Category Archives: Free Trade Zones

Remote Work in Costa Rica’s Free Trade Zones: Limits, Risks, and Compliance 

https://blplegal.com/wp-content/uploads/2025/05/Victoria-Hernandez-search.png Victoria Hernández Senior Associate Costa Rica E-mail Remote work has transformed how companies operate and manage relationships with their employees. Since its rise, driven by the need to adapt to the effects of the pandemic, several months have passed.  In Costa Rica, operations under the free trade zone regime had to respond to this global emergency…

Newsflash | Nicaragua takes a decisive step to attract investment: Free trade zone tax incentives are now indefinite

Nicaragua: Free Trade Zone Reform Introduces Indefinite Tax Incentives (Law No. 1278) On April 9, 2026, Law No. 1278 entered into force, amending Nicaragua’s Free Trade Zone Law. While the reform is targeted in its wording, its implications are substantial: the tax incentive regime currently available to operators and users of free trade zones now…

Newsflash | Nicaragua takes a decisive step to attract investment: Free trade zone tax incentives are now indefinite

Nicaragua: Free Trade Zone Reform Introduces Indefinite Tax Incentives (Law No. 1278) On April 9, 2026, Law No. 1278 entered into force, amending Nicaragua’s Free Trade Zone Law. While the reform is targeted in its wording, its implications are substantial: the tax incentive regime currently available to operators and users of free trade zones now…

The Free Trade Zone Regime: Adapting to Change Beyond Investment Attraction and Job Creation

Simón Sauvé – Director, Costa Rica For many years, the Free Trade Zone Regime has been one of Costa Rica’s most important tools for attracting foreign investment, generating quality employment, and strengthening productive development. More than a set of tax incentives, this regime forms part of a comprehensive strategy to integrate the country into global…

Key Reforms to the Free Trade Zones Law and New Reinvestment Incentives in El Salvador

On December 23, 2025, Legislative Decree No. 493 was issued, introducing reforms to the Industrial and Commercial Free Trade Zones Law (the “Law”). The purpose of these amendments is to update the incentive regime, promote reinvestment and employment, and provide greater operational flexibility to Developers, Free Trade Zone Users, and Active Inward Processing Warehouses (“DPA”)….

How to Mitigate the Impact of Tariffs Imposed by the United States

The U.S. Government, in its first 100 days in office, imposed new tariffs on other countries as a reciprocal measure that, in its view, would encourage the purchase of more products made in the United States, increase tax revenue, balance the negative trade disparities with other countries, and boost investment levels.  As a result of…

New Customs Directive: Mandatory Validation for Trade Agreement Exemptions

On February 12, 2025, the General Directorate of Customs published Directive No. MH-DGA-DIR-0001-2025, issued on January 7, 2025, introducing key changes for customs procedures. This directive modifies the existing regulations by removing the last paragraph of Directive No. DIR-DGA-01-2021 and adding point vii), establishing a new requirement for the exemption of Free Trade Agreements (FTAs)…

The importance of advancing toward a paperless cross-border trade in Costa Rica

Author https://blplegal.com/wp-content/uploads/2024/12/Articulo-Comercio-sin-papeles_FOTO.png Jocelyn Vargas Customs Consultant Costa Rica E-mail Costa Rica has made significant strides in pursuing a paperless cross-border e-commerce system driven by market demands and its inherent benefits. The paperless cross-border trade initiative established under the framework of the World Trade Organization’s (WTO) Trade Facilitation Agreement aims, among other objectives, to digitalize the…

New Regulation Streamlines the Entry of Raw Materials for Free Trade Zones into Costa Rica

The Ministry of Foreign Trade and the Ministry of Health have issued regulations under Decree No. 44696-S-COMEX, allowing the admission of products of sanitary interest or their raw materials into the free trade zone and active improvement regimes without requiring sanitary registration or authorization notification, considering the following: The products of sanitary interest or their…