possibilities, and also has the possibility to make partial imports of goods. This allows the exporter to deliver the goods at a warehouse and pay import tax only for the goods being released from the warehouse to the market; thereby allowing the importer to pay taxes not for the whole quantity of goods that have been imported. Shipping Routes 1. T&T - Jamaica - Guatemala 2. T&T - Miami - Guatemala Shipping Documents 1. Bill of lading 2. Commercial invoice 3. Customs import declaration 4. Packing list 5. Terminal handling receipts. 6. Certificate of origin (where applicable) Average Shipping Costs From the port of Point Lisas to Santo Tomas de Castilla:  20ft container: US$1,900.00 inclusive of documentation handling  40ft container: US$2,150.00 inclusive of documentation handling The above rates are for foodstuff and non-hazardous chemicals. It also takes approximately 12 days to arrive from the date of shipment. (Source: Linescape.com & JOCSailings.com)
Shipments within Central America are usually made by road due to the close proximity of the other Central American countries namely El Salvador. It is important to note that ground freight of liquid material is very expensive, more than dry goods as the insurance and handling costs are significantly higher.
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7.7 Due Diligence Performing due diligence in Guatemala can be time-consuming and difficult, however, before finalizing any contract whether for sale or representation, Trinidad & Tobago’s exporters should obtain information about the foreign firms including reliable business and financial references. Also, the because of the language difference between Trinidad & Tobago and Guatemala, this presents opportunities for serious miscommunication and misunderstandings which may sometimes have grave consequences. Therefore, when entering into business with Guatemalan companies, it is imperative to utilize the services of a competent bi-lingual attorney to avoid communication failures.
SECTION 8.0: REGULATIONS & STANDARDS 8.1 Sanitary Product Registration The Ministry of Health is the main authority for product registration of food products legally imported or manufactured in Guatemala. Therefore, producers, processors, packers, and/or distributors must have a sanitary license. 8.2 Product Shipment/Samples For registration purposes, the sample must come with the following documentation: Certificate of Free Sales Bill of Lading, Invoice (with any negligible quantity) specifying it is only a sample 8.3 Packaging, Labelling and Marking Requirements There are very specific requirements related to standards for labels in Guatemala. They include the following: Labels must be written in Spanish Description of the product Name of the product, it should be an official name (research must be done on names and spelling as Macarón in Guatemala doesn’t mean macaroni) Main Characteristics of the product including the ingredients Net Volume/weight List of the ingredients or additives with the % level of each one Name, address, and phone of the distributor in Guatemala Registration number at the CONTROL de ALIMENTOS ( Control of Food ) DGSSDRCA Licence obtained to be allowed to sale in to the market Expiry date Storage temperature e.g. refrigerate if needed Direction on how to prepare if needed
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Products like Pasta are usually presented in plastic or cartons. These presentations are very vibrant as the consumers have a preference for brightly coloured packaging. There have not been any significant packaging innovations. Most economy and standard brands use simple flexible packaging, while most premium options use folding cartons. The launch of Lucciola by Industria Nacional Alimenticia was in line with this common precept, and its packaging is a very well finished black and golden folding carton box. Generally, all packaging must be designed for the preservation of the food and safety of chemical items. Regulations and registration procedures and requirements can be consulted on-line at: http://portal.mspas.gob.gt/indice_de_alimentos.html 8.4 Customs Regulations The Customs and Excise Division of the Ministry of Finance and the Economy is responsible for approving all exports emanating from Trinidad and Tobago. To export commercial goods, the exporter is required to have a customs broker fill out the required documentation. Commercial and non-commercial exporters must also perform the following actions: Fill out a Customs Declaration Form (C82 Form) in four copies, which is provided by your broker; Submit the C82 Form along with other required documents (see below) to a customs officer at a Customs and Excise office for signature; Take the signed C82 Form and the goods to be exported to the Import/Export station from which the goods are to be exported. The basic documents required for exporting are as follows: Invoice showing the price paid locally Export licence (where applicable) Certificate of origin (where applicable) Please contact the Customs and Excise Division for further information. See Section 11.0.
