Politics Country February 04, 2025

Supreme Court declares tariff decree unconstitutional

The Supreme Court of Justice of Panama declared Executive Decree No. 136 unconstitutional, reinstating Decree No. 26 of 2002 regarding quarantine service rates.


Supreme Court declares tariff decree unconstitutional

The Plenary of the Supreme Court of Justice of Panama issued a resolution declaring the Executive Decree No. 136 of December 3, 2021, from the Ministry of Agricultural Development (MIDA), unconstitutional. This decree updated the fees for quarantine treatment services and established other measures. The challenge of unconstitutionality was presented by the Panamanian Aviation Company (COPA) S.A.

The resolution of the Plenary, which included a dissenting vote, implies that the Executive Decree No. 26 of January 30, 2002, which establishes the quarantine service fees in the country, regains validity. The now-declared unconstitutional Decree was published in the Official Gazette of Panama on March 1, 2023, with the purpose of adjusting the fees to the prices of the Central American region, according to information from MIDA.

It is important to mention that all modes of transportation entering Panama are subject to a quarantine treatment regime, which involves processes such as nebulization, atomization, and spraying to maintain pest control. The CSJ's decision regarding the unconstitutionality of the mentioned decree has significant implications in terms of regulation and fees in the country.