Guidance

Overseas business risk: Colombia

Updated 12 November 2018

Information on key security and political risks which UK businesses may face when operating in Colombia.

The Department for Business and Trade’s (DBT) exporting to Colombia guide provides useful information on developing your overseas trade in Colombia.

1. General overview

Colombia is composed by five distinct regions: Caribbean coast; Pacific coast; Amazon; Plains; and the central Andean heartland, in which most of the major cities (such as Bogota, Medellin, Cali, Barranquilla, Bucaramanga) are located. It is one of the most bio-diverse countries in the world. The fragmented geography, due to the country being crossed by the Andes mountain range, creates thousands of isolated ecosystems and endemic species. Colombia and its ecosystems are particularly vulnerable to climate change. Through the International Climate Fund, the UK has committed around USD305m since 2010 to support Colombia’s efforts to implement sustainable development approaches and raise climate ambition locally and in the region.

Major Industries:

• oil and gas
• mining
• financial and professional services
• agriculture (coffee, palm oil, cut flowers)

Currently, over 700 companies based in the country generate USD 25.5 million in revenues. New commercial opportunities have arisen, as experts say the “peace dividend” will allow new sectors and markets to develop further.

2. Political

The Republic of Colombia is a democratic State, which is based on the separation of powers, according to its 1991 National Constitution. The Executive branch is headed by the President of Colombia, who serves as head of State and head of the government. The Congress is composed by 280 members, divided into two chambers. Finally, the judicial system consists of four high courts: the Supreme Court, the Constitutional Court, the Council of State and the Superior Council of Judicature.

Traditionally, Colombia has had two major political parties (Conservatives and Liberals). Nevertheless, the 1991 Constitution gave new guarantees to have a Multi-party system. Currently, seventeen parties have presence in the Colombian Congress, including two indigenous ones, one party representing afro-descendant population and FARC party.

Colombia has suffered from an internal conflict for more than 50 years. This arose when left-wing groups took to armed struggle in the mid-1960s. The most well-known of these groups is the Revolutionary Armed Forces of Colombia (FARC) the oldest guerrilla group in the western hemisphere. However, there have been more illegal groups during these years, most of which have disappeared. These groups represented both sides of the political spectrum.

From the left-wing came the M-19 group, the People’s liberation Army (EPL) and the National Liberation Army (ELN), the latter being the only illegal organised group remaining. From the right-wing, the United Self-Defence Forces of Colombia (AUC) emerged during the 90s, promoted mainly by large landowners and drug cartels to counter the left-wing illegal guerrillas. This group demobilised in 2006. The ideological conflict has been largely overtaken by a struggle for controlling the drugs-trafficking business.

During 2012, the Colombian government started peace negotiations with FARC and signed a final peace agreement in 2016. This treaty promotes a comprehensive rural development programme, political participation of FARC as a new political party, a programme to substitute illicit drugs, provisions about prosecution and victim reparation.

The last Congressional election took place on 11 March 2018 (elected for 4 years), with parties of the right making considerable gains. The FARC also took part in their first ever elections, as a result of the commitments in the Peace Agreement, securing less than 1% of the vote. As included in the Agreement they are guaranteed 5 seats each in the House of Representatives and Senate for the next two congressional terms (until 2026).

On the other hand, Colombia’s presidential elections took place in June 2018, in which Mr Ivan Duque was elected. Mr Duque comes from the right-leaning ‘Centro Democrático’ (CD) party, one of the strongest opponents to the Peace Agreement.

The UK has been a strong supporter of the peace process both politically and financially. The UK was the penholder of the UN Security Council Resolution to establish a Special Political Mission to monitor and verify the ceasefire between the Government of Colombia and FARC. Besides, we have committed £28m from the Conflict, Stability and Security Fund (CSSF) since 2015 towards supporting the Colombian Government in the implementation of the peace agreement through security and justice capacity building projects.

