Dominican Republic strengthens its commitment to consolidating itself as a regional logistics hub
The Dominican Republic continues to advance its positioning as a logistics hub in the Caribbean and Central America, supported by a public-private strategy that combines port investments, infrastructure modernization and improvements in foreign trade. This environment is generating significant opportunities for the country’s business and regulatory sectors.
In this context, the Dominican Government announced an investment of US$531.5 million aimed at modernizing the national port system. According to President Luis Abinader, this process has allowed the settlement of debts totaling approximately RD$1.3 billion (around US$20 million), doubled the revenues of the Dominican Port Authority (APORDOM), and increased its average monthly collections from RD$56 million (approximately US$870,000) to RD$140 million (approximately US$2.15 million), strengthening national logistics competitiveness.
Foreign trade dynamics support this strategy. Data from the National Statistics Office (ONE) indicate that in 2024, 65.5% of Dominican exports were transported by sea, representing a 6.1% increase compared to the previous year. The Port of Haina Oriental led export activity with US$4.17 billion, followed by Las Américas International Airport and the Multimodal Port of Caucedo.
Port activity is supported by a network of terminals specialized in different types of cargo and operations. These include Arroyo Barril, Azua, Barahona, Boca Chica, Manzanillo, Puerto Plata, San Pedro de Macorís, Cabo Rojo, Amber Cove, La Romana and Caucedo. The latter is considered one of the most modern terminals in the region for containerized cargo handling and transshipment operations.
From a regional perspective, the World Bank’s 2023 Logistics Performance Index (LPI) places Latin America and the Caribbean at an average score of 2.7 out of 5.0, still below the global average. While the region has made progress in infrastructure and services, operational and regulatory challenges remain, requiring strategic planning and specialized legal support.
For a leading law firm in the Dominican Republic such as Pellerano & Herrera, this logistics scenario underscores the importance of a clear legal framework, the promotion of responsible investment, and the provision of specialized legal counsel to local and international companies operating or seeking to establish themselves in the country. Lawyers with experience in foreign trade, foreign investment, infrastructure and port regulation play a key role in this consolidation process.
From the private sector’s perspective, regional port connectivity continues to be led by Cartagena and Panama as major transshipment hubs. Nevertheless, the Dominican Republic has managed to position itself as a relevant logistics hub due to its strategic location and its connectivity to routes linking the United States, Mexico, Central America and the Caribbean.
At the local level, DP World Caucedo concentrates the largest volume of imports and exports thanks to its modern infrastructure and technological capacity, while Río Haina, despite its limited draft, maintains strengths in handling bulk cargo, fuels and vehicles, as well as its proximity to the country’s main consumption centers.
Dominican exports maintain a strong presence in markets such as the United States, the European Union and Canada, with products including cocoa, bananas, cigars, jewelry and pharmaceuticals, although operational challenges related to container chassis availability persist.
This context reaffirms the value of strategic legal advice from a law firm such as Pellerano & Herrera in supporting projects related to logistics development, investment and business expansion in the Dominican Republic.
Source: ElDinero