COSTA RICA

KEY ADVANTAGES OF OPERATING IN COSTA RICA
(Couurtesy of CINDE)

Costa Rica Vacation, Costa Rica real estate, Costa Rica map, Costa Rica hotel, Costa Rica travel, Costa Rica fishing, Costa Rica tour

When a company is seeking to establish operations for high quality output, excellent tax incentives, and lower costs, Costa Rica offers great advantages:

1) Highly educated, versatile and productive work force at only US $ 2.30 per hour fully loaded3: Costa Rica has one of the highest United Nations' Human Development Indexes among developing nations and one of the highest literacy rates of the American Continent (95%). The abolishment of the armed forces in 1949 freed resources that have been invested in education and health services for the population. Education is compulsory until the 9th grade and places strong emphasis on computers and English since early grades.

The National Training Institute (INA) offers free technical training in many fields. Several technical schools and universities prepare professionals with the highest international standards. These institutions offer various levels in electronic, electric, mechanical, and process engineering. Even Harvard University has an extension in Costa Rica called INCAE to prepare middle and upper level managers. Today, Costa Ricans manufacture electronic components, computer parts, pharmaceuticals, jewelry, clothing and food products, as well as perform data processing, software development and customer support.

2) Comprehensive package of incentives for foreign investment: There are no performance requirements or minimum investment levels for foreign investors. Investment incentives are available for activities directly related to the export of services and/or products from Costa Rica. These incentives are the Free Zone system, the Continuous Product Development program and the Duty Reimbursement program, each one regulated by its own particular legislation.

The Free Zone System4 (Export Processing Zones) grants beneficiary companies the widest range of benefits currently available in Costa Rica. Among the fiscal benefits granted under the provisions of the Free Zone Legislation (Subject to international treaties) are:

100% exemption on import duties on raw materials, components and capital goods;

100% exemption on taxes on profits

100% exemption on export taxes, local sales and excise taxes, and taxes on profit repatriation;

100% exemption on capital taxes;

No restrictions on capital/profit repatriation or foreign currency management;

Expedited on-site Customs clearance;

Possibility to sell to exporters within Costa Rica;

3) No restrictions in capital or fund repatriation and transfer:
There are no limitations on capital funds transfers associated with an investment, regardless of the currency. No restrictions are imposed on re-investments or on repatriation of earnings, royalties or capital. In addition, there is no requirement to register investments with any of the government authorities.

4) Strategic location and preferential market access: Costa Rica is in the center of the American Continent. With ports on both the Pacific and Atlantic oceans, it serves as an operations base for world markets. Costa Rican products enter duty-free to the U.S. through the Caribbean Basin Initiative, to Europe through the General System of Preferences, and to Central America and Mexico through free trade agreements. Currently, Costa Rica is actively involved in making the Free Trade Area of the Americas (FTAA) become a reality.

5) Export-oriented infrastructure and lower costs in general: Costa Rica has an abundant water supply, reliable hydroelectric power, and one of the most advanced telecommunications systems in Latin America. Regarding transportation, Costa Rica has an extensive highway system, two major international airports and two seaports. All major U.S., European, and Latin American passenger and cargo carriers provide service at very competitive rates. Costa Rica's free trade zones are industrial parks that lease or sell world class facilities. Installed companies enjoy several services (on-site Customs Office, post-office and banks), as well as prompt approval of the privileged “Free Trade Zone Status."

6) Unequaled tradition of political, social and economic stability:
Costa Rica is the oldest and most stable democracy in Latin America. Its high living standards, education tradition and free health system granted it one of the highest United Nations Human Development Index among all developing nations. Costa Rica is among the countries with the longest life-expectancy rates in the world (78.3 years). It also has one of the lowest infant-mortality rates in the world (11/1000), and one of the highest literacy rates of the American Continent (95%). Last, but not least, the Government encourages foreign investment. Guaranteed by law, foreign corporations can fully own and control their assets, as well as repatriate their capital or profits without restrictions. Consequently, Costa Rica has excellent rankings in economic freedom and investment risk.

7) You are in good company: Intel, Bourns, C&K Components, Panduit, Narda Microwave/L3, Micro Technologies, Sykes, Sawtek, Merrimac Industries, EMC, Panasonic, Siemens, Square D, GTE Sylvania, Conair/Babyliss, Pycon, Alcoa, Baxter, Hospira, Boston Scientific, De Royal, Allergan, WestStar, Arthrocare, Align Technology, Western Union, Procter and Gamble, Stream, L.L. Bean, ITT, Merck Sharp & Dohme, Pfizer, Hanes Knitwear, Nestlé, BASF, Teradyne, Warner's, L3 Communications, Rawlings, Seton Company, Russ Knits, Bridgestone, MBT, and Proquinal are just some of the foreign corporations that have selected our country as one of the best manufacturing or corporate service sites in the world.

Please call between 7-9 CST
Telephone: TOLL FREE 1-877-370-0001
Or Dial from US:*011+(506) 2262-3333
Cell: *011+(506) 8362-4444 | *011+(506)-8882-4444 | FAX: 011+(506)-2262-4444