As he took office, President Duque reorganised the government’s peace policy under a project called ‘Paz con Legalidad’ included as one of the pillars of the National Development Plan. Under this vision, he tried to change some provisions in Peace Agreement, and announced his intention to restart aerial spraying as a response to the high record levels of cocaine production in the country.

Additionally, Duque’s administration has been particularly focused on economic development and investment in the creative industries under the ‘Orange Economy’ policy, as Duque himself held a role within the IDB for many years working in this sector

The country has recently experienced political unrest due to protests against police brutality. These events recall the 2019 nationwide strike demanding further protection for social leaders being persecuted in different regions, and opposition to social welfare and tax reforms. It is also worth noting that 2021, is a pre-electoral year in Colombia and pre-campaign for the 2022 elections has already began.

The UK continues playing a leading role in Colombia’s peace process, both as penholder in the UNSC as well as a key funder and implementation of the Peace Agreement. To date it has provided £62m of funds to support this work, including more than £26m for transitional justice and reconciliation.

Although most of the Colombian territory is controlled by the public security forces, the FCDO continues to recommend against travelling to certain rural parts of the country - see latest FCDO Travel Advice for full details.

3. Economics

Colombia has the fourth biggest economy in Latin America with an estimated value of USD 2394.5 billion and a population of around 50 million people, third largest in the region. GDP per capita is USD 7,838.2 (USD 14,552 at PPP), making it a high-middle income country. During the last two years, the country has lost several positions in the World Bank’s Ease of Doing Business ranking, and it is now ranked 67th and third in the region.

Colombia’s economy has remained resilient. Strong internal demand lifted economic growth to 3.3 percent in 2019. During 2020, the country experienced two external shocks: low oil prices and the Covid-19 shock, GDP contracted 6.8% in 2020 but GDP rebound of 4.5% is expected for 2021.

Although Colombia is categorised as a steadily growing middle-income country, the benefits of its sustained economic growth have been distributed unequally. Large advanced urban centres (urban population is 76.4%) co-exist alongside extensive rural areas with high poverty rates (GINI index is 50.4).

Colombia finished 2019 with a 9.5% unemployment rate, which remains within the official target under 10%, but grew up during 2020 due to COVID-19. Furthermore, the main problem in the labour market is informality. The last official report shows that 46.5% of working people have no social security. Also, 63.8% of the population earns a minimum wage or less.

In terms of inflation, the Colombian Central Bank has established an inflation target between 2% and 4%. Inflation during 2020 was 1.61%, below the Central Bank’s long-term target of 3% and 2.19% less than inflation in 2019 (3.80%).

The Central Bank’s interest rate currently stands 1.75%. During 2020, the Bank lowered rates since March 2020 – from 4.25% to 1.75%. The projection of the trajectory of inflation foresees low levels during the first quarter of 2021 and a subsequent acceleration during the rest of the economic growth.year. Colombia’s sovereign debt bonds had a downward revision in November 2020 by Fitch’s rating from BBB to BBB-. S&P’s ratings remain. remains at BBB- with a negative outlook. This revision was based on the lower perspectives of economic growth and the increasing pressures on the public finances due to COVID-19 and the low oil prices shock at the beginning of 2020.

The country has 17 major FTA in force. The most important regional agreements are the Pacific Alliance (Chile, Colombia, Mexico and Peru) and the Andean Community of Nations (Bolivia, Colombia, Ecuador and Peru). Besides, it has current agreements with the European Union and the Caribbean Community. Regarding bilateral agreements, Colombia has FTAs in force with the United States, Canada, Costa Rica, Israel and South Korea.

Despite a challenging external environment, Colombia’s relative resilience continued to be guided by its very strong policy frameworks and timely policy actions. A flexible exchange rate, Central Bank credibility under inflation targeting, effective financial sector supervision and regulation, a medium-term fiscal rule, and strong institutions (especially in the fiscal/monetary sector) have allowed the country to withstand external shocks and address internal tensions. Furthermore, Colombia has an upward trend in its foreign reserves, which has been useful to face recent economic crises, particularly the 2007 International Financial Crisis. Currently, the Colombian net Foreign Reserves stands at USD 58.5 billion.

