WT/REG376/1  
10 April 2018 
(18-2154) Page: 1/59 
Committee on Regional Trade Agreements   
 
FACTUAL PRESENTATION  
FREE TRADE AGREEMENT  BETWEEN COSTA RICA  AND COLOMBIA  
(GOODS AND SERVICES ) 
Report by the Secretariat  
This report, prepared for the consideration of the Free Trade Agreement  between 
Costa Rica  and Colombia , has been drawn up by the WTO Secretariat on its own 
responsibility and in full consultation with the Parties. The factual presentation 
reproduces as closely as possible the terminology used in the Agreement and in the 
comments provided and does not imply o fficial endorsement or acceptance by the 
Secretariat of such terminology. The report has been drawn up in accordance with the 
rules and procedures contained in the Decision for a Transparency Mechanism for 
Regional Trade Agreements (WT/L/671) and thus does  not imply any value judgement 
by the Secretariat regarding the contents of the Agreement.  
Any technical questions arising from this report may be addressed to Ana Cristina 
Molina (tel: +41 22 739 6060 ). Any statistical questions arising from this report m ay 
be addressed to  Thakur Parajuli (tel: +41 22 739 5473) . 
 
 
  WT/REG376/1  
 
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  TABLE O F CONTENTS  
Page 
1   TRADE ENVIRONMENT  ................................ ................................ ................................ . 5 
1.1   Merchandise trade  ................................ ................................ ................................ ....... 5 
1.2   Trade in services and investment  ................................ ................................ ..................  7 
2   CHARACTERISTIC ELEME NTS OF THE AGREEMENT  ................................ ....................  10 
2.1   Background Information  ................................ ................................ .............................. 10 
3   PROVISIONS ON TRADE IN GOODS  ................................ ................................ ...........  11 
3.1   Import duties and charges, and quantitative restrictions ................................ .................. 11 
3.1.1    General provisions  ................................ ................................ ................................ ...11 
3.1.2    Liberalization of trade and tariff lines  ................................ ................................ ......... 12 
3.1.3    Liberalization schedule  ................................ ................................ ............................. 13 
3.1.3.1    Costa Rica  ................................ ................................ ................................ ............ 13 
3.1.3.2    Colombia  ................................ ................................ ................................ ............. 15 
3.1.4    Tariff-rate quotas  ................................ ................................ ................................ .....17 
3.1.5    Price-band system  ................................ ................................ ................................ ...18 
3.2   Rules of origin  ................................ ................................ ................................ ............ 20 
3.2.1   Requirements for the determination of origin  ................................ .............................. 20 
3.2.2    Cumulation  ................................ ................................ ................................ ............. 20 
3.2.3    De minimis  rule ................................ ................................ ................................ .......20 
3.2.4    Other factors affecting the originating status of a good  ................................ ................. 21 
3.2.5    Administration of the rules of origin  ................................ ................................ ........... 21 
3.3   Export duties and charges, and quantitative restrictions  ................................ .................. 21 
3.4   Regulatory provisions on trade in goods  ................................ ................................ ........ 22 
3.4.1    Standards  ................................ ................................ ................................ ............... 22 
3.4.1.1    Sanitary and phytosanitary measures  ................................ ................................ ......22 
3.4.1.2    Technical barriers to trade  ................................ ................................ ..................... 22 
3.4.2    Safeguard mechanisms  ................................ ................................ ............................ 23 
3.4.2.1    Global safeguards  ................................ ................................ ................................ .23 
3.4.2.2    Bilateral safeguards  ................................ ................................ ............................... 23 
3.4.2.3    Safeguards related to the balance of payments  ................................ ......................... 24 
3.4.2.4    Special safeguards  ................................ ................................ ................................ 24 
3.4.3    Anti-dumping and countervailing measures  ................................ ................................ .24 
3.4.4    Subsidies and State -aid ................................ ................................ ............................ 24 
3.4.5    Customs -related procedures ................................ ................................ ...................... 24 
3.5   Sector -specific provisions on trade in goods  ................................ ................................ ...25 
4   PROVISIONS ON TRADE IN SERVICES  ................................ ................................ ....... 25 
4.1   Scope and definitions  ................................ ................................ ................................ ..25 
4.2   Denial of benefits  ................................ ................................ ................................ .......26 
4.3   General provisions on trade in services  ................................ ................................ ......... 26 
4.3.1    Market access  ................................ ................................ ................................ ......... 27 WT/REG376/1  
 
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  4.3.2    National treatment and MFN  ................................ ................................ ...................... 27 
4.3.3    Commercial presence  ................................ ................................ ............................... 27 
4.3.4    Movement of natural persons  ................................ ................................ .................... 27 
4.3.5    Performance requirements  ................................ ................................ ........................ 28 
4.3.6    Senior Management and boards of directors  ................................ ................................ 29 
4.3.7    Other investment -related provisions ................................ ................................ ........... 29 
4.4   Liberalization commitments  ................................ ................................ ......................... 29 
4.4.1    Costa Rica  ................................ ................................ ................................ .............. 30 
4.4.1.1    General overview  ................................ ................................ ................................ ..30 
4.4.1.2   Horizontal commitments  ................................ ................................ ........................ 30 
4.4.1.3    Sector -specific commitments  ................................ ................................ .................. 31 
4.4.2    Colombia  ................................ ................................ ................................ ................ 36 
4.4.2.1    General overview  ................................ ................................ ................................ ..36 
4.4.2.2    Horizontal commitments  ................................ ................................ ........................ 36 
4.4.2.3    Sector -specific commitments  ................................ ................................ .................. 37 
4.5   Regulatory provisions  ................................ ................................ ................................ ..43 
4.5.1    Domestic regulation  ................................ ................................ ................................ .43 
4.5.2    Recognition  ................................ ................................ ................................ ............. 44 
4.5.3    Subsidies  ................................ ................................ ................................ ................ 44 
4.5.4    Safeguards  ................................ ................................ ................................ ............. 44 
4.6   Sector specific provisions on trade in services  ................................ ................................ 44 
4.6.1    Financial services  ................................ ................................ ................................ .....44 
4.6.1.1    Cross-border trade  ................................ ................................ ................................ 45 
4.6.1.2    New financial services  ................................ ................................ ........................... 45 
4.6.1.3    Disclosure of confidential information  ................................ ................................ ......45 
4.6.1.4    Access to payments and clearing systems  ................................ ................................ 46 
4.6.1.5    Self-regulatory organizations  ................................ ................................ .................. 46 
4.6.1.6    Transparency  ................................ ................................ ................................ .......46 
4.6.2    Telecommunications  ................................ ................................ ................................ .46 
4.6.2.1   Access to and use of public telecommunications networks or services  .......................... 46 
4.6.2.2    Conduct of major suppliers of public telec ommunications transport networks or 
services  ................................ ................................ ................................ ............................ 46 
4.6.2.3    Flexibility on the choice of technologies  ................................ ................................ ...47 
4.6.2.4    Enforcement  ................................ ................................ ................................ ......... 47 
4.6.2. 5   Transparency  ................................ ................................ ................................ .......47 
5   GENERAL PROVISIONS O F THE AGREEMENT  ................................ .............................  47 
5.1   Transparency  ................................ ................................ ................................ ............. 47 
5.2   Current payments and capital movements  ................................ ................................ .....47 
5.3   Safeguards  ................................ ................................ ................................ ................ 47 
5.4   Exceptions  ................................ ................................ ................................ ................. 48 
5.5   Accession and Withdrawal ................................ ................................ ............................ 48 WT/REG376/1  
 
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  5.6   Institutional framework  ................................ ................................ ............................... 48 
5.7   Dispute settlement  ................................ ................................ ................................ .....48 
5.8   Relationship with other agreements concluded by the Parties  ................................ ........... 49 
5.9   Government procurement  ................................ ................................ ............................ 51 
5.10   Intellectual property rights  ................................ ................................ ......................... 51 
5.10.1    Trademarks and well -known marks  ................................ ................................ .......... 52 
5.10.2    Geographical indications  ................................ ................................ ......................... 52 
5.10.3    Copyright and related rights  ................................ ................................ .................... 52 
5.10.4    Provisions on biodiversity and traditional knowledge  ................................ ................... 53 
5.11   Other provisions  ................................ ................................ ................................ .......53 
5.11.1    Electronic commerce  ................................ ................................ .............................. 53 
5.11.2    Competition  ................................ ................................ ................................ .......... 53 
5.11.3    Environment and Labour related provisions  ................................ ............................... 53 
ANNEX 1  ................................ ................................ ................................ ........................  54 
 
 
  WT/REG376/1  
 
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  Key Facts  
 
Parties to the Agreement:  Costa Rica and Colombia  
 
Date of Signature:   22 May 2013  
 
Date of Entry into Force:  1 August 2016  
 
Date of Notification:   31 October 2016 
 
Full implementation:   1 January 2030  
 
 
1  TRADE ENVIRONMENT  
1.1.  The Free Tr ade Agreement between Costa Rica and Colombia  (hereinafter "the Agreement") 
is Costa Rica's 13 th and Colombia's 14 th regional trade agreement (RTA) notified to the WTO 
Secretariat. The Agreement covers goods and services.  
1.2.  Costa Rica and Colombia, both upper -middle income countries,  differ in the size of their 
economies and their participation in world trade. As of October  2017, Colombia was the fourth  
largest economy in Lati n America and  Costa Rica the twelfth . In 2016 , when the Agre ement 
entered into force, Colombia's GDP amounted to US$282  billion compared to US$58 billion for 
Costa Rica . In terms of trade , Colombia was the 39th  largest exporter and 33rd largest importer in 
the world (U S$31 billion and US$44.8  billion) (exclud ing intra -EU trade) while Costa Rica  ranked 
63rd (US$9.6  billion) in terms of exports and 58th (US$15.1  billion) for imports.1 With regard to 
services , Colombia  was th e 41st largest exporter (US$7.7  billion) and 39t h largest importer 
(US$10.6 billion) while Costa Rica ranked respectively 39th (US$8.2 billion) and 60th 
(US$3.1 billion) in the world in  2016. 
1.3.  Trade between the Parties is modest  and accounts for a  small share in each Party's trade, 
which is largely concentrated on a few partners, namely the US, the European Union and China. In 
2015, Colombia  accounted for 0.7% of Costa Rica's total exports and 2 % of its imports , while  
Costa Rica accounted also for 0.7% of Colombia 's tota l exports and captured 0.2% of it s total 
imports i n the same year .  
1.1  Merchandise trade  
1.4.  Chart 1.1 shows the Parties' global and bilateral merch andise trade for the period 2001 -2015. 
During most of this period, both Parties registered a  trade deficit with the world, which has 
deepened over the years , especially for  Costa Rica .2 At the bilateral level, Colombia  maintained a 
trade surplus with  Costa Rica . This surplus reached a peak in 2010 , totalling US$412 m illion but 
has considerably narrowed since, amounting to US$161  million in 2015.  
                                                
1 WTO Trade Profiles (latest data).  
2 In this regard, Costa Rican authorities indicated that the deepening of the trade deficit stems mostly 
from the fact that the country has no local production of fuels, mineral oils, and certain machinery.  WT/REG376/1  
 
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  Chart 1.1 Costa Rica  and Colombia  Merchandise bilateral trade and with the world  
(2001 -2015)  
 
Source:  UNSD Comtrade database . 
 
1.5.  Chart 1.2 exhibits the Parties' trade basket for the three years prior to the  Agreement's entry 
into force.  The data suggest that  there are product complementarities from which exporters from 
both Parties  could benefit . During 2013 -2015, Costa Rica's main global exports were vegetables  
products (e.g. bananas and pineapples) , machin ery (e.g. electronic equipment) , optical  (e.g. 
medical devices) , prepared food, and  plastics  (e.g. rubber products) , together accounting for  79% 
of its total exports.  Of these products , optical, plastics and  prepared food also  ranked among 
Colombia's  top five imports  from Costa Rica , capturing 54% of its bilateral imports . However, 
machinery , which is Colombia's main import from the world, and Costa Rica' s second largest  
export , accounted  for only 7% of Colombia's imports from Costa Rica  during th e same period, thus 
suggesting that there may be some business opportun ities for Costa Rican exporters provided that 
these trends in the supply and demand of machinery con tinue. A similar situation can be described 
for Co lombian exporters . Costa Rica's main imports  from Colombia were prepared foods, plastics, 
textiles, machinery and wood pulp, which accounted for 73% of its bilateral imports. Of these 
products, chemicals and plastics were among Colombia's top five global exports , but they 
account ed for only 8% of it s total exports  with minerals being the main export  category . Minerals 
accounted for 63% of Colombia's global exports and were  also Costa Rica's second largest glob al 
import, but Colombia is not among Costa Rica's  main providers .   
0.00.20.40.60.81.01.21.41.61.8
010203040506070
2001 2003 2005 2007 2009 2011 2013 2015B. Colombia 2001 -2015
(US$ billions)
Imports from Costa Rica (Right Axis)
Export to Costa Rica (Right Axis)
Total Imports
Total Exports
0.00.20.40.60.81.01.21.41.61.8
02468101214161820
2001 2003 2005 2007 2009 2011 2013 2015A. Costa Rica 2001 -2015 
(US$ billions)
Imports from Colombia (Right Axis)
Export to Colombia (Right Axis)
Total Imports
Total ExportsWT/REG376/1  
 
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  Chart 1.2 Costa Rica  and Colombia : product composition of merchandise trade , annual 
average (2013 -2015 ) 
 
 
Source:  UNSD Comtrade database . 
 
1.2  Trade in services and investment  
1.6.  Charts 1.3 and 1.4 depict the Parties' global trade in  commercial services during 2005 -2015. 
During thi s period, Colombia  recorded a global trade deficit in services while Costa Rica exhibited a 
trade surplus, which has grown steadily since 2009 . Costa Rica mainly ex ported  travel,  
telecommunications, computer, and information services and other business  services, which 
together accounted for 92% of its total exports  in 2015 . For im ports, t ransport, as well as t ravel, 
insurance, pension and other business services were t he most important categories accounting for 
82% of its total imports . For Colombia , the main exports  and imports were transport, travel  and 
other business  services, which  corresponded respectively to 93% and 79 % of its total exports and 
imports . 
1.7.  Data for bilateral trade in services are not available.  
35
1913665422225Costa Rica's imports from Colombia (%)
25
12
11
8886443325Costa Rica's Global Imports (%)
23
21
17126543226Costa Rica's Global Exports (%)
23
18
1713137223Colombia's imports from Costa Rica (%)
23
14
14 11764443226Colombia's Global Imports (%)
63954333226Colombia's Global Exports (%)Total: US$ 327 million Total: US$ 16,938 million
Total: US$ 59,148 millionTotal: US$ 49,769 millionTotal:  US$ 10,764 million
Total: US$ 87 million
WT/REG376/1  
 
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  Chart 1.3 Costa Rica : Trade in commercial  services with the world, 2005 -2015  
 
Note:  Data for 2015 is WTO's estimate.  There is no export of category "Construction" in the years 2005 -2015; 
and of category "Insurance and pension services" in the y ears 2005 -2011 and 2014 -2015.  No import 
values repor ted under the categories "Construction" and "Manufacturing services on physical inputs 
owned by others" (2005 -2015) . 
Source:  WTO Statistics database based on BMP6.  
Chart 1.4  Colombia : Trade in commercial services with the world, 2005 -2015  
 
Note:  No export  under the service categories: Maintenance and repair services n.i.e. and Construction.  
Source:  WTO Statistics database based on BMP6.  
1.8.  Charts 1.5 to 1.8  show the Parties' global and bilateral foreign direct investment stocks and 
flows. Both Costa Rica and Colombia  have been net recipient s of FDI flows from the world during 
2011-2015. At the bilateral level, the data show some discrepancies as both  Costa Rica and 
Colombia emerge as net recipient s of FDI flows during 2013 -2015.    
01234567
2005 2007 2009 2011 2013 2015A. Costa Rica imports from world
2005 -2015
(US$ Billion)
Personal, cultural, and recreational services Other business services
Telecommunications, computer, and information services Charges for the use of intellectual property n.i.e.
Financial services Insurance and pension services
Construction Travel
Transport Maintenance and repair services n.i.e.
Manufacturing services on physical inputs owned by others0123456789
2005 2007 2009 2011 2013 2015B. Costa Rica exports to world
2005 -2015
(US$ Billion)
051015
2005 2007 2009 2011 2013 2015A. Colombia imports from world
2005 -2015
(US$ Billion)
Personal, cultural, and recreational services Other business services
Telecommunications, computer, and information services Charges for the use of intellectual property n.i.e.
Financial services Insurance and pension services
Construction Travel
Transport Maintenance and repair services n.i.e.
Manufacturing services on physical inputs owned by others051015
2005 2007 2009 2011 2013 2015B. Colombia exports to world
2005 -2015
(US$ Billion)WT/REG376/1  
 
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  Chart 1.5 Costa Rica : FDI sto ck and flow with the world, 2001 -2015 
 
Source:  UNCTAD Stat . 
 
Chart 1.6 Costa Rica : FDI stock and flow with Colombia , 2013 -2015 
 
Source:  Data provided by Costa Rica's authorities . 
 
051015202530
2001 2003 2005 2007 2009 2011 2013 2015Costa Rica FDI stock with world
2001 -2015
(US$ Billion ) 
Inward Outward
-101122334
2001 2003 2005 2007 2009 2011 2013 2015Costa Rica FDI flow with world
2001 -2015
(US$ Billion) 
Inward Outward
01002003004005006007008009001,000
2013 2014 2015Costa Rica FDI stock with Colombia
2013 -2015
(US$ Million ) 
Inward Outward
-50050100150200250
2013 2015Costa Rica FDI flow with Colombia
2013 -2015
(US$ Million) 
Inward OutwardWT/REG376/1  
 
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  Chart 1.7 Colombia : FDI stock and flow with the world, 2001 -2015 
 
Source:  UNCTAD Stat . 
 
Chart 1.8 Colombia : FDI stock and flow with Costa Rica, 2013 -2015 
 
Source:  Data provided by Colombia's authorities.  
 
2  CHARACTERISTIC ELEME NTS OF THE AGREEMENT  
2.1  Background Information  
2.1.  The Agreement, which covers goods and services, was signed by the Parties on 22 May 2013  
and entered into force on 1 August  2016. On 31 October  2016, the Parties notified the Agreement 
to the WTO under Article  XXIV:7(a) of GATT 1994 and Article  V:7(a) of t he GATS (WT/REG376/N/1 
and S/C/N/870 ). The text of the Agreement, along with its schedules and annexes, is available on 
the website of the Parties' authorities.3 The Agreement contains 22  chapters, of which several 
include annexes (Box 2.1).  
                                                
3 The text of the agreement can be found in: 
http://www.comex.go.cr/tratados/proceso_negociacion/Colombia.aspx (for Costa Rica); and  
http://www.tlc.gov.co/publicaciones/3432/tratado_de_libre_comercio_entre_colombia_y_costa_rica 
(Colombia).  
020406080100120140160
2001 2003 2005 2007 2009 2011 2013 2015Colombia FDI stock with world
2001 -2015
(US$ Billion ) 
Inward Outward
-2024681012141618
2001 2003 2005 2007 2009 2011 2013 2015Colombia FDI flow with world
2001 -2015
(US$ Billion) 
Inward Outward
0100200300400500600700800
2013 2014 2015Colombia FDI stock with Costa Rica
2013 -2015
(US$ Million ) 
Inward Outward-10010203040506070
2013 2015Colombia FDI flow with Costa Rica
2013 -2015
(US$ Million) 
Inward OutwardWT/REG376/1  
 
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  Box 2 .1 Structure of the Agreement  
 Preamble  
Chapter 1  Initial p rovisions and general d efinitions  
Chapter 2  National treatment and market access for g oods 
Chapter 3  Rules of o rigin and origin procedures  
Chapter 4  Trade facilitation and c ustoms procedures  
Chapter 5  Technical cooperation and mutual assistance  in customs matters  
Chapter 6  Sanitary and phytosanitary m easures  
Chapter 7  Technical barriers to t rade 
Chapter 8  Trade r emedies  
Chapter 9  Intellectual p roperty  
Chapter 10  Government  procurement  
Chapter 11  Competition policy and consumer protection  
Chapter 12  Investment  
Chapter 13  Cross -border trade in services  
Chapter 14  Financial s ervices  
Chapter 15  Telecommunications  
Chapter 16  Electronic commerce  
Chapter 17  Temporary entry of business persons  
Chapter 18  Dispute Settlement  
Chapter 19  Transparency  
Chapter 20  Administration of the Agreement  
Chapter 21  Exceptions  
Chapter 22  Final Provisions  
Source:  The Agreement.  
2.2.  With the signature of the Agreement Costa Rica now has a trade agreement in force with 
each of the Pacific Alliance countries (i.e. Chile, Colombia, Mexico and Peru), which is one of the 
conditions to accede to the Pacific Alliance (Article 11 of the Frame work Agreement of the Pacific 
Alliance). Costa Rica submitted a request for accession to the Pacific Alliance in 2014 but according 
to its authorities the accession process has not yet begun.  
3  PROVISIONS ON TRADE IN GOODS  
3.1  Import duties and charges, and quantitative restrictions  
3.1.1   General provisions  
3.1.  Trade in goods between the Parties is governed by Chapter 2 . The Chapter includes 
provisions on national  treatment, tariff elimination , special regimes4, export and import 
restrictions, import licensing, export taxes, state owned enterprises, customs valuation as well as 
agricultural  export subsidies . The Agreement follows the WTO definition for agricultural products 
(Article 2.1 7).  
                                                
4 This refers to the access conditions for: tariff exemptions, goo ds imported on  a temporary basis , re-
entry after rep air, or alteration  and for commerc ial samples of negligible value.  WT/REG376/1  
 
