Panama and its Benefits as a Distribution Center

In today’s competitive world, there is a great importance in having an efficient supply chain. In order to satisfy your clients, it is necessary that companies can deliver the products that the clients need on time and at the right price. Every logistic and distribution process need to be evaluated in order to eliminate waste and processes that do not add value to the customer.

This is true specially for the Latin America/Caribbean region, where there are a lot of countries very near to each other, but with big differences in tendencies, languages and regulations. Panama offers a great number of benefits to optimize your supply chain for the regional distribution of this market:

Speed to Market – Given its geographical position in the middle of the region, the time that it takes for a product to land in the final customer´s hands from a distribution center in Panama is very short. The interconnected highways and maritime routes between the countries offer a quick and economic option to distribute any type of merchandise. In the case where the product or time may be sensitive, Panama has direct flights every day to every major city in America and even Europe.

Flexibility and Customization – With a value-added service, companies with their inventory in Panama can quickly customize their products to the necessities of the client. We are able to customize and modify any product for your final customer, from the impression of sanitary registration, change in the looks of the product, change in language or any other requirement or regulation in order to comply with the specific market.

Centralized Inventory – With the inventory of the whole region in one place, a company is more flexible with their sales projections. In case that the forecasted demand is not perfect, it is easy to use products designed to one specific market into another without any additional costs.

Cost Management – When using Panama´s Free Zones (Colon, Panama Pacifico), companies don´t have to pay taxes for products while waiting for them to be sold. This allows companies to have more liquidity since they only incur costs for taxes at the country of destination where the product will be sold.

It is important for every company to analyze their supply chain and make sure they are operating in the most efficient way possible. For companies that distribute products to Latin America and the Caribbean, Panama offers many benefits that add value to the customer and eliminate waste, improving its competitiveness.

To read more about the services offered by J. Cain & Co. or to learn more about the benefits Panama offers, please visit us to www.jcain.com