Colombia officially became the 37th member of the OECD on 28 April 2020 after in-depth reviews by 23 Committees and major reforms conducted by the country to align its legislation, policies and practices to OECD standards. Is the third Member country from the Latin America and Caribbean region to join after Chile and Mexico. Among those changes, Colombia has applied transparency rules in terms of SOE’s good governance and public accountability, and it implemented changes in the tax and pension regulations.

The country has an efficient patent and trademark office at Superintendence of Industry and Commerce (SIC). Colombia’s success combatting counterfeiting and IPR violations remains limited. While there have been some positive developments in the final steps enforcement against counterfeit goods, a large amount of digital piracy and counterfeit goods remain. Colombia has several post-access commitments with two, four and eight-year deadlines.

In terms of FDI, Colombia received USD 14.3 billion during 2019, an increase of 24% compared to 2018. By sectors, mining got the 32% of FDI, being 19% exclusively for the oil industry. Financial services received 21%, retail, restaurants and hotels 15% and the manufacturing sector 10%. By country, during 2019 the main sources of FDI were the United States (18.2%), Spain (17.5%), Swiss (8.4%), Brazil (7.5%) and the United Kingdom (9%). Colombia has the highest number of customs-free zones in the region with 108 zones in operation. Furthermore, Colombia has a system of ‘legal stability contracts’ for large investors that allows companies to fix certain aspects of an investment (for example, tax rates) during a determined period. Finally, the post-conflict environment encourages FDI focused on infrastructure, agricultural industry, renewable energies and tourism areas that have opened heavily after the Peace Agreement.

3.1 Colombia’s trade balance

In 2020, Colombia had a trade deficit around USD 10.5 billion. It was a direct consequence of the oil-price shock and the difficult 2020 trade conditions during COVID-19. However, this deficit reduced from USD 15.6 billion in 2015, especially because of the contraction of imports due to adverse exchange terms.

Colombia’s trade balance:

• total exports USD 31.0 billion

• total imports USD 41.2 billion

Source: National Department of Statistics - DANE

3.2 Colombia’s trading partners

The United States remains as Colombia’s largest trading partner, both for exports and imports. Italy and the Netherlands represents the largest destination for Colombian exports in Europe, while Germany is the Colombia’s biggest import partner in Europe.

Exports by country, 2020	Percentage
United States	28.7%
China	8.9%
Ecuador	4.7%
Brazil	4.1%
Mexico	3.7%
Italy	3.1%

Imports by country, 2020	Percentage
United States	24.2%
China	23.9%
Mexico	6.7%
Brazil	5.6%
Germany	3.8%
France	2.2%

Source: National Department of Statistics - DANE

3.3 Colombia’s main export products

Colombia heavily depends on energy and mining exports, making it vulnerable to shocks in commodity prices. Colombia is the world’s fourth largest coal exporter and Latin America’s fourth largest oil producer.

Colombia’s main export products, 2020	Percentage
Crude petroleum	23%
Coal	10.9%
Gold	8.9%
Coffee	7.9%
Bananas	2.9%

Source: National Department of Statistics - DANE

3.4 Colombia’s main import products

Colombia’s main import products, 2020	Percentage
Machinery	11.9%
Transmission apparatus for radio, TV and telephone	11.4%
Vehicles	8.0%
Pharmaceutical products	5.8%
Refined petroleum	5.1%

Source: National Department of Statistics - DANE

3.5 UK-Colombia trade relations

The continuity UK-Andean Countries FTA and the deeper financial integration of the Pacific Alliance offers new opportunities for UK businesses within the Colombian market.

