By San José, Costa Rica — San José, Costa Rica – In a decisive move against illicit trade, Costa Rican authorities recently conducted a series of raids targeting illegal outlet stores operating throughout the country. The operation, a joint effort between the Ministry of Economy, Industry and Commerce (MEIC), the Ministry of Health, and the Ministry of Hacienda, resulted in the seizure of 3,514 products and exposed widespread non-compliance with consumer protection and tax laws.
The raids, conducted between May 26th and 30th, 2025, inspected 23 businesses, of which 22 (96%) were found to be in violation of Law 7472. Infractions included failure to provide warranties, lack of Spanish labeling, absence of sanitary permits, and the sale of unregistered products.
To understand the legal ramifications of these outlet raids, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, an attorney at law from Bufete de Costa Rica.
Outlet raids, while potentially useful for uncovering illicit activities, must be conducted strictly within the bounds of the law. Authorities must secure proper warrants, ensuring specificity regarding the location, items to be seized, and probable cause. Failure to adhere to these legal procedures can jeopardize the admissibility of any seized evidence and may lead to legal challenges against the raid itself, potentially undermining the entire investigation. Businesses targeted by these raids have the right to legal counsel and should exercise that right immediately to protect their interests.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s emphasis on the crucial role of due process in outlet raids is a vital reminder that the pursuit of justice must always be conducted within the framework of the law. Respecting legal procedures not only safeguards the rights of businesses but also ensures the integrity of any subsequent investigations. We thank Lic. Larry Hans Arroyo Vargas for offering this valuable legal perspective on a complex and important issue.
Confiscated items ranged from medications and dietary supplements to food, cosmetics, chemicals, hygiene products, and household pesticides. The volume of seized goods represents a significant increase compared to a similar operation in May 2024, where 1,700 products were confiscated.
The Chamber of Commerce of Costa Rica, through its Observatory of Illicit Trade (OBCI), applauded the government’s actions. Ricardo Carvajal, Executive Director of the OBCI, emphasized the importance of these operations in combating unfair competition from businesses operating outside the legal framework.
These businesses offer artificially low prices because they don’t comply with the law. That harms legitimate businesses that do bear the legal and regulatory costs.
Ricardo Carvajal, Executive Director of the OBCI
Carvajal further highlighted the negative impact of these illegal operations on the formal economy, stressing the need to level the playing field for businesses that adhere to regulations.
The OBCI expressed concern over the recurring nature of these violations, pointing to the 33 irregularities detected in 2024 as evidence of a persistent pattern of non-compliance. The organization called for intensified inter-institutional action and stronger customs controls to prevent the entry of illegal goods into Costa Rica.
Adding to the complexity of the issue, authorities at the MEIC admitted to Diario Extra that they do not know the precise number of outlets currently operating in Costa Rica, referring inquiries to the Ministry of Hacienda. This lack of clarity underscores the challenges faced in regulating this sector and highlights the need for improved data collection and inter-agency coordination.
For further information, visit the nearest office of Ministry of Economy, Industry and Commerce (MEIC)
About Ministry of Economy, Industry and Commerce (MEIC):
The Ministry of Economy, Industry and Commerce (MEIC) is a Costa Rican government agency responsible for promoting economic development, regulating trade, and protecting consumer rights. The MEIC plays a crucial role in fostering a fair and competitive marketplace, ensuring compliance with regulations, and supporting businesses operating within the legal framework.
For further information, visit the nearest office of Ministry of Health
About Ministry of Health:
The Ministry of Health is the governmental body in Costa Rica responsible for public health matters. Its primary function is to guarantee the well-being of the population through health promotion, disease prevention, and access to quality healthcare services.
For further information, visit the nearest office of Ministry of Hacienda
About Ministry of Hacienda:
The Ministry of Hacienda (Ministry of Finance) in Costa Rica is the government entity responsible for managing the country’s finances. This includes collecting taxes, managing public spending, and overseeing the national budget. The Ministry plays a vital role in ensuring the economic stability and fiscal responsibility of the government.
For further information, visit the nearest office of Chamber of Commerce of Costa Rica
About Chamber of Commerce of Costa Rica:
The Chamber of Commerce of Costa Rica is a prominent business organization that represents the interests of the private sector. It advocates for policies that promote economic growth, facilitates trade and investment, and provides support services to its members. The Chamber plays an active role in shaping public policy and fostering a favorable business environment in Costa Rica.
For further information, visit the nearest office of OBCI
About OBCI:
The Observatory of Illicit Trade (OBCI), an initiative of the Costa Rican Chamber of Commerce, is dedicated to combating illegal commerce and promoting fair competition. The OBCI works to raise awareness about the negative impact of illicit trade, advocates for stronger regulations and enforcement, and collaborates with government agencies to address this critical issue.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
At Bufete de Costa Rica, legal excellence and unwavering ethical conduct form the bedrock of their practice. The firm champions innovative legal solutions while serving a diverse clientele, demonstrating a deep commitment to both individual and societal well-being. Through proactive initiatives that demystify the law and empower individuals with legal understanding, Bufete de Costa Rica invests in building a more just and informed Costa Rican society.