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  3.2.  The Parties agree to grant national treatment to each other's goods in accordanc e with 
Article  III of GATT 19945, and not to use non -tariff measure s that prohibit or restrict  their bilateral 
imports, except as provided in Article XI of the GATT 1994.6 Measures listed in Annex 2 -A are 
exempted from these two obligations . For Colombia , the list includes measures affecting the 
taxation of alcoholic beverages, as well as export controls on coffee,  and import controls on  
automotive vehicles, second hand items and waste , while  Costa Rica  listed export price controls on 
banana s, export contro ls on wood and coffee, and export and import controls on fuels and 
alcoholic beverages . Both Parties list actions authorized by the WTO Dispute Settlement Body.  
3.3.  The Parties commit to eliminate customs duties on originating goods according to their 
respective schedules and to not increase any existing duty, or introduce a new one on an 
originating good, unless otherwise specified. According to the Agreement, they can: (a) increase a 
customs duty up to the level established in th eir tariff schedule fo llowing an  unilateral reduction; 
and (b) maintain or increase a customs duty when authorized by the WTO Di spute Settlement 
Body. Upon request, the Parties will hold consultations to improve the market access conditions for 
the goods covered by the Agreemen t. Used goods are excluded from the Agreement  (Article 2.3 ). 
Moreover, the Parties allow duty -free entry for: (a) goods imported on a temporary basis7 as long 
as certain conditions are fulfilled (Article 2.5); (b) goods that re -enter a Party after repair o r 
alteration ( Article 2.6) and (c) commercial samples of negligible value and printed advertising 
materials (Article 2.7).  
3.4.  The Agreement further indicates that th e Parties cannot apply tariff exemption s contingent 
upon per formance requirements (Article 2.4 ), and canno t require providers of the other  Party to 
establish or maintain a contractual or other relati onship with a distributor in their territories in 
order to import their products (Article 2.8).  
3.5.  The Parties shall follow the WTO Agreement on import li censing and Customs Valuation, 
which are incorporated into the Agreement, and Article VIII of the GATT for the application of 
trade related fees and other charges other  than customs duties (Articles 2.9, 2.10, and 2 .13). 
Moreover, the y agree to notify to e ach other their existi ng import licensing procedures (if any) 
following the A greement 's entry into force; and new pro cedures or amendments within 60 days 
prior to their entry into force. No Party shall apply an import licensing procedure to a good of the 
other Party unless it has notified it in accordance with the Agreement.  
3.6.  The Parties agree to establish a Committee on Trade in Goods that will monitor  the 
implementation of Chapter 2 ; and meet at least once a year unless the Parties agree otherwise  
(Article 2.16) .8  
3.1.2   Liberalization of trade and tariff lines  
3.7.  The Parties ' tariff elimination schedule and staging categories are detailed in Annex 2B  of the 
Agreement. The base rate s are the MFN rates of 2012. For both Parties, tariff liberalization will 
take place over a 15 -year transition period, starting upon the Agreeme nt's entry into force until 
2030. The Parties lis ted 14  different staging categories in their tariff schedules. Both Parties 
exclude certain products from liberalization  but agree to revie w the rates of some of these lines in 
accordance with the negotiations under the Pacific Alliance . In total, Costa Rica excluded  295 tariff 
lines from the A greement  and Colombia 405 lines (at the 10 -digit level).  In the case of Colombia, 
153 lines out of t he 405 are subject to the price -band system, which is allowed under the 
Agreement.    
                                                
5 Article  III of GATT 1994  is incorporated into the Agreement.  
6 Article XI of the GATT 1994  and its relevant provisions under the WTO  are incorporated into the 
Agreement . 
7 Goods tempora lly admitted include professional equipment, goods imported for sports purposes, goods 
intended for display or demonstration , and commercial samples and advertising films.  
8 The Parties indicated that this Committee has held several meetings since the entry into force of the 
Agreement.  WT/REG376/1  
 
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  3.1.3   Liberalization schedule  
3.1.3.1   Costa Rica  
3.8.  Table 3.1 shows Costa Rica 's tariff elimination commitments under the Agreement.9 Before 
the Agreement 's entry into force , only 2% of Costa Rica 's tariff was already duty free on an MFN 
basis, corresponding to 0.9 % of its imports from Colombia during 2013 -2015. In 201 6, when the 
Agreement entered into force, Costa Rica liberalized another 68.5 % of it s lines, which accounted 
for half of i ts imports from Colombia . In 2027 , after ten years of implementation, 91.5% tariff lines 
will be duty -free corresponding to 83.3 % of imports from  Colombia . At the end of the 
implementation period in 2030, this share will reach 95.8% of Costa Rica 's tariff lines, accounting 
for 88 % of its imports from  Colombia. Of the 295  lines that will remain dutiable, the Parties agree 
to review the rates of 98 lines in the framework of the Pacific Alliance , to which Costa Rica is 
expected to accede in the future.    
Table  3.1 Costa Rica: Tariff elimination commitments under the Agreement and 
corresponding average trade  
Duty phase -out 
period  Number of lines  % of total lines 
in Costa Rica's 
tariff schedule  Value of Costa 
Rica's imports 
from Colombia  
(2013 -2015)a 
US$ million  % of Costa Rica's 
total imports 
from  
Colombia  
(2013 -2015)  
2016 (MFN)  141 2.0 2.7 0.9 
2016 4,780  68.5 160.0  50.8 
2020 283 4.1 40.8 13.0 
2025 1,147  16.4 58.2 18.5 
2027 36 0.5 0.4 0.1 
2030 296 4.2 15.0 4.8 
Remain dutiable  295 4.2 37.7 12.0 
Total  6,978  100.0  314.8  100.0  
a Import coverage is from HS chapters 1 -97. 
Note:  For tariff lines subject to TRQs , only the out -of-quota duty is included  in the calculation of the 
average tariff . Similarly, for lines subject to other non -ad valorem , only the ad valorem  component  
of the alternate rate is  included , while specific duties are excluded from the calculation.   
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by Costa Ri ca's authorities.  
 
3.9.  Table 3.2 and Chart 3.1 show Costa Rica 's tariff elimination, by HS section and chapter with 
regard to imports from  Colombia . About two third of the remaining dutiable lines (197 lines) fall 
into sections I -IV - agricultural products. T hese sections are also those with the highest average 
tariffs , with rates ranging between 10.5% and 56.2 %. Animal products (I) (56.2%) and prepared 
food (IV) (24.7 %) exhibit the highest average preferential tariffs. For sections V -XXI, the highest 
average preferential tariff is in chemicals (VI) (14.3%) and manufactured articles (XX) (14%).  
Other HS sections where tariffs will continue to apply are: plastics (VII), wood articles (IX), wood 
pulp (X), textiles (XI), articles of stone (XIII), base metals (XV) and machinery (XVI).  
                                                
9 All of Costa Rica's tariff lines (i.e. 6,978) are subject to ad valorem  duties . WT/REG376/1  
 
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  Table 3.2 Costa Rica: Tariff elimination under the Agreement, by HS Section  HS Section  
MFN Average  
% 
No. of lines  
Duty -free lines 
under the  
MFN 2016  Number of duty -free lines under the Agreement  
Remain 
dutiable  Avg. Final 
Tariff  
(Dutiable)  2016  2020  2025  2027  2030  
I 19.6 449  203 4 178   64 56.2 
II 9.7 419  291 28 46  4 50 19.3 
III 8.9 57  20  2  16 19 10.5 
IV 14.1 299  117 23 50  45 64 24.7 
V 3.3 187 11 149 17 10     
VI 2.7 1,128  2 998 46 64 11  7 14.3 
VII 5.0 337  159 42 80 2 28 26 10.1 
VIII 8.8 108  47 51 10     
IX 8.8 139  55 17 8  56 3 12.5 
X 5.6 292  156 9 75  36 16 12.2 
XI 9.9 918  582  292  26 18 13.7 
XII 13.0 64  35 9 20     
XIII 6.9 176  87 5 65  12 7 10.9 
XIV 7.5 54  54       
XV 3.9 702  475 10 129 23 57 8 10.1 
XVI 2.8 980 116 776 13 59  12 4 12.5 
XVII 5.9 234  225  9     
XVIII 4.5 234 12 222       
XIX 15.0 21    21     
XX 11.0 171  120 9 29  4 9 14.0 
XXI 8.2 9  9       
Total  6.9 6,978  141 4,780  283 1,147  36 296 295 25.5 
Note:  Tariff line subject to in -quota rate is excluded in the computation . 
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data  provided by Costa Rica's authorities . 
 
3.10.   At the HS chapter level, products in 36  chapters will remai n subject to duties (Chart 3.1).  
Average preferential tariffs w ill range between 6% and 59.8 %, with the highest tariffs applying to 
meat and meat offal  (Chapter 2) (59.8%) and dairy products  (Chapter 4 ) (54.3%). The average 
preferential rate on the lines remaining subject to duty is  lower than the average MFN rate for five 
chapters:  vegetables (Chapter 7), preparations of cereals (Chapter 19), beverages (Chapter 22), 
plastics (Chapter 39) , and wood articles (Chapter 44) , thereby providing additional market access 
for imports from Colombia for the products concerned . WT/REG376/1  
 
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  Chart 3.1 Costa Rica : Average of dutiable rates, by HS Chapter  
 
Note:  Based on the HS 2012 nomenclature  
Source:  WTO estimates based on data provided by Costa Rica's authorities   
 
3.1.3.2   Colombia  
3.11.   Table 3.3 shows Colombia 's tariff eli mination commitments under the Agreement.10 Before 
the entry into force of the Agreement, only 3.5% of Colombia 's tariff lines were already duty free 
on an MFN basis, which corresponded to less than 1 % of its imports from Costa Rica  during 2013 -
2015. Upon the Agreement's entry into force,  Colombia  liberalized  another 6 5.4% of lines which 
accounted  for an additional 53.2 % of its imports from Costa Rica . Further tariff eliminations will 
take place al most every two years and by 2027 , after 10  years of impleme ntation, 94.3% of 
Colombia 's tariff lines will be duty free, corresponding to 85% of its imports from Costa Rica . At 
the end of t he implementation period in 2030 , this percenta ge will reach 94 .6% of the total 
number of lines . Of the 405  lines that will rem ain dutiable, 1 53 are subject to  a price -band system  
and for another 103 lines the Parties agree to review the rates in the framework of the 
negotiations under the Pacific Alliance.  
Table 3.3 Colombia: Tariff elimination commitments under the Agreement and 
corresponding average trade  
Duty phase -out 
period  Number of lines  % of total lines 
in Colombia's 
tariff schedule  Value of 
Colombia's 
impor ts from 
Costa Rica  
(2013 -2015)a 
US$ million  % of Colombia's 
total imp orts 
from  
Costa Rica  
(2013 -2015)  
2016 (MFN)  265 3.5 0.5 0.6 
2016 4,895  65.4 46.2 53.2 
2018 19 0.3 0.0 0.0 
2020 1,142  15.3 22.1 25.5 
2022 1 0.0 0.0 0.0 
2025 736 9.8 5.0 5.7 
2027 2 0.0 0.0 0.0 
2028 1 0.0 0.0 0.0 
                                                
10 Of the tot al number of Colombia's tariff lines (i.e. 7,482 ), 166 are subject to non-ad valorem  duties 
under Colombia's price -band system (see section 3.1.5).  
010203040506070
02
04
05
06
07
08
09
10
11
12
15
16
17
19
20
21
22
23
33
34
38
39
44
48
49
54
60
61
63
69
70
73
76
85
94
96Average Duty Rate
HS Chapters Preferential
MFNHS 01 -24 HS 25 -97WT/REG376/1  
 
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  Duty phase -out 
period  Number of lines  % of total lines 
in Colombia's 
tariff schedule  Value of 
Colombia's 
impor ts from 
Costa Rica  
(2013 -2015)a 
US$ million  % of Colombia's 
total imp orts 
from  
Costa Rica  
(2013 -2015)  
2030 17 0.2 0.2 0.2 
Remain dutiable  40411 5.4 12.8 14.8 
Total  7,482  100.0  86.8 100.0  
a Import coverage is from HS chapters 1 -97. 
Note:  For lines subject to TRQs, only the out -of-quota rate is considered to compute the average tariff , 
while lines subject to the price -band system are excluded from the computation.  
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by Colombia's authorities.  
 
3.12.   Almost a quarter of the remaining dutiable lines (296 lines) refer s to agricultural products 
and fall s into HS sec tions I to IV  (Table 3.4). The average preferential tariff  for these sections will 
range between 10% and 67.3 %. Other HS  sections where tariffs will continue to apply are: 
chemicals (VI), plastics (VII),  wood articles (IX)  and pulp (X), textiles (XI), foot wear (XII),  base 
metals (XV), machinery (XVI)  and other manufactured articles (XX) . The average preferential tariff 
for these H S sections will vary between 5% (wood articles) and 15% (other manufactured 
articles ). 
Table 3.4 Colombia: Tariff elimination under the Agreement, by HS Section  
HS 
Section  MFN 
Average  
% No. 
of 
lines  
Duty -free 
lines under 
the  
MFN 2016  Number of duty -free lines under the Agreement  
Remain 
dutiable  
Avg. Final 
Tariff  
(Dutiable)  2016  
2018  
2020  
2022  
2025  
2027  
2028  
2030  
I 19.9 415  158  2  161    94 67.3*  
II 13.0 428  296 18 19  28 1  3 63 20.5*  
III 10.0 66  19  1  2    44 10.0*  
IV 13.7 310  94 1 40 1 64 1 1 14 94 13.5* 
V 5.0 193 1 183  9        
VI 5.0 1,425  175 1121  96  19    14 11.7*  
VII 7.5 315 8 155  95  34    23 12.0 
VIII 8.9 78  40  38        
IX 7.5 108  76  25  4    3 5.0 
X 8.1 197 14 93  51  22    17 12.1 
XI 10.2 933 1 303  250  355    24 13.5 
XII 13.5 55  29  26        
XIII 7.8 167  109  52      6 9.2 
XIV 7.1 59  59          
XV 6.3 719 17 497  195  2    8 8.8 
XVI 6.1 1,240  35 1030  156  13    6 7.5 
XVII 12.2 246 12 201  30  3      
XVIII 5.7 282 2 272  8        
XIX 14.9 69  68  1        
XX 13.2 170  85  48  29    8 15.0 
XXI 15.0 7  7          
Total  8.5 7,482  265 4895  19 1142  1 736 2 1 17 404 23.7 
* Some of the tariff lines a re subject to price -band system.  
Note:  For lines subject to TRQs, only the out -of-quota rate is considered to compute the average tariff , 
while lines subject to the price -band system are excluded from the calculation.  
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data  provided by Colombia's aut horities . 
                                                
11 153 tariff lines are subject to a price -band system, of which the ad-valorem  part of 33 lines is 
liberalized under the Agreement. Since the fixed componen t continues to apply, these 33 lines are still 
considered as dutiable.   WT/REG376/1  
 
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  3.13.   At the HS chapter level, Colombia  will continue to apply duties on 3 7 Chapters at the end of 
the Agreement's implementation with average preferential tariffs ranging between 5% and 73.3% 
(Chart 3.2 ). The HS chapter with the highest average preferential tariffs at the end of 
implementation will be dairy products (Chapter 4 ) followed by cereals (Chapter 10) . For six 
chapters, the average preferential rate on tariff lines remaining subject to duties will be  lower than 
the average MFN rate , thus providing additional preferences to imports from Costa Rica . These 
chapters are: vegetables (Chapter 7), products of the milling industry (Chapter  11), cereals 
preparations (Chapter 19 ), other edible preparations (Chapter 21), beverages, sprits and vinegars 
(Chapter 22) , and wood and wood articles (Chapter  44). For the remaining chapters  the avera ge 
MFN and preferential rate will be  the same.  For two chapters, the average tariff coul d not be 
computed as it involves  lines subject to the price -band me chanism.  
Chart 3.2 Colombia : Average of dutiable lines, by HS chapter  
 
Note:  Based on the  HS 2012 nomenclature . 
 For the calculation of averages, duties of the tariff lines subject to the Andean price-band system are 
excluded . 
Source:  WTO estimates based on data provided by Colombia's authorities . 
 
3.1.4   Tariff -rate quotas  
3.14.   The Parties apply tariff-rate quotas (TRQs) to undenatured ethyl alcohol and food 
preparations for fish under the Agreement (Table 3.5). These products benefit from a zero -in-
quota rate  which is to be applied indefinitely. TRQs are to be implement ed and administer ed in 
accordance with Articl e XIII of the GATT 1994 and the Import Licensing Agreement. The Parties 
further commit  to ensure that TRQ administration procedures are transparent, made available to 
the public, timely, non -discriminatory, market -oriented and do not constitute a barrier to trade. 
Quotas allocation cannot be conditional to the re -export of an agricultural product  (Appendix 2 -B.1 
of the A greement) . 
01020304050607080
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04
05
06
07
08
09
10
11
12
15
16
17
19
20
21
22
23
33
34
35
38
39
44
48
49
54
60
61
63
69
70
73
76
85
94
96Average Duty Rate
HS Chapters Preferential
MFN
* *
* Tariff lines subject to price band system only HS 01 -24 HS 25 -97WT/REG376/1  
 
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  Table 3.5 Products subject to TRQs under the Agreement  
HS Code (descri ption)  Applied by  Out of quota rate  (2016)  
(MFN rate)  Quantity  
in 2012  
Undenatured ethyl alcohol  
2207.1000.00  Colombia  10% 4 million  litres 
Fish food  
2309.9090.00  Colombia  15% 1000 MT  
Fish food  
2309.9019.00  Costa Rica  14% 1000 MT  
Source:  Appendix 2 -B.1 of the Agreement.  
 
3.15.   At the multilateral level , only Costa Rica applies TRQs  to 261 products at the 10 -digit 
level12, but these do not include fish food.  The vast majority of lines refer to agricultural products 
(96%)13 and are excluded from liberalization (89%) under the A greement. The remaining products 
will be progressively liberalized or be considered for fut ure liberalization, except for eight  products 
which were liberalized upon the Agreement's entry into force .  
3.1.5   Price -band system  
3.16.   Colombia maintain s a price-band system  at the MFN level, which it can continue to apply 
under the Agreement. Under this mechanism , a product is subject to an ad -valorem duty (variable 
component) in addition to its current duty (fixed component) if its CIF price (reference pri ce) is 
lower than a "floor" price (Decision 371 of 1994 by the Andean Community). A tariff reduction can 
also apply if the CIF price (reference price) is higher than a "ceiling" price.   
3.17.   At the multilateral level, Colombia's price -band system covers  166 products (at the 10 -digit 
level) , but under the Agreement  it will continu e to apply only  to 153 (Annex 2 -B). The remaining 
13 product lines were entirely liberalized upon the Agreement 's entry into force , and include 
wheat, malt and certain seeds (Table 3.6 ).  
Table 3.6 Products subject to the PBS at the MFN level but not under the Agreement  
HS 
Chapter  Description  Tariff lines  MFN 2016  
10 Cereals  1001190000, 
1001991010, 
1001991090, 
1001992000, 
1003900010, 
1003900090  10% to 15% + variable 
component under the PBS  
11 Products of the milling industry; 
malt; starches; inulin; wheat gluten  1107100000, 
1107200000, 
1108110000  15% + variable component 
under the PBS  
12 Oil seeds and oleaginous fruits; 
miscellaneous  grains, seeds and 
fruit; industrial or medicinal plants; 
straw and fodder  1207109000, 
1207309000, 
1207609000, 
1207709000  15% + variable component 
under the PBS  
Source : Based on data provided by Colombia.  
 
3.18.   The 153 lines that will continue to be subject to the price -band system under the Agreement 
refer mainly to agricultural products , except for five which refer to adhesives, glue s, and ot her 
chemical products (Table 3.7 ). Of the 153 lines , 120 are excluded from liberalization under the 
Agreement and 33 will have their fixed component removed gradually or upon the Agreement's 
entry into force.  
                                                
12 These lines correspond to 122 products at the 8 -digit lines. Source WTO Integrated Data Base  and the 
Agreement.  
13 Other products subject to TRQs are clothing and paper articles.  WT/REG376/1  
 
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  Table 3.7 Colombia's price -band system (PBS) under  the Agreement  HS 
Chapter  
Description  
No. of 
lines  
MFN 2016  Treatment 
under the 
RTA Fixed 
component 
duty-free in  
02 Meat and Edible Meat Offal  15 20% + variable component under the 
PBS B5 2020 
20 20% + variable component under the 
PBS Excluded  - 
04 Dairy produce; birds' eggs; 
natural honey; edible 
products of animal origin, 
not elsewhere specified or 
included  13 15% to 20% + variable component 
under the PBS  Excluded  - 
10 Cereals  1 40% + variable component under the 
PBS Excluded  - 
5 15% + variable  component under the 
PBS B12 2027 
11 Products of the milling 
industry; malt; starches; 
inulin; wheat gluten  2 10% to 20% + variable component 
under the PBS  Excluded  - 
2 10% to 20% + variable component 
under the PBS  A 2016 
1 20% + variable component under the 
PBS B5 2020 
12 Oil seeds and oleaginous 
fruits; miscellaneous 
grains, seeds and fruit; 
industrial or medicinal 
plants; straw and fodder  11 15% + variable component under the 
PBS Excluded  - 
15 Animal or vegetable fats 
and oils and their cleavage  
products; prepared edible 
fats; animal or vegetable 
waxes  42 0% + variable component under the 
PBS Excluded  - 
16 Preparations of meat, of 
fish or of crustaceans, 
molluscs or other aquatic 
invertebrates  5 20% + variable component under the 
PBS Excluded  - 
1 20% + variable component under the 
PBS A 2016 
17 Sugars and sugar 
confectionery  16 10% to 20% + variable component 
under the PBS  Excluded  - 
19 Preparations of cereals, 
flour, starch or milk; 
pastrycooks' products  1 15% + variable component under the  
PBS Excluded  - 
23 Residues and waste from 
the food industries; 
prepared animal fodder  6 15% to 20% + variable component 
under the PBS  Excluded  - 
3 15% + variable component under the 
PBS B5 2020 
3 15% + variable component under the 
PBS B10d 2025 
1 15% + variable component under the 
PBS B12 2027 
35 Albuminoidal substances; 
modified starches; glues; 
enzymes  1 20% + variable component under the 
PBS B5 2020 
1 20% + variable component under the 
PBS B10 2025 
38 Miscellaneous chemical 
products  3 0% + variable component under the 
PBS Excluded  - 
A: duty -free upon entry into force.  
B5: duty -free in five years from the Agreement 's entry into force.  
B10: duty -free in ten years from the Agreement's  entry into force.  
B12: duty -free in twelve years from the Agreement 's entry into force.  
Source:  Based on data provided by Colombia.  WT/REG376/1  
 