The FTA signed in 2019 reproduces the effects of the EU-Andean Countries Trade Agreement. In order for the Agreement to enter into force in Colombia, the Constitutional Court needs to approve this trade instrument, which already passed in the Colombian Congress in 2020. To avoid trade disruptions, since 1 January 2021, UK and Colombia are applying and alternative and temporal arrangement that ensures trade can continue working under the same conditions as in the EU – Colombia Trade Agreement, until the new bilateral trade Agreement enters into force. We expect the Agreement to enter into force in the second semester of 2021.

UK exports (of goods) to Colombia include: mechanical generators (22.9%), mineral fuels and oils (22.1%), beverages (8.4.%), vehicles (7.2%) and pharmaceutical products (5.9%). In terms of services, the UK’s main exports to Colombia include: insurance and pension (18.6%), intellectual property (16.8%), travel (15.9%) and telecommunications, computer and information services (11.1%)

UK exports to Colombia (GBP million):

	2013	2014	2015	2016	2017	2018	2019
Goods	335	339	393	288	524	446	601
Services	218	206	272	281	307	160	168
Total	553	545	665	569	831	606	769

Source: Office for National Statistics (ONS)

UK imports (of goods) from Colombia include: edible fruits (41.5%), coal (23.1%), coffee and tea (10.6%), and crude animal & vegetable materials (8.1%). In terms of services, the UK main imports from Colombia include: Travel (60%), business services (9.4%), and government related (5.0%).

UK Imports from Colombia (GBP million)

	2013	2014	2015	2016	2017	2018	2019
Goods	834	781	645	485	481	443	476
Services	68	70	38	147	154	170	117
Total	403	409	431	435	678	616	718

Source: Office for National Statistics (ONS)

3.6 UK-Colombia investment relations

The UK-Colombia Investment Protection and Promotion Agreement (IPPA) and the bilateral Double Taxation Convention (DTC), in force since 1 January 2020 offer new opportunities for British companies in Colombia.

In 2019, the UK represented Colombia’s fifth largest foreign investor with investment flows rising from USD 879m in 2016 to USD 1,045m in 2019. Historically, UK investments have been concentrated on extractive sectors, but there has been significant diversification in recent years across a range of sectors.

3.7 Key opportunities for the UK

DBT Bogota has identified strategic sectors, including:

Education

Structural reforms have required Colombia to pursue additional collaboration between government bodies, public and private institutions and high quality education entities in the UK.

Opportunities in Vocational Training and Education (TVET), English Language Programmes to offer bilingual education, designing of international curriculum, and designing of qualifications framework, consultancy on projects, education technology, and joint work for research projects have risen.

Additionally, opportunities in educational PPPs (school operation, student residences, and rapidly deployable schooling facilities) are also among the range of areas of work. Although the public expenditure in education has decreased from 4.9% in 2013 to 4.4% to GDP in 2016, education is still the biggest allocation of the national budget (2021) and the top priority of the central administration.

Financial and professional services

The financial industry is one of the main economic sectors contributing to the economic growth and it represents around 4% of the GDP. Opportunities for further development are: financial inclusion, insurance penetration, infrastructure funding (5G Infrastructure Programme) and fintech. Total financial system assets are equivalent to almost 110% of GDP, with credit institutions accounting for 45%. 20 of 42 credit institutions are banks. There are 4 pension funds, 34 insurance companies, 19 life insurance companies and 12 foreign reinsurance firms.

Colombia’s financial sector is mostly controlled by domestic conglomerates with limited international participation. However, the potential for supplying products and services is substantial for British companies. Commercial opportunities are particularly relevant for asset managers, consultancy services and fintechs.

Besides, there are still various aspects of the market not directly regulated by the Colombian authorities. There is potential to work on a government-to-government basis, given the British government’s experience in the financial services sector.

