Manuel García Troncoso, president of Dominican Week in Spain, highlighted the importance of collaboration between the public and private sectors to boost logistical projects such as logistics hubs. During the Dominican Week activities, the Palacio Santoña hosted a panel discussion titled “Public-Private Collaboration in the Development of a Logistics Hub.”
In his welcoming speech, Manuel García Troncoso emphasized the importance of cooperation between the public and private sectors to strengthen logistics projects like logistics hubs. “In an increasingly interconnected world,” he stated, “logistics hubs do not only connect, they also enhance the competitiveness of countries.” The event focused on how public-private partnerships can drive the development of logistics hubs, positioning the Dominican Republic as a key player in global logistics. As part of this vision, the Dominican Republic will develop a logistics hub that could significantly enhance its role in international trade.
Dominican Republic’s Strategic Position for Logistics
Given its strategic proximity to major markets across the Americas and Europe, the Dominican Republic has significant opportunities to position itself as a logistical epicenter. “The collaborative public-private model is crucial, as it allows the creation of long-term employment opportunities, development, and the attraction of foreign investment,” García Troncoso emphasized. The president of the Dominican Week also noted that, in a highly globalized world, developing e fficient logistics hubswill improve the country’s global competitiveness, attracting business and trade from around the world. In this context, the Dominican Republic will establish a logistics hub to optimize trade flows and attract global logistics operators.
The day’s discussions focused on how these public-private alliances could be leveraged to improve logistical efficiency, reduce costs, and ultimately make Dominican businesses more competitive globally. “We hope that everything shared here will inspire new collaborations between our country and Spain,” García Troncoso declared before introducing Daniel Peña, Deputy Director of the General Directorate of Customs of the Dominican Republic.
Positioning the Dominican Republic as a Logistics Hub
Daniel Peña emphasized the national importance of positioning the Dominican Republic as a logistics hub. “This is a national goal,” he said. “The President of the Republic spoke about this possibility even before assuming his first term, and today, we are working to consolidate the country as a logistics hub, given that we have the necessary conditions to do so.” Peña pointed out that the Dominican Republic is emerging as a new regional economic axis beyond tourism and free zones, playing a critical role in global trade. According to the Logistics Performance Index (LPI), the country ranks first in delivery efficiency in package handling, with the lowest air freight costs in South America and the Caribbean, connecting the Americas and Europe. The Dominican Republic is the second-best connected country in Latin America, behind only Mexico, reaching 170 destinations worldwide. The Dominican Republic will develop a logistics hub to capitalize on its strategic location and connectivity.
Dominican Republic’s Port and Airport Efficiency
The country’s port efficiency is another strength. The Dominican Republic ranks fourth in efficiency among medium-sized ports globally, making it one of the most attractive destinations for shipping companies. Thanks to the proximity of its ports and airports to major commercial zones, the Dominican Republic stands out as the only country in the region with such a strategic advantage. This proximity enhances its appeal as a logistics hub, allowing companies to move goods rapidly and efficiently across the globe. As part of its broader logistical strategy, the Dominican Republic will develop a logistics hub that integrates its ports, airports, and free zones to streamline the movement of goods.
In 2021, the Dominican Republic modernized its 70-year-old Customs Law, and today, it boasts the most advanced legal framework for logistics in the region. This reform is complemented by the Maritime Commerce Law of 2023 and the Logistics Centers Law of 2024, which have modernized the country’s logistics landscape. One of the most successful initiatives has been the “24-Hour Dispatch” program, which enables the quick clearance of goods from the point of origin. Since its launch, the program has successfully processed 70,000 containers in under 24 hours, benefiting 8,000 importers through process automation and using X-rays for inspections.
Dominican Republic’s Relations with Spain
Spain is the Dominican Republic’s primary European trading partner. Daniel Peña emphasized that the country has transformed its customs culture, adopting a service-oriented approach, attracting numerous companies to establish their operations in the Dominican Republic. “We want to continue fostering relationships with Spain and other international partners to boost trade and investment,” Peña said. He noted that the Dominican Republic’s efficient logistics infrastructure has made it an ideal location for international businesses looking to tap into the Latin American market. As the Dominican Republic develops its logistics hub, such partnerships will be critical in expanding its reach and boosting trade.