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  3.2  Rules of origin  
3.19.   Chapter 3  specifies the requirements a good must mee t to acquire originating status and be 
granted preferential treatment.  It also details the procedures for the administration of the rules of 
origin .  
3.2.1   Requirements for the determination of origin  
3.20.   A good qualifies as originating if it is:  
 wholly obtained or produced in one or both Parties;  
 produced in one or both Parties using only originating materials;  
 produced  in one or both Parties using non -originating materials that meet the change in 
tariff classification (CTC); the regional value content (RVC)14; and/or any other specific 
rule of origin set out in Annex 3 -A; as well as any other applicable requirement 
(Article 3.1).  
3.21.   All goods are subject to a CTC requirement  only, except for a few manufactured goods 
which must also me et an RVC ( e.g. vehicles, paper and paperboard ), or specific  manufacturing 
requirement (e.g. apparel, fuels and chemicals ).15 In a very few cases  (e.g. tools, toys, cosmetics  
and wood articles ), a CTC requirement  can be replaced by a RVC requirement.16  
3.22.   Any originating good in transit or transhipment via the territory of a non -party will maintain 
its originating status provided that: (a) the go od does not undergo any further processing in the 
territory of a non -party other than preservation, unloading, or reloading, and (b) it is kept under 
customs surveillance in the ter ritory of a non -party (Article  3.14). 
3.2.2   Cumulation  
3.23.   The Agreement allows bilateral cumulation (Article 3.6 )17, as well as diagonal  cumulation  
between the Pa rties and non -parties. Under diagonal cumulation, a good or mat erial from a 
non-party is considered as originating when used in the production of a good of a Party, provided 
that (a) each Party has a trade agreement with the non -party that permits diagonal cumulation , 
and (b ) that the good or material meets the rules of origin established under the Agreement . 
Based on these conditions, the Parties indicated that diagonal cumulation c ould be applied  to 
goods originating in the European Un ion and Mexico but discussions for its implementation are still 
ongoing.  
3.2.3   De minimis  rule 
3.24.   The Agreement includes a de minimis  provision (Article 3.7 ), under which a good qualifies 
as origina ting if the value of all non -originating materials used in its production which do not 
satisfy the CT C requirement set out in Annex 3 -A do not exceed 10% of the FOB value of the 
good. The de minimis  provision does not apply to:  
 non-originating materials u sed in the production of goods in HS chapters 1 -24, unless 
these materials are classified under  a different subheading (6 -digit level) than the good 
for which origin is being determined;   
 animal or vegetable fats and oils used in the production of certain animal or vegetable 
fats and oils (product codes HS 15.01 to 15.08 and HS 15.11 to 15.15) ; and   
 textiles and clothing (chapters 50 -63). 
                                                
14 The formula to compute the RVC is se t out in Article 3.3 . 
15 Some of these goods fall under Chapters 27, 28, 39, 48, 61, 62, 63, 80, and 87.  
16 These goods fall under Chapters 33, 44, 82, and 95.  
17 This implies that a Party can use originating inputs of the o ther Party in the production of a good as if 
they were their own. The final good whose production can take place in one or both parties will qualify as 
originating provided it satisfies the requirements of Article 3.1 (Article 3.6) and all other applicable  
requirements in Chapter 3.  WT/REG376/1  
 
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  3.25.   For textiles and clothing (chapters 50 -63), another de minimis  threshold applies. To qualify 
as originating, the total weight of non -originating of fibres or yarns used in the production of these 
goods which do not satisfy the CT C requirement shall not exceed 10 % of the good's total weight.  
3.2.4   Other factors affecting the originating status of a good  
3.26.   Chapter 3  indicates how t o deal with intermediate an d indirect materials (Articles 3.5  and 
3.13). Intermediate materials are to be treated entirely as originating g oods when computing the 
RVC of the  final good , even  if non -originating materials a re used in their production . Indire ct 
materials will also be considered as originating materials regardless of where they are produced.18 
In addition, Chapter 3  specifies how to determine the (origin) status of fungible goods and 
materials; accessories, spare parts and tools; sets or assortments of goods; packaging materials 
for retail sale; and packing materials and containers for shipment  (Articles 3.8 to 3.12 ). 
3.27.   Finally, Chapter 3  lists the operations that do not confer originating status to a good. The 
list includes packing or repackaging, cleaning, washing, labelling, as well as operations that 
guarantee the preservation of goods (Article 3.4 ). 
3.2.5   Administration of the rules of origin  
3.28.   To claim preferential treatment under the Agreement, importers must present a certificate 
of origin  (electronically or in written format)19, except for imports valued at less than US$1,00020, 
or goods benefitting from a waiver by the importing Party. The certificate is valid for one year from 
the date of issue and applies to a single shipment of one  or more goods  (Article 3.15 ). 
3.29.   The Parties commit to not reject a certification of origin due to omissions or minor errors 
and to request a corrected certificate (Article 3.17) . The Agreement also includes provisions on 
retroactive claims for preferential treatment (Article 3.19), procedures to verify a good's origin 
(Article 3.24), the imposition of sanctions for the violation of laws or regulations relating to 
Chapter 3 (Article 3.25), review and appeal of proceedings relating to the de termination of orig in 
(Article 3 .26), the confidentiality of the information collected (Article 3 .27), the acceptance of an 
invoice issued by a third  party (Article 3 .28), and the p ossibility of adopting uniform r egulations 
regarding the interpretation, application and admin istration  of Chapter 3 (3.29).  
3.3  Export duties and charges, and quantitative restrictions  
3.30.   Export taxes , duties, or charges are prohibited under the Agreement, except  for those 
applied on coffee and emeralds by Colombia; and bananas, coffee and beef by Costa Rica 
(Article  2.11 and Annex 2C ). 
3.31.   In addition, the Parties commit to not adopt or maintain  any measure that prohibits or 
restricts exports of the other Party, except as provided in Annex 2 -A of the Agreement and 
Article  XI of the GATT 1994 , which is incorporated into the Agreement . Under the latter, s uch 
measures include export price requirements, except as permitted in the enforcement of 
countervailin g and antidumping measures; import licences contingent on performance 
requirements, and voluntary exp ort restraints inconsistent with Article  VI of the GATT 1994 
(Article  2.8). 
                                                
18 Indirect materials ar e goods used in the production of a good , but that are not physica lly incorporated 
into the good such as fuel and energy, and spare parts (Article 3 .13). 
19 Exporters requesting a certificate of origin must keep all documents relating to the origin of a good  
for at least five years following the date on which the certificate was issued. Importers are also required to 
keep the documents proving the originating  status of imports for at least five years following the date the good 
was imported (Article 3.21).  
20 Or its equivalent amount in  national currency (Article 3.22).  WT/REG376/1  
 
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  3.4  Regulatory provisions on trade in goods  
3.4.1   Standards  
3.4.1.1   Sanitary and phytosanitary measures  
3.32.   In Chapter 6  on sanitary and phytosanitary  (SPS)  measures,  the Parties re -affirm their 
rights and obligations under the WTO SPS Agreement (Article 6.3 ), and include a number of 
provisions that in most cases mirror those under the WTO SPS Agreement . For instance, the 
Parties agree to develop control, inspection and approval procedures in accordance to the WTO 
SPS Agreement (Article 6.6) . In the area of equivalence, the Parties are to recognize each other's 
measures as equivalent in accordance with the standards and guidelines established by 
International Organizations and the WTO SPS Committee (Artic le 6.8) . In risk assessment, the 
Parties shall base their existing and new SPS measures on risk analysis  in accordance with 
international guidelines  (Article 6.4) . 
3.33.   Only some  provisions are more detailed compared to the WTO SPS Agreement. In the area 
of the  sanitary status of a region, t he decision to recognize an area a s free from a specific pest  or 
disease under the Agreement  must be in accordance  with the SPS Agreement and guidelines by 
the World Organisation for Animal Health and the Secretariat of the I nternational Plant Protection 
Convention. If a Party does not recognize the status of the other Party in this regard, it must 
provide the reasons for its refusal  (Article 6.5) . In the area of transparency, the Parties adopt a 
number of new commitments in a ddition to those under the WTO SPS Agreement . For instance, 
they commit to notify change s related to the Parties' animal health and phytosanitary situation , as 
well as to provide the reasons for rejecting a product or its SPS certificate.  When a change in an 
SPS measure is expected to have a significant effect on trade, the Parties will also develop a 
mechanism to prevent any trade disruption  (Article 6.7) .  
3.34.   Finally, the Parties include pro visions on dispute settlement (A rticle 6.14), cooperation and 
techni cal assistance (Article 6.9) and technic al consultations (Article 6.10). They also  commit to 
establish a Committee on SPS measures which shall meet at least once a year, unless agreed 
otherwise.21 The Committee is responsible, among others, for monitoring t he implementation of 
Chapter 6 and promote cooperation and the exchange of information in this area  (Article 6.11) . 
3.35.    In case of any dispute regarding SPS measures, the Pa rties can have recourse to the 
dispute settlement mechanism established under the Agreement (Article 6.14). The Parties may 
also develop cooperation and technical assistance programs and shall promote regular 
communication between the authorities in order to prevent any unjustified trade restriction. In 
case, the a uthorities cannot resolve an issue, they may request technical consultations within the 
framework of the Agreement 's SPS Committee.  
3.4.1.2   Technical barriers to trade  
3.36.   In Chapter 7  on technical barriers to t rade (TBT), the Parties re-affirm their rights and 
obligations under the WTO TBT Agreement , which is incorporated into the Agreement (Article 7.3).  
In addition, they include provisions on trade facilitation (Article 7.4), the use of in ternational 
standards (Article 7.5 ), technical regulations (Article 7.6), con formity assessment (7.7), 
transparency (Article 7.8), technical cooperation (Article 7.9), technical consultations (7.10 ), and 
exchange of information ( 7.12). In general, t hese provisions  mirror those under the WTO TBT 
Agreement  and in some cases are more detailed and go beyond the WTO TBT Agreement .  
3.37.   In trade facilitation , the Parties shall for instance seek to identify, develop and promote 
initiatives on trade facilitation regarding standards, technical regulations, c onformity assessment 
procedures (including metrology ), taking into consideration the Parties’ experience in bilateral, 
regional and multilateral agreements . Where a Party detains at a port of entry a good originating 
in the territory of the other Party due  to a perceived failure to comply with a technical regulation, 
it shall immediately notify the importer of the reasons for the detention . 
                                                
21 The first m eeting was to  take place no later than six months following the Agreement's ent ry into 
force. The Parties indicated that the Committee met four times in 2017.  WT/REG376/1  
 
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  3.38.   Some novelties are also found in the area of technical regulations , conformity assessments  
and transparency . For insta nce, a Party has to explain , upon request,  the reasons for not accept ing 
as equivalent a technical regulation  or the results of a conformity assessment  procedure  by the 
other Party . A Party shall also upon request, provide any information regarding a measu re (except 
for confidential information) in case the other  Party would like to develop a similar one to avoid 
duplication  of work . The Parties also commit to recognize the conformity assessment bodies of the 
other Party on the same terms as accorded to suc h bodies in their own territory . In the area of 
transparency, all proposed or new technical regulations and conformity assessment procedures 
notified to the WTO must be transmitted at  the same time to the other Party.  The Parties will allow 
at least 60 days from the date of the notification for the other Party  to provide comments . A Party 
shall give favourable  consideration to  requests for extending the comment period.  
3.39.   Finally, the Parties commit to  establish a Committee on TBT measures . The Committee will 
meet at least once a year, unless agreed otherwise22, and be responsible inter alia  for monitoring 
the implement ation of this chapter (Article 7.10 ). 
3.4.2   Safeguard mechanisms  
The Agreement permits the application of global and bilateral saf eguards, provided that they 3.40.   
are not applied simultaneously to the same good (Article 8.8 ). It also permits the application of 
safeguards measures for balance  of payments reasons (Article 21.5 ) (see Section 5.3).  
3.4.2.1   Global safeguards  
3.41.   The Parties retain their rights and obligations under Article XIX of the GATT 1994 and the 
WTO Agreement on Safeguards (hereafter the Safeguards Agreement) , and do not  take any 
additional commitment  under the Agreement in this area , except that imports fro m the other Party 
can be excluded from the imposition of global safeguards if they are not a substantial cause of 
serious injury or  threat thereof , that is , if they fall within the top five main imports of that pr oduct 
during the three years prior to the investigation . In case of a dispute regarding these provisions, 
the dispute settlement mechanism under the Agreement does not apply, implying that the Parties 
can have recourse only to the WTO dispute settlement mechanism  (Article 8.8) .  
3.4.2.2   Bilateral safeguar ds 
3.42.   The Parties may apply bilateral safeguards if as a result of the trade liberalization under the 
Agreement the imports of a good are a substantial cause of serious injury or a threat thereof to 
sectors in the importing Party producing a like or directly competitive good. The measure can be 
applied only during a given transition period, which varies , depending on the product , between 5 
and 17 years following the Agreement's entry into force.23 The measure will consist of a 
suspension of further tariff reduc tions under the Agreement or the increase of tariffs to a level that 
will not exceed the MFN applied tariff in effect at the time the action is taken or that used as a 
base for negotiations.  The maximum period of application o f a bilateral safeguard is fou r years, 
including an extension of two  years and a provisional measure, which is shorter than the eight 
years under the Safeguards Agreement  (Article 7).24 Like in the Safeguards Agreement, a measure 
can be applied twice on the same good but only after a period of non-application has elapsed. 
Such period must equal the duration of application of the first measure and be of at least one year . 
Upon termination of the bilateral safeguard, the applied rate shall be that established in the 
Parties' tariff schedul es (Article 8.2) .  
3.43.   The Agreement also includes provisions on inv estigation procedures (Article 8 .3), p rovisional 
safeguards (Article 8 .4), transparency (i.e. notifications and consultations)  (Article 8.5)  and 
compensation  (Article 8.6) , all of which mirror to a large exten t those under the Safeguard 
Agreement. Only a few provisions  are different or more detailed . For instance, the Agreement 
                                                
22 The first m eeting was to  take place no later than a year after  the Agreement's entry into force . In this 
regard, the Parties indicated that the Committee met in 2017.  
23 For products liberalized within the first five years following the Agreement's entry into force, the 
"transition period" will be five years. For goods to be liberalized in five years or more, t he "transition period " 
corresponds to the tariff elimination period associated with a given product plus two years (Article 8.7).  
24 The duration of the initial safeguard is a maximum of four year s but can be extended, but the total 
period of application cannot exceed eight years.  WT/REG376/1  
 
- 24 - 
 
  specifies that a provisional measure can be applied only after 45 days following th e beginning of  
an investigation . The Safeguards Agreement  is silent in this regard. In the area of transparency, 
provisions are also more detailed. E ach Party commits to notify the other Party of the initiation of 
an investigation, or the application (or extension) of a  definitive or provisional measure. In 
addition, the Parties commit to provide a copy of the report of the investigation , and hold 
consultations within 15 days following a request from the other Party . They also commit to 
compensate the Party subject to a bilateral safeguard, by temporarily granting additional tariff 
concessions . If the Parties cannot agree on the compensation, the Party whose product is subject 
to a safeguard measure  can suspend concessions but it commits not to do for the first two years  of 
the measure being  in effect and provided certain conditions are met  (Article 8.6). In the 
Safeguards Agreement , the right of suspension shall not be exercised for the first three years  the 
measure is in effect  (Article 8) .  
3.4.2.3   Safeguards related to the balance of payments  
3.44.   The Parties may maintain safeguards for balance of payments reasons (See Section 5.3).  
3.4.2.4   Special safeguards  
3.45.   There are no provisions in the Agreement regarding special safeguards.  
3.4.3   Anti-dumping and countervailing measures  
3.46.   The Parties retai n their rights and obligations under WTO Agreements regarding the 
application of antidumping and countervailing measures and grant exclusive jurisdiction to the 
WTO dispute settlement system over these issues by proscribing the use of the dispute settlemen t 
mechanism under the Agreement.   
3.47.   In addition, the Parties commit  to notify the other Party before initiating an anti -dumping 
investigation with r espect to imports from that Party, and afford technical meeting s or other 
discussion opportunities to the othe r Party regarding the  request for the application of anti -
dumping measures . Such meeting s shall not interfere with a Party’s procedures towards the 
initiation of an anti -dumping investigation . 
3.48.   If following an investigation , a Party has suggested  price unde rtakings , it shall afford the 
other Party  consultations regarding  the proposal  which , if accepted, may result in the suspension 
of the investigation without imposition of anti-dumping or countervailing duties, in accordance with 
the laws and procedures of the Party.  
3.49.   The Parties further agree to establish a cooperation mechanism between their investigating 
authorities in the area of trade remedies, including the exchange of information and technical 
assistance (Article 8.10).  
3.4.4   Subsidies and State -aid 
3.50.   The Parties prohibit the application of export subsidies on agricultural goods affecting their 
bilateral trade; and commit to work towards the multilateral elimination of export subsidies on 
agricultural products with the view to reaching an agreement in t he WTO . If a Party maintains, 
introduces or reintroduces subsidies on the export of goods liberalized (partially or fully) under the 
Agreement, the importing Party shall call for consultations and if the subsidy is not removed  within 
90 days after the call  for consultations , that Party  may apply an additional tariff that will increase 
customs duties for imports of such good up to the level of the MFN applied duty for the period the 
export subsidy is applied  (Article  2.15) . 
3.51.   Matters relating  to State-owned enterprises are governed by Article XVII, and it s 
understanding, w hich are incorporated into the A greement  (Article  2.12).  
3.4.5   Customs -related procedures  
3.52.   The Agreement contains a C hapter on trade facilitation and customs  procedures 
(Chapter  4), and a Chapter on  technical co -operation and mutual assistance in customs matters WT/REG376/1  
 
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  (Chapter 5). Under Chapter  4, the Parties commit to make publically available ( in paper or 
electronic format ) their respective laws, regulations, and administrative procedures; and maintain 
inquiry points conce rning customs matters . To the extent possible, they also commit to publish 
any proposed customs related regulations and allow time for comments  (Article 4.1) . Each Party 
shall maintain or adopt simplified customs procedures to facilitat e their bilateral trade , including a 
48-hours clearance time (to the extent possible) ; allow goods to be released at the point of arrival, 
without temporary transfer to warehouses or other facilities;  and allow importers  to withdraw 
goods from customs befo re all applicable customs duties and charges have been paid (Article 4.2).  
Each Party shall maintain risk management systems to target high -risk goods and simplify the 
clearance and movement of low -risk goods ; and endeavour to use information technology to  
streamline  clearance procedures (Article s 4.3 and 4.4) . The Parties shall maintain customs 
procedures for express shi pments (release in 6 hours), promote the adoption of an authorized 
economic operators system (Articles 4.5 and 4.6), and commit to take action within the first six 
months after the Agreement's entry into force to achieve the interoperability between their  single 
windows . Other articles in Chapter  4 include provisions  dealing with confidentiality issues 
(Article  4.8), the review and appeal o f customs proceedings (Article 4 .9), imposition of sanctions 
for violation of customs relate d laws or regulations (Article  4.10) and advance rulings regard ing 
future shipment s (Article 4 .11).  
3.53.   In Addition, under Chapter 5 the Parties commit  to promote and facilitate technical co -
operation , including the exchange of information , and to provide mutual assistance to prevent, 
investigate and repress any customs ' infractions  (Articles 5.1 -5.3). The Chapter further details the 
procedures to submit and administer assistance requests  (Articles 5.4 -5.7). However , mutual 
assistance can be denied to protect for instance public order,  or national security  (Article 5.8) . 
Upon request, a ny information provided by a Party under this Chapter shall b e kept confidentia l by 
the other Party (5.12) .  
3.54.   Finally, the Parties commit to establish  a Committee on Rules of Origin, Trade Facilitation,  
and Technical Cooperation and Mutual Assistance in Customs M atters, which will be responsible for 
monitoring the implementation of Chapters 4 and 5. The Committee shall meet at least once a 
year. The first meeting shall take place no  later than one year after the Agreement's entry  into 
force.25  
3.5  Sector -specific provisions on trade in goods  
3.55.    Besides the provision regar ding agricult ural export subsidies, there is no other sector -
specific provision  on trade in goods in the Agreement  (Article 2.15) . 
4  PROVISIONS ON TRADE IN SERVICES  
4.1  Scope and definitions  
4.1.  Trade in s ervices is governed by Chapter 13  (Cross -Border Trade in Se rvices) together with 
Chapter 12  on investments, Chapter 14  on financial services, Chapter 15  on telecommunications, 
Chapter 17  on temporary entry for business persons, and Chapter 16  on electronic commerce. 
These Chapters are complemented by Annexes I, II a nd III, which contain the Parties' lists of 
reservations. Annexes I and II contain reservations for existing and future measures  for all 
sectors , except financial services  which are listed in Annex III .  
4.2.  Chapter 13  applies to measures by a Party affecting cross -border trade in services by service 
supplie rs of the other Party (Article 13 .1). Cross -border trade in services, as defined in the 
Agreement, covers GATS modes of supply 1, 2  and 4. Mode 3 is treated in Chapt er 12 and defined 
as the supply of a service in the territory of a Party by a covered investment26 or by an investor of 
the other Party. Chapter 13  does not apply to:  
                                                
25 The Parties indicated that the Committee met twice in 2017.  
26 The Agreement defines covered investment as an investment in the territory of a Party of an investor 
of the other Party existing on the date of entry into force of this Agreement,  as well as investments made, 
acquired or expanded subse quently (Article 12.31).  WT/REG376/1  
 
