Sector: Services Provided to Businesses
Subsector: General warehousing services
Industrial Classification: CPC 742. General warehousing
Type of Reservation: Local presence (Article 10-05)
Level of Govemment: National
Measures: Agreement No. 1055, Regulation of General Warehouses of Deposits, Article 3.
Description: Cross-border services
In order to provide the services of general bonded warehouses, a corporation with fixed capital and sole purpose must be incorporated in Honduras.
Reduction Schedule: None
Sector: Services Provided to Businesses
Subsector: Investigation and security services
Industrial Classification: CPC 873. investigative and security services
Type of Reservation: Local presence (Article 10-05) National treatment (Article 14-04) Senior Management and Boards of Directors (Article 14- 08)
Level of Govemment: National
Measures: Organic Law of the National Police, Article 91, Decree No. 156-98.
Description: Cross Border Services and Investment
The Secretariat of State in the Office of Security, subject to the opinion of the respective Directorate, may authorize the operation of private security services (preventive surveillance services, private investigation services and training services for its members).
Foreign companies requesting permission to provide private security services must associate with Honduran companies engaged in the same activity and appoint a Honduran manager by birth.
Reduction Schedule: None
Sector: Transportation
Subsector: Water transportation: coastal shipping
Industrial Classification: CPC 72. water transportation services
Type of Reservation: Most favored nation treatment (Article 10-03). Local presence (Article 10-05) National Treatment (Article 14-04)
Level of Govemment: National
Measures: Decree No. 167-94, dated January 2, 1995, Organic Law of the National Merchant Marine, Title fil, Chapters 1, Il and Vil, Articles 40 to 42 and 48. Agreement No. 000764, Maritime Transportation Regulations of December 13, 1997.
Description: Cross Border Services and Investment
Cabotage navigation is understood to be that which, not being inland navigation, is carried out between ports or points located within the national territory.
Cabotage navigation for mercantile purposes is reserved to Honduran merchant vessels. Exceptionally, when there are no Honduran merchant vessels or they are not available and for the time that such circumstance lasts, the General Directorate of the National Merchant Marine may authorize that foreign merchant vessels foreign merchant vessels, at in particular of Central American nationality, may provide cabotage services in Honduras. The shipping company must be incorporated in accordance with the laws of the country, at least 51% of its subscribed and paid-up capital stock must belong to Honduran citizens, and the company's domicile must be in the country.
Reduction Schedule:None
Sector: Transportation
Subsector: Air transport services
Industrial Classification:CPC 73. air transport services.
Type of Reservation: National Treatment (Article 14-04) Senior Management and Boards of Directors (Article 14-08)
Level of Government: National
Measures: Decree No. 146, Civil Aeronautics Law, Chapter X, Second, Third and Fourth Sections, Articles 75 to 102. Agreement No. 001518, Regulation of Operating Certificates and Provisional Permits for the Provision of Air Services for Domestic and International Public Transportation of Passengers, Cargo and Mail.
Description: Investment
Only Honduran natural or juridical persons may register in the Honduran Aeronautical Administrative Registry aircraft destined for public transport service or aerial work for remuneration.
Only natural or juridical persons of Honduran nationality shall have the right to operate public transportation air services, whether scheduled or non-scheduled, domestic or international, by means of aircraft flying the flag of Honduras.
The legal entities referred to in the preceding paragraph must also meet the following requirements:
a) at least 51% of its capital must be owned by Hondurans; and
b) The effective control and management of the company must also be in the hands of Hondurans.
Air services of public transportation between any two points of the national territory are reserved to Honduran aircraft.
Reduction Schedule: None
Sector: Transportation
Subsector: Air transport services (limited to aircraft registration, specialized air services, and aeronautical technical personnel).
Industrial Classification: CPC 73. Air transport services (limited to registration) of aircraft, specialized air services and aeronautical technical personnel)
Type of Reservation: Most favored nation treatment (Article 10-03) National treatment (Article 10-04).
Level of Govemment:National
Measures: Decree No. 146, Civil Aeronautics Law, Chapter X, Second, Third and Fourth Sections, Articles 75 to 102. Agreement No. 001518, Regulation of Operating Certificates and Provisional Permits for the Provision of Air Services for Domestic and International Public Transportation of Passengers, Cargo and Mail.
