Nicaragua is strategically located in the heart of the Americas: it is located at the center of the Central American isthmus that forms a land bridge between North and South America. It is bordered on its eastern and western shores by the Atlantic and Pacific oceans, respectively; to the north lies Honduras, and to the south Costa Rica.  It is the largest country in Central America with a territory of approximately 130,600 square kilometers. 

This privileged location, only two hours and thirty minutes by air and three days by sea from the United States, facilitates access to the world’s largest market.   Its location and cost structure also positions Nicaragua as an ideal export platform for the important markets of Mexico, Central and South America.

Nicaragua, an ideal place for you

In August 2005, by Decree No. 50-2005, a new set of regulations was promulgated for the Export Processing Zone Law. This modernizes and updates the legal framework allowing Nicaragua to take advantage of the new opportunities offered by the international market by continuing the exceptional export

incentives allowed by the World Trade Organization (WTO) and the Central American Free Trade Agreement (DR-CAFTA). Free Zone employing enterprises can take one of two forms: as Authorized Industrial Parks or as Administrated Free Zones (ZOFA for its name in Spanish). Administrated Free Zones allow the use of the abundant idle infrastructure available in the country.

It’s important to point out that Nicaragua is the only country in the region that has acquired a preferential treatment regarding the textile-dress portion of the CAFTA negotiations, through the Preferential Treaties.

Even though 58% of free zones activity has been textile-dress related, the industrial investment is diversifying at a steady pace. Now, there is presence of 23 other fields of production, among which the most prominent are:

Comparative advantages of Nicaragua