Belize's Import Economy: A Gateway To Central America

Belize's economy is small and primarily based on agriculture, tourism, and services. The country's imports include refined petroleum, passenger and cargo ships, rolled tobacco, petroleum gas, and computers. The top import sources are the United States, China, Guatemala, Mexico, and Canada.

Belize's import landscape is shaped by its membership in regional trade blocs like CARICOM and its proximity to North and Central American countries. The country's imports are subject to various regulations, duties, and taxes, with some goods restricted or prohibited.

Belize's top imports

Belize's economy is small and primarily based on agriculture, tourism, and services. The country's top imports are:

• Refined petroleum ($255 million)
• Passenger and cargo ships ($150 million)
• Rolled tobacco ($77.1 million)
• Petroleum gas ($35.6 million)
• Computers ($30.9 million)

Belize's main import partners are the United States ($560 million), China ($379 million), Guatemala ($156 million), Mexico ($130 million), and Canada ($58.2 million).

In addition to these top imports, Belize also imports a variety of other goods, including:

• Foodstuffs such as bread, rice, flour, fresh meat, and condensed milk
• Medicine and medical supplies
• Telecommunication equipment
• Fuel
• Alcoholic beverages
• Tobacco products
• Wood and wooden furniture
• Certain gases and chemicals deemed harmful to the environment

Belize's import regulations are managed by the Customs and Excise Department, and certain goods may be restricted or prohibited from import. The country also has a licensing and permit regime for certain restricted items, and the tariff applied to products from CARICOM member states may differ from those applied to products from other countries.

Import restrictions

Belize's import and export sector is prosperous, with annual exports in 2018 totalling $354 million (USD) and imports reaching $1.05 billion (USD). The country's economy is small and primarily based on agriculture, tourism, and services. The import and export regulations in Belize encourage foreign investment.

To begin import operations in Belize, you must officially establish your company in the country. This involves registering your company with the Belize International Corporate Affairs Registry (IBC) and obtaining a business license. The Belize Chamber of Commerce and Industry (BCCI) is in charge of approving trade licenses. The Belize Customs & Excise Department (BCED) is the local entity that regulates import and export operations. This public institution enforces customs and excise laws, supervises the application of customs duties and commercial conventions, and evaluates the collection of customs revenues on goods or services imported into and exported out of Belize.

Before the BCED, importers must present the following documentation:

• Purchase order or letter of credit
• Commercial invoice with a packing list
• Certificate of origin of the product
• Customs entry document
• Insurance certificate

Some goods require an import permit issued by the Ministry of Culture in Belize. These goods include live animals, foodstuffs, plant materials, and veterinary supplies.

The import process ends when the dealer pays the taxes required by the port. After this, an agent will examine the merchandise and grant approval.

Belize's import restrictions include:

• Hams entering the country are subject to a 35% import tax.
• Turkeys are subject to an additional 40% duty.
• All plant and plant products require permission from the Belize Agricultural Health Authority (BAHA).
• Meat and meat-based products require permission from the BAHA.
• All cats and dogs require a special import permit from the Agriculture Department Belmopan. A general health certificate issued two weeks prior to arrival and a rabies vaccination certificate issued at least one month before arrival are also required.
• Restrictions are placed on the importation of wooden furniture, which requires an import license from the Ministry of Trade.
• Boneless beef and certain beef products derived from cattle under 30 months of age are restricted for export.
• Certain goods are restricted for import based on a licensing and permit regime. The tariff applied to products may vary depending on their origin, and there may be quantity restrictions.
• The list of restricted items includes peanut butter, jam, jellies, pasta, wheat flour, rice, peppers and pepper sauces, beer, alcohol, spirits, carbonated beverages, cigarettes, products made of wood, pharmaceutical medicines, pesticides, telecommunication equipment, certain gases and chemicals deemed harmful to the environment, and fuel.
• Beans and rice, along with other locally produced agricultural products, may not be imported if there is a surplus on the domestic market.
• Goods containing ephedrine and pseudoephedrine are prohibited.

Importing from Caricom countries

Belize became a member of CARICOM (Caribbean Community and Common Market) on 1 May 1974. CARICOM is a trade bloc that aims to promote economic integration between its members. As a member, Belize benefits from duty-free exports to other CARICOM Less Developed Countries (LDCs).

