You will be better communicated with your customers and/or suppliers. Our Bicultural Identity is your best connection with Latin America.
You will not have to deal with the difficulties that may arise due to the complexity of the Latin American Market. We know what to do and how to do it for you.
You will be given expert support. Our superior knowledge of the market offers you specialized and cost effective solutions.
You will get a 24/7 faster and reliable service. We are always available and ready to help you expedite your shipments.
IMPORTING/EXPORTING TO OR FROM COLOMBIA?
YOU NEED THE RIGHT SHIPPING COMPANY.
Objective: Enter the Colombian marketplace.
Challenge: Familiarizing yourself with the ins and outs of cargo shipping.
Solution: Partner with the premiere service provider in the Industry… LAC
Whether it be a one-time deal or an ongoing venture, choosing to cross international borders with your precious freight can be a daunting task. There are many considerations and too often, much is left to chance. With a part of the world as different as this, put all the chips on your side and do business with confidence: Choose LAC when shipping to Colombia!
If your company is considering importing from or exporting goods to Colombia, and you’re not entirely familiar with how freight forwarding is regulated there, join with the team that does. If communicating in the local Spanish dialect is an obstacle, or you have doubts about respecting the corporate culture there, why wouldn’t you choose the firm that has it nailed down?
Perhaps your current logistics company isn’t up to snuff, and you’re considering another for shipping to Colombia. You’ve come to the right place.
WHAT TO CONSIDER:
One prerequisite before trading with a new country is an understanding of their business processes and how the shipping industry is regulated. Not only are logistics laws a departure from North American norms, but communication methods and business etiquette among Colombian business people might come as a surprise if you’re not accustomed to it.
Another consideration is choosing to tackle all the challenges and uncertainties alone, or rather to select a real Logistics Partner: A reputable group of experts that has been there before. You want to depend on a team that’s already familiar with the local corporate culture, and has a track record of safe, dependable, fast shipping to Colombia. LAC is that company.
WHAT MAKES COLOMBIA UNIQUE:
Nearly five times the size of the UK, Colombia is a large and diverse country which has enjoyed a long tradition of economic and political stability. Colombia’s economy is diverse and relatively advanced and there are opportunities for companies in many, varied sectors, particularly promising in niche areas.
Primary commodities remain its main exports (in particular crude oil, coal, coffee, and non-ferrous metals), but American and British companies operate in a wide range of sectors, including financial services, beverages and environmental services.
More than 99.2% of Colombians speak Spanish, also called Castilian; 65 Amerindian languages, two Creole languages, the Romani language and Colombian Sign Language are also spoken in the country. English has official status in the archipelago of San Andrés, Providencia and Santa Catalina.
IMPORT/EXPORT TARIFFS & BARRIERS
Most of Colombia’s duties have been consolidated into three tariff levels: 0 percent to 5 percent on capital goods, industrial goods, and raw materials not produced in Colombia; 10 percent on manufactured goods, with some exceptions; and 15 percent to 20 percent on consumer and “sensitive” goods. Many agricultural commodities are benefiting from the FTA as almost 70 percent of current U.S. farm exports to Colombia became duty-free and the remaining tariffs will be eliminated within 19 years.
The FTA eliminated duties on wheat, barley, soybeans, soybean meal and flour, high-quality beef, bacon, almost all fruit and vegetable products, wheat, peanuts, whey, cotton, and the vast majority of processed products. The FTA also provides duty-free tariff rate quotas (TRQ) on standard beef, chicken leg quarters, dairy products, corn, sorghum, animal feeds, rice, and soybean oil. Colombia also removed the price band system (PBS) application for agricultural imports from the United States.
In March 2012, Colombia joined the WTO Information Technology Agreement, under which Members eliminate tariffs on a most favored nation (MFN) basis for a wide range of information technology products.
About 80 percent of U.S. exports of consumer and industrial products to Colombia became duty free immediately on May 15, 2012 when the FTA between the United States and Colombia entered into effect.