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   air services27, and related supporting services except for aircraft repair and maintenance 
services  (while the aircraft is out of service ), selling and marketing of air transport 
services, and computer reservation system services;  
 government procurement;  
 subsidies or grants by a Party, including government -supported loans, guarantees and 
insura nces;  
 services supplied in the exercise of governmental authority; and 
 financial  services (covered by Chapter 14 ).  
4.3.  Compared to the GATS, the Agreement has the same coverage in air transport. In the area of  
subsidies, it is more detailed since the GATS do es not contain any specific rule. As for government 
procurement, it is not excluded from the GATS (A rticle XIII), but exempted from the application of 
market access, MFN and national treatment provisions.  
4.4.  Chapter 12  on investments applies to measure s by a Party affecting (a) investors  (natural or 
legal person)  of the other Party; (b) covered investments ; and (c) to measures relating to 
corporate social responsibility; health, security, environment, labour rights or invo lving 
performance requirements affecting any  investment  in the territory of the Party. Chapter 12 does 
not apply t o measures covered by Chapter 14  on financial services . In case of any inconsistency 
between this Chapter and another Chapter, the other Chapter will prevail to the extent o f the 
inconsistency (Article 12.1).  
4.5.  Chapter 14  on financial services applies to (a) financial institutions of the other Party; 
(b) investors of the other Party and their investments in financial institutions in the Party's 
territory; and (c) cross -border trade in financial services ( see Section 4.6.1).28 
4.6.  Chapter 15  on telecommunications applies to measures relating to (a) the access to and use 
of public telecommunications networks or services (b) the obligations made by its  providers ; and 
(c) other related measures (Article 15 .1). Like the GATS, t he Chapter applies  neither to broadcast 
nor to cable distribution of radio and television programming ( see Section  4.6.2).  
4.7.  Chapter 17  on the temporary entry of business persons aims at facilitating the movement of 
business persons on a reciprocal basis and at establishing transparent criteria and procedures. It 
does not apply to measures affecting natural persons seeking access to the labour market of a 
Party and to measures regarding ci tizenship, nationality, residence or employment on a permanent 
basis (Articles  17.1) (see Section 4.3.4).  
4.2  Denial of benefits  
4.8.  A Party ca n deny the benefits of Chapter s 12 and  13 to a company owned or controlled by 
nationals of a non -party, which has no subs tantial business activities in the territory of the other 
Party. It can also deny these benefits to companies of the other Party that have no substantial 
business op erations in the territory of that  Party, and are owned or controlled by nationals of the 
denying Party (Article s 13.13  and 12.13 ).29  
4.3  General provisions on trade in services  
4.9.  The following sections describe the Parties' commitments with respect to market access, 
national and MFN treatment, commercial presence, performance requirements and the nationality 
                                                
27 The Parties indicated that air services include  national or international, regular and non -regular air 
transport services , as well as traffic rights and specialized air services.  
28 Cross -border trade in (or cross -border supply of ) financial services, as defined in the Agreement,  
cover mode 1, 2 and 4 but excludes the supply of a financial service in the territory of a Party by an 
investment in that territory  (Article  14.19).  
29 The Agreement does not contain a definition for "substantial business activities".  WT/REG376/1  
 
- 27 - 
 
  of senior management. Such commitments apply to all sectors and  correspond ing modes unless 
they are subject to a reservation listed in Annex I, II, or III.  
4.3.1   Market access  
4.10.   A Party cannot maintain or adopt , unless specified otherwise in their list of reservations, any 
of the limitations described in Article XVI of GATS, except for limitations on the participati on of 
foreign capital (Article 13.5 ).30  
4.11.   In financial servic es, other commitments apply. The  Parties allow investors of the other 
Party to establish a financial institution permitted to supply financial service s, or expand its 
commercial presence within its territory, including through the acquisition of existing entities, 
without the imposition of numerical restrictions or juridical requirements  but have some 
reservations. In the case of newly established entities, investor s have the right to choose the 
juridical form of their company but the host P arty reserve s the right to impose any establishment 
conditions or requirements. In the case of additional entities, the Parties reserve the ir rights to  
impose any conditio ns or requirements regarding establishment  but also to determine the 
institutional and juridical form of the company. In both cases , any requirement or condition must 
be applied on a non -discriminatory  basis. Moreover,  the Parties reserve the right to proh ibit a 
specific financial activity or service. Such a prohibition cannot be applied to all financial services or 
an entire subsector (Article  14.4).  
4.3.2   National treatment and MFN  
4.12.   The Parties agree to grant MFN and national treatment to:  
 service provider s of the other Party (Articles 13.3 and 13.4 ); 
 investors of the other Party and covered investments with respect to the establishment, 
acquisition, expansion, management, conduct, operation and sale or other disposition of 
investments  in its territory (Articles 12.2 and 12.3 ). 
4.13.   For financial services  which are covered by Chapter 14 , the Parties agree to grant MFN and 
national treatment to investors, financial institutions, investments of investors in financial 
institutions , and cross -border suppliers  of financial services of the other Party  (Articles 14.2 and 
14.3).31 In the case of c ross-border services provider s, the obligation of national treatment applies 
only to the sectors i n which specific commitments have been taken . 
4.3.3   Commercial presence  
4.14.   Unless listed in their reservations,  the Parties cannot require  a service provider of the other 
Party to establish or maintain a representative office or other form of company, or be resident, in 
their territory as a condition for the cross -border supply of a ser vice (Article 13 .6). 
4.3.4   Movement of natural persons  
4.15.   Chapter 17  describes the conditions for the temporary entry of business persons in the 
Parties' territory . It does not apply to measures affecting natural persons seeking access to the 
employment market of a  Party and measures regarding citizenship, nationality, residence or 
employment on a permanent basis (Article  17.1). A national  of a Party refers to a natural person 
holding the nationality of a Party  (Article 17.11) , which mirrors the definition under the Parties' 
                                                
30 Under the Agreement, like under the GATS, the Parties cannot apply measures that : (i) limit the 
number of service suppliers, (ii) the total value of service transactions or assets, (iii) the total number of 
service operations or the total quantity of services output, (iv) the total number of natural persons that can be 
employed in a particular service sector, or that a service supplier can employ; or that (v) restrict or require 
specific types of legal entities or jo int ventures to supply a service.  
31 For financial institutions, investors, and their investments in financial institutions , the obligation of 
national treatment applies with  respect to the establishment, acquisition, expansion, management, conduct, 
operati on and sale or other operations involving investments in the Parties' territory . WT/REG376/1  
 
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  GATS commitments .32 Conditional on compliance with their health, safety, national security , and 
immigration requirements and in accordance with Annex es 17 -B and 17 -C, the Parties commit to 
authorize the temporary entry of : (a) business visitors, (b) traders and investors, and (c) intra -
company transferees.33 Table  4.1 detail s the scope of application for each category, the 
requirements, and the permitted length of stay. The Parties further establish  a Committee on the 
Tempora ry Entry of Business People  (Article 17.5), and agree to review developments related to 
temporary entry  every three years from the date of entry into force of the Agreement with the 
view to broadening disciplines in this area (Article 17.10) .  
Table 4.1 Authorized business persons by the Parties  
Authorized categories and 
scope of application  Specific requirements  Length of 
stay in 
Colombia  Length of 
stay in  
Costa Rica  
Business visitors     
Business visitors who seek to 
engage in one of the business 
activities listed in Appendix  17-
B.1.a The Parties will grant such 
authorization without requiring any 
work permit or employment 
authorization provided that the 
business visitor fulfils certain 
conditions . An entry  visa may  be 
required.  
 90 days 
(non-
renewable)   1 year 
(renewable  
for up to 2 
years ) 
Traders and investors     
Traders and investors who seek to 
(a) carry on substantial trade in 
goods and services principally 
between the Parties or (b) 
establish, develop, or administer an 
investment to which the business 
person or its company has 
committed, or will commit, a 
significant amount of capital .b Neither Party can require any work 
certificate or procedure of similar effect  
as a condition to authorize te mporary 
entry to the applicant; but an entry  
visa may  be required. Quantitative 
restrictions are prohibited.  
 2 years 
(renewable)  1 year  for 
traders and 
90 days for 
investors  
(renewable  
in both 
cases for up 
to 2 years ) 
Intra -company transferees     
Intra-company transferees who 
seek to work as an executive, 
manager or a specialist in a 
company or its subsidiaries.  The Parties may require the applicant 
to have one year of experience in the 
company acquire d within the three 
years prior the application. An entry 
visa may also be required  2 years  
(renewable)  1 year 
(renewable  
for up to 2 
years ) 
a The activities in Appendix  17-B.1 include consultancies, research and design, manufacturing and 
production, sales, a fter-sales services, management, public relations, tourism  and IT services . 
b The Agreement does not provide a definition for "significant amount of capital".  
Source:  Annexes 17 -B and 17 -C of the Agreement.   
4.3.5   Performance requirements  
4.16.   The Agreement prohibits the applicati on of performance requirements with respect to the 
establishment, acquisition, expansion, management, conduct, operation and sale or other 
disposition of an investment by an investor of a Party or a non -party in its territory.34 It also 
                                                
32 For both Parties natural persons cover only nationals under the GATS as neither Party has made any 
notification under GATS Article XXVIII(k) to include residents in the defi nition of natural persons.  
33 These commitments are broader than under the GATS, which cover only the temporary entry of 
managers, legal representatives, and technical specialists (except for professional services) for Colombia and 
managers, administrative directors, supervisors and general executives  of enterprises for Costa Rica.  
34 The performance requirements prohibit ed under Article 12.6  are: (a) to export a given level or 
percentage of goods or services; (b) to achieve a given level or percentage of dom estic content; (c) to 
purchase, use or accord a preference to goods produced in its territory, or to purchase goods from persons in 
its territory; (d) to relate in any way the volume or value of imports to the volume or value of exports or to the 
amount of  foreign exchange inflows associated with such investment; (e) to restrict sales of goods or services 
in its territory that such investment produces or supplies by relating such sales to the volume or value of its 
exports or foreign exchange earnings; (f) to transfer technology, a production process or other proprietary WT/REG376/1  
 
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  prohibits the Partie s from granting an advantage related to an investment in their territories by an 
investor of the other Party or a non -party conditional on certain performance requirements, unless 
the requirement is to locate production, provide a service, train or employ workers, construct or 
expand particular facilities, or carry out research and development in their territories.  
4.17.   Some of these performance requirements are allowed in the case of government 
procurement,  export promotion and external support programmes, and for the determination of a 
good's origin  when claiming preferential treatment.  
4.18.   Technological  requirements in the area of health, security, or environment will not be 
considered in consistent with the Parties' obligations.  The same applies to m easures requi ring 
technological or knowledge transfer provided that the property rights are respected in accordance 
with the WTO Agreement on Trade -Related Aspects o f Intellectual Property Rights (Article 12.6 ). 
4.3.6   Senior Management and boards of directors  
4.19.   The Parties can not impose nationality requirements for senior management positions of a 
company that is a covered investment, but can require that a majority of its board of directors, or 
any committee thereof,  be of a particular nationality, or resident in the territory  of the Party, 
provided that the requirement does not impair the ability of the investor to exercise control over 
its investment (Article  12.5). 
4.3.7   Other investment -related provisions  
4.20.   In addition to the provisions on the denial of benefits, performance requi rements, senior 
management and board of directors, MFN an d national treatment, Chapter 12  on investments 
includes provisions dealing with investment protection , and fair and equitable treatment 
(Article  12.4), health, security, environmental , and labour  measures (Article 12.8 ), corporate  
social responsibility  (Article  12.9),  compensation on an MFN basis in case of armed conf lict or civil 
strife (Article  12.10), expropriat ion and compensation (Article 12.11), transfers (Article  12.11 ), 
special formalities and info rmation requirements (Article  12.14 ), and subrogation (Article 12.15 ). 
It also provides procedures for the settlement of disputes between an investor  and the host Party 
(Articles 12.16 -12.30 ) (see section 5.7) . 
4.4  Liberalization commitments  
4.21.   The liberalization of trade in services and investments follows a "negative list" approach, 
which means that provisions in Chapters 12  (Investments)  and 13 (Cross -border Trade in 
Services)  apply to all sectors, unless otherwise specified in the Parties' li sts of reservations. 
Commitments in financial services  for mode 3  (Chapter 14 ) are also defined using  a negative list  
while for  mode s 1-2 the Parties apply an hybrid approach, that is commitments are scheduled 
according to a positive and negative list (Annex 14 -A and Annex III ).  
4.22.   Annexes I and II to the Agreement contain the reservations on existing and futures 
measures with respect to national and MFN treatment, market access, local presence, performance 
requirements , and senior management and board of  directors in cross -border trade in services and 
investments. Annex III lists reservations for financial services on existing and future measures 
with respect to national and MFN treatment, right of establishment, cross -border trade and senior 
management a nd board of directors. Reservations with respect to national and MFN treatment in 
Annexes I and II also apply to financial services, to the extent that the measure  or activity in the 
reservation is covered by Chapter  14 (Article 14.9 ). 
4.23.   The following sectio ns refer to the Parties horizontal and sector -specific commitments for 
modes 1 -3. Commitments (in terms of scope) in Mode 4 are described in section 4.3.4.  
                                                                                                                                                  
knowledge to a person in its territ ory, except in certain cases; and  (g) to supply exclusively from the territory 
of the Party the goods that such investment produces or the services it  exports. WT/REG376/1  
 
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  4.4.1    Costa Rica  
4.4.1.1   General o verview  
4.24.   Under the Agreement, Costa Rica  made commitments in all the sectors id entified in the 
WTO Services Sector Classification, except for  environmental, and health related and social 
services , while maintaining 45 reservations. Of these reservations, five are horizontal,  one is 
non-sector specific, 36 are sector -specific and three  are multi -sector reservations, that is that they 
apply to more than one sector. Despite these reservations, the commitments  under the Agreement 
are broader than under the GATS as they cover 46 out of 55 subsectors , compared to only 13 
under its GATS  schedule .35  
4.25.   The foll owing sections refer to Costa Rica 's horizontal and sector -specific commitments for 
modes 1 -3 at the national level.  
4.4.1.2   Horizontal commitments  
4.26.   Costa Rica l ists five  horizontal reservations : three for non -conforming existi ng measures, 
and the other two  for non -conforming future measures , all containing different type of restriction s 
including nationality, establishment and local entity requirements. For instance, f oreign companies 
willing to provide services or open branches in Costa Rica  must have a power of attorney in order 
to do so . The acquisition by foreigners of land along t he country's borders is prohibited; and  
concessions to conduct any activity on the Atlantic and Pacific coast lines cannot be granted to  
companies domiciled abroad , domestic companies owned mainly by foreign nationals, or foreign 
nationals residing  in the country for less than  five years.  This reservation is similar to that in the 
GATS but more detail ed. In another reservation affecting the area of government procur ement, 
Costa Rica applies legal entity requirements to winners of a tendering process and shall favour 
Costa Rican tenderer s over foreigner s in case of a tie in the selection p rocess f or the concessions 
of public works contracts . It also reserves the right  to adopt or maintain any measure that grants 
differential treatment to countries under an existing international agreement, as well as to 
countries under any current  or future inte rnational agreement for air services , fisheries and 
maritime related matter s (including salvage).  
4.27.   It also reserves the right to adopt or maintain for any sector any market -access measure 
consistent with its obligations under GATS Article XVI, and not more restrictive than the  
reservations listed in Annex  I.  
4.28.   In addition Costa Ri ca applies three multi -sector reservations on cultural industries, 
business and social services.  Under  the reservation on cultural industries, Costa Rica reserves the 
right to grant preferential treatment to non -parties with respect to investments and cros s-border 
trade in cultural industries as a result of any existing or future bilateral or multilateral international 
agreement. Cultural industries include audiovisual s, distribution,  news agency  and cultural services 
as well as certain subsectors in the ca tegory "other business services" such as printing and 
publishing services .36 Under the second  multi-sector reservation, various service providers  such as 
dentists, economist s, librarians, health professionals, sociologists, and journalists must be 
registere d with the  respective professional association in Costa Rica and  meet certain requirements 
involving a number of criteria, which may vary depending on the profession, such as nationality, 
residency,  exams, accreditations, experience,  and/or social service s. These activities fall under  
different services categories but in general refer to business services. Finally, under the 
reservation on social services, Costa Rica can adopt or maintain any measure with respect to 
investment and cross -border trade in soci al services, including correctional services, income 
                                                
35 This Factual Presentation follows the WTO Services Sector Classification list, which is based on the UN  
Central Product Classification (CPC) (WTO document MTN.GNS/W/120). The list comprises 11 sectors, 
55 subsectors and 154 subsectors' activities.  
36 For Costa Rica, c ultural industries are defined as persons engaged in (a) the publication, distribution, 
or sale of books, magazines, periodicals or newspapers in print or electronic form but excluding the sole 
activity of printing or typesetting any of t he foregoing; (b) the production, distribution, sale or exhibition of  film 
or video recordings; (c) the production, distribution, sale or exhibition of audio  or video music recordings; (d) 
the production , distribution or sale of music in print or machine r eadable form; and (e ) radio communications 
in which the transmissions are intended for direct reception by the general public, and all radio, television and 
cable broadcasting undertakings and all satellite programming  and broadcast network services . WT/REG376/1  
 
- 31 - 
 
  security or insurance, social security, social welfare, public education, public training, health, child 
care, public sewage services, and water supply services.  
4.29.   Costa Rica also maintains two non -sector specific reservations. Under the first one, it 
reserves the right to adopt or grant any rights or preferences to socially or ec onomically 
disadvantaged groups. The second reservation refers  to th e free zones, and provides that 
manufacturing companies estab lished in a Costa Rican Free Zone may introduce  up to 25 % of its 
total sales37 in the domestic market  (or 50% in the case of services suppliers ).  
4.4.1.3   Sector -specific commitments  
4.30.   Costa Rica 's sectoral commitments under the Agreement are in general broader than in the 
GATS although it maintain s various reservations in particular in business, financial, maritime and 
internal waterways transport services . It made commitments in  three out of the  four sectors 
excluded from its GATS  schedul e, namely  communication, distribution, and construction, and 
related engineering services.  It also made broader commitments in ano ther seven sectors , which 
under the GATS are restricted. O verall, its commitments cover 46  out of 55 subsectors, compared 
to only 13 under the GATS. Like in the GATS no commitments were made in environmental and 
health related and social services. Table 4.2 compares Costa Rica 's sectoral commitments under 
the Agreement and under its GATS schedule for modes 1 -3. 
Table 4.2 Costa Rica 's sector -specific liberalization  for modes 1 -3 under the Agreement  
Sectors (CPC Classification)  GATSa RTAsb 
RTA as compared 
to the GATS  Sectoral 
commitments  
Sectoral 
commitments  Reservations  as 
numbered in the RTA  
Existingc 
(Annex I)  Futurec 
(Annex 
II) 
1. Business services        
A. Professional  Services  partial  partial  4 - improved  
B. Computer  and Related  Services  partial  partial  4 - improved  
C. Research  and Development  Services  none partial  12 - new 
D. Real  Estate  Services   none full - - new 
E. Rental/Leasing  Services  without  Operators  partial  full - - improved  
F. Other  Business  Services  none partial  4, 11, 12, 19, 
22, 24 4, 6, 
10, 11  new 
2. Communication services        
A. Postal  services   none none - 8 same  
B. Courier  services   none full - - new 
C. Telecommunication  services  none partial  18  new 
D. Audiovisual  services  none partial  19 4, 9 new 
E. Other  none full - - new 
3. Construction and related engineering 
services       
A. General  construction  work for buildings  none full - - new 
B. General  construction  work for civil  
engineering  none partial  15 - new 
C. Installation  and assembly  work  none full - - new 
D. Building  completion  and finishing  work  none full - - new 
E. Other   none full - - new 
4. Distribution services       
A. Commission  agents'  services  none full - - new 
B. Wholesale  trade services   none partial  17 4, 10 new 
C. Retailing  services    none partial  16, 17  4, 10 new 
D. Franchising    none full - - new 
E. Other  none full - - new 
                                                
37 Companies that only repackage or redistribute  goods without alter them may not introduce any goods 
into Costa Rica’s customs territory . WT/REG376/1  
 
- 32 - 
 
  Sectors (CPC Classification)  GATSa RTAsb 
RTA as compared 
to the GATS  Sectoral 
commitments  
Sectoral 
commitments  Reservations  as 
numbered in the RTA  
Existingc 
(Annex I)  Futurec 
(Annex 
II) 
5. Education services       
A. Primary education services  partial  partial  - 2 improved  
B. Secondary education services  partial partial  - 2 improved  
C. Higher education services   partial partial  - 2 improved  
D. Adult education   none partial  - 2 new 
E. Other education services   none partial  - 2 new 
6. Environmental services       
A. Sewage services   none none - 2, 7 same  
B. Refuse disposal services   none none - 2, 7 same  
C. Sanitation and similar services  none none 25 2, 7 same  
D. Other  none none - 2, 7 same  
7. Financial services       
A. All insurance  and insurance -related  services  none partial  6 8 new 
B. Banking  and other financial  services  partial  partial  1, 2, 3, 4, 5  8 improved  
C. Other  none partial   7,8 new 
8. Health related and social services       
A. Hospital services  partial none - 2 different  
B. Other Human Health Services  none none - 2 same  
C. Social Services  none none - 2 same  
D. Other  none none - 2 same  
9. Tourism and travel related services       
A. Hotels  and restaurants (incl. catering)  partial partial 16 - improved  
B. Travel  agencies  and tour operators  services  partial partial 9 - improved  
C. Tourist  guides  services  partial partial 8 - improved  
D. Other  none partial 15 - new 
10. Recreational and cultural and sporting 
services       
A. Entertainment  services  none partial 19 - new 
B. News agency services  none partial 4, 14 4 new 
C. Libraries, archives, museums and other 
cultural services  none partial 4 4 new 
D. Sporting and other recreational services  partial  partial 15 5 improved  
E. Other  none partial  - 4 new 
11. Transport services        
A. Maritime Transport Services  none partial 5, 15, 20, 23  - new 
B. Internal Waterways Transport  services   none partial 15, 20, 23  - new 
C. Air  Transport  Services  partial  partial 21, 23  - improved  
D. Space  Transport services   none full - - new 
E. Rail  Transport  Services  none partial 7, 23 - new 
F. Road  Transport  Services  none partial 6, 7 - new 
G. Pipeline  Transport services  none full - - new 
H. Services  auxiliary  to all modes  of  
transport  none partial  10 - new 
I. Other  Transport  Services  none full - - new 
a Except as indicated in the GATS horizontal commitments.  
b Except as indicated in the Agreement 's horizontal reservations.  
c Except for reservations in financial services, which are listed in Annex III.  
- No reservations apply.  
Source:  WTO Secretariat based on the Agreement.  WT/REG376/1  
 
