1 Panama Country Profile

1 Panama Country Profile


Generic Information

Panama, officially Republic of Panama, is a country located at the southeast of Central America.  Its Capital is Panama City. Bordered by the Caribbean Sea to the North, with the Pacific Ocean to the south, with Colombia to the Southeast and with Costa Rica to the west. It has an area of 75 420 km². Located on the isthmus of the same name strip of land that links South America to Central America, its mountainous range is solely interrupted by the Panama Canal Basin, the waterway that connects the Atlantic Ocean with the Pacific Ocean.

Generic country information can be located from sources which are regularly maintained and reflect current facts and figures. For a generic country overview, please consult the following sources:

Panama Wikipedia Country Information https://en.wikipedia.org/wiki/Panama

Panama IMF Country Information https://www.imf.org/en/Countries/PAN

Panama Economist Intelligence Unit Information*  https://country.eiu.com/panama

(*note - this is a paid service)


Humanitarian Info

Panama World Food Programme http://www.wfp.org/countries/

Panama UN Office for Coordination of Humanitarian Affairs Information https://www.unocha.org/rolac


Facts and Figures

Panama Wolfram Alpha https://www.wolframalpha.com/input/?i=panama

Panama World Bank https://www.worldbank.org/en/country/panama

Panama Population Information http://worldpopulationreview.com/countries/panama-population/

1.1 Panama Humanitarian Background


Disasters, Conflicts and Migration

Natural Hazards

Type

Occurrence

Comments / Details

Droughts

Yes

The main impacts are in the agricultural sector mostly in the Arco Seco region which extends from the province of Cocle, Los Santos, Herrera to Veraguas. In the event that droughts affect the population, the National Civil Protection System intervenes to provide assistance.  Dry season: January to May.  

Earthquakes

Yes

Panama is considered as a country of seismic risk, however, the recurrence of this type of event is not significant when compared to other countries in the region. The country is part of the Panama bloc or Microplate, which is an active seismic area.  The most important geologic faults are found in Tonosi, Gatun and the deformed “belt of Northern Panama”. There are records of earthquakes taking place in the province of Los Santos (1913), Bocas del Toro (1916), Veraguas (1941), Panama (1971), Darien (1974), and the most severe occurred in Bocas del Toro (1991), leaving behind a death toll 23 casualties, 337 injured and 720 destroyed homes.     

Epidemic

Yes

The Ministry of Health controls minor epidemic outbreaks that occur and relies on administrative divisions for health disasters and the mitigation of its effects over the population.

Extreme Temperatures

Yes

High temperatures are common during the country’s dry season filing temperatures ranging within 35°C to 37°C. The last occurrence setting record high temperatures at 38°C was the “El Niño” Phenomenon in 2009.

Floods

Yes

Panama is prone to flooding during the yearly rainy season due to several variables.  Among such, the great number of populations that live in vulnerable conditions on river slopes, in addition to bad practices of urban and territorial planning in the capital city.  Prolonged periods of heavy rains (April to December) have provoked economic losses, deaths and injuries at a low scale.

Plague Infestation

Yes

Zika / Hantavirus[1]. Cases are assisted by action of the relevant authorities, yet, low compliance f the health and hygiene provisions by the population makes plague control difficult to some extent.

Landslide

Yes

Panama’s vulnerability to landslides is attributable to the indiscriminate use of land, rain precipitations, seismic activity, along with the activities related to the disorderly construction of housing projects and deforestation.

Volcanic Eruptions

No

For years now, no volcanic eruptions have been recorded.  Nevertheless, there are 24 volcanic centers, including the Baru Volcano (3,475m) located in the province of Chiriqui, considered inactive. 

High Tides

Yes

The reduction of mangrove forests in certain regions of the geography has provoked the oceans impact over coastal zones, hence provoking groundswells.

Forest Fires

Yes

Quite common in Panama, caused by spontaneous ignition, the climatic situation or mainly due to human activity in the Darien area.  Authorities from the Ministry of the Environment of the Government of Panama rely on contingency plans to mitigate forest fires.    

