Curacao as a Business Location

Introduction.

Regardless as to whether you have an existing business or are just about to start up a new business, please be assured that you could choose no better place than Curacao as a business location. Nestling in the Caribbean just off the coast of Venezuela it has excellent international links by air and sea, as well as a fully integrated internal road system and sophisticated telecommunications. Not to mention exquisite beaches, enchanting wildlife and outdoor life in abundance; for you to pursue when you’re not working.

Is Curacao a sound economy in which to locate a business?

Although Curacao is a relatively small island it has an economy and economic strength to rival the acknowledged leaders in Caribbean commerce such as the Bahamas and the Virgin Islands. Curacao has a prestigious World Trade Center (WTC), operating as an international business and conferencing center, which reinforces its position as a regional economic leader. Should you choose to locate a physical business here you’ll find no shortage of labor to choose from the islands population of just under a quarter of a million, nearly 70% of which are in the normal working age band. Annual GDP is around the $3 billion mark and average wages on the island are now approaching $20,000 a year, a sure indicator that this is both a strong and developing Caribbean economy. The four major industries already established on the island are light manufacturing, tourism, petroleum refining and shipping. Indeed if shipping is key to your business, then you’ll need to know that Curacao has the seventh largest natural harbor in the world, at Sint Annabaai Channel on the south-east of the island. Finally, and perhaps most importantly, Curacao has all the modern technology necessary to facilitate international payments.

Curacao import markets.

No, we’re not going to tell you where the best place to get your fresh fish is or where you can get a cheap pair of jeans – here we’re talking about goods imports and issues, essential for anyone seeking to trade in business out of Curacao. You would need to register to be able to import even quite basic goods such as rice and tea, with import duties currently ranging form 0% to 18%, depending on the commodity. Both the airport and seaports have secure customs storage facilities for the products you’re importing. You may be interested to know that currently the main imported goods are general consumer goods and machinery – often for transport. The island does have its own unit of currency, the Netherlands Antilles Guilder (ANG) which is pegged to the US $, currently exchanging at around $1 to ANG1.80. However, on the island most businesses will also trade directly in US $.

Exporting goods from Curacao.

A key point here is that Curacao is part of the Netherlands Antilles - and as such is an autonomous country within the Netherlands (Holland). This makes it an Overseas Country or Territory (OCT) of the European Union (EU); which means that Curacao has favorable trading rights across the whole of the EU markets. Which means that most of the products from Curacao can enter the EU trading zone – free of import duties. Products from Curacao can also be imported into the USA free of duties, provided that at least 35% of that product can be shown to originate in Curacao. Or by passing through Curacao there is at least a 35% addition to its value for goods not originating in the USA or 20% if originating from the USA.

Marketing goods in Curacao.

If you’re going to be physically present on Curacao then you’d be recommended to employ a commercial agent, at least until you’re familiar with the ways of the island. After all they will know far more than just the technical aspects for successfully marketing something on the island – they will have the local contacts.

Locating a business on Curacao.

New businesses on Curacao are encouraged to use the Industrial Zone in the center of the island, which is ideally located for access to and from the airport, major seaports and the most highly inhabited regions of the island. You can have a choice between leasing one of the existing properties or, if they don’t meet your needs, building new ones. The minimum occupancy is 5,000 square feet, approximately 500 square meters, and the zone is fully serviced and secure, with ample car parking.

Curaçao