LEADING THE COUNTRY TO REACH ITS FULL POTENTIAL
WHY HONDURAS?
PROHONDURAS PROHONDURAS, is the Honduran official institution for the promotion of investments, exports and tourism. Among other things, it offers: 1. Information regarding business opportunities in Honduras: incentives, costs and regulations. 2. Creation of ties among local and foreign businesses. 3. Facilitates exploratory visits to the country: organizes the agenda, sets up appointments and provides personalized attention during the visit. 4. Market Intelligence. 5. Facilitation in the administrative process for exports and investments.
COUNTRY PROFILE (based on 2014 data) Official Name: Republic of Honduras Current President: Juan Orlando Hernández Alvarado Continent: America Area: 112,492 km 2 Border Countries: Guatemala, El Salvador, Nicaragua Maritime Borders: Atlantic and Pacific Ocean Capital: Tegucigalpa Language: Spanish and english is widely spoken Currency: Lempiras GDP: $ 18.55 billions GDP Growth: 3.1% GDP Per Capita: $2,182.00
COUNTRY PROFILE (based on 2014 data) Exchange Rate: L. 21.79 = $1.00 (Jan. 21, 2015) Average Minimum Salary: $ 316.00 Inflation Rate: 6 % Population: 8.5 million people Population Growth: 2 % Literacy rate: 86% Economically Active Population: 3.5 million people
Strategic location WHY INVEST IN HONDURAS? Close to the US, Mexico and Canada markets 4 International Airports in Tegucigalpa, San Pedro Sula, La Ceiba and Roatán. 4 maritime ports in the Caribbean and the Pacific Ocean Lowest logistic costs in the region and no commercial barriers in the region. 3.5 million economically active labor force with more than 2.2 millions of young labor force between the ages of 18 and 35 years old. Lowest labor costs in the region. Only 21 days needed to start a business Legal framework that promotes and protects investments. Special regimes that facilitate guarantees and tax incentives. Prefential market access to major world markets
HONDURAS WORLDWIDE
Exports 2014: $ 8,169 millions Imports 2014: $ 11,483 millons FOREIGN TRADE Main destinations: United States, Germany, El Salvador, Guatemala, Nicaragua, Holland, Belgium Main Suppliers: United States, China, Guatemala, El Salvador, Mexico, Costa Rica, Colombia, Peru, Germany Major Export Products: garment manufacturing, coffee, bananas, palm oil, shrimp, tilapia, paper and cardboard, soap, cigars.
FOREIGN TRADE Free Trade Agreements Negotiations in process Central American Common Market United States Peru El Salvador Mexico Korea Costa Rica Dominican Republic Ecuador Guatemala Chile Taiwan Panama Colombia European Union Canada Nicaragua Panama Observer member of the Pacific Alliance and has requested to participate in the TPP negotiation
Thousands US$ FOREIGN INVESTMENT IN HONDURAS 1,200.0 1,000.0 927.5 1,006.4 969.2 1,014.0 1,059 1,060 1099 800.0 600.0 599.8 669.1 523.2 400.0 200.0 0.0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Top origins of FDI: Central America, Mexico, USA, Canada, Europe
TAILOR MADE FOR YOU
SPECIAL REGIMES Free from import duties No sales tax No property tax No taxes on profit Right of 100% currency repatriation ZOLI RIT ZIP x Within a geographic location On raw materials and machinery x x Within a geographic location x x x x x x x x x
MAIN LAWS FOR THE PROMOTION OF INVESTMENT Law on Protection and Promotion of Investments Unrestricted market access National treatment to foreign investment Total transfer of the investment Contracts for legal stability Fast track to start investments
MAIN LAWS FOR THE PROMOTION OF INVESTMENT Law for the Promotion of Public-Private Partnership It is a strategic alliance with the State, offering: Contributions in cash Technical studies Grants of public property (concession) Granting of permits and licenses for operation Granting rights on the State assets
MAIN LAWS FOR THE PROMOTION OF INVESTMENT Hourly Employment National Law States the following labor contracts: By hour By half-days Full working day Employment and Economic Development Zones (ZEDE) Functional, administrative and judicial autonomy Independent budget Collection and administration of their own fees and taxes.
