Panama's economy is based primarily in a well-developed services sector that includes activities linked to the Panama Canal, the Colón Free Trade Zone and logistics support services. The Colón Free Zone (CFZ) is a vital trading and international shipping centre. Canadian companies that depend on shipping solutions to and from Panama can take advantage of free trade opportunities. In addition to its agreement with Canada, Panama has free trade agreements with El Salvador, Taiwan, Singapore, Chile, Costa Rica, Honduras, Guatemala, Nicaragua, Peru, USA and Mexico.

The Canada–Panama Free Trade Agreement is a key element of trade between Canada and Panama and includes the aerospace and pharmaceuticals sectors. Canadian customs allows for duty free entry using simplified origin statements for low-value Panama-origin goods imported to Canada.

Things to Consider when shipping to Panama include:

  • Common carrier shipping options from Canada to Panama
  • Import fees and taxes to Panama for goods shipped from Canada
  • Shipping terms to consider when shipping to Panama
  • Shipping to Canada from Panama

Canadian International Shipping Options

Shipping packages to Panama via Canada Post

Canada Post offers low cost delivery for individuals shipping small packages to Panama. Parcels and packets sent via Canada Post are imported and delivered by Panama Post.

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Canada Post delivery services to Panama include:

  • Canada Post Small Packet International Air and Surface options to Panama
  • Canada Post International Parcel to Panama: Surface
  • Canada Post International Parcel to Panama: Air
Get a comparison quote for your shipping to Panama.

Shipping packages to Panama via FedEx and UPS Canada

FedEx and UPS are the largest carriers in North America, alongside DHL, and offer dependable air express services from Toronto, Vancouver, Calgary, Montreal, Ottawa and the rest of Canada to Panama.

FedEx and UPS shipping options from Canada to Panama include:

  • International express priority shipping to Panama from Canada
  • International economy air shipping to Panama from Canada

Get a comparison quote for your shipping to Panama.

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Delivery to Panama via Purolator Courier

Purolator Courier, a subsidiary of Canada Post, offers international parcel delivery from Canada to Panama via partners, such as UPS.


Shipping packages to Panama via Jet Worldwide

jet-logo-vectorJet Worldwide provides logistics expertise (as evidenced by our industry leading blog articles) and global parcel shipping solutions, including e-commerce parcel delivery and economy air shipping options to Panama from Canada.

Check out Jet Worldwide's blogs on shipping to and shipping from Canada.


Shipping terms to consider when shipping to Panama

The default option for shipping internationally from Canada is Delivery Duty Unpaid (DDU). Common carriers use the term Ex Works (EXW), which essentially assigns all import related costs (duty, taxes and other fees) to the receiver/importer. Shippers from Canada can choose to pay the import fees on behalf of the receiver via a Delivery Duty Paid (DDP) option that many carriers offer. See our blog on IncoTerms and shipping terms for packages and online orders.

The disadvantage of paying import fees on behalf of the receiver is that the bulk of the import fees are often from a value added tax that the importing business may otherwise be able to claim back.

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Customs clearance in Panama for shipping from Canada

Goods shipped to Panama must be accompanied by an invoice for customs or other supporting documents. Goods imported to Panama are subject to duty and value added tax. Duty rates tend to be low for most products and the value added tax is 7%.

The benefit of Panama's free zones are the lowered or eliminated capital investment taxes allowing good to transit in and out tax free.


Customs clearance in Panama for shipping from Canada

Many Canadian companies need low cost air shipping options for goods to Canada. The shipping options to Canada from Panama include North America's largest carriers: FedEx and UPS. Jet Worldwide assists companies with logistics solutions to Panama and all South America from Canada and the USA.

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Written by Timothy Byrnes