G/STR/N/19/CRI   
19 December 2022  
(22-9456) Page: 1/19 
Working Party on  State Trading Enterprises  Original: Spanish  
 
  
STATE TRADING  
NEW AND FULL NOTIFICATION PURSUANT TO ARTICLE XVII:4(A) OF THE GATT 1994  
AND PARAGRAPH 1 OF THE UNDERSTANDING ON THE  
INTERPRETATION OF ARTICLE XVII  
COSTA RICA 
The following communication, dated and received on 9 December 2022, is being circulated at the 
request of the delegation of Costa Rica.  
 
_______________  
 
 
Pursuant to the provisions of Article XVII:4(a) of the GATT 1994 and paragraph 1 of the 
Understanding on the Interpretation of Article XVII, Costa Rica su bmits herewith its notification 
concerning State trading enterprises. The notification covers the Agro -Industrial Sugar Cane League 
(Liga Agrícola Industrial de la Caña de Azúcar , LAICA); the Costa Rican Petroleum Refining Company 
(Refinadora Costarricense  de Petróleo , RECOPE); the Livestock Promotion Corporation ( Corporación 
Ganadera , CORFOGA); the Costa Rican Coffee Institute ( Instituto del Café de Costa Rica , ICAFE); 
the National Rice Growers Corporation ( Corporación Arrocera Nacional , CONARROZ); and the  
National Spirituous Beverages Factory ( Fábrica Nacional de Licores , FANAL).  
  G/STR/N/19/CRI  
 
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  I. LIGA AGRÍCOLA INDUSTRIAL DE LA CAÑA DE AZÚCAR (LAICA)  
1. ENUMERATION OF STATE TRADING ENTERPRISES  
 
The Agro -Industrial Sugar Cane League ( Liga Agrícola  Industrial de la Caña de Azúcar , LAICA) is a 
non-State public entity, with its own legal personality, that is subject to public law in the exercise of 
its legal powers and duties and to private law in the conduct of its marketing and other corporate 
activities. 
 
2. REASON AND PURPOSE FOR ESTABLISHING AND MAINTAINING THE STATE 
TRADING ENTERPRISE  
 
LAICA was created under Law No. 3579 of 4 November 1965. This law was amended by the 
Organic  Law on Sugar Cane Agriculture and the Sugar Industry (Law No. 7818 of 2 S eptember 1998) 
and amendments thereto , with a view to improving LAICA's operational effectiveness and efficiency.  
 
The provisions of Law No. 7818 seek to maintain equitable relations between cane producers and 
sugar mills in order to guarantee each sector a reasonable and fair share, and to organize, in the 
interests of the industry's development and stability, the various factors involved in the production 
of sugar cane and the manufacturing and sale of sugar cane products.  
 
3. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE  
 
LAICA has two divisions: the Corporate Division, governed by public law, and the Marketing Division, 
governed by private law.  
 
The Corporate Division is managed by a Board of Directors made up of eight members, comprising 
the Minister of Agriculture and Livestock, the Minister of the Economy, Industry and Trade, 
three  members appointed by the sugar industry, and three appointed by the cane sector.  
 
The Marketing Division is under the responsibility of the Marketing Board, ma de up of six  members.  
 
The activities under LAICA's responsibility include the marketing of sugar and the by -products of 
sugar cane processing.  
 
Regarding the quality control and marketing of the product, Law No.  7818 of 2  September  1998 and 
its amendment s establish the variables that determine the quality of sugar intended for export, and 
set out LAICA's role in the inspection process, with a view to ensuring the quality of sugar exports 
(Articles 141 -143).  
 
Under Article 9(f), LAICA is responsible for es tablishing and allocating the national sugar production 
quota on an annual basis. This quota is equivalent to the domestic sugar consumption recorded in 
the previous season, multiplied by a fixed factor of 1.5. It is allocated among the mills in proportion  
to the reference quotas. The individual production quotas establish the amount and type of sugar to 
be produced within the national sugar production quota for domestic consumption, export or 
stockpiling.  
 
The export quota is divided among the various expo rt markets in consultation with the industry. If 
it benefits the industry, and subject to the conditions prevailing on the markets, the Board of 
Directors may order that the sugar included in the quota be replaced by alcohol.  
 
Written contracts, duly registered with LAICA, are indispensable for sugar exports. Exports must 
comply with the individual quotas granted for the corresponding sugar crop year.  
 
The Board of Directors determines the periods during which the sugar include d in each mill's export 
quota, destined for preferential markets or markets that are covered by international agreements 
approved by Costa Rica, may be exported.  
 