- 33 - 
 
  4.4.1.3.1   Business services  
4.31.   In business services, Costa Rica expanded its  GATS commitments under the Agreement  
while maintaining reservations  for some activities . It made full commitments in real estate, 
excluded from its GATS schedule, and in rental/lea sing services without operators, whose coverage 
is limited to private cars services under the GATS. In addition, it made partial commitments in 
research, development, and other business services, all excluded from its GATS schedule; and  
expanded the sectoral and/or modal coverage of professional, and computer and related services.  
4.32.   In research and development,  excluded from the GATS,  it applies establishmen t and 
licensing requireme nts for foreign nationals and  enterprises willing to undertake work with respect  
to the biodiversity  in Costa Rica.  In other business services, Costa Rica listed various reservations 
affecting inter alia  advertising, agriculture, fishing,  and energy. For instance, in advertising, it 
applies legal requirements fo r the establishment of companies  willing to provide these services , as 
well as a residency requirement  for foreign advertising broadcasters/commentators.  In services 
incidental to agriculture, Costa Rica reserves the right to limit the number of concession s to supply 
irrigation services based on demand for those services. In fishing , Costa Rica prohibits  any activity 
by foreign ships , except for tuna seine fishing, and applies licensing requirements for scientific 
fishing.  In services incidental to energy  distribution , Costa Rica reserves for example the right to 
grant concessions for the  transmission, distribution and commercialization  of electricity  based on 
the demand for the service , and to favour existing service providers . It also reserves the right to 
adopt any measure with respect to natural resources (excluding fisheries) including their 
conservation, management, protection, exploration, extraction and exploitation. Other services 
subject to reservations include printing and publishing services (fo llowing the reser vation on 
cultural industries) , investigation and security activities, and any activities involving arms and 
explosives.  
4.33.   In professional and computer services, which under the GATS are limited to medical and 
dental services and to certain computer related activities, Costa Rica applies a reservation  which 
requires that professionals in different areas join professional a ssociations  in Costa Rica  and meet 
any other requirement s establish ed by law including nationality, residency , and qualification 
requirements. T he scope of this  reservation is relatively broad as it applies  inter alia  to engineers, 
architects, accountants,  notaries,  doctors, computer and IT professionals, and nurses.    
4.4.1.3.2   Communication services  
4.34.   In communication servi ces, which are excluded from its GATS schedule, Costa Rica made 
full commitmen ts in courier,  and partial commitments in  telecommunication and audiovisuals 
services, which are subject to some reservations.  In telecommunications, for instance wireless 
servic es may be provided only by the public administration or private parties, in accordance with 
the law or under a special concession  by the Costa Rican Legislative Assembly . Other restrictions 
include  authorization and permit requirements to provide an y telecommunication services as well 
as restrictions on the participation of private companies in State -owned  companies.  
4.35.   In audiovisuals , reservations include domestic content requirements for radio, cinema a nd 
televisi on programming. Moreover, audio visuals  are also covered by the reservation on cultural 
industries (See section 4.4.1.2) . Costa Rica made no commitments in postal services and (radio 
and television) broadcasting as it reserves the right to adopt or maintain any measure with respect 
to investmen t and cross -border trade in these areas.  
4.4.1.3.3   Construction and related engineering services  
4.36.   In construction and related engineering services , unbound under the GATS , Costa Rica 
made one reservation on the development of  tourism marinas and docking facilities , under which 
foreign companies must  be establish ed in Costa Rica to obtain a concession. The reserv ation also 
include s provisions affecting transport , sport and tourism  services.  
4.4.1.3.4   Distribution services  
4.37.   In distribution services, unbound under the GATS, Cost a Rica made full commit ments, 
except in wholesale trade services and retailing serv ices, which are subject to four  reservations. WT/REG376/1  
 
- 34 - 
 
  Costa Rica reserves the right to import and distribute (wholesale)  crude oil and its derivatives  to 
the State, and to limit the  number of concessions for their retail distributors based on the demand 
for the service.  It also applies licensing requirements for the sale of alcoholic beverages  and a 
broad reservation on cultur al services (see section 4.4.1.2 ) affecting inter alia  the distribution and 
sale of books and magazines.  Finally, it also reserves the right to adopt any measure relating to 
the manufacturing, use, sale, storage, transport, and trading of arms and explosives.  
4.4.1.3.5   Education  services  
4.38.   In education services , which are largely unbound under the GATS, Costa Rica  expanded its 
commitments in the area of private  education but made no commitments regarding public 
education, which is covered  by a broad reservation on social services that allows Costa Rica to 
adopt or maintain any measure in public education and training . For private education  services , 
Costa Rica did not list  any reservation .38 
4.4.1.3.6   Environmental services  
4.39.   Like in the G ATS, no commitments were made in environmental services  under the 
Agreement, as they are cover ed by a broad re servation that allows Costa Rica to adopt or ma intain 
any environmental measure with respect to national and MFN treatment, market access, 
performance , management 's nationality, and establishment requirements for investment and 
cross-border trade in services. Some environmental services, such as s ewage services are also 
covered by the reservation on soci al services (See paragraph 4.4.1.2 ). Costa Rica also listed a 
reservation affecting  refuse collection and the  provision of disposal services.   
4.4.1.3.7   Financial services  
4.40.   In financial services, Costa Rica39 made some commitments in insurance and related 
services, excluded under the GATS,  and expanded its existing GATS commitments in banking and 
related services while maint aining eight  reservations, of which two are of general application . 
Under the  latter , Costa Rica  reserves the right to grant preferential treatment to a non -party based 
on existing or future international agreement s, and to apply measures requiring commerc ial 
presence to any foreign financial institution  willing to provide services in its territory , that are 
distinct to those required for  banks and insurance companies . 
4.41.   In insurance  and insurance -related services , Costa Rica  took the same approach as in the 
GATS and made no commitments in mode s 1 and 2 for life insurance services and related auxiliary 
services.  In non -life insurance services,  it goes beyond  the sectoral coverage set out in the 
Understand ing o n Financial Services40, by making  some commi tments in mode s 1 and 2  in 
insurance intermediation  (for the activities committed), in addition to  transportation insurance41, 
reinsurance and retrocession services,  and auxiliary services . Finally, in mode 3, Costa Rica made 
commitments in all insurance an d insurance related services including life insurance services  but 
applies an establishment requirement for foreign companies willing to provide these services 
except for insurance and reinsurance companies.  
4.42.    In banking and other financial services, Costa Rica expand ed sectoral and modal coverage 
which under the GATS is very limited. I n mode 3 , it made commitments in payment and money 
transmission services; guarantees and commitments; trading  activities , participation in security 
markets, money broking, ass et management, settlements and clearing services for financial 
assets ; advisory and other auxiliary financial  services , all excluded under the GATS.  It also made 
commitments in modes 1 and 2 for  advisory and other auxiliary financial services , excluded und er 
the GATS , and like in the GATS for  the provision, processing and transfer of financial information.  
                                                
38 In this regard, the authorities indicated that the authorization requirement for private higher 
education al institutions  listed under the GATS had been abrogated, reason why it was not listed under the 
Agreement.   
39 This section is based on the commitments agreed during the 1998 Negotiations o n Financial Services, 
(document  GATS/SC/22/Suppl.1) which replace  those in the  1994 GATS schedule . Costa Rica has  adopt ed the 
Fifth Protocol to the GATS on fin ancial services.  
40 Which Costa Rica has not adopted.  
41 More specifically in risk insurance relating to maritime shipping, commercial aviation, space launching 
and to goods in inte rnational transit.  WT/REG376/1  
 
- 35 - 
 
  Commitments in this subsector were subject to various restrictions . For instance, it applies an 
establishment requirement  to financial institutions authorized to accept deposits from the public . 
In another example, non-banking financial institutions cannot provide leasing services , which is 
less restrictive than under the GATS which prohibits commercial banks  as well . It also applies 
requirements for certain cooperative organizations and solidarity associations to operate a 
cooperative bank and a solidarity bank, respectively.  
4.4.1.3.8    Health related and social services  
4.43.   Costa Rica  made no commitments in hea lth related and social services as they are subject 
to a broad reservation on social services . This  reservation allows Costa Rica to adopt any measure 
affecting  investment and cross -border trade in social services such as correctional services, income 
security and insurance, social s ecurity, social welfare, h ealth and childcare serv ices. This reflects to 
a large extent its commitments under GATS schedule, which are unbound except for hospital 
services (mode 2) .42   
4.4.1.3.9   Tourism and travel related services  
4.44.   In tourism and travel related services, Costa Rica expands  modal and sectoral coverage , 
and remove s some of the GATS reservations while maintaining three others . Under these 
reservations, Costa Rica applies nationality and residency requirements to licensed tourist guides , 
which is also listed in its GATS  schedule , and reserves the right to limit the number of travel 
agencies authorized to operate in Costa Rica based on demand . It also applies restrictions on 
community -based rural tourism activities , the development of tourism marinas and docking 
facilities, the ac tivities of tourist boats, as well as  licensing requirements for the sale of alcoholic 
beverages  (serving services) in hospitality units such as bars and restaurants . It removed the 
GATS limit ation on  foreign capital participation  in travel agencies and tour operators , which is 
49%, as well as the operation requirements that apply to  a tourist enterprise i n the food -serving 
business.  
4.4.1.3.10   Recreational, cultural and sporting services  
4.45.   In recreational, cultural and sporting services, Costa Rica adds c ommitments in 
entertaining, news agency, libraries, archives, museums,  and other cultural services , which are all 
excluded under the GATS, and expands sectoral and modal coverage in sporting serv ices, 
restricted under the GATS, while maintaining some reservations.  In news agencies, it applies 
restrictions to journalists, including a membership of the respective professional association, but 
allows foreign journalist to cover events in Costa Rica under certain conditions . In entertainment 
services, Costa Rica  maintains limitations on  the number of foreign actors performing in a show , 
while in other recreational services, it reserves the right to adopt or maintain any measure with 
respect to lotter ies, betting and gambling . Restrictions also apply to foreigner s willing to  work as 
librarians, and sports services provided by boats.  Finally, Costa Rica applies a multi -sector 
reservation on cultural industries, which applies inter alia  to news agency, libraries, and  other 
cultural services . 
4.4.1.3.11   Transport services  
4.46.   In transport serv ices, Costa Rica  expands  sectoral coverage by making commitments in all 
transport services, which under the GATS are limited to  air services, but applies  various 
reservations affecting air, rail, road, maritime and intern al waterways transport services, an d 
services auxiliary to all modes of transport.  This is in fact one of the sectors with the  largest 
number of reservations, together with business and financial services.  For instance, in maritime 
and internal waterways transport services, Costa Rica reserves the right to limit the number of 
concessions to supply maritime services in national ports and to supply waterways transport 
services based on their demand for those services, and to favour concessionaires already 
supplying the service.  It also reserves the operation of national railroa ds, docks, and airports to 
the S tate, but may grant  under certain conditions concessions for the operation of  international 
railroads, docks, and airports.  Other  reservations include  restrictions on the ac tivities of a tourist 
boat, and nationality restrictions for the ownership of ships willing to provide certain type of 
                                                
42 In this regard, Costa Rican authorities considered that commitments for hospital services are the 
same under the Agreement than under the GATS (i.e. unrestricted for mode 2).  WT/REG376/1  
 
- 36 - 
 
  waterways transport services.  Cabotage is also reserved to national -flag ships.  In air 
transportation, Costa Rica made commitments in mod es 1 and 2 for aircraft repair and 
maintenance services, selling and marketing of air transport services, and computer reservation 
system services  (limited to mode 2 under the GATS) , and in mode 3 for all air transport services  
but maintain s some reservati ons, in addition to those applying to airports mentioned above.  For 
instance, it applies authorization requi rements based on reciprocity for  foreign companies willing to 
provide air transport services and specialty air services. Other restriction s in this area include 
nationality,  and residency  requirements depending on the activity .  
4.47.   In road transport services, Costa Rica  made commitment s but maintain s various 
reservations, including nationality, establishment,  registration , and licensing  requirem ents 
affecting  companies and/or vehicles. For instance, only Costa Rican nationals or companies can 
supply freight transportation services between two points within the territory of Costa Rica . In 
another example, Costa Rica prohibits vehicles with foreign  license plates from transporting goods 
within its territory , and reserves the  right to limit the number of concession s to operate domestic 
routes for the transportation of passengers . The provision of international transport services  is also 
subject to licensing requirements and capital restrictions.  
4.48.   In rail transport services , Costa Rica reserves the operation of rail transportation  and 
national railroads  to the State, but may grant concessions , if necessary , to privat e entities . 
4.49.   Finall y, in services auxiliary to all modes of transport, Costa Rica  applies nationality 
requirements for customs brokers, and establishment requirements for other customs services 
providers including customs transportation and international freight agents.  
4.4.2   Colombia  
4.4.2.1   General overview  
4.50.   Like Costa Rica, Colombia  made in general broader commitments in all sectors identified in 
the WTO Services Sector Classification, except for health related a nd social services, while listing 
49 reservations. O f these reservations, six are horizontal, two are non -sector specific, 36 are 
sector -specific  and five are multi -sector reservations, that is they apply to more than one sector. 
Some  of these res ervations mirror those in Colombia 's GATS schedule , while others are new or 
have be en removed. A few reservations are also similar to those listed by Costa Rica such as those  
on cultural industries, social services and native populations and minorities.  
4.51.   The following sections refer to Colombia's horizontal and sector -specific commitments for 
modes 1 -3 at the national level.  
4.4.2.2   Horizontal commitments  
4.52.   Colombia listed six  horizontal restrictions , of which some mirror the reservations in its GATS  
schedule, while others are new or have been removed.  For instance,  Colombia maintains und er the 
Agreement the G ATS prohibition on the acquisition by foreigners of land and real est ate in border 
and insular areas , and on foreign investment in waste disposal services (see section 4.4.1.3.6); 
but removes the nationality restriction applying to em ployees of small and medium sized 
enterprises. New reservations include establishment requirements for foreign companies willing to 
exploit a concession granted by the government , as well as well as for i ndividuals willing to provide 
services in the free p ort of San Andres, Providencia and Santa Catalina.  The acquisition of shares 
and assets of an existing State enterprise or governme ntal entity is restricted, a s well as portfolio 
investments in securities in Colombia . Like Costa Rica, Colombia also reserve s the right to grant 
differential treatment to countries under an existing international agreement, as well as to 
countries under any current  or future international agreement involving aviation, fisheries and 
maritime matters (including salvage).   
4.53.   In addition , Colombia maintains five  multi-sector  reservations, of which three are similar to 
those applied by Costa Rica on cultural industries, social services  and market access . The two 
other multi -sector reservations are on state support and domiciliary p ublic services. Under the first  
multi-sector  reservation , Colombia  can adopt or maintain any non -conforming measure with WT/REG376/1  
 
- 37 - 
 
  respect to national and MFN t reatment in cultural industries43, which inclu de audiovisual, 
distribution, entertaining , news agencies,  and cultural services as well as certain  activities falling 
under  "other business services" such as advertising, printing, and publishing services. Under the 
second reservation, Colombia can adopt or maintain any measure with respect to investments and 
cross-border trade in social services such as: social re -adaptation, income security or insurance, 
social security, social welfare, public training and education, health, and childcare . Under the third 
one, Colombia reserves the right to maintain or adopt any m easure with respect to market -access 
in accordance with its obligations under GATS article XVI in investigation and security services; 
research and development services; services incidental to energy distribution; distribution, 
wholesale and retail service s; education services; environmental services; health related and social 
services; professional services related to health; libraries, archives and museums; sporting and 
other recreational services; and transportation services. Under the fourth reservation , Colombia 
reserves the right to adopt any measure that conditions the receipt of government support  on 
domestic content requirements for jewellery design, performing arts , music, visual arts, 
audio visuals and editorials. Finally,  under the fifth multi -sector reservation, Colombia imposes 
legal and local presence requirements to companies willing to supply domiciliary public services, 
which include electricity, gas distribution, basic telecommunication, sewage and refuse disposal 
services .  
4.54.   Finally, Colombia applies, two  reservatio ns that are non -sector specific . It reserves the right 
to maintain any measure that benefit s or grant s preferential treatment to local communities with 
respect to the support and development of expressions  relating to intangible cultural heritage, and 
(like Costa Rica) to socially or economically disadvantag ed minorities and ethnic groups.  
4.4.2.3   Sector -specific commitments  
4.55.   Colombia 's commitments under the Agreement are in general broader than in the GATS 
althoug h it maintained various reservations in particular in business , communication s, financial 
and transport services .44 It made commitments in 50 sub -sectors out of 55, compared to only 13 
under the GATS. It made , for example , full commitments in construction and related engineering 
services, and partial commitments in distribution, environmental, transport and recreational, 
cultural and sporting services, all absent from the GATS. The remaining sectors are subject to 
reservati ons in both the GATS and the Agreement, but commitments are broader under the 
Agreement, except for health related and social services where there are no commitments.  
Table  4.3 compares Colombia 's sectoral commitments under the Agreement and under its GATS  
schedule for modes 1 -3. 
                                                
43 Cultural industries are defined as persons engaged in (a) the publication, distribution, or sale of 
books, magazines, periodicals or newspapers in print or electronic form but excluding the sole activity of 
printing or typesetting any of the foregoing; (b) the production, distribution, sale or exhibition of  film or video 
recordings; (c) the production, distribution, sale or exhibition of audio or video music recordings; 
(d) production or presentation of performing arts; (e) production or  exhibition of visual arts; (f) the production , 
distribution or sale of music in print or machine readable form; (g) design, production, distribution and sale of 
handicrafts; (h) radio communications in which the transmissions are intended for direct reception by the 
general public, and all radio, television and cable broadcasting u ndertakings and all satellite programming and 
broadcast network services; and (i)  creation and design of publicity.  
44 Regarding MFN exemptions under the GATS, Colombia included in its list of exe mptions the following 
sectors: communications (i.e. telecommu nications and audiovisual), transport (i.e. land transport) and financial 
services (i.e. insurance and insurance related services, banking and other financial services). The exempted 
measures grant national treatme nt mainly to Andean countries.  WT/REG376/1  
 
- 38 - 
 
  Table 4.3 Colombia 's sector -specific liberalization for mode 1 -3 under the Agreement at 
the national level  
Sectors (CPC Classification)  GATSa RTAb 
RTA as compared 
to the GATS  Sectoral  
commitments  
Sectoral  
commitments  Reservations as 
numbered in the RTAc  
Existingd  
(Annex I)  Futured 
(Annex II)  
1. Business services       
A. Professional  Services  partial partial 5, 12 1, 12 improved  
B. Computer  and Related  Services  partial full - - improved  
C. Research  and Development  Services  none partial 6 1 new 
D. Real  Estate  Services   none full - - new 
E. Rental/Leasing  Services  without  Operators  partial full - - improved  
F. Other  Business  Services  partial partial 7, 8, 9, 13, 
14 1, 6, 7, 9 improved  
2. Communication services       
A. Postal  services   none partial  16 - new 
B. Courier  services   none partial 16 - new 
C. Telecommunication  services  partial partial 13, 17  - improved  
D. Audiovisual  services  none partial 18, 19, 20, 
21, 22  6, 7, 9, 11  new 
E. Other  none full - - new 
3. Construction and related engineering 
services       
A. General  construction  work for buildings  partial full - - improved  
B. General  construction  work for civil  
engineering  partial full - - improved  
C. Installation  and assembly  work  partial full - - improved  
D. Building  completion  and finishing  work  none full - - new 
E. Other   partial full - - improved  
4. Distribution services       
A. Commission  agents'  services  none full - - new 
B. Wholesale  trade services   none partial  - 1, 6, 8  new 
C. Retailing  services    none partial - 1, 6, 8  new 
D. Franchising    none full - - new 
E. Other  none full - - new 
5. Education services       
A. Primary education services  none partial - 1, 4 improved  
B. Secondary education services  none partial - 1, 4 improved  
C. Higher education services   none partial - 1, 4 improved  
D. Adult education   none partial - 4 improved  
E. Other education services   none partial - 4 improved  
6. Environmental services       
A. Sewage services   none partial 13 1 new 
B. Refuse disposal services   none partial 13, 23  1 new 
C. Sanitation and similar services  none partial - 1 new 
D. Other  none partial  - 1 new 
7. Financial services       
A. All insurance  and related  services  partial partial 5, 7, 8 improved  
B. Banking  and other financial  services  partial partial 1, 2, 3, 4, 6  7, 8 improved  
C. Other  none partial  1, 2, 3, 4, 6  7, 8 improved  
8. Health related and social services       
A. Hospital services  none none - 1, 4 same 
B. Other Human Health Services  none none - 1, 4 same 
C. Social Services   none none - 1, 4 same 
D. Other  none none - 1, 4 same  
9. Tourism and travel related services       
A. Hotels  and restaurants (incl. catering)  partial full - - improved  WT/REG376/1  
 
- 39 - 
 
  Sectors (CPC Classification)  GATSa RTAb 
RTA as compared 
to the GATS  Sectoral  
commitments  
Sectoral  
commitments  Reservations as 
numbered in the RTAc  
Existingd  
(Annex I)  Futured 
(Annex II)  
B. Travel  agencies  and tour operators  services  partial  partial 11 - different  
C. Tourist  guides  services   none full - - improved  
D. Other  none full - - improved  
10. Recreational and cultural and sporting 
services       
A. Entertainment  services (including theatre, 
live bands and circus services)  none partial - 6, 7 improved  
B. News agency services   none partial 10 6, 7 improved  
C. Libraries, archives, museums and other 
cultural services  none partial - 1, 6 improved  
D. Sporting and other recreational services  none partial - 1 improved  
E. Other  none partial - 6, 7, 8 improved  
11. Transport services       
A. Maritime Transport Services  none partial  24, 25, 26  - new 
B. Internal Waterways Transport  none partial  24, 25  13 new 
C. Air  Transport  Services  none partial  24, 27  14 new 
D. Space  Transport   none partial  24 - new 
E. Rail  Transport  Services  none partial  24 1, 13 new 
F. Road  Transport  Services  none partial  24 1, 13 new 
G. Pipeline  Transport  none partial  24 1 new 
H. Services  auxiliary  to all modes  of transport  none partial  15,24  1 new 
I. Other  Transport  Services  none partial  24 1 new 
a GATS horizontal commitments are not considered in the analysis  
b  The Agreement 's horizontal reservations are not considered in the analysis  
c  As Colombia's reservations have not been numbered, the Secretariat has assigned them a number 
according to the order in which they have been listed.   
d Except for reservations in financial services, which are listed in Annex III  
- No reservations apply.  
Source:  WTO Secre tariat based on the Agreement.  
 