Description: Cross-border services
Only Honduran natural or juridical persons may register in the Honduran Aeronautical Administrative Registry aircraft destined for public transport service or aerial work for remuneration.
To perform private services for remuneration, authorization is required from the Ministry of Public Works, Transportation and Housing and to be a Honduran individual or legal entity.
Only Honduran aeronautical technical personnel, will be able to exercise in Honduras remunerated activities of national aeronautics. In the absence of such personnel, pilots or other foreign technical personnel may be allowed to exercise such activities, giving preference in this case to personnel from any other country of the Central American isthmus.
Reduction Schedule: None
Sector: Transportation
Subsector: Rail
Industrial Classification: CPC 711. Railroad transportation service
Type of Reservation: National Treatment (Article 14-04)
Level of Govemment: National
Measures: Decree No. 48, Constitutive Law of the National Railroad of Honduras, Chapters | and VIIl, Articles 1, 32 and 34, Article 12 amended by Decree No. 54.
Description: Investment
The National Railroad of Honduras (Ferrocarril Nacional de Honduras) is an autonomous agency of the State with legal personality, its own assets and indefinite duration.
If the National Railroad chooses to establish subsidiary companies, it is empowered to oversee and supervise the operation of such companies. In special cases, the National Railroad may sell such subsidiary companies to private entrepreneurs of Honduran nationality who will be in charge of continuing to provide the same services.
To be a manager of Ferrocarril Nacional, you must be Honduran by birth.
The auditor, who will be a certified public accountant, must be Honduran by birth.
Reduction Schedule: None
Sector: Transportation
Subsector: Land transportation services by road
Industrial Classification: CPC 712. other land transportation services
Type of Reservation:Most favored nation treatment (Article 10-03). National Treatment (Articles 10-04, 14-04) Local Presence (Article 10-05)
Level of Govemment: National
Measures: Decree No. 319, Transportation Law, Articles 3, 5 and 17. Transportation Law Regulations, Article 7.
Description: Cross Border Services and Investment
The right to provide the internal transportation service is reserved exclusively to Honduran natural or juridical persons, of public or private interest.
The international public transport service may also be provided by foreign companies on the basis of the principle of equitable reciprocity. An operating certificate or permit issued by the Executive Power or by the General Directorate of Transportation, respectively, is required for the rendering of land transportation services. The operating certificate and the permit shall be granted to Hondurans by birth and to legal entities in whose capital stock national investment predominates. In any case, the net Honduran capital may not be less than 51% of the capital stock.
Transportation services and activities shall be subject to the following conditions:
a) The internal public transportation service may only be provided by Hondurans and legal entities incorporated in Honduras, in accordance with national laws and whose capital at least 51% belongs to Hondurans. In equal conditions, preference will be given to Hondurans by birth.
b) The international passenger and cargo service will be preferably provided by Honduran individuals or legal entities, who may do so by themselves or in combination with foreign companies. Such agreements must be approved by the General Directorate of Transportation. These provisions do not affect the agreements and treaties entered into by Honduras with other States as well as the principle of equitable reciprocity.
Reduction Schedule: None
Sector: Transportation
Subsector: Land transportation services by road
Industrial Classification: CPC 712. other land transportation services
Type of Reservation: Most favored nation treatment (Article 10-03).
Level of Govemment: National
Measures: Decree No. 177-94 of March 1, 1995.
Description: Cross-border services
The government of the Republic of Honduras has the discretion to issue licenses and authorizations on the basis of reciprocity.
Reduction Schedule: None
Sector: Transportation
Subsector: Road freight land transportation services
Industrial Classification: CPC 7123. Freight transportation
Type of Reservation: Most favored nation treatment (Article 10-03).
Level of Government: National
Measures:Resolution No. 64-98 (COMRIEDRE), approved by the Council of Ministers Responsible for Economic Integration and Regional Development on January 19, 1998.
Description: Cross-border services
A reciprocal and non-discriminatory treatment mechanism is established for cargo transportation services among the six member states of the Tegucigalpa Protocol (Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama), which includes the following:
a) Full freedom of transit through its territories for means of land cargo transportation of goods destined from Panama to any Central American country, and from any Central American country to Panama.
b) Freedom of transit implies the guarantee of free competition in the contracting of transportation without prejudice to the country of origin or destination and national treatment to the transportation of all States in the territory of any of them, with the origins and destinations indicated above.