Before authorizing sugar exports, LAICA must ensure that they are in conformity with the est ablished 
quota system and that they do not violate any international agreements concluded by Costa Rica or G/STR/N/19/CRI  
 
- 3 - 
 
  affect or impede proper compliance with the quotas granted to Costa Rica in the international sugar 
markets.  
 
Exporters are also required to inform L AICA of the real price of the sugar exported, and LAICA has 
the authority to reject any sugar export transactions that involve a sales price lower than the 
prevailing international market prices.  
 
In addition to registering their contracts, exporters must also ensure they are entered in the register 
kept by LAICA for that purpose, and to that end must provide general data concerning the natural 
or legal person in question.  
 
4. STATISTICS  
 
Statistical information is attached in Annex I.  
 
5. REASON WHY NO FOREIGN T RADE HAS TAKEN PLACE  
 
There has been foreign trade, as shown in the statistical information.  
 
  
  G/STR/N/19/CRI  
 
- 4 - ANNEX I: LIGA AGRÍCOLA INDUSTRIA DE LA CAÑA DE AZÚCAR (LAICA)  
TABLE I.1  
STATE TRADING:  STATISTICAL INFORMATION, IMPORTS  
LAICA does not import ; it only reported imports in 2017 (190.4 tonnes) and 2018 (200 tonnes) under the preferential quota for non -originating sugar 
under the Costa Rica -Canada free trade agreement.  
 
TABLE I.2  
 
STATE TRADING: STATISTICAL INFORMATION, EXPORTS  
 
Description 
of product(s)  Year*  Total quantity 
exported*  
(50 kg sacks)  Quantity exported 
by State trading 
enterprise (50  kg 
sacks)  Average 
procurement 
price (CRC per 
50 kg sack)  Average 
representative 
domest ic sales price 
(CRC per 50 kg sack)  Average export 
price  
(USD per 50 kg 
sack)  National 
production** 
(50 kg 
sacks)  
Sugar  2017-2018 4,167,164.84  4,167,164.84  15,201.38  22,305.07  22.67  8,341,283.44  
17.01  2018-2019 4,047,299.84  4,047,299.84  14,935.22  22,487.32  18.73  8,559,911.24  
 2019-2020 4,006,916.75  4,006,916.75  14,752.96  22,696.69  18.73  8,534,552.51  
 2020-2021 4,239,326.33  4,239,326.33  14,658.15  22,314.26  20.45  8,239,999.52  
Source:  LAICA.  
* The sugar cane crop year runs from 1 October to 30  September.  
** Does not include the production/exports of sugar companies with a low level of production in relation to the national total ( LAICA represents over 95%).  
  
  G/STR/N/19/CRI  
 
- 5 - TABLE I.3  
 
STATE TRADING: STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
Description of product(s)  Year*  Domestic purchases by 
State trading enterprise  
(50 kg sacks)  National 
production**  
(50 kg sacks)  Domestic sales by 
State trading 
enterprise  
(50 kg sacks)  National 
consumption** 
(50 kg sacks)  
Sugar  2017-2018 8,341,283  8,341,283  4,188,254  4,188,254  
17.01  2018-2019 8,559,911  8,559,911  4,129,740  4,129,740  
 2019-2020 8,534,553  8,534,553  3,947,333  3,947,333  
 2020-2021 8,240,000  8,240,000  3,857,815  3,857,815  
Source:  LAICA.  
* The sugar cane crop year runs from 1  October to 30  September.  
** Does not include the production/consumption of sugar companies with a low level of production in relation to the national tot al (LAICA represents over 95%).   G/STR/N/19/CRI  
 
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  II.REFINADORA COSTARRICENSE DE PETRÓLEO (RECOPE)  
1. ENUMERATION OF STATE TRADING ENTERPRISES  
 
The Costa Rican Petroleum Refining Company ( Refinadora Costarricense de Petróleo  S.A., RECOPE) 
has a legal monopoly on the importation, refining and wholesale distri bution of crude oil, fuels derived 
from oil, asphalt and naphtha. RECOPE is a State trading enterprise which was established as a joint 
stock company. All of its shares are held by the State. It is a legal person regulated, as far as its 
commercial activit ies are concerned, by private law.  
 
2. REASON AND PURPOSE FOR ESTABLISHING AND MAINTAINING THE STATE TRADING 
ENTERPRISE  
 
RECOPE has the exclusive right to manage the State monopoly on the importation, refining and 
wholesale distribution of crude oil and its by-products  in order to satisfy domestic demand. This right 
is derived from Law No.  5508 of 8  April 1974 and Law No. 7356 of 24  August  1993 (ratification of 
the above -mentioned State monopoly administered by RECOPE).  
 