Also, the Colombian regulator created the ‘Financial and Technological Innovation Internal Working Group’ (‘InnovaSFC’) with the main purpose of leading and implementing the entity’s financial and technological sandbox strategy for the years to come. After more than two years of operation, the Colombian Sandbox has given significant results and has become a valuable and powerful tool for promoting innovation and technological transformation in the Colombian financial, securities and insurance market. The country is also considering to implement an Open Banking framework in the following years, which will open opportunities for new players in the financial system. Moreover, the Central Bank has relaxed the currency exchange regulation, allowing more complex financial instruments.

Healthcare and life sciences

Healthcare in Colombia is a complex sector to operate in. The health sector is made up by numerous actors: private sector, public sector (central government and local governments), EPS (type of government sponsored health insurance), IPS (health centers), etc. This division in actors increases the requirement for a targeted strategy and significant stakeholder engagement.

The quality of the healthcare provision in Colombia is diverse: varying from excellent high-end provision by some institutions in the major cities, to basic, poor and non-existent provision in some rural areas.

The healthcare system in Colombia reproduces the US model with a privatized system, making it more complicated for UK entry. That being said, the UK healthcare model is highly esteemed in Colombia and there is significant opportunity to demonstrate UK expertise through the NHS and PPP models.

The public sector in Colombia is complex as central government’s scope is limited and mainly general-policy focused. Local governments are responsible for the implementation of projects, running small contracts often.

The private sector in Colombia is strong and certainly provides a good market opportunity for UK businesses. However, this sector is complicated because of the diverse nature of the private sector which does not have a strong central organisation.

Infrastructure

Colombia has ambitious infrastructure. plans for the following years. Infrastructure development has found a renewed role in reactivating the Colombian economy, recently affected by the COVID-19 pandemic. The Colombian government’s launch of the 5G concession program sets forth an opportunity to reactivate the Colombian economy. This new program comprises approximately 22 projects; with an investment of around USD17.3 billion (4G and 5G in Colombia refers to roads, airports, railways, rivers and canals).

Infrastructure plans created by the Government are: a) The Intermodal Transportation Master Plan; b) Completion of 22 pending infrastructure projects; c) The Programme “Vias para la legalidad” that seeks to close infrastructure gaps in municipalities; d) The Railway Master Plan that will increase commercial rail network by 156% (in which the UK Prosperity Fund is involved), and e) The 5 Generation Roads (5G). There are opportunities to finance ongoing and new projects and UK business could bring their expertise in this sector and participate in those PPPs.

Renewable energy

Colombia is a country with a rich endowment of energy resources. Its geographical location allows it to be a great place for the establishment of wind powered energy, biomass and solar energy. Colombia’s Energy demand is expected to grow around 5% in the following years leading to a new wave of investment in power generation and transmission projects.

Colombia’s first successful renewable energy auction was held at the end of 2019 - with support from UK Pact, with six wind and three solar farm projects securing 15-year power purchase agreements (PPAs) with bidding retailers. The country announced a second auction in 2021 that will be offering more than 5,000 MW of capacity for long-term contracts, opening opportunities for UK businesses in the Energy Market.

UK Export Finance opens office in Colombia

The UK export credit agency UK Export Finance (UKEF) has made available up to £4 billion to help Colombian and Andean buyers access the financing they need to purchase products and services from the United Kingdom. The entity offers, among others, access to loans with local or international lending banks, with repayment terms of 2 to 10 years, and up to 18 in sectors such as renewable energy.

4. Human rights

The human rights situation in Colombia is challenging. In 2016, OHCHR reported 61 killings, in 2017: 86, in 2018: 115, in 2019: 108 and in 2020 at least 120. Indigenous and communal leaders in many conflict-affected areas are disproportionally affected. Peasant communities, environmental/land leaders and afro communities are also in an extremely vulnerable situation.

Colombia has ratified 60 ILO conventions including eight on fundamental labour rights. Nonetheless, Colombia affiliations to Unions is very low compared to international standards and OECD countries. Unionists also face high levels of stigma, intimidation and violence and are low and members can be subject to threats and violence.often subjects to threats and killings. Companies also often use collective negotiations with non-unionists weakening the Unions.