Strong Winds

Yes

Panama, occasionally endures severe storms. Nevertheless, does not have hurricane-force winds due to its geographical position.

Further Comments

Although Panama does not present the magnitude or recurrence of natural disasters in comparison to the rest of the countries in the region, the country is still exposed to these events.

Man-made Events

Civil Conflicts

No

Panama has not had civil conflicts since year 1903.

International Conflict

No

Illegal operations of traffickers in Colombia take place at Panama’s remote border regions.  (https://www.cia.gov/library/publications/resources/the-world-factbook/geos/pm.html)

Internally Displaced Persons

No

N/A

Presence of Refugees

Yes

The refugee population officially recognized by the Panamanian government consists mostly of Colombians, Nicaraguans, Venezuelans, Cubans and people from northern CentralAmerican countries (mainly El Salvador).  In 2019, Nicaraguans were the highest number of asylum applicants in the country. (Reference: ACNUR & NRC, 2019. Panama: Protection Monitoring – June to December 2019. Extracted from acnur.org)

Landmines / UXO present

No

N/A

Further  Comments 

N/A

[1] WHO (2020). Panama country profile. Extracted from who.int/countries

For a more detailed database on disasters by country, please see the Centre for Research on Epidemiology of Disasters Country Profile

Seasonal Effects on Logistics Capacities

Seasonal Effects on Transportation

Type of Transportation

Time of the Year

Comments / Details

Primary Road Transport

April to  December

Increased traffic flow due to national holidays at towns nearby highways, or congestion in roads due to accidents.

During rainy seasons, roads might be prone to floods, especially in the capital city.  

Secondary Road Transport

April to  December

Increased traffic flow due to national holidays at towns nearby highways, or congestion in roads due to accidents.

During rainy seasons, roads might be prone to floods, especially in the capital city.  

Rail Transport

N/A

N/A

Air Transport

April to 

December

October to  December

The tropical rainy season from April to December, and the migration of birds from October to December, may in some cases interfere with airport operations.


Occasionally there are union strikes, but have not caused service interruptions. 

Waterway Transport

N/A

N/A

Seasonal Effects on Storage and Handling

Activity Type

Time Frame

Comments / Details

Storage

N/A

              N/A

Handling

N/A N/A

Other

N/A N/A


Capacity and Contacts for In-Country Emergency Response

Government

The National Civil Protection System (SINAPROC) is the entity empowered to respond to emergencies caused by natural or anthropogenic disasters. The SINAPROC is also empowered to establish policies and action plans directed to reduce disaster vulnerabilities and impacts, nationwide.  (Law No. 11 of February 2005).

The moment disaster strikes, all public, private and non-governmental entities linked to the civil protection, must coordinate actions in accordance to that established by the SINAPROC.  For such effects, SINAPROC has an Emergency Operations Center (COE, for its acronym in Spanish), whose purpose is to maintain coordination between the different competent authorities in order to provide attention, protection and assistance to the affected population. COE’s organization chart is comprised of six divisions: Emergency & Response; Health; Infrastructure & Public Services; Logistics & Humanitarian Assistance; Shelters; and Security.  Each of these divisions coordinate field related response actionsand are designated by a coordinating entity and supporting institutions.

The decision on the declaration of a state of emergency, issuance of an international appeal or offer of humanitarian assistance befalls over the President of the Republic. Next, it will be the Ministry of Foreign Affairs under the General Secretariat who will be in charge of the diplomatic coordination for the request, transit or offer of assistance.  In this context, SINAPROC takes the role as humanitarian management coordinator through the Coordination Center for Humanitarian Assistance (CCAH, for its initials in Spanish) interinstitutional body in charge of the humanitarian cargo movement and response actions.

The Ministry of Foreign Affairs more so counts upon its Coordination and Information Center (CECODI, for its acronym in Spanish), assigned likewise, to the General Secretariat, created to offer assistance and follow-up to Panamanians abroad in case of force majeure.

For more information on government contact details, please see the following link: 4.1 Government Contact List.

