No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveUS Trade Rep Calls Out Costa Rica on Cellular Delay

US Trade Rep Calls Out Costa Rica on Cellular Delay

Costa Rica must finally open up its cellular phone market to fulfill its end of the

deal as a member of the Central American Free-Trade Agreement with the United States (CAFTA), a U.S. government trade report said this week.

The U.S. Trade Representative’s Office (USTR) singled out Costa Rica from a list of 20 or so other countries that presented “key issues” in the office’s annual review of telecommunications trade agreements.

The agreement, also known as CAFTADR, because it includes the Dominican Republic, was signed by Costa Rica in November 2007 but not ratified until January 2009. Major reforms of key trade policies and industries, including telecommunications, were needed to comply with requirements for joining the region’s trade club with the United States.

One such reform involved loosening the state-run Costa Rican Electricity Institute’s (ICE) grip on mobile phone service. Under CAFTA, Costa Rica must freely allocate frequencies in order to allow for market competition. This has not yet happened.

The USTR cited two of the factors responsible for delaying the process, which was slated to begin Feb. 5.

One trip-up involved allegations that there was a conflict of interest relating to a potential bidder’s past work. ICE officials said the case has been investigated and resolved, that the bidder is in the clear, and that the auction should go forward.

However, a technical difficulty continues to hamper Costa Rica’s ability to fulfill this central piece of the trade treaty. Bidders need access to microwave frequencies to connect their base stations to cell towers throughout the country; the towers are currently run by a handful of state and private operators. The USTR received notification from Costa Rican officials that they need to implement a regime to ensure that operators will share access to their frequencies with prospective businesses.

“USTR urges Costa Rica to resolve the microwave frequency issue and complete the mobile telephony frequency auction,” the report said, “so that it can fulfill its CAFTA-DR commitment to introduce much needed competition into the mobile telephone market.”

–Alex Leff

Trending Now

Argentine Thiago Tirante Ends Bautista Agut’s Final Madrid Open Run

Thiago Agustín Tirante gave Latin American tennis a strong start at the Madrid Open on Wednesday, beating Spain’s Roberto Bautista Agut 6-2, 6-4 to...

The Story of Costa Rica’s Famous Railroad to Limón

Few stories in Costa Rican history are as dramatic, costly, and consequential as the construction of the railroad connecting San José to the Caribbean...

Costa Rica Orders Removal of Toll Booths Near San Jose Airport

Drivers using Route 1 near Juan Santamaría International Airport are set to get some relief after President Rodrigo Chaves ordered the removal of the...

Costa Rica Sees Increase in Reckless Driving Cases on Major Highways

Costa Rican prosecutors are warning about a rise in reckless driving on some of our country’s busiest roads, saying the pattern is feeding more...

Expomóvil 2026 Opens in Belén with 350 Models

Costa Rica's biggest auto fair of the year is in full swing, and this edition is one for the record books. Expomóvil 2026 started...

Ortega says Trump has a mental breakdown over war in the Middle East

Nicaraguan President Daniel Ortega said Monday that U.S. President Donald Trump is suffering from a mental breakdown after launching, alongside Israel, the war in...
Avatar

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Travel