SECTION 9.0: TRADE EVENTS Event
Cycle
Next Date
FERRETEXPO: Hardware & Construction Materials Show
Once a year
November 2014
APPAREL EXPO: Apparel Industry Show
Once a year
May 2015
FERIA ALIMENTARIA: Food and Restaurant Expo
Once a year
September 2015
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SECTION 10.0: FINANCING EXPORTS TO GUATEMALA exporTT Limited provides a Co-financing Service through which an exporter can be reimbursed (50% reimbursement) for the following market access activities:
a. Product Registration b. Trademark Registration c. Product Testing d. Translation & Interpretation Services e. Legal representation for product, brand and trademark registration f. Booth rental at trade shows g. Business to business matchmaking services h. Shipping of samples i. In-store marketing and promotions j. Booth design at trade shows k. Ground transportation for exporTT led groups at trade missions and trade shows l. Brand registration m. Label modification n. Registration at international capacity building forum/workshop Please contact the following person or any other exporTT representative for more information on these services: Mr. Crisen Maharaj Manager- Capacity Building and Programme Financing exporTT Limited 151B Charlotte Street Port of Spain Tel.: (868) 623-5507 Ext. 362 Fax: (868) 625-8126 Mobile: (868) 796-4276 Email: cmaharaj@exportt.co.tt Website: www.exportt.co.tt In addition to local banks, to obtain information on financing exports to Guatemala, please contact: Mr. Shaun Waldron Manager, Credit & Business Development Export Import Bank of Trinidad & Tobago Limited #30 Queen's Park West, Port of Spain Phone: 1-(868)-628-2762 Ext. 288 Fax: 1-(868) -628-9370 Email: swaldron@eximbanktt.com Website: www.eximbanktt.com Market Guide for Exporting Goods from Trinidad and Tobago to Guatemala
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SECTION 11.0: USEFUL CONTACTS 11.1 Trinidad and Tobago Office
exporTT Limited
Embassy of the Republic of Guatemala
Customs and Excise Division
Shipping Agencies
Contact Information Shirley Ann Noel (Ms.) Senior Export Development and Promotion Officer exporTT Limited
151 B Charlotte Street Port of Spain, Trinidad Phone: 1-868-623-5507 Ext. 356 Fax: 1-868-625-8126 Mobile: 1-868-620-9091 Email: snoel@exportt.co.tt Website: www.exportt.co.tt Embassy of the Republic of Guatemala Apt. 701, Regents Towers Westmoorings By The Sea Westmoorings Phone: 1-868-632-7629 Fax: 1-868-632-7629 Email: embaguatt@tstt.net.tt Customs and Excise Division Ministry of Finance Custom House Nicholas Court Cor. Abercromby Street and Independence Square Port of Spain Phone: (868) 625-3311-9 Ext 335-8 Email: policyunit@customs.gov.tt Web: www.customs.gov.tt Shipping Association of Trinidad & Tobago 15 Scott Bushe Street, Port of Spain Phone: (868)625-2388, (868)623-3355 Fax: (868)623-8570 Email: om@shipping.co.tt Web: http://shipping.co.tt/member%20search.php?id=1&page=1
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Translation Services
Commercial documents provided by the exporters or their representatives are often required in Spanish or, at the very least, must be accompanied by an official Spanish translation. A list of official translation and interpreting agencies in Trinidad and Tobago can be found in Appendix I.