The importation and marketing of fuels is a strategic national interest. State intervention guarantees 
effective control over fuel price policies; fuel prices in turn have a powerful impact on the stability of 
the prices of a wide range of other goods and services, hence even a slight increase in fuel prices is 
enough to appreciably affect inflation. It follows that, through the intermediary of RECOPE, the State 
performs an important social function, namely to maintain macroeconomic stability. Likewise, 
RECOPE must take proper account of the nee ds relating to the country's energy programme.  
 
3. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE  
 
The monopoly held by RECOPE consists firstly of the exclusive right to import and refine all crude oil 
and oil by -products, and secondly of excl usive wholesale fuel distribution rights. In this connection, 
and in accordance with Executive Decree No. 24943 -MINAE of 13  January 1996, wholesale sales are 
defined, for the purposes of establishing the distribution monopoly, in terms of the following 
minimum volumes:  
 
Products  Minimum sales  
volume  
(litres)  
Regular gasoline  1,900  
Premium gasoline  1,900  
Diesel  1,900  
Kerosene  1,900  
Bunker oil  1,900  
Heavy diesel  1,900  
Asphalt  1,900  
Asphaltic emulsion  1,900  
Liquefied Petroleum  Gas 
 (LPG) 757 
Aviation Gasoline (AvGas)  1,900  
Jet fuel  1,900  
Heavy naphtha  1,900  
Light naphtha  1,900  
IFO-380 25,000  
IFO-180 25,000  
 
Article 4 of the Regulation under Law No. 6588 (law regulating the activity, objectives and other 
aspects of RECOPE), provides that RECOPE may sell oil and oil derivatives abroad, provided that 
domestic market requirements are guaranteed. In addition to th e above, it should be pointed out 
that, with regard to hydrocarbon exploration and production (national oilfields), Article 36 of the 
Hydrocarbons Law provides that such production shall be used as a matter of priority to cover 
domestic requirements and th e national reserve. These requirements are determined by the 
Executive, through the Ministry of Natural Resources, Energy and Mining, and every contractor is 
obliged to sell to the State the amount of output required to satisfy domestic market needs. 
Accor dingly, and in view of the monopoly managed by RECOPE, the output of national oilfields must 
be sold to RECOPE on a priority basis.  G/STR/N/19/CRI  
 
- 7 - 
 
   
Furthermore, Article 6 of Law No. 6588 of 30 June 1981 provides that RECOPE may participate 
individually or jointly in tend ering procedures organized by the Directorate -General of Hydrocarbons 
for the exploration and production of hydrocarbons, in accordance with the provisions of the 
Hydrocarbons Law.  
 
RECOPE imports, processes and markets all the crude oil and oil by -product s consumed domestically 
in Costa Rica and exported (the country does not produce oil). On the basis of its yearly demand 
estimates, RECOPE buys crude oil and finished products on the international market. Import 
quantities are determined on the basis of lo cal demand and the refining and storage capacity of 
RECOPE plants. Export levels are set principally in the light of storage capacity and the size of 
shipments.  
 
With regard to import prices and resale prices for imported products, RECOPE purchases crude o il 
and oil by -products on the international market on the basis of strict market criteria. These are 
determined by reference to international market prices in the United States Gulf Coast. RECOPE 
issues supply contracts for crude oil and fuel through inter national competitions; these have a one 
year limit and prices are negotiated each year in the light of price fluctuations on the international 
oil market.  
 
Article 4 of Law No. 5508 provides that, given RECOPE's status as a public enterprise (carrying  with 
it certain general prerogatives and privileges which it enjoys exclusively or  in conjunction with all 
other public entities) the Ministry of Finance is authorized, on the State's behalf and under 
its responsibility, to give RECOPE the guarantee(s) it need s to obtain financing for its working capital, 
provided that the total amount does not exceed USD 5,000,000.00 (five  million US dollars). To this 
end, approval must be obtained from the Central Bank of Costa Rica and loans must be negotiated 
with leading b anks and institutions.  
 
Lastly, RECOPE  has an obligation, which also takes the form of a right, to engage in an activity 
related to its principal, statutory and routine corporate activity when situations arise requiring the 
efficient and effective supply of fuels in the national interest. This  obligation and right is derived 
directly from Article  5.1 of Law No.  5508, which in turn comes within the framework of the public 
objectives assigned to RECOPE. For example, RECOPE would be required to engage in wholesale 
distribution activity when there is a need for an effective supply at that level and development of the 
activity is affected by serious or unexpected problems.  
 
RECOPE calculates fuel prices on the basis of the principle of service at cost, pursuant to Article 3(b) 
of Law No. 7593 (Public  Services Act); these must be approved by the Public Services Regulatory 
Authority (ARESEP), in accordance with Laws No. 6588 and No. 7593. Export sales prices are set by 
RECOPE on the basis of prescribed formulae which take both local prices and prices on  other markets 
into consideration; these are not controlled by the ARESEP.  
 