CARICOM has negotiated several bilateral trade agreements with other countries and trade blocs, which have impacted Belize's imports and exports. Here are some key agreements and their implications for Belize:

• CARICOM-Colombia Free Trade Agreement (1994): This agreement grants products from CARICOM member states, including Belize, free access to the Colombian market for certain products, with a gradual elimination of tariffs for goods listed in Annexes I and II. Belize can export products such as preserved fruits, nuts, jams, coffee, papayas, bananas, cashew nuts, coconuts, fish fillets, and rum to Colombia duty-free.
• CARICOM-Venezuela Free Trade Agreement (1992): This agreement provides for duty-free treatment of exports from CARICOM to Venezuela. Potential exports from Belize to Venezuela under this agreement include citrus and ornamental plants, trees, shrubs, rose bushes, live orchids, citrus and coffee plants, spices, and ice cream.
• CARICOM-Dominican Republic Free Trade Agreement (provisionally entered into force in 2001): This agreement is based on reciprocity or two-way trade with CARICOM More Developed Countries (MDCs) and non-reciprocity with LDCs like Belize. While Belize can export goods to the Dominican Republic duty-free, it is not required to grant duty-free treatment to imports from the Dominican Republic.
• CARICOM-Costa Rica Free Trade Agreement (2003): Belize, as an LDC, benefits from duty-free access for exports to Costa Rica and is not mandated to grant similar access to Costa Rican products.
• Caribbean Basin Initiative (CBI): This programme facilitates economic development and export diversification in the Caribbean region. Belize has benefited from duty-free access to the US market for goods such as petroleum, frozen orange juice, papayas, and shrimp.
• CARIBCAN (Caribbean-Canada Trade Agreement): Belize, as a member of CARIBCAN, has preferential access to the Canadian market for goods like rock lobster. However, certain items like textiles, apparel, footwear, and lubricating oils are excluded from duty-free access.

In addition to these trade agreements, it's worth noting that Belize's imports from CARICOM countries may differ from those from other nations due to variations in tariffs and quantity restrictions. For example, certain goods like peanut butter, jam, pasta, wheat flour, rice, beer, alcohol, spirits, cigarettes, and telecommunication equipment may have different import requirements when sourced from CARICOM countries compared to other regions.

Importing animals

The Belize Agricultural Health Authority (BAHA) is responsible for preventing the entry of animal diseases and protecting human and animal health and life. The BAHA outlines the following requirements for importing animals into Belize:

Firstly, importers must obtain a valid import permit from the BAHA. Applications can be submitted via email or at any BAHA office. The import permit will specify the authorised port of entry, and the importer must notify the Director of Animal Health two days in advance of the date and time of arrival. Veterinary inspections will only occur during daylight hours (9 am - 4 pm).

Before issuing an import permit, a risk analysis may be conducted, including a possible inspection of the farm and area of origin by a BAHA veterinary officer. If the animals will be in transit through an area that is not disease-free, a BAHA veterinary officer may need to accompany them. Additionally, the quarantine station must be certified by the Veterinary Officer in the district where the animals will be quarantined.

At the point of entry, a BAHA veterinary officer will inspect the animals. Any animals not permitted entry will be returned to the origin at the importer's expense. All animals will be subject to a quarantine period of at least thirty days and may be retested during this time. The importer must cover all costs incurred during the processing, quarantine, and supervision of the animals.

The vehicles used to transport the animals from the port of entry to the quarantine station must be cleaned and disinfected. No fodder, bedding, or livestock gear accompanying the animals will be allowed entry, and any gear will be disinfected at the importer's expense.

For dogs and cats, additional requirements include a recent international veterinary certificate (within 14 days) and a valid rabies certificate (issued between one month and one year before the date of importation). Dogs and cats coming from countries considered high-risk, such as South America due to the risk of screwworm, will need to undergo a veterinary inspection at the port of entry for an additional fee.

Importing food

Belize's economy is primarily based on agriculture, tourism, and services. In 2023, food imports accounted for 18.7% of all imports, and the country's top food import partners include the United States, Mexico, Guatemala, India, and China. In 2021, Trinidad and Tobago also featured in the top five.

Belize's food imports have fluctuated in recent years, but the overall trend has been increasing. The country's small domestic market and limited domestic industry mean that it relies heavily on foreign trade, particularly with the United States, which is its number one trading partner. In 2000, the US accounted for 49.7% of all Belizean imports.

Belize's primary exports are citrus fruits, sugar, and bananas, but it also exports seafood, apparel, and crustaceans. However, the country's trade deficit has been growing due to low export prices for sugar and bananas. This has resulted in an increased need for imports to meet domestic demand.

Belize has a licensing and permit regime for certain goods that are restricted for import. This includes some food products such as peanut butter, jam, jellies, pasta, wheat flour, rice, peppers and pepper sauces, beer, alcohol, spirits, and carbonated beverages. Additionally, the import of certain agricultural products, such as beans and rice, may be restricted if there is a surplus on the domestic market.

Frequently asked questions