Millions in losses: Businessmen from Ecuador and Colombia call for urgent dialogue

More than 2,400 companies participate in binational exchange. Photo: iStock

Millions in losses: Businessmen from Ecuador and Colombia call for urgent dialogue

TL;DR

  • Ecuadorian and Colombian business leaders estimate monthly losses of at least $25 million, potentially tripling, due to trade tariffs.
  • Approximately 40,000 direct jobs linked to the export chain are at risk.
  • The trade dispute began with Ecuador's imposition of a "security tax" on Colombian imports, followed by retaliatory measures from Colombia and increased tariffs from Ecuador.
  • Imports from Colombia to Ecuador decreased by 69% in value and 61% in number of operations between February 1st and 21st.
  • Business leaders argue that trade barriers do not dismantle organized crime and can encourage smuggling and informal economies.
  • They call for separating security concerns from trade activities and request a dialogue between the presidents of Ecuador and Colombia.
  • Bilateral trade between Ecuador and Colombia approaches $3 billion and is seen as a successful case of integration.