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E-Commerce Fulfilment Hub: Unlock Growth from Panama

Panama Hub provides the ideal location for e-commerce cross-border fulfilment operations for the Latin-American market thanks to the unrivalled connectivity and fiscal incentives of our Tax-Free Zones.

Panama’s logistic network has the ability to ship anywhere in Latin America via DHL Express with 24-48 hours leadtimes with no tax charges in Panama.

Today, the majority of cross-border e-commerce sales for Latin America are being fulfilled directly from China or from the US, adding significant costs and time on shipping. If you place an order today from a Chinese E-Commerce Marketplace it takes over 35 days to be delivered to Latin America. Times from US Marketplaces and Vendors vary, but the biggest volumes are shipped domestic to Miami and then shipped by integrators to each country, adding double taxation, double air freight, and double last mile costs.

J. Cain’s Ecommerce Fulfilment Center Solution leverages on Panama Hub Connectivity and Fiscal Incentives, coupled with our operational efficiency of pick and pack fulfilment process to provide 48 – 72 hours end to end Order Delivery Lead Times. This combination provides an ideal platform to reach individuals across Latin America directly with quick and reliable service.

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E-Commerce currently represents approximately 6% of retails sales in Latin America and is growing by over 12% per year.

This rapid growth rate implies that companies need to define and implement their E-Commerce strategy in Latin America very quickly in order to stay competitive.

This tendency has been identified by top multinational companies and wholesale merchants based in Panama, and the segment has grown to represent over 10% of courier packages delivered from Panama’s Free Zones. This growth and potential have led to the development of an active ecosystem of vendors, marketplaces, shipping providers, online marketing, IT consultants, and fulfilment centers, that are actively paving the way for the logistics of the new economy.

J. Cain & Co is proud to be an integral part of this ecosystem, providing a plug and play inventory management and order fulfilment solution while supporting current and potential customers to design and implement the best e-commerce fulfilment strategy in Latin America for their particular business.

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Our Frequently Asked Questions

By using Panama as an e-commerce fulfilment hub, inventory is strategically positioned within the region. This dramatically shortens last-mile delivery times to customers in key markets like Colombia, Chile, or Peru, bypassing the delays and complexities of shipping individual orders directly from the US, Europe, or Asia.
Panama’s cost-effectiveness comes from its special economic zones, like the Colon Free Zone, which offer significant tax incentives for storing and re-exporting goods. This, combined with the ability to consolidate shipments for regional distribution, reduces both tax burdens and overall transportation costs.
Panama offers a mature logistics ecosystem with experienced 3PL providers that handle more than just shipping. They provide specialized e-commerce services including inventory management, value-added services like kitting and labelling, and efficient reverse logistics (returns management), crucial for a seamless customer experience.

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