Basic information
Outline of the system
The importation into Panama of narcotic, controlled and restricted drugs is subject to import licensing to ensure that traders' procedures are in conformity with Panama's international obligations (Single Convention on Narcotic Drugs 1961 and Convention on Psychotropic Substances 1981). Panamanian domestic regulations also require that the imported substances meet Panamanian medical and scientific requirements and that the drugs remain in the legitimate distribution channels. The importation of these drugs is covered by the Law on the Control of Medicaments and its regulations, and the Law on the Control of Narcotic Drugs and its regulations.
Product coverage
The prospective importers of controlled drugs (e.g. amphetamine, methamphetamine,
barbituric acids), narcotics (e.g. codeine, morphine), and restricted drugs (used only for research and not for commercial sale) must apply for an import permit. The application must specify the supplier's name, country and address, and the quantity and type of drug being imported. Companies and traders interested in importing such drugs must be domestically licensed to manufacture or distribute the specified narcotic, controlled or restricted drugs.
Nature of licensing
Automatic
If Automatic, administrative purpose
Non-Automatic
If Non-Automatic, description of the notified Non-Automatic Licensing regime
Products under restriction as to the quantity or value of imports
The aim of the licensing system is to minimize the diversion of drugs, to ensure that the quantity of imported drugs does not exceed Panamanian medical or scientific needs and to ensure that Panama is able to comply with its international commitments.
Questions for products under restriction as to the quantity or value of imports
See answers 6.1-6.11
The system applies to products originating from which country?
The system applies to all narcotic, controlled and restricted drugs, regardless of their country of origin. Narcotics may be imported only from countries that are party to the United Nations International Narcotics Convention, to which Panama is a signatory.
Expected duration of licensing procedure
Legal requirements
Is the licensing statutorily required?
The Law on the Control of Narcotic Drugs and its regulations and the Law on the Control of
Medicaments and its regulations require permits for the import or export of narcotic, controlled or restricted drugs. This control is established on the basis of international obligations.
Does the legislation leave designation of products to be subject to licensing to administrative discretion?
Is it possible for the government to abolish the system without legislative approval?
Eligibility of applicants
Is there a system of registration of persons or firms permitted to engage in importation?
What persons or firms are eligible to apply for a licence?
Licences to import or export narcotic, controlled or restricted drugs are limited to companies authorized to manufacture or distribute such drugs in Panama.
Is there a registration fee?
There is no licensing fee. However, authorizations are subject to a fee and other requirements.
Is there a published list of authorized importers?
A list of such companies is published at least once each year and revisions are published more frequently.
Contact point for information on eligibility
Ministry/Authority
Address
Telephone
Fax
E-mail address
Website
Contact officer
Submission of an application
Administrative body(ies) for submission of an application
Pharmacy and Drugs Bureau of the Ministry of Health
Documentation requirements
What information is required in applications?
Applications for permit to import narcotic and controlled drugs.
What documents is the importer required to supply with the application?
Window of submission of an application
How far in advance of importation must application for a licence be made?
The importer of controlled and restricted drugs possessing a manufacturer's or distributor's authorization for that drug is usually issued an import licence within 10 working days of receipt of the application. It is effective immediately.
Are there any limitations as to the period of the year during which application for licence can be made? If so, explain
No. All permits are valid for three months from the date of issue. No licence has a period of validity extending beyond 31 December of the year in which it was issued. Licences issued in November are valid only until 31 December.
Issuing the license
Can a licence be granted immediately on request?
All licences are granted within 10 working days of receipt of application if there is a legitimate medical or scientific need and physical security for safe-keeping purposes.
Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence
Which administrative body is responsible for approving application of licences?
The Pharmacy and Drugs Bureau of the Ministry of Health is the only authority that an importer need contact. The application must be signed by the Director-General of Health and the Head of the Bureau.
Must the applications be passed on to other organs for visa, note or approval?
The Pharmacy and Drugs Bureau of the Ministry of Health is the only authority that an importer need contact. The application must be signed by the Director-General of Health and the Head of the Bureau.