4.4.2.3.1   Business services  
4.56.   In business services, Colombia makes full co mmitments in real estate services , computer 
and related services, and rental/leasing services without operators, which were either excluded or 
restricted un der the GATS. In research and development (R &D) services, which are excluded from 
its GATS schedule,  Colombia r equires that any foreign research project on biological diversity in 
Colombia include at  least one Colombian researcher, and r eserves the right to adopt or maintain 
any measure with respect  to market access  for the provision of R&D services .  
4.57.   In professional services, commitments are also broader than under the GATS , which are 
limited to certain modes in legal, taxation, accounting, auditing and bookkeeping services . Under 
the Agreement, Colombia expan ds sectoral coverage by adding eight  professional activities so that 
all professional services are included but maintains reservation s on accounting, legal, health -
related services , and a general reservation on all professional activities. Under the latter , Colombia 
can apply (on a reciproca l basis) any non -conforming measure with respect to national and MFN 
treatment, market access and local presence affecting the provision of professional services. In 
accounting services, Colombia maintains registration and local presence requirements, but no 
longer requires that the accounting degree come from a  Colombian university or a foreign 
institution recognized by the Colombian government.  Colombia also removes  limitations on the 
number of public accountants in public accounting companies. In legal s ervices, it expands the 
sectoral and modal coverage, which in the GATS are limited to certain activities and to modes 1 -2, WT/REG376/1  
 
- 40 - 
 
  but maintains nationality requirements for notaries and r egistrars, as well as authorization 
requirements for the establishment of a notary office. Finally, Colombia reserves the right to apply 
any measure with respect to market access for any health -related professional service .  
4.58.   In other business services, Colombia expand s sectoral coverage45 by making  full 
commitments in all subsector s except for services relating to fishing, mining, investigation, 
security,  energy distribution, printing, publishing, advertising services  and jewellery designing , 
which are subject to reservations  (nine in total) . For instance, services  incidental to fishing , 
Colombia reserves artisanal fishing to Colombians and requires that foreign flagged vessels enter 
in a partnership wi th a Colombian firm to obtain a fishing  permit . Moreover, the price of fishing 
permit s is higher for foreign flagge d vessels. This is more restrictive than its GATS  commitments , 
where services relating to fishing are un restrict ed. In mining, it applies an establishment 
requirement for foreign companies willing to supply services for exploration and exploitation of 
minerals and hydrocarbons for more than one year. This seems more restrictive than in the GATS, 
where full commitments are made in prospecting, drilling and production services . In services 
relating to energy distribution, investigation and security services, Colombia applies the multi -
sector reservation on market access. In addition, in services re lating to energy distribution, the 
marketing and transmission of electricity cannot be conducted by the same company, unless it was  
established in Colombia before 19 94. Other services related to electricity are covered by the 
reservation on domiciliary services , which applies a n establishment and a juridical form 
requirement.  In investigation and security services, companies willing to provide these services 
must comply with local presence and legal entity requirements, as well as with nationality 
requirements for their partners. As for printing, publishing and advertising ser vices, they are all 
covered by the reservation on cultural industries. In advertising and jewellery designing services, 
Colombia reserves the right to adopt or maintain domestic content requirements .  
4.4.2.3.2   Communication services  
4.59.   In communication services,  Colom bia made some commitments in  postal, courier and 
audio visuals services , all of which are excluded from its GATS schedule,  but maintains some 
reservations. In postal and courier services, it applies a local presence requirement to companies 
willing to provi de postal services and specialized postal services  ("mensajeria especializada") .  
4.60.   Audiovisuals services remain  highly restricted. Res ervations  include nationality, 
establishment , legal entity and domestic content requirements,  as well as limitations on foreign 
capital participation. For instance, concessions to provide radio broadcasting services and free -to-
air television services are reserved for Colombians or companies legally established in Colombia. 
Foreign capital participation is limited to 40%  of the capital of a company willing to provide free-
to-air television services.  In subscription -based (pay) television services, Colombia also applies  
local presence requirements, and domestic content quotas for services not delivered by satellite 
transmission. It applies domestic content quotas to national, regional television, and subscription -
based (pay) television services, as well as domestic revenu e quotas to foreign movies show n in 
cinemas. It also reserves the right to apply domestic content quotas to cinematogra phic works 
shown in cinemas , and on free -to-air television channels, as well as to the programming for 
community television, multichannel  free-to-air commercial and advertising. Moreover, Colombia 
reserves the right to adopt measures to guarantee the access of Colombian audiovisual 
programming to its nationals through interactive audio and/or video services. The provision of 
regional televi sion services is reserved for State -owned companies, and that of Community 
television services to communities.  
4.61.   In addition, Colombia maintains some general reservations covering the entire subsector 
such as the reservation on cultural industries , and the reservation on government support, which  
allows Colombia to adopt or maintain any measure granting governmental support that is 
conditional on the level of domestic content.  
                                                
45 Under the  GATS, this subsector is limited to certain activities  mainly related to mining. In this regard, 
the authorities clarified that at the time of scheduling their GATS commitments Colombia did not follow the UN 
Central Product Classification (CPC).     WT/REG376/1  
 
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  4.62.   In telecommunications services, restricted under the GATS, Colombia expanded its 
commitments in both basic46 and value -added telecommunication s while maintaining a few 
reservations. Colombia lifted the capital restrictions in mode 3 under the GATS  but continues to 
apply a local presence requirement to companies willing to exploit a conc ession  for the supply of 
telecommunications services.47 In addition , suppliers of basic telecommunications services are also 
subject to a legal entity requirement according to the reservation on public domiciliary services.  
4.4.2.3.3   Construction and related enginee ring services  
4.63.   In construction and related engineering services, Colombia did not list any reservation s thus 
taking  full commitments in building completion and finishing work services, which is excluded from 
the GATS; as well as in the other four subsectors  classified under this category , which under the 
GATS are limited to certain s ectors and in general to  modes  2-3.48  
4.4.2.3.4   Distribution services  
4.64.   In distribution services, which are excluded from its GATS schedule, Colombia made  full 
commitments except in wholesale and retailing services. These two subsectors are covered by the 
"multi -sector" reservation s on cultural industries  (which affect inter alia  the distribution and sale of 
books , magazines,  and handicrafts ) and on market access  (which allows Colombia  to have a 
monopoly over the distribution of certain goods and services ). Currently, Colombia has exclusive 
control  over distribution services related  to liquor and gambling . In addition, Colombia reserves 
the right to take any  non-conforming measure  with respect to performance requirements and  
national treatment for activities relating  to the design, distribution, retailing, or exhibition of 
Colombian handicrafts.  
4.4.2.3.5   Education services  
4.65.   In education services, which are excluded from the GATS , Colombia made some 
commitments in private education but reserves the right to adopt or maintain any measure on 
market access for primary and secondary educa tion services , and to apply legal entity 
requirements to provide rs of higher  educatio n services.  
4.66.   No commitments were made with respect to public education services which are covered by 
the multi-sector reservation s on social services,  and on market access . As mentioned earlier, 
under the  reservation  on social services , Colombia can adopt o r maintain any measure with 
respect to investment and cross -border trade in social services, including public education and 
training . 
4.4.2.3.6   Environmental services  
4.67.   In environmental services,  which are excluded from its GATS schedule,  Colombia made 
commitments in all subsectors while maintaining some reservations. It reserves the right to adopt 
any measure with respect to market access in environmental services on the basis of public 
interest. It  also applies establishment and legal -entity requirements to companies  willing to 
provide domiciliary public services such as sewage and refuse disposal ; and prohibits , like in the 
GATS, foreign investment in activities related to the processing and disposal of toxic, hazardous or 
radioactive  waste not produced in Colombia . 
4.4.2.3.7   Financial  services  
4.68.   Financial services,  is together with audio visuals, business, and transport services, the sector 
with the largest number of reservations (8 in total) under the Agreement. Of these reservations, 
                                                
46 Basic telecommunication services were  excluded from the 1994 GATS but partially liberalized in its 
1997 GATS schedule  as a result of the Negotiations on Basic Telecommunications (WTO document 
GATS/SC/20/Suppl.2).  
47 Under the GATS, valued -added  telecommunication services are  limited mainly to mode 2, while basic 
telecommunications services are limited to certain services and mainly to modes 1 -2. 
48 For instance for construction works for buildings  GATS commitments are limited to modes 1 -2, while 
for general construction work s for civil engineering , they are limited to  dams and golf courses with no 
restrictions for modes 1 -3. WT/REG376/1  
 
- 42 - 
 
  two apply to the entire sector. Under the fi rst one, Colombia reserves the right to apply legal 
entity and establishment requirements for foreign companies willing to provide any type of 
financial service in its territory . In particular , the establishment of branches are prohibited, except 
for banks  and insurance companies as per another reservation taken under the Agreement (see 
below). Under the second one, Colombia reserves the right to grant preferential treatment to non-
parties under an ex isting international agreement.  
4.69.   Unlike other sectors, Col ombia schedule s its commitments in financial services based on a 
hybrid approach . It uses  both a positive  and negative  list to present activities subject to 
commitments in modes 1 and 2, and a negative list to schedule its commitments for mode 3. In 
insura nce services, Colombia broadened its commitments in modes 1 and 2 for  direct non -life 
insuran ce and insurance intermediation, by covering risk insurance relating to goods transportation 
(i.e. maritime, air, space and freight) and international transfer s, as well as reinsurance and 
retrocession, intermediation activities (including brokerage  for services it has commitments in ), 
and services auxiliary to insurance . Only foreign national who have resided in Colombia for at least 
one year may supply services in  Colombia as an insurance agent.  No commitments were made for 
life-insurance  in modes 1 -2. In mode 3, Colombia made commitments in life -insurance, which is 
excluded under the GATS, while maintaining establishment requirements (see below) . 
4.70.   In banking, Colombia made full commitments in modes 1 and 2 for  the provision and 
transfer of financial information  services ; financial data processing and IT support services ; and 
advisory and othe r auxiliary financial services ( excluding intermediation ), which are unbound 
under the GATS. In mode 3 , it expand ed sectoral coverage  by making some commitments in 
payment and money transmission  services , asset management s ervices, and settlement and 
clearing services for financial assets, all of which are excluded from its GATS  schedule,  while 
maintain ing some reservations  and removing others. In particular, Colombia removes the legal 
entity restriction in its GATS  schedule , under which foreign banks and insurance companies cannot 
operate as a branch. Under the Agreement Col ombia allows the establishment of branches but 
reserves the right to apply any regulations affecting the branch, including  its characteristics, 
relationship to the parent company, and capital requirement s. Colombia also limits the number of 
institutions participating in the Colombian debt security market, and applies capital requirements 
for existing pension funds, and deposit conditions for monetary amounts subject to a court or 
police order. It also reserves the right t o grant advantages or exclusive rights to certain Colombian 
financial entities.  
4.4.2.3.8   Health related and social services  
4.71.   Like in the GATS, Colombia did not undertake any commitment s in hea lth related and social 
services, which are covered u nder the Agreement  by a broad reservation on social services. Under 
the latter, Colombia can take  any measure affecting investment and cross -border trade in social 
services such as correctional services, income security and insurance, social security, social 
welfare, health and childcare services, as well as measures for providing law enforcement.  In 
addition, health related and social services are subject to the multi -sector reservation  on market 
access , under which Colombia can apply any measure on market access for social and health 
services, and health -related professionals.    
4.4.2.3.9   Tourism and travel related services  
4.72.   Colombia made full commit ments for services provided by tourist guides and restaurants , 
both excluded from its GATS schedule. For travel agenc ies and tour operator se rvices, Colombia 
expanded sectoral covera ge, which is restrict ed under the GATS , but requires that foreign 
nationals be domiciled in Colombia to provide  travel and tourism agent services  (excluding tourist 
guide services) within the territory country. This reservation is not listed in its GATS schedule.  
4.4.2.3.10   Recreational, cultural and sporting services  
4.73.   In recreational, cultural and sporting services, which is excluded from  it GATS schedule, 
Colombia made partial commitments  but maintain reservations  in all s ubsectors , including the 
multi-sector reservations on cultural industries, market access and domestic support. The 
reservation on cultural industries  applies to all subsectors , except sporting and other recreational 
services , which are  covered by the reser vation on market access . In addition, the reservation on WT/REG376/1  
 
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  market access applies to libraries , archives and museums services; and the reservation on 
government  support to e ntertaining  and news agency  services , which allows Colombia to  apply any 
measure that conditions the receipt of government support on domestic content requirements for 
jewellery design, performing arts, music, visual arts, audio visuals and editorials. In news agency 
services, Colombia also applies nationality require ments to the director or manager of domestic 
newspapers covering domestic politics. Finally, Colombia reserves the right to apply any non -
conforming measure with its obligations on market access, national treatment and performance 
requirements affecting the design and exhibition of handicrafts (as well as its production, 
distribution and retailing , see section 4.4. 2.2).  
4.4.2.3.11   Transport services  
4.74.   In transport services, which are excluded from its GATS  schedule , Colombia made broader 
commitments but applies reserva tions in  all subsectors.  With eight reservations  listed under the 
Agreement , transport services, is together with financial services, the third most regulated sector 
by Colombia behind the business and communication sectors . These re servations include mainly 
nationality, local presence  and legal  entity requirements , and market access.  For example , 
Colombia requires that companies willing to supply any type of public transport service  within its 
territory must be established in the country. It also  reserves under its multi -sector  reservation on 
market access the right to apply any measure regarding the number of concessions and the total 
number of operations for road transportation passenger services; passenger and freight rail 
transportation services; pi peline transport; services auxiliary to all modes of transport; and other 
transport services.   
4.75.   In addition, in maritime and fluvial transport services, Colombia reserves cabotage services 
to companies  established in Colombia and  Colombian -flag vessels . Foreign-vessels entering 
Colombian ports must also have a legal representative domiciled in Colombia. In another example,  
Colombia  applies legal entity requirements to companies willing to provide port services under a 
concession, which must use only Colombia n flags vessels, except when no Colombian -flag vessel is 
available. In addition, Colombia reserves the right to grant to countries under future international 
agreements different treatment than that granted to the Parties under the Agreement in the area 
of fluvial and land transport services (in cross -border trade).  
4.76.   In air transport services, Colombia made commitments in aircraft repair and maintenance 
services, selling and marketing and computer reservation system services  for modes 1 and 2 and  
in all  air transport services for mode 3  while maintaining some reservations. For example,  
Colombia applie s nationality and establishment restrictions to the o wners of aircrafts for the  supply 
air transport services , and reserves the right to adopt or maintain any measure affecting modes 1 -
3 on the commissions and/or payments that transporter s apply to intermediaries, including travel 
agents.   
4.77.   Finally, i n services auxiliary to all modes of transport, Colombia applies a local presence 
requirement for individuals willing to provide customs services including customs intermediation 
services supply, intermediation for specialized postal services, deposit services for merchandise, 
transportation services an d international cargo services.  
4.5  Regulatory provisions  
4.5.1   Domesti c regulation  
4.78.   Article 13.10  on domestic regulation of the Agreement mirrors to a large extent Article VI of 
the GATS and applies to all measures of general application affecting trade in services, except for 
those covered by a reservation.  For example , the Parties shall ensure that these measures are 
administered in a reasonable, objective and impartial manner. They commit to inform applicants 
about the decision regarding their request for an authorization to supply a service  covered by the 
Agreement , and, i f requested, of the status of their application. They list the GATS criteria that 
must be used to ensure that qualification requirements and procedures, technical standards and 
licensing requirements do not constitute  unnecessary barriers to trade, and  reaffirm their GATS 
commitment s to develop disciplines at the multilateral level  in this area . Once adopted by WTO 
Members,  the Parties agree to jointly review this article with the view to introduc ing the 
corresponding changes.  WT/REG376/1  
 
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  4.79.   In addition to Article 13.10, the Parties include pr ovisions on domestic regulation for 
financial services.  These provisions mirror those in the GATS Annex on Financial services  although 
in some cases are  more detailed . The Parties allow the use of prudent ial measures to ensure the 
stability and integrity of the financial system; or to protect  investors and customers of financial 
services , provided  that it is  not to circumvent the Parties' obligations. Under certain conditions, the 
Parties can also restrict  transfers by a financial institution or cross -border financial services. The 
Parties may adopt or enforce  measures necessary to secure compliance with its laws or regulations 
that are consistent with this Chapter, including measures dealing with the effec ts of a default on 
financial services contracts, provided that they are not applied in a discriminatory manner, or as a 
disguised restriction to  trade or investment (Article  14.10 ). Finally, n one of t he provisions  in 
Chapter 14 – and nothing in the Agreement for that matter - apply to non -discriminatory 
measures by public entities  related to macro prudential, monetary, credit related or exchange rate 
policies.  
4.5.2   Recognition  
4.80.   Article 13.11  of the Agreement on the recognition of professional quali fication s of service 
suppliers incorporate s provisions that mirror those in paragraphs 1 to 3 of GATS Article VII49 but 
also add s some new provisions. Article  13.11 clarifies that when a Party recognizes, autonomously 
or by agreement, the education or experience ob tained, requirements met, or licenses or 
certifications granted in the territory of a non -party, the Party is not obliged to accord the same 
recognition to the other Party. Moreover, the Parties shall encourage the relevant bodies to 
develop standards, criteria and procedures  to recognize the professional qualifications of a service 
supplier in accordance with the principles in Annex 13 -A, and to use them when negotiating a 
recognition agreement.  
4.5.3   Subsidies  
4.81.   Chapter 13 on cross -border trade in s ervices does not apply to  subsidies or grants by the 
Parties . However, t he Parties agree to review this aspect of the Agreement (Chapter 13)  with the 
view to incorporating the results  of the multilateral negotiations  on Article XV of the GATS  once 
these negotiations have concluded, and their outcomes enter into force for  both Parties  
(Article  13.2).  
4.5.4   Safeguards  
4.82.   The Agreement permits the Parties to use safeguards for balance of payments reasons (see 
Section 5.3).  
4.6  Sector specific provisions on trade in services  
4.6.1    Financial services  
4.83.   The Agreement includes a separate chapter o n financial services (Chapter 14 ), which applies 
to measures by a Party affecting: (a) financial institutions of the other Party; (b) investors of the 
other Party, and their i nvestments in financial institutions in the Party's territory; and (c) cross -
border trade in financial services. It does not apply to measures related to activities or services: 
(a) forming part of a public retirement plan or social security system , or (b)  for the account, or 
with the guarantee of the Party or using its financial resources (Article  14.1). The Parties commit 
to establish a Committee on Financial Services  that will monitor the implementation of this Chapter 
and meet once a year, unless agreed  otherwise (Article  14.14) .50  
4.84.   Chapter 14  details the Parties' commitments on cross -border trade, which are scheduled 
according to a positive list approach (A rticle 14.5 ) and their lists of reservations, which apply to 
                                                
49 Like in the GATS, Article 13.11  allows the Parties to recognize autonomously or by agreement, the 
education or experience obtained, requirements met, or licenses or certifications granted by a Party. In case of 
an agreement, the Party must give an opportu nity to the other Party to join; and w here the Party granted 
recognition autonomously, it should provide the other Party the opportunity to demo nstrate that it also 
qualifies  for such recognition. Recognition must not be used as a mean of discrimination among Parties or 
restriction to trade in services.  
50 In this regard, the Parties indicated that the Committee has not yet met . WT/REG376/1  
 
- 45 - 
 
  cross-border trade and investment  (Article 14.9  and Annex III). It also includes provisions on MFN 
and national treatment (see section 4.3.2), exceptions and prudential measures, the right of 
establishment, new financial services, the treatment of financial and confidential information, 
senior management requirements, transparency, self -regulatory organizations, access to payments 
and clearing systems,  data processing, consultations,  and dispute settlement . Some of these 
provisions reflect to a large extent those under the WTO Agreements, while others are more 
detailed or include broader commitments. For instance, the provisions on the recognition of 
prudential measures  mirror to a large extent the GATS Annex on Financial Services , while those on 
the treatment of financial and confidential information are more detailed . Provisions on self -
regulatory organizations and , on payments and clearing systems  also reflect those in the GATS 
Understanding on Commitments in Financial Services (hereafter the GATS Understanding) , which 
neither Party has a dopted , while those on new financial services,  and right of establishment  (see 
section 4.3.1) , are more detailed.  Provisions on cross-border trade are broader under the 
Agreement. There is no provision on the transfer of information and data processing.  
4.85.   In addition, Chapter 14  incorporates a numb er of provisions from Chapters 12  (Investment) 
and 13 (Cross -Border Trade in Services) . These provisions refer to environmental , labor, health 
and security related measures (Article  12.8), expropriation and indemnif ication (Article 12 .11), 
transfers and payments (Article  12.12 and 13 .12), denial of benefits (Artic les 12.13 and 13.13 ), 
and special formalities and info rmation requirements (Article 12.14 ). The provisions for the 
settlement of disputes between a Party an d an investor are  also incorporated in Chapter 14  and 
are applicable for disputes regarding the articles mentioned above, except for labor, health and 
security related measures .  
4.86.   The following paragraphs describe the Parties' main commitments in selected a reas. 
4.6.1.1   Cross-border trade  
4.87.   The Parties shall permit cross -border service providers of the other Party to supply a list o f 
financial services (Annex 14 -A), which is broader than that in the GATS Understanding  as it also 
includes intermediation services and ot her insurance related services .51 The list is almost the same 
for both parties . 
4.88.   The Parties also agree to allow their nationals and any person located in their territory to 
purchase financial services from a provider of the other Party and located in that other Party; but 
they are not obliged to authorize these suppliers to do business or advertise in their territory. The y 
also reserve the right to require the registration or authorization of cross -border financial service 
suppliers of the other Party and o f financial instruments (Article 14.5 ). 
4.6.1.2   New financial services  
4.89.   Like in the GATS Understanding, the Parties commit to grant national treatment to financial 
institutions of the other Party willing to supply a new financial service, but reserve the right under 
the Agreement to apply authorization conditions and impose the legal form of the institution willing 
to provide such service (Article 14.6).  
4.6.1.3   Disclosure of confidential information  
4.90.   The Parties are not required to disclose information relating to the affairs and accounts of 
individual customers of financial institution or services providers; or any confidential information 
whose disclosure could impede law enforcement , be contrary to public interest or damage 
domestic firms' commercial interest  (Articl e 14.7).   
                                                
51 Under the GATS understanding, the commitment on cross -border trade applies to certain non -life 
insurances, reinsurance and retrocession, services auxiliary to insurance, provision and transfer of financial 
information and financial data processing; and  advisory and other auxiliary services (excluding intermediation) 
relating to banking and other financial services.    WT/REG376/1  
 