In conclusion, as regards market structure, RECOPE , as mentioned earlier , has a monopoly on the 
importation and domestic distribution of petroleum products given that it was grante d exclusive 
statutory powers to these ends. The situation is different with regard to exports, since  any natural 
or legal person who buys products from RECOPE can resell them for export to another country. 
However, this type of transaction is not at all co mmon.  
 
4. STATISTICS  
 
Statistical information is attached in Annex II.  
 
5. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE  
 
There has been foreign trade, as shown in the statistical information.  
 
  
  G/STR/N/19/CRI  
 
- 8 - ANNEX II: REFINADORA COSTARRICENSE DE PETRÓLEO (RECOPE)  
 
TABLE II.1A  
 
STATE TRADING: STATISTICAL INFORMATION, IMPORTS  
2020 
 
Description of product(s)  
(including HS number(s))  Total quantity 
imported 
(m³)  Quantity imported 
by State trading 
enterprise (m³)  Average import 
price  
(USD/m³)  Average 
representative 
domestic sales price  
(CRC/litre)  Mark -up 
(CRC/litre)  National 
production  
(m³)  
Asphalt AC -30 
(27.13.20.00.00.00)  75,141  75,141  318.4  222.76  36.10  Not 
applicable  
AvGas  
(27.10.12.20.00.00)  1,225  1,225  787.73  811.41  349.60  Not 
applicable  
Bunker oil (3% sulphur)  
(27.10.19.22.00.00)  92,985  92,985  253.67  161.43  12.72  Not 
applicable  
Diesel (15 ppm sulphur)  
(27.10.19.21.00.90)  1,057,394  1,057,394  331.57  393.99  199.61  Not 
applicable  
Slow-setting asphaltic emulsion  
(27.15.00.00.00.12)*  204 204 667.41  164.35  Not applicable*  2,665  
Fast-setting asphaltic emulsion  
(27.15.00.00.00.12)*  500 500 695.49  155.78  Not applicable*  15,674  
Gasoline  
(27.10.19.21.00.10)  0 0 Not applicable  247.15  Not applicable  7,128  
91 RON gasoline  
(27.10.12.30.00.21)  507,906  507,906  308.68  499.48  318.52  Not 
applicable  
95 RON gasoline  
(27.10.12.30.00.22)  511,240  511,240  324.19  528.95  338.89  Not 
applicable  
Liquefied petroleum gas  
(27.11.12.00.00.10)  325,455  325,455  174.13  131.28  29.20  Not 
applicable  
Jet fuel  
(27.10.12.90.00.11)  148,014  148,014  377.93  320.02  98.46  Not 
applicable  
Ethyl mercaptan  
(29.30.90.99.00.99)  5 5 8987.58  Product unavailable 
for marketing  Not applicable  Not 
applicable  
*Imported on a one -off basis due to an issue with domestic production.  
   
  G/STR/N/19/CRI  
 
- 9 - TABLE II.1B  
STATE TRADING: STATISTICAL INFORMATION, IMPORTS  
 
2021 
 
Description of product(s) (including 
HS number(s))  Total quantity 
imported (m³)  Quantity imported by 
State trading 
enterprise  
(m³)  Average import 
price  
(USD/m³)  Average 
representative 
domestic sales price  
(CRC/litre)  Mark -up National 
production  
(m³)  
Asphalt AC -30 
(27.13.20.00.00.00)  72,863  72,863  434.49  313.67  43.26  Not applicable  
AvGas  
(27.10.12.20.00.00)  1,373  1,373  1024.69  962.82  325.09  Not applicable  
Bunker oil (3% sulphur)  
(27.10.19.22.00.00)  107,880  107,880  409.88  274.36  19.27  Not applicable  
Diesel (15 ppm sulphur)  
(27.10.19.21.00.90)  1,237,630  1,237,630  494.97  497.01  188.96  Not applicable  
Slow-setting asphaltic emulsion  
(27.15.00.00.00.12)*  0 0 Not applicable  215.26  Not applicable  1,194  
Fast-setting asphaltic emulsion  
(27.15.00.00.00.12)*  0 0 Not applicable  219.16  Not applicable  15,522  
Gasoline  
(27.10.19.21.00.10)  0 0 Not applicable  348.11  Not applicable  6,862  
91 RON gasoline  
(27.10.12.30.00.21)  652,264  652,264  512.61  606.52  287.49  Not applicable  
95 RON gasoline  
(27.10.12.30.00.22)  656,839  656,839  507.56  631.49  315.60  Not applicable  
Liquefied petroleum gas  
(27.11.12.00.00.10)  372,880  372,880  320.51  239.58  40.11  Not applicable  
Jet fuel  
(27.10.12.90.00.11)  223,752  223,752  510.55  396.54  78.79  Not applicable  
Ethyl mercaptan  
(29.30.90.99.00.99)  11.0 11 11,403.18  Product unavailable 
for marketing  Not applicable  Not applicable  
Methyl tertiary -butyl ether (MTBE)  
(29.09.19.00.00.00)  6,868  6,868  523.63  Product unavailable 
for marketing  Not applicable  Not applicable  
   
  G/STR/N/19/CRI  
 
- 10 - TABLE II.2  
 
STATE TRADING: STATISTICAL INFORMATION, EXPORTS  
 
RECOPE DID NOT EXPORT DURING THE PERIOD IN QUESTION.  
 