Are there any other conditions attached to the issue of a licence?
Yes, submission of quarterly and annual reports.
Fees and other administrative charges
Is there any licensing fee or administrative charge?
Yes.
What is the amount of the fee or charge?
B 10.00
Is there any deposit or advance payment required associated with the issue of licences?
No.
Amount or rate?
Is it refundable?
What is the period of retention?
What is the purpose of this requirement?
Refusal of an application
Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria?
An application for an import licence may be refused if a company is not licensed, if the product is not currently on the licence, if the security requirements are not met, if there is an insufficient quota remaining, if the importer has failed to comply with the laws and regulations or if there is reason to suspect that the drug will be diverted to an illicit market.
Are the reasons for any refusal given to applicants?
Reasons are given for refusing permits.
Have applicants a right of appeal in the event of refusal to issue a licence?
Article 139, Title III of Law No. 23 of 15 July 1997, which approved the Marrakesh Agreement and contains other provisions, states that "the decisions of the competent import licensing authorities shall be open to appeal through the administrative litigation courts and all the provisions established by the Judicial Code in that regard shall be applicable to them".
If so, to what bodies and under what procedures?
Importation
Are there any limitations as to the period of year during which importation may be made?
No. All permits are valid for three months from the date of issue. No licence has a period of validity extending beyond 31 December of the year in which it was issued. Licences issued in November are valid only until 31 December.
What documents are required upon actual importation?
Export permit from the exporting country.
Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
No, provided that the company is currently licensed to manufacture or distribute such drugs and can provide the security necessary for storage.
Conditions of licensing
What is the period of validity of a licence? Can the validity be extended? How?
One year. The period of validity may be extended if the applicant so requests.
Is there any penalty for the non-utilization of a licence or a portion of a licence?
No.
Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
No.
Foreign Exchange
Is foreign exchange automatically provided by the banking authorities for goods to be imported?
Not applicable.
Is a licence required as a condition to obtaining foreign exchange?
Not applicable.
Is foreign exchange always available to cover licences issued?
Not applicable.
What formalities must be fulfilled for obtaining the foreign exchange?
Not applicable.
The following questions are only for products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally)
Where is information on allocation and formalities for licences published? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
Allocations of quotas for narcotics are published by the United Nations, and this information is provided to traders upon request. Any country exporting such drugs can obtain information on Panamanian quotas through the United Nations International Narcotics Control Board. Panama does not allocate a specific quantity to any country.
Is the size of the quota determined: on yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for a fresh licence on a six-monthly or quarterly basis?
The quotas for narcotics are allocated annually in accordance with the requirements of the United Nations International Narcotics Control Board.
Are licences allocated for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate)
Permits to import narcotic, controlled and restricted drugs are issued only to licensed traders, who are required to inform the Pharmacy and Drugs Bureau of the Ministry of Health when the import of drugs takes place, including the quantity imported. Unused quantities of the allocations are credited back to the quota for the year.
From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
All narcotic quotas are established on an annual basis, and an application may be made at any time during the year.
What are the minimum and maximum lengths of time for processing applications?
Import permits are issued within five working days of receipt of application. In the case of narcotics, the same length of time applies, provided that the Panamanian quota has not been exhausted for the calendar year.
How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
Permits are issued for immediate importation except when a trader has indicated a wish to import during the following calendar year. In such cases, the permit becomes valid as of 1 January of that year.
Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
All applications to import narcotic, controlled and restricted drugs are reviewed by the Pharmacy and Drugs Bureau. Import permits are issued by the Bureau on the authority of the Ministry of Health.
If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
Permits are issued on a first-come, first-served basis, taking into account past performance and security. There is no maximum amount allocated per applicant. Applications are examined on receipt.
In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
Under Panamanian law and the international estimate system of the United Nations International Narcotics Control Board, the narcotic, controlled and restricted drugs requiring import permits are also covered by export permits issued by the competent authorities of the exporting country.
In cases where imports are allocated on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Not applicable.
Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
Yes.