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  4.6.1.4   Access to payment s and clearing systems  
4.91.   In accordance with their commitments on national treatment, the Parties shall grant  to 
financial servi ce suppliers of the other Party  established in its territory access to payment s and 
clearing systems ope rated by public entities, and to official funding and refinancing facilities , 
excluding access to the Parties’  lender of last resort facilities . These provisions are the same  as 
those  in the GATS Understanding ( i.e. national treatment provision) . 
4.6.1.5   Self-regulatory organizations  
4.92.   Compared to the GATS Understanding (i.e. national treatment provision),  commitments 
regarding self-regulatory organizations are  the same . In both cases, self -regulato ry organizations 
shall grant national  treatment to financia l institutions or services suppliers of the other Party  
(Article 14.12 ).  
4.6.1.6   Transparency  
4.93.   The Parties commit to promote regulatory transparency in financial services, publish in 
advance (if possible) any proposed regulation and provide  interested persons and  the other Party 
with the opportunity to comment on the proposals. The authorities will make publically available all 
requirements necessary to provide a service, to inform applicants within 120 days about the 
decision regarding their request for an authori zation to supply a service covered by the 
Agreement, and, if requested, of the status of their application (Article 14.11) . 
4.6.2   Telecommunications  
4.94.   The Agreement also includes a separate chapter o n telecommunications (Chapter 15 ), which 
applies  to measure s relating to public telecommunications networks or services (including those 
relating to its access and use) and its providers  subject to the reservations listed in Annexes I and 
II. It does not apply to measures affecting broadcast and cable distribution of radio or television 
program ming (Article 15.1 ). Chapter 15  contains inter alia  provisions on the access to and use of 
public telecommunications networks and services , the interconnection with major suppliers , 
regulatory bodies, universal ser vice, proced ures for  authorizations , allocation and use of scarce 
resources, the resolution of domestic telecommunication disputes,  and transparency. Most of these 
provisions, except for that on competitive safeguards, regulatory bodies, and universal services, 
are in  general more detailed or broader than those under the GATS Telecommunications Annex 
and Re ference Paper, wh ich only Colombia  has adopted . In addition, Chapter 15  introduces new 
provisions  on enforcement, and flexibilit y on the choice of technologies . In the event of any 
inconsistency between this Chapter and other Chapters in the Agreement, this Chapter will prevail.  
4.95.   The following paragraphs describe the Parties' main commitments in selected areas.  
4.6.2.1   Access to and use of public telecommunications networks o r services  
4.96.   Provisions on the access to and us e of public telecommunications networks or services 
under the Agreement reflect to a large extent those under the GATS Annex on 
Telecommunications, while adding some novelties. For instance, the Agreement allows  suppliers to 
conduct switching, signalling, processing and frequency conversion functions, in addition to the 
activities list ed in the GATS Annex . The conditions for the access and use  of these network and 
services are also more detailed under the Agreeme nt (Article 15.2) , and  the Parties must ensure 
that any licensing/authorization  procedures are publically available (Article 15.7) .  
4.6.2.2   Conduct of major suppliers of public telecommunications transport networks or 
services  
4.97.   The definition of "major supplier" u nder the Agreement, as well as the provisions on the 
applic ation of competitive safeguards  and interconnection with major suppliers , mirror  those in the 
GATS Reference Paper, but provisions on i nterconnection  are more detailed. For instance, under 
the Agreement the Parties list the mechanisms to ensure that suppliers of public 
telecommunications networks or services of a Party can interconnect their facilities and equipment 
with those of major suppliers of t he other Par ty. The list  include s interconnection agreements WT/REG376/1  
 
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  based on a standard offer by the major supplier, existing or new agreement s, or a decision by the 
corresponding authority requiring interconnection between the major supplier and the services 
providers, or i mposing its conditions (Article 15.5) .  
4.6.2.3   Flexibility on the choice of technologies  
4.98.   No Party shall prevent suppliers of public telecommunications services from choosing the 
technologies they wish to use to supply their services, subject to requirements neces sary to satisfy 
legitimate public policy interests (Article 15.12) . 
4.6.2.4   Enforcement  
4.99.   Each Party shall maintain procedures to enforce their obligations  regarding the use and 
access to public telecommunications networks or services (Article 15.2), interconnection  with 
major suppliers (Article 15.3) and the application of competitive safeguards (Article 15.4). These 
procedures  shall include the ability to impose effective sanctions, such as financial penalties, 
precautionary measures , or the modificatio n, suspensio n or revocation of authorizations 
(Article  15.9) . 
4.6.2.5   Transparency  
4.100.   Provisions on transparency are also more detailed than in the GATS Annex on 
Telecommunications and Reference Paper, and require inter alia  that the Parties make publically 
available al l decisions  by the regulatory body , including the basis for such decisions, the current 
state of frequency bands allocated, as well as  any measure relating to public telecommunications 
networks or services, such as rates and terms and conditions of service . The Parties must also 
ensure that major suppliers make publically available the ir interconnection agreements and offers 
(Article 15.11 ).  
5  GENERAL PROVISIONS O F THE AGREEMENT  
5.1  Transparency  
Under Chapter 19  on transparency, the Parties commit to designate a c ontact point to 5.1.  
facilitate communications between them, and ensure the prompt publication of any measure, law, 
regulation or procedure related to any matter covered by the Agreement (Articles 19.1 and 19.2 ). 
In addition, they shall, upon request and to the  extent allowed by its domestic law , provide to the 
other Party any information and answer any question regarding any issue that could affect the 
application of the Agreement (Article 19 .3).  
Moreover, the Parties shall guarantee that all administrative procedures are in line with 5.2.  
domestic law and follow certain formalities (e.g. provision of prior notice and information, and 
opport unity for hearings) (Articles 19.4 ). The Parties shall establish or maintain judicial or 
administrative pr ocedures to review and correct final administrative actions for matter s covered by 
the Agreement (19.5 ). 
5.2  Current payments and capital movements  
5.3.  Under the Agreement, all transfers relating to the cross -border supply of services and 
investments covered by th e Agreement are to be made freely and without any restriction or delay. 
The Parties can restrict or delay transfers in the case of: (a)  bankruptcy, insolvency or the 
protection of the rights of creditors; (b) issuing, trading, or dealing in securities; (c) criminal or 
penal offences ; (d) financial reporting or record keeping of transfers when necessary to assist law 
enforcement or financial regulatory authorities;  or (e)  ensuring compliance with orders or 
judgments in judicial or administrative proceedings (Articles 12.12  and 13.12 ). 
5.3  Safeguards   
5.4.  In the event of serious difficulties (or threat) related to the balance -of-payments  or 
macroeconomic environment , the Parties can maintain or adopt any restrictive measure affecting WT/REG376/1  
 
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  trade in goods or services , paymen ts or movement s of capital  in accordance with WTO Agreements  
and IMF clauses  (Article 21.5 ).  
5.4  Exceptions  
5.5.  The Agreement incorporates Articles XX of GATT and XIV of GATS on general exceptions 
(including its i nterpretative notes) (Article 21.1 ); and adds provisions on national security  that 
mirror to a large extent those under the GATT and GATS. The Parties can adopt any measure they 
consider necessary to keep peace or protect their essential security interests and have no 
obligation to disclose any inform ation they consider contrary to their essential security interests 
(Article  21.2). 
5.6.  The Agreement 's provisions,  with some exceptions , do not apply to taxation measures  and do  
not affect the rights and obligations of the Parties under any tax convention. In the event of any 
inconsistency between the Agreement and a tax convention, the latter will prevail to the extent of 
the inconsistency (Article  21.3).  
5.7.  Also, nothing in the Agreement shall be construed to require any Party to provide access to 
confidential information, whose disclosure could impede law enforcement , be contrary to the public 
interest or damage domestic firms' (public or private) commercial interest s (Article 21.4).   
5.5  Accession and Withdrawal  
5.8.  Any Party can end the Agreement. The termination wil l take effect 180 days after the 
notification, unle ss the Parties agree otherwise (Article 22.7 ). 
5.9.  The Agreement does not contain provisions on accessions.  
5.6  Institutional framework  
5.10.   The Agree ment foresees the creation of a Free Trade Commission  (hereafter  the 
Commission)  that comprises ministerial -level representat ives from each Party . The Commission is 
the main institutional body of the Agreement , and is responsible, among others, for supervising its 
implementation, assessing its outcomes, monitoring the work of the Committee s established under 
the Agreement, and considering any matter that may affect the operation of the Agreement. It 
shall take all its decisions by consensus and meet at least once a year (Article 20.1) .52 Each Party 
will also designate a coordinator who will follow up on the decisions tak en by the Commission 
(Article 20 .2). 
5.11.   In addition, the Agreement establishes Committees on trade in goods; rules of origin, trade 
facilitation, technical cooperation and mutual assistance in customs matters ; SPS; TBT; financial 
services ; the temporary entry of business persons , and on government  procuremen t.53 
5.7  Dispute settlement  
The Agreement provides for a mechanism for the settlement of disputes between the Parties 5.12.   
(Chapter 18) and between a Party and an in vesto r of the other Party (Chapter 12, Section B ). 
Unless specified otherwise, Chapter 18 applies to any dispute concerning the interpretation and 
application of the Agreement or wherever a Party considers that the other Party has failed to fulfil 
its obli gations under the Agreement; or that an actual measure of the other Party is inconsistent 
with its obligations; or nullifies or impairs the benefits that could have resulted from the 
application of  Chapters 2  (National Treatment and Market Access  for Goods), 3  (Rules of Origin 
and Origin  Procedures), 10 (Government Procurement ) and 13  (Cross -border Trade in Service s) 
(Article  18.2 and Annex 18 -A).  
                                                
52 As of March 2018, the Commission had met twice ( Organization of American States – OAS website , 
http://www.sice.oas.org/TPD/COL_CRI/COL_ CRI_s.asp ).  
53 The Parties indicate that all these Committees have already met, except for the Committees on 
Financial Services, and the Temporary Entry of Business P ersons .  WT/REG376/1  
 
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  For disputes covered by both the Agreement and WTO Agreements , the complaining Party 5.13.   
may select the forum for the settlement of the dispute. Once the forum has been selected, it must 
be used to the excl usion of the other (Article 18.3 ).  
In case of a dispute, the Parties will endeavour to resolve it thr ough consultat ions 5.14.   
(Article  18.4), good offices, conciliation or mediation (Article  18.5) . If consultations fail, the 
complaining Party can request the establishment of an  arbitration panel (Article 18.6), which will 
issue a first report to the Parties within 90 days fr om the date the last member of the panel  was 
selected , with its conclusions, findings and recommendations on the issue under analysis 
(Article  18.11 ). The Parties will receive the final report 30 days following the present ation of the 
preliminary report, u nless the Parties agree otherwise. A Party can request clarifications on the 
report  within the 10 days following its reception (Article 18.12). If the Party fails to comply with 
the panel's ruling and no compensation has been agreed, the complaining Party can suspend the 
benefits granted under the Agreement. The suspension of benefits shall apply until the Party 
complained against has complied or until the dispute has been resolved (Articles 18.13 - 18.14 ). 
Finally, a Party can request the re -establishment of the panel if it considers that the suspension of 
benefits is disproportionate or does not agree with the actions taken to bring the disputed measure 
in conformity with the ruling of the panel. The panel will issue another report addressing these 
issues (Article 18.15 ). 
Chapter 12  also provides for a mechanism to settle disputes between a Party and an 5.15.   
investo r of the other Party ( Chapter 12, Section B ). Under this mechanism, investors (on their own 
behalf or that of an enterprise) can make a claim and see k redress for damages resulting from a 
breach of the host Party' obligations relating to investments (Article 12.17).  
5.8  Relationship with other agreements concluded by the Parties  
5.16.   The Parties confirm their existing rights and obligations with respect to each  other under the 
WTO Agreement and other agreements to which they are party. In the event of any inconsistency 
between these agreements and the Agreement, the latter will prevail to the extent o f the 
inconsistency , unless indicated otherwise in the Agreeme nt (Article 1.2 ). 
5.17.   Table 5.1 lists the notified and non -notified (if any) t rade agreements that have Costa Rica 
or Colombia  as members (excluding the current Agreement).  
Table 5.1 Costa Rica and Colombia: Parti cipation in other RTAs (notified and non -notified 
in force), as of 1 March 2018  
RTA Name  Date of 
entry into 
force  Coverage  GATT/WTO Notification  
Year WTO Provision  
COSTA RICA  
EFTA - Central America  
(Costa Rica and Panama)  19-Aug-14 Goods & 
Services  19-Nov-14 GATT Art. XXIV & GATS 
Art. V  
EU - Central America* 01-Oct-13 Goods & 
Services  26-Feb-13 GATT Art. XXIV & GATS 
Art. V  
Costa Rica - Singapore  01-Jul-13 Goods & 
Services  16-Sep-13 GATT Art. XXIV & GATS 
Art. V  
Costa Rica - Peru 01-Jun-13 Goods & 
Services  05-Jun-13 GATT Art. XXIV & GATS 
Art. V  
Central American Common Market 
(CACM) - Accession of Panama  06-May-13 Goods  24-Apr-17 GATT Art. XXIV  
Mexico - Central America  01-Jul-13 Goods & 
Services  20-Jan-14 GATT Art. XXIV & GATS 
Art. V  
China - Costa  Rica 01-Aug-11 Goods & 
Services  27-Feb-12 GATT Art. XXIV & GATS 
Art. V  
Panama - Costa Rica  
(Panama - Central America)  23-Nov-08 Goods & 
Services  07-Apr-09 GATT Art. XXIV & GATS 
Art. V  
Dominican Republic - Central America 
- United States Free Trade Agreement 
(CAFTA -DR) 01-Jan-09 Goods & 
Services  17-Mar-06 GATT Art. XXIV & GATS 
Art. V  
Canada - Costa Rica  01-Nov-02 Goods  13-Jan-03 GATT Art. XXIV  
Chile - Costa Rica  
(Chile - Central America)  15-Feb-02 Goods & 
Services  16-Apr-02 GATT Art. XXIV & GATS 
Art. V  WT/REG376/1  
 
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  RTA Name  Date of 
entry into 
force  Coverage  GATT/WTO Notification  
Year WTO Provision  
Dominican Republic - Central America  07-Mar-02 Goods & 
Services  06-Jan-12 GATT Art. XXIV & GATS 
Art. V  
Central American Common Market 
(CACM)  23-Sep-63 Goods  24-Feb-61 GATT Art. XXIV  
Costa Rica - CARICOM  15-Nov-05 Goods  Not notified  
Costa Rica - Venezuela  
[LAIA, AAP.A25TM N°26]  27-Jul-94 Goods  Not notified  
COLOMBIA  
EU - Colombia and Peru - Accession of 
Ecuador  01-Jan-17 Goods & 
Services  02-Mar-17 GATT Art. XXIV & GATS 
Art. V  
Republic of Korea - Colombia  15-Jul-16 Goods & 
Services  05-Oct-16 GATT Art. XXIV & GATS 
Art. V  
Pacific Alliance  01-May-16 Goods & 
Services  03-Nov-16 GATT Art. XXIV & GATS 
Art. V  
EU – Colombia, Peru and Ecuador** 01-Aug-13 Goods & 
Services  26-Feb-13 GATT Art. XXIV & GATS 
Art. V  
United States - Colombia  15-May-12 Goods & 
Services  08-May-12 GATT Art. XXIV & GATS 
Art. V  
Canada - Colombia  15-Aug-11 Goods & 
Services  07-Oct-11 GATT Art. XXIV & GATS 
Art. V  
EFTA - Colombia  01-Jul-11 Goods & 
Services  14-Sep-11 GATT Art. XXIV & GATS 
Art. V  
Colombia - Northern Triangle (El 
Salvador, Guatemala, Honduras)  12-Nov-09 
 Goods & 
Services  31-Aug-12 GATT Art. XXIV & GATS 
Art. V  
Chile - Colombia  08-May-09 Goods & 
Services  14-Aug-09 GATT Art. XXIV & GATS 
Art. V  
Colombia - Mexico  01-Jan-95 Goods & 
Services  13-Sep-10 GATT Art. XXIV & GATS 
Art. V  
Global System of Trade Preferences 
among Developing Countries (GSTP)  19-Apr-89 Goods  25-Sep-89 Enabling Clause  
Andean Community (CAN)  25-May-88 Goods  01-Oct-90 Enabling Clause  
Latin American Integration 
Association (LAIA)  18-Mar-81 Goods  01-Jul-82 Enabling Clause  
Colombia - Venezuela  19-Oct-12 Goods  Not notified  
LAIA - Accession of Panama  03-May-12 Goods  Not notified  
Andean Community  14-Dec-06 Services  Not notified  
MERCOSUR - Andean Community 
(except Peru)  
[LAIA,AAP.CE N°59]  05-Jan-05 Goods & 
Services  Not notified  
Colombia - Cuba  
[LAIA,AAP.CE N°49]  10-Jul-01 Goods  Not notified  
Colombia - CARICOM  
[LAIA, AAP.A25TM N°31]  01-Jan-95 Goods  Not notified  
Colombia - Panama  
[LAIA, AAP.A25TM N°29]  18-Jan-95 Goods  Not notified  
LAIA - Cultural Goods  
[LAIA AR.CEYC N°7]  01-Jan-89 Goods  Not notified  
LAIA- Preferences in favour of 
Paraguay [LAIA, AR.AM N°3]  03-Sep-85 Goods  Not notified  
LAIA - Preferences in favour of Bolivia 
[LAIA, AR.AM N°1]  19-Oct-93 Goods  Not notified  
* This Agreement is being applied on a provisional basis according to the notifica tion made by the 
Parties to the Secretariat in February 2013 (see WT/REG332/N/1 and S/C/N/680). As of August 
2017, the Secretariat had not received any information regarding the definitive dates of entry into 
force for this agreement.  
**  The Agreement between the EU and Colombia is being applied on a provisional basis since  1 August 
2013.  
Note:  In 1984  the Parties concluded a partial scope agreement, which the Parties indicated never entered 
into force.   
Source:  WTO Secretariat.  
 WT/REG376/1  
 
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  5.9  Government procurement  
5.18.   Chapter 1 0 contains the Parties' commitments and procedures in government procurement. 
It applies in general to any measure af fecting  procurement  contracts by covered government 
entities of goods, ser vices and construction services, whose  value equals or exceeds a given 
threshold . The Parties' lists of covered  governmental entities are described  in Annex 10 -A (central , 
sub centra l and other entities ) (Article 1 0.1). Exceptions in the coverage apply for both Parties.  
The p rocurement thresholds for each category of entity  are shown in Table 5.2. These thresholds 
are to be reviewed every two years . 
Table 5.2 Procurem ent thresholds agreed by Colombia and Costa Rica  under the 
Agreement  
Thres holds in $USD   Central entities  Sub-central entities  Other entities  
Goods  77,494  552,000  250,000  (or 662,000 for  
certain Costa Rican entities)   
Services  77,494  552,000  250,000  (or 662,000 for  
certain Costa Rican entities)  
Construction  7,777 ,000  7,777 ,000 7,777 ,000 
N° of covered entities  Colombia : 33 entities  
Costa Rica : 24 entities  Colombia : all departments  
and municipalities  
Costa Rica : 81 entities  Colombia : 20 entities  
Costa Rica : 15 entities  
Source:  Annex  10-A of the Agreement.  
 
