Business in Puerto Rico. Puerto Rican Economy

1. Introduction to the Free Associated State of Puerto Rico (Commonwealth of Puerto Rico): the most important regional hub in the Caribbean
2. Doing Business in San Juan
3. Puerto Rican Economy
4. Puerto Rican Foreign Trade
5. Transport and Logistics
6. Business Opportunities in Puerto Rico
7. Access to the Puerto Rican market
8. Business Plan for Puerto Rico

The educational aims of the Subject «Doing Business, Trade and Transport in Puerto Rico» are:

1. To analyze the Puerto Rican Economy, Logistics and Global Trade
2. To conduct research on business opportunities in Puerto Rico
3. To research the trade relations of Puerto Rico with the student's country
4. To know Trade Agreements of Puerto Rico
5. To develop a business plan for the Puerto Rican market

International Trade and Business in Puerto Rico:

The Subject «Foreign Trade, Logistics and Business in Puerto Rico» is included within the curriculum of the following academic programs at EENI Global Business School:

Masters: International Business, Foreign Trade.

Doctorate: World Trade.

Languages ( Puerto Rico Porto Rico Porto Rico).

1. Puerto Rican capital: San Juan (the Caribbean metropolis)
   1. Urban Train: passenger train service between various points in the San Juan Metropolitan Area
2. Main Puerto Rican cities: San Juan, Bayamón, Carolina, Ponce, Caguas, Guaynabo, Arecibo, Toa Baja, Mayagüez and Trujillo Alto
3. Main Islands: Vieques, Mona and Culebra
4. Puerto Rico does not share land borders with any country
5. Nearest countries to Puerto Rico by sea: Haiti, the British Virgin Islands, the United States Virgin Islands, Montserrat and Dominican Republic
6. Puerto Rico is 1,600 km South-east of Miami (Florida)
7. Area of Puerto Rico: 9.104 km²
8. Puerto Ricans have had U.S. citizenship since 1917
9. Population of Puerto Rico: 3.6 million people
   1. Puerto Rican Population density: 390 inhabitants / km²
   2. 12% of the population has an African origin (African Diaspora) the rest is white and mixed
10. The first official language of Puerto Rico is Spanish
    1. English (second official language) is barely spoken by 10% of the population
11. Abolition of Slavery in Puerto Rico: 1873
12. Climate of Puerto Rico: tropical
13. 1493: discovery by the Spanish (Isla de San Juan Bautista)
14. 1987: Spanish province
15. 1898:
    1. Spanish-American war
    2. Independence from Spain (with Cuba and Philippines)
    3. Colonization of Puerto Rico by the United States
16. Government type: free state associated to the United States with self-government status
17. Puerto Rico has its own constitution (only for domestic affairs)

Main religion in Puerto Rico: Christianity (Catholicism)

Puerto Rico belongs to the Caribbean Economic Area and the North American Economic area of Western Civilization.

Puerto Rican Economy

1. The Puerto Rican economy is one of the largest in Hispanic America
2. World Bank Ranking: Non-OECD high-income economy
3. Public debt: 103% of the Puerto Rican GDP
4. San Juan is an important centre of international events
5. Important growth of financial sector and aeronautical industry
6. Important pharmaceutical industry
   1. Presence of pharmaceutical multinationals (Merck, Pfizer, Johnson & Johnson, Novartis, GlaxoSmithKline..
7. Puerto Rico does not have sufficient natural resources
8. Main agricultural products: sugar cane, coffee, pineapple, banana, chickens
9. Investment Code: Puerto Rico Investment promotion Act of 2011
10. Puerto Rico currency: United States dollar (USD)
11. Puerto Rico does not have its own Internet Code

International Transport and Logistics in Puerto Rico:

1. Main seaports:
   1. Port of San Juan: it is the busiest port in the Caribbean and the tenth most active in the United States
   2. Port of the Americas in Ponce (major expansion project to increase cargo capacity for twenty-foot Containers)
   3. Port Mayagüez: It is the third largest cargo port in Puerto Rico. Connection with the Dominican Republic
2. 14.400 Kilometers of paved roads
   1. Puerto Rico has several highways (free and paid)
3. Port of Ponce railway
4. Puerto Rico has three international airports: San Juan, Ponce and Aguadilla
   1. Luis Muñoz Marín International Airport (Carolina): It is the largest air transport centre in the Caribbean
   2. Mercedita Airport (Ponce)
   3. Rafael Hernández Airport (Aguadilla), and 27 local airports

Puerto Rican Foreign Trade

1. Main Exports of Puerto Rico: pharmaceuticals products, chemicals, electronics, rum, beverage concentrates, medical equipment, tuna, clothing.
2. Main export markets of Puerto Rico: the United States, Belgium, Netherlands, Italy and Spain
3. Main imports of Puerto Rico: chemicals products, machinery, food, petroleum products, clothing, fish
4. Largest providers of Puerto Rico: the United States, Ireland, Singapore, Switzerland and South Korea

Economic Organizations to which Puerto Rico belongs under the tutelage of the United States

Puerto Rico is an associate member to the Economic Commission for Latin America (ECLAC).

Puerto Rico is an associate member to OAS.

1. US-Mexico-Canada Agreement (USMCA)
2. Hispanic America Countries: Chile, Colombia, Peru, Central America-Dominican Republic (CAFTA-DR), Panama, the Caribbean Basin Initiative, and the Hemispheric Opportunity through Partnership Encouragement (HOPE) Act (Haiti)
3. Asian countries: South Korea, Australia, Singapore, and the ASEAN
4. European countries: European Union (Transatlantic Trade and Investment Partnership)
5. Arab countries: Bahrain, Oman, Jordan, and Morocco
6. African countries: AGOA, agreements with the West African Economic and Monetary Union (WAEMU), East African Community (EAC), and Common Market for Eastern and Southern Africa (COMESA)
7. Agreement with Israel
8. APEC

Puerto Rican Preferential Access and Trade Agreements:

1. Puerto Rico and the Caribbean Economic Area / North American Economic Area
2. Caribbean Community (CARICOM) (observer member)
   1. CARIFORUM-EU Agreement
   2. Colombia-CARICOM Agreement (Puerto Rico)
   3. Free Trade Agreement CARICOM-Dominican Republic
   4. Costa Rica-CARICOM Agreement (Puerto Rico)
3. As an Associated Free State, Puerto Rico is beneficiary of all the Free Trade Agreements of the United States

Sample:

1. World Trade Organization (WTO)
   1. Agreement on Trade in Services (GATS)
   2. Agreement on Sanitary Measures
   3. Agreement on Technical Barriers to Trade
   4. Agreement on Preshipment Inspection
   5. Agreement on Safeguards
   6. Trade Facilitation Agreement
2. World Customs Organization (WCO)
   1. Kyoto Convention (Containers)
3. Convention Harmonization of Frontier Controls of Goods