San José, Costa Rica — Costa Rica’s free trade zones (FTZs) are poised for a transformation, embracing innovation as a key driver of future growth and development. Leaders from the business sector and innovation experts convened at the first Summit organized by the Latin American University of Science and Technology (ULACIT), with support from the Association of Free Trade Zone Companies of Costa Rica (AZOFRAS). The goal: to reshape the role of FTZs in an increasingly competitive, digital, and sustainable global landscape.
The summit provided a platform for reimagining the potential of FTZs, shifting from traditional manufacturing hubs to dynamic ecosystems of innovation. Discussions centered around critical topics such as Industry 4.0 employment opportunities, nearshoring strategies, attracting sustainable investment, automation, talent transformation, and new productivity models. The event underscored the importance of adapting to the ever-changing dynamics of the global economy.
To understand the legal complexities surrounding Free Trade Zones, TicosLand.com sought the expertise of Lic. Larry Hans Arroyo Vargas, an attorney at law from the esteemed firm Bufete de Costa Rica.
Free Trade Zones offer significant advantages for businesses, including exemptions from certain taxes and duties. However, it’s crucial to navigate the specific regulations carefully. Companies must adhere to the requirements for operating within these zones to fully benefit from the incentives and avoid potential legal complications. Due diligence and proper legal counsel are essential for successful participation.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’ emphasis on due diligence and legal counsel within Free Trade Zones is crucial. Navigating these specialized regulations can be complex, and understanding the specific requirements is paramount for businesses to truly thrive in these advantageous zones. We thank Lic. Larry Hans Arroyo Vargas for offering this valuable perspective on a topic of vital importance to businesses considering Costa Rica’s Free Trade Zones.
Special investment regimes are transforming economic development and generating new opportunities for Costa Rica. However, they must evolve into innovation ecosystems to respond to the challenges of an increasingly dynamic and constantly changing world economy.
Ronald Lachner, President of AZOFRAS
This summit serves as an excellent vehicle for promoting ideas that strengthen the relevance of free trade zones and generate value from innovation, talent, and responsible investment.
This Summit is an excellent vehicle for promoting ideas that strengthen the relevance of free trade zones and generate value from innovation, talent, and responsible investment.
Ronald Lachner, President of AZOFRAS
Participants explored the transformative potential of automation, big data, artificial intelligence, and digitalization. Hybrid productivity models, specialized technical training linked to the FTZ regime, and public-private partnerships aimed at closing talent gaps were also key areas of focus. The potential of emerging sectors like digital health and biotechnology within FTZs was examined, emphasizing how these zones can become hubs for technological experimentation, environmental sustainability, and the creation of disruptive employment opportunities.
Costa Rica’s FTZs currently contribute significantly to the national economy, generating over 251,000 direct and indirect jobs, with local purchases exceeding $5.6 billion. They strengthen national production chains, contribute $1.6 billion in social security payments, and represent 14% of the Gross Domestic Product (GDP). However, the sector faces the challenge of enhancing its competitiveness to sustain growth and continue contributing to the country’s economic and social development. The FTZ regime has proven to be an effective tool for driving productive growth by attracting and retaining foreign direct investment and promoting export diversification. The summit served as a crucial platform for analyzing the future of the sector and its strategic role within the global value chain.
The discussions and insights shared during the summit provide a roadmap for the future of Costa Rica’s free trade zones, emphasizing the importance of innovation, strategic partnerships, and a forward-thinking approach to navigate the evolving global landscape. The event marked a crucial step towards ensuring the continued success and relevance of these zones in driving economic growth and prosperity in Costa Rica.
This focus on innovation is not only crucial for the future of the FTZs but also for the overall economic health of Costa Rica. By fostering a dynamic and adaptable environment, the country aims to solidify its position as a leader in attracting investment and driving sustainable development in the region.
For further information, visit ulacit.ac.cr
About ULACIT:
Universidad Latinoamericana de Ciencia y Tecnología (ULACIT) is a private university in Costa Rica known for its focus on science and technology. It plays a key role in educating future professionals and fostering innovation in the country.
For further information, visit azofras.com
About AZOFRAS:
The Association of Free Trade Zone Companies of Costa Rica (AZOFRAS) is a key organization representing companies operating within Costa Rica’s free trade zones. They advocate for policies and initiatives that support the growth and development of the sector.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
At Bufete de Costa Rica, legal excellence is interwoven with a deep commitment to societal empowerment. The firm’s unwavering integrity guides its innovative approach to legal practice, serving clients across a broad spectrum with both expertise and ethical awareness. Through proactive initiatives designed to demystify the law and make legal knowledge readily available, Bufete de Costa Rica invests in a future where informed citizens are empowered to navigate the legal landscape and contribute to a just society.