Value-Added Logistics

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Value-Added Logistics

The Dominican Republic is the logistics core of the Americas. Our combination of taxation benefits, market reach, and infrastructure have transformed the country into a regionally leading logistical hub. Boasting the best transportation infrastructure in the LATAM region, according to the World Economic Forum, and a market reach of 900 million people, the Dominican Republic is the perfect place for expanding global businesses to connect with the world. Given these advantages, the Dominican Republic’s value-added logistics industry sector has grown significantly, as has the number of logistics centers established on the island.

Local Presence

Logistic parks and activity areas have been created or expanded for facilitating services such as storage, deconsolidation, packaging, re-packaging, labeling, re-labeling, distribution, and re-export of goods. Some companies that have already established logistics and/or distribution centers in the country include: IKEA, Caterpillar, Rolex, Diageo, and Evergreen, among others.

Taxation Benefits

Local taxation laws and regulations create an environment that eases the burden of global trade. In 2015, the Dominican Republic created a logistics deposit scheme designed to centralize inventory and reduce operating costs. Under this new regulation, logistics companies are able to keep inventories with tax-free duty-free treatment for up to one year, with an opportunity for renewal. Once the product is nationalized, companies are then required to pay a fee, unless the product is re-exported, in which case companies pay nothing.

Market Reach + Infrastructure

With a central location between North and South America, and numerous free trade agreements, the island nation of the Dominican Republic is within reach of a large consumer market. Our award-winning transportation infrastructure network, which consists of 9 airports and 12 ports, ensures that goods can reach significant markets throughout the Americas in a timely manner. Currently, the Dominican Republic receives approximately 90 weekly vessels and more than 270 daily flights.

Cluster Initiatives

To aid in the growth of the logistics industry, ADOZONA and CNFZE, the governing bodies of the Free Zones, established a logistics cluster initiative whose mission it is to promote and advance the industry as a whole.

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For 50 years, the Dominican Republic Free Zone platform has worked to promote global business and improve productivity through their comprehensive incentive offering and supportive business environment. Today, they are home to over 700 international companies and continue to provide the necessary tools to help companies grow and thrive!

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