TABLE II.3A  
 
STATE TRADING: STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
2020 
 
Description of product(s) (including HS 
number(s))  Domestic purchases by 
State trading enterprise 
(m³)* National 
production 
(*) Domestic sales by State trading 
enterprise (m³)  National 
consumption (m³)  
Asphalt AC -30 
(27.13.20.00.00.00)  0 0 74,105  74,105  
AvGas  
(27.10.12.20.00.00)  0 0 1,102  1,102  
Bunker oil (3% sulphur)  
(27.10.19.22.00.00)  0 0 89,192  89,192  
Diesel (15 ppm sulphur)  
(27.10.19.21.00.90)  0 0 1,069,507  1,069,507  
Slow-setting asphaltic emulsion  
(27.15.00.00.00.12)  0 2,869  2,869  2,869  
Fast-setting asphaltic emulsion  
(27.15.00.00.00.12)  0 15,970  16,174  16,174  
Gasoline  
(27.10.19.21.00.10)  0 2,369  7,128  7,128  
91 RON gasoline  
(27.10.12.30.00.21)  0 0 536,930  536,930  
95 RON gasoline  
(27.10.12.30.00.22)  0 0 544,618  544,618  
Liquefied petroleum gas  
(27.11.12.00.00.10)  0 0 328,826  328,826  
Jet fuel  
(27.10.12.90.00.11)  0 0 128,522  128,522  
Kerosene  
(27.10.19.11.00.00)  0 0 4,327  4,327  
(*) Not applicable. The product is not produced nationally and is therefore imported in its entirety.  
   
  G/STR/N/19/CRI  
 
- 11 - TABLE II.3B  
 
STATE TRADING: STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
2021 
Description of product(s) (including HS 
number(s))  Domestic purchases by 
State trading 
enterprise  
(m³)*  National 
production (*)  Domestic sales by State 
trading enterprise (m³)  National 
consumption (m³)  
Asphalt AC -30 
(27.13.20.00.00.00)  0 0 64,020  64,020  
AvGas  
(27.10.12.20.00.00)  0 0 1,443  1,443  
Bunker oil (3% sulphur)  
(27.10.19.22.00.00)  0 0 100,708  100,708  
Diesel (15 ppm sulphur)  
(27.10.19.21.00.90)  0 0 1,200,791  1,200,791  
Slow-setting asphaltic emulsion  
(27.15.00.00.00.12)  0 1,194  1,194  1,194  
Fast-setting asphaltic emulsion  
(27.15.00.00.00.12)  0 15,522  15,522  15,522  
Gasoline  
(27.10.19.21.00.10)  0 6,862  6,862  6,862  
91 RON gasoline  
(27.10.12.30.00.21)  0 0 635,704  635,704  
95 RON gasoline  
(27.10.12.30.00.22)  0 0 623,930  623,930  
Liquefied petroleum gas  
(27.11.12.00.00.10)  0 0 371,336  371,336  
Jet fuel  
(27.10.12.90.00.11)  0 0 218,746  218,746  
Kerosene  
(27.10.19.11.00.00)  0 0 4,663  4,663  
(*) Not applicable. The product is not produced nationally and is therefore imported in its entirety.  G/STR/N/19/CRI  
 
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III. CORPORACIÓN GANADERA (CORFOGA)  
 
1. ENUMERATION OF STATE TRADING ENTERPRISES  
 
The Livestock Promotion Corporation ( Corporación Ganadera , CORFOGA), a non -State public law 
entity with its own legal personality and assets, was created under Law No. 7837 of 5 October 1998 
to promote livestock production.  
 