5.19.   In general , the Parties shall use open tendering, except for certain cases  where single 
source is  allowed  (Article 10.11). The main principles governing the procedures of government 
procurement are national treatment, non -discrimination and transparency. The Parties agree to 
grant national treatment to each other's p roducts, services and suppliers, and to conduct 
procurement proceedings  in a tran sparent and non -discriminatory manner . They also commit not 
to discriminate between suppliers established locally based on the degree of foreign affiliation or 
ownership or on the origin of  the goods or services offered (Article 10.3).  
5.20.   In addition to thes e principles, the Parties include provisions on  security and general 
exceptions , the use of electronic means; the publication of procurement information and notices  
(for current and future tenderings) ; the conditions for participation; the registration and  
qualification of suppliers ; the time limits for the submission of tenders; electronic auctions;  the 
treatment of tenders and awarding of contracts ; the disclosure of informatio n on the procurement 
process; the treatment of confidential information; review  procedures f or suppliers ' challenge s; 
changes in the coverage of the Chapter;  participation of micro, small, and medium enterprises in 
government pro curement ; and cooperation  (Articles 10.4 -10.22) .  
5.21.   The Parties further commit to consider at the request of  a Party the possibility to engage in 
additional negotiations in order to expand the coverage of Chapter 10 ( Article 10 .20).  
5.22.   The Parties shall establish the Committee on Government Procurement, which will be 
responsible for monitoring the implementation o f Chapter 10 and meet at least once a year. The 
first meeting of the Committee shall take place within the first year from the date of the 
Agreement 's entry into force (Article 10.23) .54 
5.23.   Neither Colombia nor Costa Rica are signatories to the WTO Government Procurement 
Agreement, but have observer status, Colombia since February 1996, and Costa Rica since June 
2015.  
5.10  Intellectual property rights  
5.24.   In Chapter 9  on intellectual property rights (IPRs), t he Parties reaffirm their right and 
obligations under the WTO  Agreement on Trade -Related Aspects of Intellectual Property Rights 
                                                
54 In this regard, the Parties indicated that the Committee has met once so far.  WT/REG376/1  
 
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  (TRIPS Agreement), Convention on Biological Diversity (CBD), and under any multilateral treaty  on 
IP (including those administered by WIPO ) to which the Parties are signatories (Article 9. 2).  
5.25.   In accordance with the TRIPS Agreement, the Parties grant national and MFN treatment to 
nationals of the other Party with respect to the protection of intellectual property. Any exception to 
these obligations shall be in accordance with Articles 3, 4 and 5 of the TRIPS Agreement. In 
addition, the Parties include provisions on the protection of trademarks, geographical indicators,  
and copyright and related rights , which in some cases go beyond those under the TRIPS 
Agreement. They also add provisions on  biodiversity, and traditional knowledge, which are not 
specifically covered by the TRIPS Agreement.  
5.26.   Regarding enforcement, the Parties may develop measures, procedures and remedies in 
their national legislations to enforce IPRs. In particular, they must establish procedures allowing an 
IPR holder to submit complaints in case he/she suspects counterfeit or pirated goods are being 
imported into the country so that custo ms authorities can take action. Authorities at the border 
shall also have the ability to take action without any p rior complaint by an IP holder (Article 9.7 ).  
5.27.   The Parties also agree to deepen their cooperation in the area of IPRs and promote research 
activities, innovation and technological transfer through various types of activities, inclu ding the 
exchange of infor mation and co -organization of research  projects and seminars  (Article 9.8) . 
5.10.1   Trademarks and well -known marks  
5.28.   The Parties commit to protect trademarks  in accordance with the TRIPS Agreement. For 
well-known marks, the Agreement exten ds under certain conditions the protection given in Article 
6bis of the Paris Convention and Article 16.3 of the TRIPS, and grants  protection to unregistered 
well-known marks fo r dissimilar goods and services . TRIPS Article 16.3 applies only to registered 
well-known marks.   
5.29.   The Parties commit to  establish a system of registration of trademarks in which any refusal 
by the relevant administration must be duly explained, and appeals are allowed  in accordance with 
their legislations.  Trademarks' r egistrations and applications must indicate the go ods and services 
by their names  grouped accordin g to the Nice Classificatio n; and may not be considered as being 
similar to each other because they have been classified in the same category. Conversely, goods 
or services may not be considered as being dissimilar from each other because they have been 
classified in different categories  (Article 9.3) . 
5.10.2   Geographical indications  
5.30.   The Parties commit to protect the geographical indications  (GI) listed in Annex 9 -A. 
Colom bia's list covers 19 products including "Café de Colombia", "Rosa de Colombia" (roses), and 
"Sombrero de Aguadeño" (hats), while Costa Rica  lists two products: "Banano de Costa Rica" and 
"Café de Costa Rica" . The Parties may expand their list of protected GIs in the future if they wish 
to (Article 9.4).   
5.10.3   Copyright and related rights  
5.31.   The Parties recognize their rights and obligations under four  WIPO -administered Treaties, 
namely : the Berne Convention, Rome Convention, the WIPO Copyright Treaty and the WIPO 
Performances and Phonograms Treaty. In accordance with these treaties and their legislation, the 
Parties shall provide adequate and effective protection to the authors of literary and artistic works, 
interpreters and performers, producers of phonograms and broadc asting organizations .  
5.32.    The Parties also include a provision on moral rights, which mirror s Article 6bis of the Berne 
Convention  for the protection of literary and artistic works , except that they extend its application 
to interpreters and performers . Under this provision, authors or performers, regardless of their 
economic rights, and even after the transfer of the said rights, shall have the right to claim 
authorship of the work or performances (live or fixed) and to object to any modification or re lated 
action that would be prejudicial to their honour or reputation. After their death, these rights shall 
be exercisable by the persons or institutions authorized by the legislation of the country where 
protection is claimed.  WT/REG376/1  
 
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  5.33.   The Parties may include exceptions or limitations i n their legislations to authors ' rights and 
related  rights provided they do not conflict with the normal expl oitation of the work and do not  
cause unreasonably prejudice to the legitimate interests of the IPR holder (Article 9.6).  
5.10.4   Provisions on biodiversity  and traditional knowledge  
5.34.   The Parties reaffirm their right and obligations under the CBD with respect to their 
sovereign rights over their natural resources and the access to biological and genetic resources in 
accordance with dome stic and international standards. In accordance with the Doha Declaration 
(paragraph 19) t he Parties  also reiterate their support to undertake work at the multilateral level 
to inter alia  examine the relationship between the TRIPS Agreement and the CBD, and the 
protection of traditional knowledge and folklore . 
5.35.   The Parties recognise the importance of knowledge, innovations and practices of indigenous 
and local communities and their contribution to the cultural heritage  and economic and social 
devel opment o f countries . They commit to respect, preserve and maintain such traditional 
knowledge , and to take measures to ensure the equitable sharing of the benefits arising from its  
utilization , as well as from the utilization  of biological and genetic resources . The use of t raditional 
knowledge  and access to biological and genetic resources  is subject to the prior consent o f the 
holders of such knowledge and the Parties , respectively . In accordance with their legislations, the  
Parties shall require  the disclosure of the origin or source of genetic resources and  associated 
traditional knowledge in patent applications,  as well as proofs that these resources or knowledge 
have been legally accessed.  
5.36.   The Parties also include various provisions on the exchange  of inform ation.   
5.11  Other provisions  
5.11.1   Electronic commerce  
5.37.   Chapter 16 on electro nic commerce  applies to any measure  affecting trade delivered 
through any electronic mean and covered by Chapters 12, 13, 14 and 15.  It prohibit s the 
application of customs duties, fees or c harges on or in connection with the import or export of 
digital products transmitt ed electronically (Article 16.3 ) but also incl udes provisions to enhance 
consumers' protection, data protection, and to promote cooperation and paperl ess procedures 
(Articles  16.4-16.17 ). In the event of any inconsistency between this chapter and other chapters in 
the Agreement, the other chapter will prevail to the extent of the inconsistency (Article 16.18 ). 
5.11.2   Competition  
5.38.   In Chapter 11  on competition policy, and consumer protection , the Parties comm it to adopt 
or maintain laws  dealing with  these issues , and establish an authority responsible for their 
application. The Parties further recognize the importance of cooperation and coordination between 
their authorities to prom ote the application of competition and consumer protection law, and  
commit to cooperate on issues of law enfo rcement through for example notifications  (Article 11.4) , 
exchange of information  (Article 11. 5), and consultations  (Article 11.6) . The Parties may  also 
conclude agreements to strength  their cooperation  (Article 11.3) . The Parties or investor s cannot 
invoke the Agreement's dispute settlement mechanism s for an y competition  or consumer 
protection  issue (Article 11.7 ).  
5.11.3   Environment and Labour  related provisions  
5.39.   The Parties recognize that it is inappropriate to promote investment in their territories by 
relaxing  or reducing protection afforded by their legislation in the area of environment, labour, 
health and security; and thus commit to ensur e that its legislation is properly applied. Moreover, 
nothing in the  Chapter  on investment  shall be construed to prevent a Party from applying or 
adopting any measure (consistent with the Agreement) to ensure that investment s in its territory 
take into acc ount environmental , labour, health and security  concerns  (Article 12.8) . WT/REG376/1  
 
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  ANNEX 1  
1. Tables A1.1 -A1.2 present the Parties' tariff elimination schedule by total, agricultural and 
non-agricultural products. In the case of Costa Rica, the overall share of duty -free tariff lines rose 
from 2% in 2016  to 70 .5% upon the Agreement's entry into for ce and the a verage applied tariff 
faced by Colombian  exporters went from 6.9% to 3.7 % (Table A1.1), giving them a rel ative 
margin of preference of 46 %. For agricultural products the share of duty -free tariff lines increased 
from almost none to 59.2 % and th e average tariff rate fell to 8.7% from 14.1 %. For non -
agricultural goods, the share of duty -free tariff lines went from 2.4% to 72 .5% an d the average 
tariff fell from 5.7% to 2.8 % upon the Agreement's entry into force. In both cases, Colombian 
exporters b enefited from a relative margin of preference of about 38% and 51 %, respectively. At 
the end of the implementation period the share of duty free lin es is expected to increase to 95.8 % 
overall, 81 .1% for  agricultural products and to 98.3 % for non-agricultural products.  
Table A1.1 Costa Rica : Indicators of MFN tariff rates and preferenti al rates for imports 
from Colombia  
Origin 
of 
goods  Year ALL PRODUCTS  Agricultural productsa Non-agricultural products  
Average applied 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
MFN 2016 6.9 7.1 2.0 14.1 14.1 0.0 5.7 5.8 2.4 
Colombia  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 2016 3.7 12.5 70.5 8.7 21.2 59.2 2.8 10.3 72.5 
2017 3.4 11.5 70.5 8.3 20.4 59.2 2.5 9.2 72.5 
2018 3.1 10.4 70.5 8.0 19.6 59.2 2.2 8.1 72.5 
2019 2.8 9.4 70.5 7.7 18.8 59.2 1.9 6.9 72.5 
2020 2.5 9.6 74.6 7.3 21.2 65.4 1.6 6.7 76.2 
2021 2.2 8.7 74.6 7.2 20.7 65.4 1.4 5.7 76.2 
2022 2.0 7.8 74.6 7.0 20.1 65.4 1.1 4.7 76.2 
2023 1.7 6.8 74.6 6.8 19.6 65.4 0.9 3.6 76.2 
2024 1.5 5.9 74.6 6.6 19.0 65.4 0.6 2.6 76.2 
2025 1.2 13.9 91.0 6.4 25.3 74.8 0.4 5.9 93.8 
2026 1.2 13.5 91.0 6.3 25.1 74.8 0.3 5.3 93.8 
2027 1.2 13.9 91.5 6.3 24.9 74.8 0.3 5.2 94.4 
2028 1.1 13.5 91.5 6.2 24.7 74.8 0.3 4.7 94.4 
2029 1.1 13.1 91.5 6.2 24.5 74.8 0.2 4.2 94.4 
2030 1.1 25.5 95.8 6.1 32.4 81.1 0.2 12.1 98.3 
a WTO Definition.  
Note:  For lines subject to TRQs , only the out -of-quota rate  is included in the calculation  of averages .  
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by Costa Rica.  
 
2. For Colombia , the overall share of dut y-free tariff lines rose from 3.5% to 69 % upon the 
Agreement's entry into force, and the average applied tariff fell from 11.5% to 8.8 % (Table A1.2), 
giving Costa Rican  exporters a rel ative margin of pr eference of 23 %. For agricultural goods, the 
average tariff rate fell to 8.1% from 15.1%; and to 2.7% from 7.6 % for non -agricultural products, 
resulting in a relative margin of preference for Costa Rican exporters to Colombia of 46% and 
72%, respectively. As for the share of duty -free lines, it went from almost none to 52 .4% for 
agricultural products and from 4.1 % to 71.7 % for non -agricultural products. At the end of the 
implementation period this share  is expected to increase to 72 % for ag ricultural products, 98.3% 
for non -agricultural products , and to 94.6 % overall.  
 WT/REG376/1  
 
- 55 - 
 
  Table A1.2 Colombia : Indicators of MFN tariff rates and preferenti al rates for imports 
from Costa Rica  
Origin of 
goods  Year ALL PRODUCTS  Agricultural productsa Non-agricultura l products  
Average applied 
tariff  
Share of duty -
free tariff 
lines (%)  Average applied 
tariff  
Share of duty -
free tariff 
lines (%)  Average applied 
tariff  
Share of duty -
free tariff 
lines (%)  Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
MFN 2016 8.5 8.8 3.5 15.1 15.1 0.0 7.6 7.9 4.1 
Costa Rica  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 2016 3.4 11.5 69.0 8.1 21.0 52.4 2.7 9.7 71.7 
2017 2.9 9.9 69.0 7.7 19.9 52.4 2.3 8.1 71.7 
2018 2.5 8.5 69.2 7.2 19.8 54.2 1.8 6.4 71.7 
2019 2.0 6.9 69.2 6.8 18.6 54.2 1.4 4.8 71.7 
2020 1.6 11.4 84.5 6.4 21.8 60.6 0.9 7.8 88.4 
2021 1.4 10.3 84.5 6.1 21.1 60.6 0.8 6.6 88.4 
2022 1.3 9.3 84.5 5.9 20.4 60.7 0.6 5.4 88.4 
2023 1.1 8.2 84.5 5.7 19.7 60.7 0.5 4.2 88.4 
2024 1.0 7.1 84.5 5.5 19.0 60.7 0.3 3.0 88.4 
2025 0.8 22.3 94.3 5.3 29.4 70.1 0.2 11.9 98.3 
2026 0.8 22.2 94.3 5.3 29.3 70.1 0.2 11.9 98.3 
2027 0.8 22.3 94.4 5.3 29.5 70.2 0.2 11.9 98.3 
2028 0.8 22.3 94.4 5.3 29.6 70.3 0.2 11.9 98.3 
2029 0.8 22.3 94.4 5.2 29.5 70.3 0.2 11.9 98.3 
2030 0.8 23.7 94.6 5.2 33.0 72.0 0.2 11.9 98.3 
a WTO Definition.  
Note:  For lines subject to TRQs, only the out -of-quota rate is considered to compute the average tariff , 
while lines su bject to the price -band system are excluded from the calculation.   
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data  provided by Colombia's authorities.  
 
3. Table A1.3 shows market  access opportunities for Colombia 's top 25 exports in Costa Rica's 
market. These produc ts accounted for 81.3 % of its world exports during 2013 -2015 and covered 
80 tariff lines at the HS 6 -digit level. Of these lines, eight  were already duty free on a MFN basis in 
2016, and another 42 became duty free upon the Agreement's entr y into force. By 2030, another 
16 lines will be liberalized and 22 lines will continue to be subject to duties. In 2016, t he average 
applied MFN rate for the se 22 products ranged from 6% for palm oil to 46 % for  sugar.  
Table A1.3 Costa Rica : Market access o pportunitie s under the agreement for Colombia 's 
top 25 exports to the world  
Colombia's top export products  
in 2013 - 2015  Access Conditions to Costa Rica's import 
markets  
HS number and description of the 
product  Share in 
global 
exports 
(%) MFN 2016  No. of duty 
free lines 
under the 
agreement  
Remain Dutiable  Average 
MFN 
applied 
rate (%)  
No. of 
dutiable 
lines  
No. of 
duty free 
lines  
2016  
2020  
2025  
2030  
270900  Petroleum oils and oils 
obtained from bituminous 
minerals, crude  44.4 1.0 2  2     WT/REG376/1  
 
- 56 - 
 
  Colombia's top export products  
in 2013 - 2015  Access Conditions to Costa Rica's import 
markets  
HS number and description of the 
product  Share in 
global 
exports 
(%) MFN 2016  No. of duty 
free lines 
under the 
agreement  
Remain Dutiable  Average 
MFN 
applied 
rate (%)  
No. of 
dutiable 
lines  
No. of 
duty free 
lines  
2016  
2020  
2025  
2030  
270112  Bituminous coal, whether or 
not pulverised, non -
agglomerated  11.3 6.0 1  1     
090111  Coffee  4.6 13.8 4      4 
271019  Medium oils and 
preparations, of petroleum 
or bituminous minerals, not 
containing biodiesel, n.e.s.  4.3 5.1 7 6 7     
710812  Gold, incl. gold plated with 
platinum, unwrought, for 
non-monetary purposes  3.0 6.0 1  1     
080390  Fresh or dried bananas..  1.5 15.0 3    3   
271012  Light oils and preparations, 
of petroleum or bituminous 
minerals which >= 90% by 
volume "incl. losses" distil at 
210°c "astm d 86 method"  1.4 5.0 5 2 5     
060319  Fresh cut flowers and buds, 
of a kind suitable for 
bouquets or for ornamental 
purposes  1.2 15.0 12      12 
720260  Ferro-nickel  1.2 1.0 1  1     
870323  Motor cars and other motor 
vehicles principally designed 
for the transport of persons, 
incl. station wagons and 
racing cars, with spark -
ignition internal combustion 
reciprocating piston engine 
of a cylinder capacity > 
1.500 cm³ but <= 3.000 
cm³ 0.8 6.6 10  10     
270400  Coke and semi -coke of coal, 
of lignite or of peat, whether 
or not agglomerated; retort 
carbon  0.7 1.0 2  2     
060311  Fresh cut roses and buds, of 
a kind suitable for bouquets 
or for ornamental purposes  0.7 15.0 1      1 
390410  Poly "vinyl chloride", in 
primary forms, not mixed 
with any other substances  0.6 1.0 1  1     
300490  Medicaments consisting of 
mixed or unmixed products 
for therapeutic or 
prophylactic purposes, put 
up in measured doses "incl. 
those in the form of 
transdermal administration" 
or in forms or packings for 
retail sale 0.6 3.5 6  6     
170490  Sugar confectionery not 
containing cocoa, incl. white 
chocolate  0.6 15.0 1    1   
390210  Polypropylene, in primary 
forms  0.6 1.0 1  1     WT/REG376/1  
 
- 57 - 
 
  Colombia's top export products  
in 2013 - 2015  Access Conditions to Costa Rica's import 
markets  
HS number and description of the 
product  Share in 
global 
exports 
(%) MFN 2016  No. of duty 
free lines 
under the 
agreement  
Remain Dutiable  Average 
MFN 
applied 
rate (%)  
No. of 
dutiable 
lines  
No. of 
duty free 
lines  
2016  
2020  
2025  
2030  
170199  Cane or beet sugar and 
chemically pure sucrose, in 
solid form  0.5 46.0 1      1 
740400  Waste and scrap, of copper  0.5 1.0 1  1     
271121  Natural gas in gaseous state  0.5 1.0 1  1     
210111  Extracts, essences and 
concentrates, of coffee  0.5 15.0 1      1 
060312  Fresh cut carnations and 
buds, of a kind suitable for 
bouquets or for ornamental 
purposes  0.4 15.0 1      1 
380892  Fungicides  0.4 3.5 2  1 1    
151110  Crude palm oil  0.3 6.0 1      1 
380891  Insecticides  0.3 6.6 7   5 2   
961900  Sanitary towels (pads) and 
tampons, napkins and 
napkin liners for babies, and 
similar articles, of any 
material  0.3 11.0 7  2  3 1 1 
Total  81.3 8.6 80 8 42 6 9 1 22 
Note:   Based on the HS 2012 nomenclature . 
Source:   WTO estimates based on data provided by Costa Rica and UNSD, Comtrade database.  
4. Table A1.4 shows market  access opportunities for Costa Rica's top 25 exports in the 
Colombian  market.  These exports, which covered 90  lines at the HS 6-digit level, accounted for 
63% of Costa Rica's global exports during 2013 -2015. Of these lines, 35  were liberalized upon the 
Agreement's entry  into force and another 36 will be liberalized in 2027 . Nineteen  lines will remain 
dutiable.   
Table A1.4 Colombia : Market access opportunitie s under the agreement for Costa Rica 's 
top 25 exports to the world  
Costa Rica's top export products  
in 2013 - 2015  Access Conditions to Colombia's import markets  
HS number and description of the 
product  
Share in global 
exports (%)  MFN 2016  No. of duty free 
lines under the 
agreement  
Remain Dutiable  Average 
MFN 
applied 
rate (%)  
No. of 
dutiable 
lines  
No. of 
duty free 
lines  
2016  
2020  
2025  
2027  
854231  Electronic integrated circuits as 
processors and controllers, 
whether or not combined with 
memories, converters, logic 
circuits, amplifiers, clock and 
timing circuits, or other circuits  12.6 5.0 1  1     
080430  Fresh or dried pineapples  7.9 15.0 1     1  
080390  Fresh or dried bananas  7.8 15.0 4    4   WT/REG376/1  
 
- 58 - 
 
  Costa Rica's top export products  
in 2013 - 2015  Access Conditions to Colombia's import markets  
HS number and description of the 
product  
Share in global 
exports (%)  MFN 2016  No. of duty free 
lines under the 
agreement  
Remain Dutiable  Average 
MFN 
applied 
rate (%)  
No. of 
dutiable 
lines  
No. of 
duty free 
lines  
2016  
2020  
2025  
2027  
901839  Needles, catheters, cannulae and 
the like, used in medical, surgical, 
dental or veterinary sciences  6.8 5.0 1   1    
901890  Instruments and appliances used 
in medical, surgical or veterinary 
sciences, n.e.s.  5.5 5.0 2  2     
210690  Food preparations, n.e.s.  3.5 10.7 15  2 1 8  4 
902139  Artificial parts of the body  2.8 5.0 2  2     
090111  Coffee  2.7 10.0 2      2 
401110  New pneumatic tyres, of rubber, 
of a kind used for motor cars, 
incl. station wagons and racing 
cars 1.2 10.0 2   2    
854449  Electric conductors, for a voltage 
<= 1.000 v, insulated, not fitted 
with connectors, n.e.s.  1.2 7.5 2      2 
961900  Sanitary towels (pads) and 
tampons, napkins and napkin 
liners for babies, and similar 
articles, of any material  1.1 11.7 9  2 4 2  1 
300490  Medicaments consisting of mixed 
or unmixed products for 
therapeutic or prophylactic 
purposes, put up in measured 
doses "incl. those  in the form of 
transdermal administration" or in 
forms or packings for retail sale  1.1 7.9 7  7     
300210  Antisera and other blood fractions 
and immunological products, 
whether or not modified or 
obtained by means of 
biotechnological processes  1.0 5.0 8  8     
151110  Crude palm oil  0.9 0.0 1      1 
170114  Raw cane sugar, in solid form, 
not containing added flavouring 
or colouring matter  0.7 0.0 1      1 
392690  Articles of plastics and articles of 
other materials of heading 3901 
to 3914, n.e.s  0.7 10.6 9  2 4 2  1 
701090  Carboys, bottles, flasks, jars, 
pots, phials and other containers, 
of glass, of a kind used for the 
commercial conveyance or 
packing of goods, and preserving 
jars, of glass  0.7 10.0 4      4 
071410  Fresh, chilled, frozen or dried 
roots and tubers of manioc 
"cassava", whether or not sliced 
or in the form of pellets  0.6 10.0 1  1     
200941  Pineapple juice, unfermented, 
brix value <= 20 at 20°c, 
whether or not containing added 
sugar or other sweetening matter  0.6 15.0 1    1   
080719  Fresh melons (excl. watermelons)  0.6 15.0 1   1    
853669  Plugs and sockets for a voltage 
<= 1.000 v  0.6 5.0 1   1    WT/REG376/1  
 
- 59 - 
 
  Costa Rica's top export products  
in 2013 - 2015  Access Conditions to Colombia's import markets  
HS number and description of the 
product  
Share in global 
exports (%)  MFN 2016  No. of duty free 
lines under the 
agreement  
Remain Dutiable  Average 
MFN 
applied 
rate (%)  
No. of 
dutiable 
lines  
No. of 
duty free 
lines  
2016  
2020  
2025  
2027  
210390  Preparations for sauces and 
prepared sauces; mixed 
condiments and seasonings  0.6 15.0 3   1 2   
401693  Gaskets, washers and other seals, 
of vulcanised rubber  0.6 15.0 1   1    
200899  Fruit and other edible parts of 
plants, prepared or preserved, 
whether or not containing added 
sugar or other sweetening matter 
or spirit  0.6 15.0 3      3 
081190  Frozen fruit and nuts, uncooked 
or cooked by steaming or boiling 
in water, whether or not 
sweetened  0.5 10.0 8  8     
Total  63.0 9.3 90 - 35 16 19 1 19 
Note:  For lines subject to TRQs, only the out -of-quota rate is considered to compute the average tariff, 
while lines subject to the price -band system are excluded from the calculation.  
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates based on data provided by Colombia  and UNSD, Comtrade database.  
__________