KEY PRODUCTIVE SECTORS
Mwh Energy Generation and Potential 6,000 5,000 5,000 4,598 4,000 3,000 2,738 2,000 1,000 0 1,200 1,250 300 310 75 180 115 Hydraulic Thermic Geothermic Biomass Eolic Solar Imports Generation Potential
ENERGY A COUNTRY OF GREAT OPPORTUNITIES Renewable natural resources still untapped Demand growth of 5.2% Incentives for renewable energy generation Reform that allows independent energy trading SIEPAC Project, which will expand the potential of regional power trade 34 investment projects, totaling $2,803,791,133 in expansion and construction of substations, hydropower and biomass.
AGRIBUSINESS A COUNTRY OF GREAT OPPORTUNITIES HONDURAS: 1st place in Central America in cucumber and color pepper exports to Canada and USA 1st supplier of processed jalapeño for USA 1st place in tilapia exports to USA 1st place in Central America of shrimp exports 1st place in sweet potato exports to Canada and Europe 2nd place in America for cigars exports 2nd place worlwide in frozen lobster exports 5th place worldwide in coffee exports
A COUNTRY OF GREAT OPPORTUNITIES More than 2.4 million hectares of agricultural land with water and road access. Tropical climate that allows round-year production. Organized industrial infrastructure. Strategic alliances in the main production chains: basic grains, coffee, cocoa, horticulture, fishing, aquaculture, bioenergy, meat and beekeeping. 40 investment projects for the amount of $ 761,919,017.00 in industrial crops, animal production, water supply for irrigation and energy crops.
FORESTRY A COUNTRY OF GREAT OPPORTUNITIES 9.8 millons hectares of forest. National Policy and forestry laws that promote incursion in markets such as: Carbon emissions reduction Certificates (up to 56 millon de tons) International environmental hydric services Biofuels Concessions, development and industrialization of national forest. 16 investment projects for the amount of US$ 2,735,048,071 in management of protected areas, forest plantations, energy plants and other industrial purposes.
INFRASTRUCTURE A COUNTRY OF GREAT OPPORTUNITIES Port facilities. Puerto Cortés, a mega port, located in the Caribbean, with CSI Certification and with potenial to become: A Land distribution center with national and regional destinations Just in Time ( JIT ) distribution Center for southeastern USA A center for international transit and trade A horticultural hub, from Central America to other geographical areas. Amapala is located in the Pacific Ocean and posesses 25 meters deep. 29 investment projects for the amount of $8,020,740,173 in highway concessions, development of the port of Puerto Cortés, water infrastructure and sanitation, telecommunications, railway infrastructure, municipal infrastructure and housing.
TOURISM A COUNTRY OF GREAT OPPORTUNITIES Over 650 km of white sand beaches 2nd largest coral reef worldwide More than 100 protected areas with exuberant nature, including Rio Platano Biosphere 9 " live cultures ", Garifuna ethnic, an "Intangible Heritage " (UNESCO) Copan Ruins, cradle of the Mayan civilization 2 cruise ship docks in Roatán, Bay Islands for cruise ships operated by Royal Caribbean Cruise Line and Carnival Cruise Line 32 investment projects for the amount of $ 664,561,619 in airfields, resorts, docks, ferry, and sports marina
A COUNTRY OF GREAT OPPORTUNITIES CLOTHING FACTORY AND SERVICES 1st place in textile manufacturing industry for the DR-CAFTA market and 4th place in the world market. Largest bilingual population of the region. Lowest logistic costs in Central America. Hot Spot to supply a wide range of services through BPO and premium call centers Wide availability of warehouses.
MINING AND OIL A COUNTRY OF GREAT OPPORTUNITIES 5% usuage of the mineral resources Appoximately 40 diversities of mineral deposits, hydrocarbons and semi precious gemstones. Mining Law provides opportunities in metal and non-metal mining concessions and small metal mining Exploratoty works, offshore exploration, feasibility studies and evaluations for Natural and Liquiefied Gas, done by Petroleum Geo Services ("PGS") and BG.
THEY MADE THE RIGHT DECISION
CONTACT INFORMATION AIDA RODRIGUEZ - INTERNATIONAL PROMOTION DIRECTOR Email: aida.rodriguez@prohonduras.hn. Cellphone: (504) 3173-8386 OFELIA PONCE - INVESTMENTS PROMOTION Email: ofelia.ponce@prohonduras.hn. Phone: (504) 3189-1220 CESAR MARADIGA - EXPORTS PROMOTION Email: cesar.maradiaga@prohonduras.hn. Phone: (504) 9990-4024 Office phone: (504) 2213-0406