CORFOGA does not perform marketing functions, or export or import b ovine meat, although it does 
receive revenue generated by a mandatory payment that is required for each animal slaughtered for 
domestic consumption, and for imports of bovine meat and exports of live cattle. The information 
concerning CORFOGA is therefore being submitted for transparency purposes and without prejudice 
to Costa Rica's legal position in respect of whether or not the enterprise is in compliance with Article 
XVII:4(a) of the GATT 1994. For the purposes of this notification, bovine meat shall be  understood 
to mean the following:  
 
Products  Tariff 
classification  
Live cattle  0102.2  
Meat of bovine animals, fresh or chilled  0201 
Meat of bovine animals, frozen  0202 
 
2. REASON AND PURPOSE FOR ESTABLISHING AND MAINTAINING THE STATE TRADING 
ENTERPRISE  
 
The existence, maintenance and promotion of bovine livestock, in particular that of small and 
medium -sized producers dedicated to this activity, is of public interest. Accordingly, the Corporation 
seeks to promote sustainable cattle -farming, th e development and modernization of this activity, 
and increased productivity. The law also seeks to promote and support the technological and 
entrepreneurial restructuring of the livestock sector and the various segments of the agro -industrial 
meat chain; to draw up and implement plans, programmes and projects for both the promotion of 
sustainable livestock farming, and the generation and application of appropriate technology for 
producer groups.  
 
CORFOGA's other aims include to monitor compliance with nati onal and international agreements, 
treaties, conventions and negotiated outcomes that directly or indirectly affect livestock farming, and 
to ensure that the country is adequately self -sufficient in terms of bovine meat.  
 
3. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE  
 
CORFOGA enjoys an exclusive or special right or privilege in participating in the administration of the 
"settlement system", which involves the collection of a tax for each animal slaughtered for domestic 
consumption or export ; for each live bovine animal exported; or for imported bovine meat. This 
money is paid to CORFOGA, which uses the funds for internal administration purposes. The money 
is not distributed among producers, but used for the Corporation's activities.  
 
CORFOGA , in collaboration with the Ministry of Agriculture and Livestock, participates in the 
preparation and implementation of plans, programmes and projects to promote bovine livestock. In 
this respect it:  
 
• Generates, compiles, processes, analyses and dissemina tes statistical information;  
• Prepares the technical and economic studies needed to improve the analysis and monitoring 
of livestock -farming activity;  
• Participates in the preparation, defining and implementation of livestock -farming policies that 
promote su stainable production;  
• Protects the genetic heritage of bovine livestock; and  
• Fosters and supports livestock farming, through agreements, loans or donations.  
 G/STR/N/19/CRI  
 
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  4. STATISTICS  
 
Not applicable, as CORFOGA  does not market, export or import bovine meat.  
 
5. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE  
 
CORFOGA does not participate in the marketing of bovine meat or livestock.  
 
  G/STR/N/19/CRI  
 
- 14 - 
 
  IV. INSTITUTO DEL CAFÉ DE COSTA RICA (ICAFE)  
 
1. ENUMERATION OF STATE TRADING ENTERPRIS ES 
 
The Costa Rican Coffee Institute ( Instituto del Café de Costa Rica , ICAFE) is a non -State public entity 
governed by the provisions of Law No.  2762 of 1961 ("Law on Relations between Coffee Producers, 
Processors and Exporters").   
 
ICAFE  exercises regulatory authority over the following products:  
 
Product  Tariff 
classification  
Green coffee (café oro)  0901.1130  
 
2. REASON AND PURPOSE FOR ESTABLISHING AND MAINTAINING THE STATE TRADING 
ENTERPRISE  
 
ICAFE's  objective is to ensure equitable relations among coffee producers, processors and exporters, 
with a view to guaranteeing each sector's rational and effective participation in the coffee industry.  
 
3. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERP RISE  
 
ICAFE exercises regulatory authority over the coffee sector. The National Coffee Congress is ICAFE's 
highest governing and administrative body. The Institute has a Board of Directors made up of nine 
members: five regular members representing the prod uction sector; one regular member from the 
processing sector; one regular member from the export sector; one regular member from the 
roasting sector; and the Minister of Agriculture and Livestock or a representative of the Executive of 
an equal or higher r anking, appointed by the Government Council.  
 
ICAFE's Board of Directors is authorized to appoint work committees. Furthermore, pursuant to 
Article 103(h) of Executive Decree No.  28018, the Chair of the Board of Directors has the power to 
appoint the commi ttees that they believe are needed to study and implement institutional policies.  
 
