Panama opens the door to dialogue with Costa Rica, but demands "the same rules"

Panama is willing to sit down to talk with Costa Rica, but only under "the same rules" and on equal terms for both countries.

This was stated by the Minister of Commerce and Industries, Julio Moltó, amid the new diplomatic attempt to reduce bilateral tensions that have escalated around trade, phytosanitary controls and the restrictions imposed on Panamanian products during the last few months.

"Costa Rica is a brother country," Moltó declared, referring to the recent meeting held in New York between Panamanian Foreign Minister Javier Martínez-Acha Vásquez and the new Costa Rican Foreign Minister, Manuel Tovar. The Panamanian minister assured that the meeting was "very warm" and allowed for discussion on various topics of the bilateral relationship.

“Definitely, once again, we are friendly countries and we are always willing to talk under the same conditions, taking care of the Panamanian producer, as deserves the same respect as the Costa Rican producer”, expressed the head of the Ministry of Commerce and Industries.

Moltó's statements come at a time when Panama and Costa Rica are trying to rebuild channels of dialogue after weeks marked by political and commercial tensions. Poultry, meat, and agro-industrial products are among the main sectors affected by trade and phytosanitary restrictions between Panama and Costa Rica. File

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One of the main points of conflict has been precisely the commercial exchange and sanitary restrictions. Panama maintains that national producers have faced obstacles for years to export poultry, meat and agro-industrial products to Costa Rica, despite meeting international standards and exporting to highly demanding markets such as the United States, Europe and Asia. "Panamanian producers, as well as Costa Rican producers, must comply with the same phytosanitary rules," Moltó stated. The official insisted that Panama will not reduce its health controls nor compromise its quality standards to facilitate the entry of goods. "Panama is not going to sacrifice its phytosanitary, sanitary, and health standards," the minister stated. He added that the producing plants of both countries must undergo "the same revisions" and meet identical technical requirements. The trade conflict even reached the World Trade Organization (WTO), where a process related to the restrictions and trade barriers applied between both nations remains open. Minister Julio Moltó assured that Panama is willing to dialogue with Costa Rica under "the same rules". Taken from the MICI Tensions escalated with the arrival to power of the Costa Rican President Laura Fernández, who hardened the discourse against Panama and assured that she will defend the producers of her country against what she considers unjustified restrictions for the entry of Costa Rican goods. Fernández recently moved the conflict to the Costa Rican Chancellery and announced diplomatic and international actions related to the trade dispute. He also stated that he will not allow "any imbalance in the commercialization and export of Costa Rican products." “I have always said, under equal rules for both parties and opportunities that arise, both for Panamanian producers who have already been exporting to Costa Rica for many decades, and the opportunities to complement each other as nations,” he pointed out. The minister also recalled that Panama maintains an intense economic relationship with Costa Rica and the rest of Central America, including energy exports and constant regional trade. Foreign Ministers Javier Martínez-Acha and Manuel Tovar held a meeting in New York to reduce bilateral tensions. Credit: Ministry of Foreign Affairs and Worship

The recent meeting between Foreign Ministers Javier Martínez-Acha and Manuel Tovar at the United Nations headquarters was interpreted as a sign of diplomatic rapprochement after several months of public confrontation. Both governments agreed to promote binational working groups to address issues related to security, migration, trade, and customs.

According to the information released by both foreign ministries, the objective is to build "a constructive dialogue" that allows addressing common challenges and avoiding a further escalation in bilateral differences. Despite the tensions, Moltó insisted that Panama maintains a willingness to dialogue as long as there is reciprocity. "I am sure that as brother countries at a table we can find a solution," the minister affirmed, who reiterated that the country will continue to defend its phytosanitary controls and the right of Panamanian producers to compete on equal terms