Reduction Schedule: None
Annex I. Schedule of Mexico
Sector: All sectors
Industrial Classification:
Type of Reservation: National Treatment (Article 14-04)
Level of govemment: Federal
Measures: Political Constitution of the United Mexican States, Article 27 Foreign investment Law, Official Gazette, December 27, 1993, Title Il, Chapters I and Il. Regulations of the Foreign Investment Law and the National Registry of Foreign Investments, D.O.F., November 1998, Title Two.
Description: Investment
Foreigners or foreign companies may not acquire direct ownership of land and water within a 100 kilometer strip along the borders and 50 kilometers along the beaches (the Restricted Zone). Mexican companies without a foreigner exclusion clause may acquire ownership of real estate used for non-residential activities located in the Restricted Zone, and must give notice of such acquisition to the Ministry of Foreign Affairs (SRE) within sixty business days following the date on which the acquisition is made.
Mexican companies without a foreign exclusion clause may not acquire ownership of real estate for residential purposes located in the Restricted Zone.
Mexican companies without a foreigner exclusion clause may acquire, in accordance with the procedure described, rights for the use and exploitation of real estate in the Restricted Zone, which are intended for residential purposes. Said procedure will also apply to nationals or foreign companies for the same case in accordance with the following: Permission from the SRE is required for credit institutions to acquire as trustees, rights over real estate located in the Restricted Zone, when the purpose of the trust is to allow the use and exploitation of such property without constituting real rights over them.
Use and exploitation of the real estate located in the Restricted Zone shall be understood as the rights to the use or enjoyment thereof, including, as the case may be, the obtaining of fruits, products and, in general, any yield resulting from the operation and lucrative exploitation through third parties or the trust institution.
The duration of the trusts referred to in this reserve will be for a maximum period of fifty years, which may be extended at the request of the interested party.
The SRE may at any time verify compliance with the conditions, presentation and veracity under which the permits are granted.
The SRE will decide on the permits, considering the economic and social benefit that the performance of these operations implies for the Nation.
Foreign nationals or foreign companies that intend to acquire real estate outside the Restricted Zone, must previously present before the SRE, a written document in which they agree to consider themselves Mexican nationals for such purposes and waive the right to invoke the protection of their governments with respect to such property.
Reduction Schedule: None
Sector: All sectors
Subsector:
Industrial Classification:
Type of Reservation: National Treatment (Article 14-04)
Level of govemment: Federal
Measures: Foreign investment Law, Official Gazette, December 27, 1993, Title VI, Chapter Iil.
Description: investment
The National Foreign Investment Commission (CNIE), in order to determine the convenience of authorizing the applications submitted for its consideration for the acquisition or establishment of investments in the restricted activities, in which such authorization is required, in accordance with this Annex, shall take into account the following criteria: a) the impact on employment and worker training; b) technological contribution; c) compliance with the environmental provisions contained in the ecological ordinances governing the matter; or d) In general, the contribution to increasing the competitiveness of Mexico's productive plant.
The CNIE, in deciding on the merits of an application, may only impose Performance Requirements that do not distort international trade and are not prohibited by the Performance Requirements Article of the Investment Chapter.
Reduction Schedule: None
Sector: All sectors
Subsector:
Industrial Classification:
Type of Reservation: National Treatment (Article 14-04)
Level of Govemment: Federal
Measures: Foreign investment Law, Diario Oficial, December 27, 1993, Title I, Chapter Iil. As qualified by the element Description
Description: investment A favorable resolution of the National Foreign Investment Commission (CNIE) is required for Mexican companies in which the foreign investment intends to participate, directly or indirectly, in a proportion greater than 49 percent of their capital stock, only when the total value of the assets of the companies in question, at the time of submitting the acquisition request, exceeds the applicable threshold.
Reduction Schedule: For investors and investments from El Salvador, Guatemala and. Honduras the applicable threshold for the review of the acquisition of a Mexican company will be US$150 million as of January 1, 2003. Beginning January 1, 2004, the thresholds will be adjusted annually according to the nominal growth rate of Mexico's Gross Domestic Product, as published by the National Institute of Statistics, Geography and Informatics.
Sector: All sectors
Subsector:
Industrial Classification:
Type of Reservation: National treatment (Article 14-04) Senior corporate management and boards of directors (Article 14-08).
Level of Government: Federal