Tariffs: Despite the efforts mentioned above to consolidate and simplify its tariff rate schedule, Colombia’s numerous economic integration agreements have fostered overlapping tariff applications. For example, a product may be subject to more than ten different duties depending on whether it comes from a member of the Andean Community, the Latin American Integration Agreement, or the Caribbean Community. Approximately 97 percent of the Colombian Harmonized Tariff Schedule (CHTS) products can be imported without an import license, but import tariffs and VAT still apply. Colombia’s harmonized tariff schedule book lists all applicable import duties.
Non-Tariff Barriers: Although the implementation of the Unified Portal for Foreign Trade (VUCE) has significantly streamlined the paperwork process for imports and exports, Colombia’s bureaucracy still constitutes a barrier to trade for both local and foreign companies. Pilferage in customs warehouses and robberies of trucks persists, but cases have decreased dramatically. Colombian customs can detain shipments indefinitely because of improper tariff schedule classification, incorrect address, or typing errors. When mistakes are made by the exporter or importer, the goods may be refused entry into Colombia and be returned at considerable expense to the exporter or importer. Colombian customs statutes provide for significant fines and penalties for light infringement of procedures and errors in freight forwarding documents by customs agencies (Agencias Aduaneras). U.S. freight forwarders and intermediaries are subject to the same sanctions and penalties as Colombia’s agents and brokers.
Export Establishment Registration: Colombia and the United States have an agreement that provides import eligibility of meat and poultry products with a packaging origin from any USDA federally inspected establishment. The GOC will only recognize those establishments that are listed in the USDA FSIS Meat and Poultry Inspection Directory. As well, beef products must also originate from establishments approved under the USDA Agricultural Marketing Service Export Verification Program (EV). In order to register with INVIMA, exporting establishments must provide the following information:
- Country of Origin
- Establishment Name
- Establishment Number
- Products that will be exported to Colombia
- Email address
Duties and tariffs are usually based on the total value of the shipment in question, and depending on how well-documented the cargo is, those values could be determined by the judgment of Customs Officials on the spot.
Don’t face these challenges alone. Choose an experienced Freight Forwarding provider that has overcome these obstacles before. LAC comes prepared and removes the mystery for its clients, with a thorough approach that gets logistics services to and from Colombia done right.
WHY DO BUSINESS WITH COLOMBIA?
Colombia is rich in natural resources, and its main exports include mineral fuels, oils, distillation products, precious stones, forest products, pulp and paper, coffee, meat, cereals and vegetable oils, cotton, oilseed, sugars and sugar confectionery, fruit and other agricultural products, food processing, processed fish products, beverages, machinery, electronics, military products, aircraft, ships, motor vehicles, metal products, ferro-alloys, home and office material, chemicals and health related products, petrochemicals, agrochemicals, inorganic salts and acids, perfumery and cosmetics, medicaments, plastics, animal fibers, textile and fabrics, clothing and footwear, leather, construction equipment and materials, cement, software, among others.
Colombia is also known as an important global source of emeralds, and over 70% of cut flowers imported by the United States are Colombian. Non-traditional exports have boosted the growth of Colombian foreign sales as well as the diversification of destinations of export thanks to new free trade agreements. Principal trading partners are the United States, China, the European Union and some Latin American countries.
- Capital and largest city: Bogotá
- Official languages: Spanish
- Recognized regional languages: 68 ethnic languages and dialects. English is also official in the archipelago of San Andrés, Providencia and Santa Catalina.
- Population: 49,120,104 (March 2017 est)
- GDP (PPP) 2017 estimate: $724.167 billion USD
- GDP per capita: $14,687 USD
- Unemployment: 8.7% (Dec 2016)
- Inflation: 5.18% (Feb 2017)
- Currency: Peso (COP)
YOUR MOST RELIABLE RESOURCE
LAC understands the Colombian shipping industry, corporate culture, and we speak the local language. You can always depend on customized solutions that hold your company’s best interests as priority #1. Our expert team’s experience, training, and network of connections in Colombia enable our clients to move their cargo economically, safely, and without obstacles.
The average cargo company is only capable (and willing) to do so much. Don’t let them stunt your business’ growth. LAC goes beyond the call of duty when shipping to Colombia.
…Able, willing, and fully-equipped.