ICAFE's functions include the following:  
 
• Buying and selling coffee in the country and abroad (although it does not exercise this right 
in practice) ; 
• Regulating certain aspects of transactions between individuals, for example:  
 
(i) Authorizing individual export transactions (ICAFE most notably controls the price and 
quality of exported coffee) ; 
(ii) In the event of a dispute between the buyer and the seller, determining ma terial 
impossibility on the grounds of force majeure  or unforeseen circumstances; and  
(iii) Authorizing the purchasing of coffee through channels other than direct purchasing 
through the National Consumption Coffee Exchange  
 
• Officially accrediting entities that participate in the coffee sector, such as regional chambers, 
syndicates and unions ; 
• Managing registers of producers, processors, exporters, roasters and manufacturers that 
engage in the further processing of coffee and its by -products ; 
• Promoting Costa Rican coffee on the domestic market and on international markets ; 
• Providing coffee producers in areas where there are no processing plants, either directly or 
through other official entities, with the material facilities to process and market their product s 
• Financing transactions for producers ; 
• Researching and developing agricultural and industrial technology relevant to coffee 
production and processing . 
Individuals may export coffee once ICAFE has approved the respective contract. The aim of such 
approval is to guarantee the quality and price of the exported product. Individuals may import freely 
without any need for prior authorization.  
 G/STR/N/19/CRI  
 
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  4. STATISTICS  
 
Not applicable, as ICAFE  does not market, export or import coffee.  
 
5. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE  
 
ICAFE is authorized to participate in international trade, but, in practice, does not engage in any 
commercial activity.  
 
 
  G/STR/N/19/CRI  
 
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  V. CORPORACIÓN ARROCERA  NACIONAL (CONARROZ)  
 
1. ENUMERATION OF STATE TRADING ENTERPRISES  
 
The National Rice Growers Corporation ( Corporación Arrocera Nacional , CONARROZ) is a non -State 
public entity created under Law No. 8285 of 30 May 2002.  
 
 CONARROZ  markets the following products:  
 
Tariff  
heading  Description  
1006 Rice  
1006.10  Rice in the husk (paddy or rough)  
1006.10.90  Other  
 
2. REASON AND PURPOSE FOR ESTABLISHING AND MAINTAINING THE STATE TRADING 
ENTERPRISE  
 
Rice is one of the most widely consumed food products in Costa Rica. CONARROZ was therefore 
created to promote all aspects of the rice sector, including agricultural production, agro -industrial 
processing, domestic trade, and exports and imports.  
 
CONARROZ is responsible for regulating relations between agricultural producers and processors in 
such a way as to ensure the rational, fair and orderly participation of farmers and processors in the 
production, agro -industrial processing, domestic trading , and export and import of rice and its by -
products.  
 
CONARROZ is authorized by law to assist the Ministry of Agriculture and Livestock (MAG), the 
National Production Council (CNP) and the Ministry of the Economy, Industry and Trade (MEIC) in 
the process o f importing and exporting rice in the husk with a view to preventing supply shortages 
on the domestic market and ensuring food security.  
 
3. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE  
 
CONARROZ is a non -State public law entity, with its ow n assets, and operational and administrative 
autonomy. Its legal representatives, at both the judicial and extrajudicial level, are the Executive 
Director and the Chairman of the Board of Directors.  
 
Pursuant to Law No.  8285 and its implementing regulation s (Executive Decree No.  32968 -MAG), 
CONARROZ is responsible for compiling and updating statistical information on the rice sector related 
to sowing, production, inventories of rice in the husk and pounded rice stored in processing 
establishments, exports, imports, production costs, and any other type of information that is vital 
for ensuring adequate domestic market supply.  
 
Each month, processors are required to submit sworn declarations to CONARROZ  detailing their 
purchases of domestically harvested rice, their sales and the value of these sales, and their rice 
stocks.  
 
Producers and processors are required to pay a contribution amounting to 1.5% of the price of the 
clean and dry in -the-husk or poun ded rice that is delivered. Of this contribution, 0.75% must be paid 
by the producer and 0.75% by the processor, within eight working days from when the rice is 
received. This amount, paid to CONARROZ, enables the entity to meet its operating costs, streng then 
producer and processor organizations, and finance research, outreach, technological innovation and 
training projects in accordance with each region's contribution to domestic rice production.  
 
CONARROZ has a permanent information and research system, and conducts technical studies that 
make it possible to ascertain in advance where overproduction or production shortfalls will occur. 
The results of these studies must be notified to the MAG or the MEIC with a view to the determination 
of supply requireme nts and the opening of a quota.  
 
Rice in the husk imported due to rice shortages is distributed among processors by CONARROZ on 
the basis of the amounts of domestically produced rice purchased during the previous rice year.  G/STR/N/19/CRI  
 
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When importing clean, dry in -the-husk or pounded rice, a contribution amounting to 1.5% of the 
price must be paid to CONARROZ. The document confirming this payment must be shown in order 
to bring the goods into the country.  
 
4. STATISTICS  
 
CONARROZ has the legal authority to import quotas to cover supply shortfalls. In 2020, Decrees No. 
41945 MAG -MEIC-COMEX, No. 42226 MAG -MEIC-COMEX and No. 42320 MAG -MEIC-COMEX 
authorized the importation, due to shortages, of a volume of 89,674 tonnes to be imported between 
27 August 2019 and 31 December 20 20. 
 