Humanitarian Community

International Organizations with offices and activities in Panama:

Humanitarian Organizations Presence
Regional National
United Nations System (Organizations)

1

United Nations High Commissioner for Refugees (UNHCR)


2

UN Entity for Gender Equality and the Empowerment of Women (UN Women)


3

United Nations Children’s Fund (UNICEF)

4

United Nations Population Fund (UNFPA)

5

United Nations Office for Project Services (UNOPS)


6

United Nations Office for Disaster Risk Reduction (UNDRR)


7

United Nations Office for the Coordination of Humanitarian Affairs (OCHA)


8

United Nations High Commissioner for Human Rights (OUCHR)


9

Food and Agriculture Organization of the United Nations (FAO)


10

International Organization for Migration (IOM)

11

Pan American Health Organization (PAHO) World Health Organization (WHO)


12

Joint United Nations Programme on HIV/AIDS (UNAIDS)


13

United Nations Development Programme (UNDP)

14

United Nations Environment Programme (UNEP)


15

United Nations Volunteers (UNV)


16

World Food Programme (WFP)


International Red Cross and Red Crescent Movement

17

International Committee of the Red Cross (ICRC)

18

International Federation of Red Cross and Red Crescent Societies (IFRC)


Non-Governmental Organizations

19

Adventist Development & Relief Agency (ADRA)


20

Child Fund International


21

Norwegian Refugee Council (NRC)


22

Hebrew Immigrant Aid Society (HIAS)

23

Plan International


24

RET International

25

Techo International


26

Save the Children


27

World Vision International


Other Organizations

28

Spanish Agency for International Development Cooperation (AECID)


29

DHL – Disaster Response Team


For more information on humanitarian agency contact details, please see the following link: 4.2 Humanitarian Agency Contact List.


1.2 Panama Regulatory Departments and Quality Control

Binding regulatory authorities relavant to humanitarian logistics

  • Civil Aviation Authority: An entity of the State assigned to carry out the general process of supervision in civil aviation matters. It processes overflight and landing permits of aircrafts involved in humanitarian assistance.
  • National Customs Authority: It establishes the control for the entry, transit and departure of goods.

The National Customs Authority does not have a department for regulating goods, a prior control takes place upon presentation of the Customs Declaration.  The control over types of goods is carried out by each relevant body or institution as required by law.  All shipments entering into the national territory must comply with the inspection processes in accordance to the activity, type of goods and transportation mode.

  • General Directorate of Immigration and Naturalization: Ensures that all personnel from international missions and international rescue groups abide and comply with the migratory requirements established by law.
  • Ministry of Agricultural Development (Executive Directorate of Quarantine – DECA, for its initials in Spanish): Ensures that of all quarantine related goods entering the country meets the necessary requirements. Documents crucial for the introduction of phytosanitary and zoosanitary goods consist of the following: cargo manifest; phytosanitary or zoosanitary certificate of origin; and the import license. In the case of search and rescue caninesfor humanitarian  purposes, in addition to the corresponding documentation, a certification must be submitted by the humanitarian entity, indicating the reason of entry.

DECA is responsible for implementing the provisions of the National Directorate of Animal and Plant Health, on matters of external and internal quarantine, and of the internal control for the mobilization of animals and plants, in order to protect the phytosanitary state of the national agricultural patrimony.  In addition, to ensure the adequate application and implementation of phytosanitary and sanitary provisions in force.  

The Executive Directorate of Agricultural Quarantine is created by Law No. 23 of 15 July 1997, under the direct arrangement of the Directorate General of the Ministry of Agricultural Development.  