The Colombian Constitution guarantees extensive rights to indigenous and afro-descendant groups over their traditional territories and to protect their culture. Activities such as mining, oil exploration or infrastructure development in the regions where these groups live in have to go through a process of popular consultation known as ‘consulta previa’ where communities can decide whether or not they accept the projects on their land.

Colombia is a member of the Voluntary Principles on Security and Human Rights (VPs), “a multi-stakeholder initiative involving governments, companies, and non-governmental organizations that promotes the implementation of a set of principles that guide oil, gas, and mining companies on providing security for their operations in a manner that respects human rights” (State.gov, 2017). However, the situation in some areas with such activities continues to be very dangerous for communities and leaders.

Land issues in Colombia are extremely complex. With around 8 million internally displaced people, Colombia is the second country with the largest number of internal displacement in the world. A Land and Victims law, a product of the Peace Agreement was approved in June 2011 with the purpose of recognizing and repairing victims of the armed conflict.

The law works to return the stolen land and it aims to allocate around 3 million hectares (from seized and state-owned land), but have so far only returned to land claimants, around 390.000 benefitting around 75,000 victims. The rate at which it is allocating land is too slow and the Congress extended the period for the law to increase the chances of reaching all victims. Nonetheless, time is not the only challenge: people claiming. their land are often killed and threatened.

Colombia remains a priority country in the FCDO. Since 2018, the UK has allocated around £1.4 million through the International Programme Fund to support human rights, specifically human rights defenders, prevention of sexual violence in conflict and media freedom, among others. The CSSF fund supporting peace implementation has also had a direct impact on human rights and human rights defenders.

See reference to Colombia in the Foreign, Commonwealth & Development Office’s annual report on Human Rights

5. Bribery and corruption

Bribery is illegal. It is an offence for British nationals or residents to bribe within the UK or anywhere in the world. In addition, a commercial organisation carrying on businesses in the UK can be liable for the conduct of a person who is neither a UK national nor a resident in the UK or a body incorporated or formed in the UK. In this case, it does not matter whether the acts or omissions, which form part of the offence, take place in the UK or elsewhere.

Corruption is a major obstacle to do business in Colombia. The perception of corruption throughout the last years has remained unchanged: Colombia’s Corruption Perception Index in 2017 was 37 out of 100, placing Colombia as 96th over 180 countries in the world (Transparency International, 2018). EY’s Global Fraud Survey 2016 shows that 80% of companies interviewed agree that bribery and other corrupt practices happen widely doing businesses in Colombia. Businesses report excessive red tape and very high tax burdens. However, prospects look good since the Government is committed to building a better economic environment and capitalising on the peace agreement with FARC.

Visit the Business Anti-Corruption portal page providing advice and guidance about corruption in Colombia and some basic effective procedures you can establish to protect your company from them.

Read the information provided on our bribery and corruption page.

6. Terrorism threat

Terrorist threatens have diminished considerably during the recent years and particularly after the signing of the peace agreement with FARC. There are some remote rural areas where there is still terrorist threat from the ELN. In the major cities, the terrorist threat is very low, although some minor events have happened during the last months. Be careful in crowded places and surroundings of government offices and agencies.

Read the information provided on our terrorism threat page page.

6.1 Protective security advice

High-profile businesses can be targeted by criminal gangs and common criminals and will need to consider adapting security for office buildings and high-level staff. Most main office buildings and residential blocks in smarter areas have private security. Businesses operating outside the main cities should think about protective security and take specialised advice.

Read the information provided on our Protective security advice page. Up-to-date information on the security situation in Colombia can be found on FCDO Travel Advice safety and security page.

7. Cyber security

Colombia is seeking to improve its cyber security sector, including deterring criminal organisations from attacking strategic assets. It is starting to implement its cyber White Paper, CONPES 3854, oriented towards the development of a national strategy to counter the increased cyber threat. This is led by the President’s Office in coordination with the Ministry of Defence and the Ministry of Information and Communication Technologies.