For 2021, Executive Decrees No. 42765 MAG -MEIC-COMEX and No. 43160 MAG -MEIC-COMEX 
authorized the importation, due to shortages, of 68,655 metric tonnes to be imported between 24 
December 2020 and 31 December 2021.  
 
5. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE  
 
CONARROZ did not export rice, nor did it participate in the marketing of rice at the domestic level.G/STR/N/19/CRI  
 
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  VI. FABRICA NACIONAL DE LICORES (FANAL)  
 
1. ENUMERATION OF STATE TRADING ENTERPRISES  
 
The National Spirituous Beverages Factory ( Fábrica Nacional de Licores , FANAL) is a State institution 
established as a division of the National Production Council (CNP ) and, as such, governed by the 
directives issued by the CNP's Board of Directors. Its overall regime and the requirements of its 
operations mean that it functions as an industrial and trading enterprise.  
 
It has a Board of Directors (highest body) and a G eneral Administration that operates as the 
managing body.  
 
2. REASON AND PURPOSE FOR ESTABLISHING AND MAINTAINING THE STATE 
TRADING ENTERPRISE  
 
Executive Decree No. 99 of 2 September 1850 provided that the State would hold a monopoly over 
the distillation of ethyl alcohol and production of alcoholic beverages for domestic consumption.  
 
Subsequently, in 1853, the National Spirituous Beverages Factory (today known as FANAL) was 
created with a view to developing the cane industry and preventing  the population fro m consuming 
harmful spirits with a high level of impurities and toxic elements, which were marketed illegally and 
posed a public health risk.  
 
3. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE  
 
FANAL produces top -quality alcohol, which is then  used for industrial, medicinal and domestic 
purposes and as a raw material in the manufacture of spirits. It is also responsible for the marketing 
under the Cacique brand (1980) of guaro, which is a high -purity spirit made from sugar cane, as well 
as othe r alcoholic beverages. FANAL produces and uses high -purity certified ethyl alcohol in its 
beverages, which guarantees both the quality and legitimacy of the product.  
 
Article 443 of Law No. 8 grants FANAL the exclusive right to market ethyl alcohol produce d in Costa 
Rica for the manufacture of alcoholic beverages. FANAL does not regulate the alcohol production 
sector, establish technical standards or determine production limits for alcoholic beverages. It is not 
involved in imports or exports, although it i s permitted to import and export. FANAL may also grant 
licences to private companies for the manufacture of alcoholic beverages that use ethyl alcohol 
produced in Costa Rica. As regards the marketing of ethyl alcohol, the original producer of the alcohol 
– or any other company – may export it. Moreover, any company may freely import and market 
ethyl alcohol.  
 
4. STATISTICS  
 
Statistical information is attached in Annex III.  
 
5. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE  
 
The enterprise does not import or export ethyl alcohol or spirits.G/STR/N/19/CRI  
 
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  ANNEX III: FABRICA NACIONAL DE LICORES (FANAL)  
TABLE VI.1  
STATE TRADING:  STATISTICAL INFORMATION, IMPORTS  
THE ENTERPRISE DOES NOT IMPORT ETHYL ALCOHOL (HS 22.07) OR SPIRITS (HS 22.08)  
TABLE VI. 2 
STATE TRADING: STATISTICAL INFORMATION, EXPORTS  
THE ENTERPRISE DOES NOT EXPORT ETHYL ALCOHOL (HS 22.07) OR SPIRITS (HS 22.08)  
TABLE VI.3  
STATE TRADING: STATISTICAL INFORMATION, DOMESTIC ACTIVITIES  
 
Year Spirits (litres)  Alcohols (litres)  
Production  Domestic sales1/ Production2/ Domestic sales2/ 
2010 3,913,675.0  2,946,469.3  1,876,371.0  3,339,551.0  
2011 4,898,013.0  5,298,854.3  1,973,004.0  3,401,295.0  
2012 5,243,311.8  4,454,022.0  2,063,165.0  3,608,440.0  
2013 4,695,512.2  4,814,999.8  2,091,725.0  3,727,655.0  
2014 5,442,588.2  4,716,597.4  1,807,587.0  3,878,217.0  
2015 4,351,269.6  4,852,469.8  1,980,667.0  4,251,880.0  
2016 4,994,086.5  4,335,492.5  2,193,580.0  4,688,478.4  
2017 4,790,322.0  4,889,553.7  2,668,352.0  4,650,773.8  
2018 4,389,023.5  4,984,512.9  2,202,583.0  4,854,843.6  
Source: FANAL.  
1/ Includes sales made in the Golfito Free Trade Warehouse.  
2/ Only includes bulk alcohol.  
 
__________