  • Panamanian Food Safety Authority (AUPSA): Ensures compliance and implementation of food safety laws and regulations as to the introduction of food to the national territory, under strict scientific or technical guidelines.  
  • Ministry of Foreign Affairs: Manages the international humanitarian aid and assistance in disaster-stricken cases.
    • Directorate General for International Agencies and Conferences: It is responsible of guiding and coordinating the participation of Panama at conferences, forums and international agencies. In addition to coordinating with Ministries activities with the agencies and developing the position of the State on the multilateral agenda. It also collaborates and promotes the presence of international organizations through the United Nations Regional Inter-agency Center for Latin America and the Caribbean in Panama, and others.
    • Directorate General for Protocol and Ceremonials of the State: Liaison between the diplomatic missions and the Ministry of Foreign Affairs.  It has within its structure the Department of Privileges and Diplomatic Immunity, responsible for the issuance of humanitarian tax exemption. 
  • Ministry of Health (Directorate of Pharmacy and Drug): Ensures that the introduction of medicines, medical material & and equipment, comply with the requirements of the respective laws.

The main functions of the Directorate National of Pharmacy and Drug in the regulation of medicines and vaccines in Panama are:

  1. Supervise that medications and vaccines meet the quality standards and/or legal technical requirements set forth in current national and international health standards and regulations.
  2. Ensure a lot-by-lot traceability system of Vaccines entering the country.
  3. Ensure the population that Medicines and Vaccines are safe and effective, undertaking quality controls on products and vaccines in accordance to current health provisions.
  4. Establish permanent monitoring and control in the establishments and places of manufacturing and dispensing of Medicines in the Republic of Panama.
  5. Establish permanent monitoring and control of pharmaceutical establishments where Medicines and Vaccines are distributed in the Republic of Panama.
  • National Civil Protection System (SINAPROC): National governing body empowered to tend and respond to emergencies caused by adverse events. For more information, see: Country Response Capacity (Government). 


Quality control laboratories for medicines, vaccines and pharmaceuticals

  • Specialized Institute of Analysis of the University of Panama: Quality control laboratory that performs physiochemical and microbiological testing of pharmaceutical products. Among the pharmaceutical forms analyzed are found tablets, capsules, oral solutions, intravenous solutions, gels, ointments, emulsions, aerosols, injectables, creams, lyophilize. Reference Laboratory in accordance to Law 1, 2001.

To obtain further information about regulatory agencies, consult the following links:

4.1 Government Contact List

4.3 Laboratory and Quality Testing Company Contact List.

 


1.3 Panama Customs Information


Duties and Tax Exemption

For contact information regarding government custom authorities, please follow the link below: 

4.1 Government Contact List

Emergency Response:

Agreements / Conventions Description

Ratified by Country?

(Yes / No)

WCO (World Customs Organization) member

Yes. March 8, 1996

Annex J-5 Revised Kyoto Convention

No

OCHA Model Agreement

 N/A

Tampere Convention (on the Provision of Telecommunication Resources for Disaster Mitigation and Relief Operations)

Yes. March 5, 2003

Regional Agreements (on emergency/disaster response, but also customs unions, regional integration)

Yes,

  • The Caribbean Disaster Emergency Management Agency  (CDEMA)
  • Coordination Center for the Prevention of Disasters in Central America and the Dominican Republic  (CEPREDENAC)
  • Regional Mechanism for Humanitarian Assistance ahead of Disasters of the Central American Integration System- MecReg-SICA
  • Central American Protocol for shipment, transit and reception of humanitarian assistance and international technique in disaster/emergency situations.
  • Central American Procedure for facilitating ground transportation of relief shipments.  Resolution 306-2017 (COMIECO-EX)

Exemption Regular Regime (Non-Emergency Response)

In Panama, the exemption of import tariffs and taxes for humanitarian aid is regulated by Cabinet Decree No. 12 of 29 March 2016- Article 150(a).  

Tax exonerations are granted based on special laws.  These are independent of the harmonized system code applicable to equipment, goods and other items, necessary for the economic activity of the company or the international organization.

Entities allowed to operate in the country during emergencies are international organizations, as well as Panamanian and government entities that can import humanitarian aid and relief items.

The Law that protects the importer determines the recognition to the right to tax exemption. For example: the Office of the First Lady can import goods for humanitarian aid with the exception of vehicles; whilst the International Federation of Red Cross and Red Crescent Societies does benefit of vehicle exemption.