Colombia has the CCOC (Joint Command for Cybernetic Operations), the COLCERT (Computer Emergency Response Team), the Joint Cyber Unit, the Cyber Command and the Police Cyber Centre. All these efforts are made to integrate different government institutions in response to possible cyber-attacks.

8. Commercial disputes

Colombia ranks 177th out of 190 economies in the ease of enforcing contracts. On average, processes take 1,288 days and costs 45.8% of the claimed value. In 2014, a piece of regulation was approved, allowing easier processes to enforce contracts by simplifying and speeding up the proceeding for commercial disputes. Although Colombia does not have a court or division dedicated solely to hearing commercial cases, it does have a court/fast track procedure for small claims, where self-representation is allowed.

Colombia has existing laws setting overall time standards for key milestones in a civil case. However, these time standards may not be always respected.

Colombia does not have any electronic-case management tools in force.

9. Intellectual property

Intellectual Property (IP) rights are territorial. This means they only give protection in the countries where they are granted or registered. If you are thinking about trading internationally, you should consider registering your IP rights in your export markets. Manufacturers and traders are strongly advised to patent their inventions and register their trademarks in Colombia. To do so, a patent or trademark agent could be contacted. Colombia has an efficient patent and trademark office at the Superintendency of Industry and Commerce (SIC)

Colombia is a member of the World Trade Organization (WTO), and it ratified the Trade-Related Aspects of Intellectual Property Agreement (TRIPs) and the World Intellectual Property Organization (WIPO).

The IP protection is based on the agreement made by the Andean Community of Nations, endorsed by the Andean Decision 486 of 2000. The responsible agency of giving and managing IP rights is the Superintendence of Industry and Commerce (SIC). SIC has an online platform called Industrial Property System (SIPI) that allows applicants to do all the process online.

Colombia has established a multiclass registration system, meaning that applicants can obtain trademark registration in all 45 international classes. In addition, the Colombian Trademark office has granted registration of non-traditional trademarks such as: scent, colour, motion, shape, taste and touch trademarks. Regarding the documents required to make a trademark application, Colombia has removed the requirement of legalization of documents such as Power of Attorney (POA) due to the Free Trade Agreement (FTA) with the US. Nowadays, the trademark authority requires the filing of a simple copy of the POA. Besides, the Madrid System for trademarks is in force, allowing the trademark owners to protect their trademarks in Colombia filing the applications in their own countries.

Application for patents for overseas inventions must be made within one year of filing the first foreign application. Patents are granted for twenty years from the date of filing the application. Regarding the filing requirements, the Colombian Patent Office requires the filing of a simple copy of the POA as mentioned before.

Compulsory licences may be granted if, after three years, the patent has not been exploited, the patent exploitation has been suspended for more than one year, the national market demand has not been met, or if the patentee has not granted licences under reasonable conditions. The responsibility for notifications about patent exploitation within three years is the responsibility of the patentee.

Regulations for the protection of IPRs exist in Colombia. However, concerns exist in relation to enforcement, especially in physical contraband and digital content piracy.

Companies looking for protecting and enforcing their IP rights in the Country may wish to seek advice from local attorneys or IPR consultants.

Refer also to the website of the World Intellectual Property Organisation (WIPO) and the Madrid System for the international registration of trademarks. Also read the information provided on our Intellectual Property page.

10. Organised crime

Organised criminal activity is primarily linked to drugs trade. Such groups are also engaged in many of the common activities of organised crime groups in other countries (such as racketeering). Their main operation concentrates in rural areas where the drugs are farmed. The fight against these groups is a government priority. Besides, FARC dissidents groups have emerged in the south of the country, especially along the Colombian and Ecuadorian Border, raising the criminality and kidnapping activities in that particular region.

11. Contact Us

Contact the DBT Colombia team for more information and advice on opportunities for doing business in Colombia.