11.2 Guatemala Office Guatemalan Chamber of Commerce
Chamber of Industry
AMCHAM Guatemala Guatemalan Franchise Association
Business Registration Office
Guatemalan Association of Advertising Agencies
Major Newspapers
Contact Information Camara de Comercio de Guatemala E-mail: info@camaradecomercio.org.gt,gerencia@camaradecomercio.com Web page: http://www.negociosenguatemala.com/ Cámara de Industria de Guatemala E-mail: cig@industriaguate.com Web page: www.industriaguate.com American Chamber of Commerce of Guatemala (AMCHAM) E-mail: director@amchamguate.com Web page: www.amchamguate.com Asociación Guatemalteca de Franquicias –AGF Email: guatefranquicias@guatefranquicias.com Website: www.guatefranquicias.com Registro Mercantil de Guatemala Address: 7a. Avenida 7-51, Zona 4, 01004 Guatemala Ph.: [502] 2332-7685 Fax: [502] 2334-1754 Contact: Arturo Herrador Sandoval, Registrador E-mail: info@registromercantil.gob.gt Website: www.registromercantil.gob.gt Union Guatemalteca de Agencias de Publicidad - UGAP Contact: Pauline Crespo K., Executive Director E-mail: director@ugap.com ; ugap@ugap.com Web page: www.ugap.com Prensa Libre E-mail: nacionales@prensalibre.com.gt Web page: www.prensalibre.com Siglo Veintiuno E-mail: servicios@sigloxxi.com Web page: www.sigloxxi.com Nuestro Diario
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Professional Services
Contact: Jorge Springmuhl, General Manager E-mail opinion@nuestrodiario.com.gt Web page: www.nuestrodiario.com El Peri贸dico E-mail: opinion@elperiodico.com.gt Web page: www.elperiodico.com.gt La Hora E-mail lahora@lahora.com.gt Web page: www.lahora.com.gt Including lawyers, auditors, consultants, custom brokers, financial, etc. see http://www.buyusa.gov/guatemala/en/guatemalanserviceprovide rs.html
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Appendices
Appendix I – Public Translators (Approved by the Ministry of Foreign Affairs, Trinidad & Tobago) 1)
Mr. Kelvin Hoskins #3 O’Connor Street, off Dickson Avenue, Diego Martin Tel: 352-2238/632-8286
2)
Ms. Doris Millan #42 Saddle Road, Maraval Tel: 753-0643/628-8414
Spanish
3)
Mr. Jaime Graells #28 Old Paddock Road, Blue Range, Diego Martin Tel: 759-5218/637-7140
4)
Mr. Luis Arreaza # 38 Carlos Street, Woodbrook Tel: 764-8683
Spanish, French
5)
Mr. Chantale Leonard-St. Clair Director (Ag.) Translation & Interpreting Services Unit Spanish, French, Portuguese, College of Science Technology and Applied Arts Dutch, German of Trinidad and Tobago (COSTAAT) Tel: (868) 625 5030 Ext. 5270 Fax: (868) 627 5714 E-mail: cstclair@costaatt.edu.tt; pwilliams@costaatt.edu.tt
6)
Mr. David Coutisson Director THE ALLIANCE FRANÇAISE # 17 Alcazar Street, Port of Spain Tel: 622-6119/6728
7)
French
Eric Maitrejean CITB Coordinator Caribbean Interpretation & Translation Bureau University of the West Indies St. Augustine Campus, St. Augustine Tel: 662-0758 Email: CITB@sta.uwi.edu
Spanish, French, Arabic
WORKS CITED i
The Central Intelligence Agency (CIA) Factbook. (2014). Guatemala. Retrieved from https://www.cia.gov/library/publications/the-world-factbook/geos/vc.html EncyclopĂŚdia Britannica. (2013). Guatemala. http://www.britannica.com/EBchecked/topic/701217/Guatemala
Retrieved
from
The World Bank. (2014). http://data.worldbank.org/country/guatemala
Retrieved
from
ii
iii
Guatemala.
The European Union (EU) Trade Directorate. (2014). European Union, Trade in goods with Guatemala. Retrieved from http://trade.ec.europa.eu/doclib/docs/2006/september/tradoc_113384.pdf iv
The World Bank Group. (2014). Ease of Doing Business in Guatemala. Retrieved from http://www.doingbusiness.org/data/exploreeconomies/guatemala/ v
Export.gov. (2013) Doing Business In Guatemala. http://www.export.gov/guatemala/doingbusinessinguatemala/index.asp vi
Retrieved
from
Zeidman, Philip F. (2015). Franchise in 29 Jurisdictions Worldwide. Law Business Research Ltd: Lancaster UK. Retrieved from http://www.franchise.org/uploadedFiles/F2015%20Guatemala.pdf vii
Doing Business in Guatemala: (2014). Country Commercial Guide for U.S. Companies. Retrieved from http://www.buyusainfo.net/docs/x_6473855.pdf viii
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