Organizational Requirements to obtain Duty Free Status

United Nations Agencies

  • Must be accredited as an International Organization before the Ministry of Foreign Affairs.
  • Request of exemption for each shipment from the Ministry of Foreign Affairs before the National Customs Authority.
  • Pre-declaration from Customs on behalf of the organization.
  • Bill of Lading of the goods consigned to the United Nations.
  • Necessary requirements in compliance with the nature of the goods on behalf of the Foreseeing Authorities. 

Non Governmental Organizations

  • Accreditation on behalf of the corresponding Foreign Authority. Example: churches, Remar Foundation, both are certified by different foreseeing authorities.
  • Request of exemption from the National Customs Authority.
  • Pre-declaration in name of the NGO.
  • Bill of Lading of the goods consigned in name of the NGO.

Exemption Certificate Application Procedure

Duties and Taxes Exemption Application Procedure

Overview (include a list of necessary documentation)

  •  Accreditation on behalf of the Foreseeing Authority that regulates the activity.  
  • Request of exemption before the National Customs Authority.
  • Pre declaration from Customs
  • Bill of Lading.

Note: These documents are per shipment.

Process to be followed (step by step or flowchart)

 Note: If the organization is not empowered to self-manage its authorization for exemption, it must be submitted by a certified Customs Broker, authorized by the National Customs Authority.

  1. The interested Party or Customs Broker hands out the request to the Technical Management Directorate of the National Customs Authority
  2. The Technical Management Directorate submits the request to the Tax Exemption Department.
  3. Tax Exemption Analysts review the request along the attached documentation covering such.
  4. In case of inconsistencies, the requests returned to Technical Management Directorate to notify the interested party and proceed to rectify.
  5. In case of no inconsistencies, it is submitted to Fiscal Control of the Office of the Comptroller General of the Nation located at the Customs Headquarters.
  6. In case of inconsistencies, it’s returned to Tax Exemptions so they notify the Interested Party to proceed to rectify.
  7. In case of no inconsistencies, it is countersigned and returned to Tax Exemptions.
  8. The Tax Exemption Analyst authorizes and feeds the Customs Pre-declaration to the Computer or IT System.
  9. It is then submitted to the Technical Management.
  10. Technical Management notifies the interested party /Customs Broker.
  11. The interested party / Customs Broker is now able to register from Pre-declaration to Declaration.

Exemption Certificate Document Requirements

Duties and Taxes Exemption Certificate Document Requirements (by commodity)

 

Food

NFI (Shelter, WASH, Education)

Medicines

Vehicle & Spare Parts

Staff & Office Supplies

Telecoms Equipment

Invoice

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

AWB/BL/Other Transport Documents

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Donation/Non-Commercial Certificates

Yes,

1 copy for donations

Yes,

1 copy for donations

Yes,

1 copy for donations

Yes,

1 copy for donations

Yes,

1 copy for donations

Yes,

1 copy for donations

Packing Lists

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Yes,

1 copy

Other Documents

Letters from Ministry of Foreign Affairs, if applicable. Permits required by the Overseeing Authorities, if applicable.

Letters from the Ministry of Foreign Affairs, if applicable. Permits required by the Overseeing Authorities, if applicable

Permits required by the Overseeing Authorities, if applicable.

Letters from the Ministry of Foreign Affairs, if applicable. Permits required by the Overseeing Authorities, if applicable*.

Letters from the Ministry of Foreign Affairs, if applicable. Permits required by the Overseeing Authorities, if applicable.

Letters from the Ministry of Foreign Affairs, if applicable. Permits required by the Overseeing Authorities, if applicable.

Letters from the Ministry of Foreign Affairs, if applicable. Permits required by the Overseeing Authorities, if applicable.