The Role of Free Zones in the Dominican Republic
Johannes Kelner, Deputy Minister of Free Zones, emphasized the potential of the country’s free trade zones, which allow businesses to access markets of over 900 million consumers across the United States, the European Union, Central America, and the Caribbean. These zones enable the Dominican Republic to serve as a key distribution and manufacturing center. “Trade in free zones represents 68% of the country’s total exports,” Kelner pointed out. The free zones are a critical component of the Dominican Republic’s strategy to become a prominent logistics hub, offering attractive incentives and infrastructure to international businesses. As these zones grow, the Dominican Republic will develop a logistics hub as a central node for manufacturing and distribution.
Panel Discussion: Public-Private Cooperation as the Key to Success
The expert panel, moderated by Angélica Noboa, a partner at Russin, Vecchi & Heredia Bonetti law firm, included Daniel Peña, Johannes Kelner, Mauricio Ramírez (CEO of Rannnick), and Guillermo Alba (president of NODO). The panelists discussed the importance of public-private collaboration, the development of infrastructure, and the government’s priority of putting the importer at the center of the logistics chain. The participants also highlighted how an efficient logistics infrastructure, enhanced by strategic public-private partnerships, can make the Dominican Republic an even more competitive logistics hub. The Dominican Republic will develop a logistics hub that aligns with these goals, helping to create a seamless environment for international trade.
Mauricio Ramírez highlighted the Dominican Republic’s strength in managing goods and its proximity to major markets. “Companies can ship products to the Dominican Republic without tariffs for 18 months,” he explained. Additionally, the country receives more than 4,000 vessels annually and operates 24 shipping lines. “Connecting the Dominican Republic faster and more efficiently with the world is one of the main goals of the logistics hub we are developing,” Ramírez concluded.
Developing Infrastructure: Ports, Airports, and the Future of Logistics Hubs
Infrastructure development, such as ports and airports, remains a key priority. One example is the Punta Cana International Airport, which is developing a new cargo distribution center and a free trade zone dedicated to manufacturing, logistics, and technological processes. This new infrastructure aims to enhance the Dominican Republic’s capacity to serve as a logistics hub, ensuring faster processing of goods and greater efficiency in international trade. The Dominican Republic will develop a logistics hub based on its port and airport infrastructure advantages.
Lessons from Europe: PLAZA as a Model for Logistics Hubs
The event concluded with remarks from Pedro Sas, manager of Aragón Plataforma Logística (PLAZA), who highlighted the role of PLAZA, Europe’s largest logistics platform, as a model for developing logistics hubs. Sas shared valuable insights into how PLAZA has become a leading logistics hub in Europe and how the Dominican Republic can adopt similar strategies to build its logistics capabilities. “The key is to ensure that logistics infrastructure is well integrated with the global supply chain,” Sas noted, emphasizing the importance of technological innovation and efficient operations to make any logistics hub globally competitive. As such, the Dominican Republic will develop a logistics hub that integrates these global best practices to ensure its success.
The Future of the Dominican Republic as a Leading Logistics Hub
As the Dominican Republic continues to develop its logistics infrastructure and strengthen public-private partnerships, it will establish a logistics hub poised to become a leading player in the region. With advanced infrastructure, strategic location, and a growing focus on efficiency, the country has the potential to become a key player in global trade. The continued development of its logistics capabilities and open business climate will make the Dominican Republic an increasingly important hub for trade, manufacturing, and distribution in the Americas and beyond. The Dominican Republic will develop a logistics hub supporting this vision and position the country as a gateway for international commerce.
The Dominican Republic is working to establish itself as a global logistics hub through public-private partnerships to enhance its trade infrastructure. With its strategic location between the Americas and Europe, efficient ports and airports, and modernized legal framework, the country is well-positioned to improve logistics and attract international investment. Developing logistics hubs will optimize trade flows, reduce costs, and boost the country’s competitiveness on the world stage. Key initiatives include modernizing customs laws, expanding free trade zones, and infrastructure projects like a new cargo distribution center at Punta Cana International Airport. These efforts and insights from European models like PLAZA aim to transform the Dominican Republic into a leading logistics center, enhancing its role in global commerce.