Additional Notes

* Requirements for the admission of regular medicines:

Present the following documentation at the window of the Imports Department, located at Building 253, ground floor of the Ministry of Health in Ancon:

  1. Customs Pre-declaration (issued by Customs Brokers)
  2. Invoice which meets the requirements of information presented in article 68 of law 1 of 10 January 2001 pertinent to medications and other products for human health, and article 16 of executive decree 36 of 17 January 2020. Invoice must contain the following details:
    1. Commercial name or generic of the product
    2. Unit dose
    3. Presentation
    4. Registration number
    5. Lot or batch number
    6. Packaging with lot number and expiration date of the pharmaceutical product
    7. Name of manufacturing company, and diluent manufacturer if applicable
    8. Name of packaging company
    9. Country of origin and manufacturing country
    10. Routes of administration
    11. Drug concentration
    12. Other requirements requested by the overseeing authority.
  3. The Bill of Lading (air waybill, consignment note, maritime bill of lading, as may be the case)
  4. Valid Certificate of Operations by Pharmacy & Drug.
  5. There are additional documents that need be presented if required by the product, such as the duly legalized Diethylene glycol negative certification, import/export permits of controlled substances.


Requirements for the admission of vaccines:

Present the following documentation at the window of the Imports Department, located at Building 253, ground floor of the Ministry of Health in Ancon.

  1. Customs Pre-declaration (issued by Customs Brokers)
  2. Invoice which meets the requirements of article 68 of law 1 of 10 January 2001 pertinent to medications and other products for human health, and article 16 of executive decree 36 of 17 January 2020.
  3. The Bill of Lading (air waybill, consignment note, maritime bill of lading, as may be the case)
  4. Valid Certificate of Operations by Pharmacy & Drug.
  5. Technical documentation (lot release certificate issued by the health authority of the country of origin and duly apostilled certificate of analysis), article 281 of the Executive Decree 95 of 15 May 2019, and article 69 of law 1 of 10 January 2001.
  6. Summary Protocol of Production and Quality Control

Customs Clearance

General Information 

Customs Information

Document Requirements

  • Customs Declaration
  • Invoice
  • Transport Document
  • Licenses / Regulations

Embargoes

None

Prohibited Items

  • Illegal Substances.
  • Weapons of Mass Destruction.
  • Others established by law.

General Restrictions

N/A

Customs Clearance Document Requirements

 

Food

NFI (Shelter, WASH, Education)

Medicines

Vehicles & Spare Parts

Staff & Office Supplies

Telecoms Equipment

D&T Exemption Certificate

No

No

No

No

No

No

Invoice

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

AWB/BL/Other Transport Documents

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Donation/Non-Commercial Certificates

No

No

No

No

No

No

Packing Lists

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Yes, original and 2 copies

Phytosanitary Certificate

Yes, original and 2 copies

Yes, in case required.

No.

Yes, original and 2 copies

Yes, in case required.

No.

Other Documents



Authorization from Pharmacy & Drug (by IT Systems or countersigned in the Declaration)




Additional Notes

N/A

Transit Regime

Internal transits employ the Internal Transit form regulated by Cabinet Decree no. 12 of 29 March 2016. For the international transit of goods, the resolution 386-2017 (COMIECO-EX) was approved, which regulates the Central American procedure for the facilitation of ground transportation of relief shipments during emergencies, in case of regular shipments the COMRIEDRE65-2001 regulation applies.

For export and imports of relief consignments applies articles 554 to 562 of the RECAUCA (urgent shipments).

Means of transportation adequate to carry non-nationalized cargo under the aforementioned form must meet the following conditions:

  • That shutting devices bear the necessary security for authorization;
  • That customs seals can be placed easily, in a simple and efficient manner;
  • That there are no hidden places in which cargo can be concealed;
  • That it does not allow the easy removal or addition of cargo without violating customs seals;
  • That all parts of the transport vehicle which can contain cargo should be readily accessible for customs inspection.

The use of custodians applies each time the means of transport does not meet any of the prior requirements employing costs established through Cabinet Decree no. 12 of 29 March 2016.  

For customs bond Article 110 of the RECAUCA applies. 

Admissions of Pharmaceuticals in transit to Panama

The transit of medicines through Panama is only allowed if the agent of the imports company operates in Panama and Central America, and fills out the paperwork in Panama to nationalize the cargo, to be later dispatched to the different countries of destination..  The invoice must declare that these products are destined for other countries and will not remain in Panama.