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3.117. Since 2014, there has been a tax credit of PAB 0.60 per gallon on purchases of bioethanol and biodiesel made from domestic raw materials mixed with petroleum spirits and used as biofuel. This tax credit is in place as an incentive to produce and use biofuel and to generate electricity using biomass. The credit may be used only against the Consumption Tax on Petroleum-Derived Fuels (ICCDP) on fuels and petroleum products and is non-transferable.

3.118. The Agricultural Development Bank (BDA) is the only state development bank in Panama. Created in 1973, the Bank continues to provide financial assistance at preferential rates, through several credit programmes. [168] (...)
[168] The Agro-Solidarity Programme, the National Restocking Programme, the Programme Supporting the Production of Fruit Crops for Export (under the concept of precision agriculture), the Women Agro-Entrepreneur Programme, the Programme for Sustainable Production in the Regions, the Mi Primer Crédito Agropecuario programme and the Climate Change Adaptation and Mitigation Programme.

3.125. (...) Technical regulations are developed based on objectives that include national security requirements, the prevention of deceptive practices, the protection of human health or safety, the protection of animal or plant life or health, and the protection of the environment. Before a procedure to draft a technical regulation is initiated, the Directorate-General of Standards and Industrial Technology (DGNTI) evaluates whether the application reflects these objectives.

3.130. Between 2014 and 2021 (September), Panama notified the WTO of 74 new technical regulations on quality requirements; the protection of human, animal and plant health; protection of the environment; and consumer protection and information (labelling). (...)

3.143. Panama allows the import of genetically modified products. The National Biosafety Commission for genetically modified organisms issues decisions (resueltos) approving and refusing entry to imports based on a risk analysis conducted by the corresponding Sectoral Biosafety Committee (agricultural, environmental and public health). Depending on the outcome of the risk analysis and the use of the genetically modified organisms (import, export, production or consumption), the Committee approves or rejects the import and issues a recommendation to the Commission.

Table 3.17. Public and semi-public enterprises, 2014 and 2021:
Public enterprises: (...) Household Waste Collection Authority
State holding 2014: 100.00
State holding 2021: 100.00
Semi-public enterprises: AES Panamá, S.A. (La Estrella, Los Valles and Bayano hydroelectric power stations)
State holding 2014: 50.39
State holding 2021: 50.39
(...)

3.166. Panama's government procurement system has undergone various changes since 2014, including the adoption of new procurement methods and thresholds, new conditions for employing those methods, and preferences awarded to certain types of companies. Furthermore, the authorities state that they have removed bureaucracy from the procurement process; promoted social and environmentally responsible procurement (...)

3.173. (...) In 2020, due to the pandemic and adverse climatic events, two procurement methods were introduced to deal specifically with the emergency: environmental emergency procurement and COVID-19 roundtable procurement (Table 3.19).

Table 3.19. Government procurement indicators, 2014-20:
Total (PAB million): (2014) 2810.6, (2015) 2817.4, (2016) 4694.7, (2017) 4433.6, (2018) 3324.0, (2019) 2595.2, (2020) 5394.5
By method: (...) Environmental emergency procurement (by % of total): (2014) n.a., (2015) n.a., (2016) n.a., (2017) n.a., (2018) n.a., (2019) n.a., (2020) 0.1
(...)

4.1. Agriculture's contribution to GDP (including livestock farming, forestry and fisheries) remained relatively steady during the review period (2.4% in 2020 compared to 2.2% in 2014), as did its relative contribution to GDP. However, the rate of growth in the sector varied considerably, primarily as a result of extreme weather events such as droughts, excess rainfall, excess winds, flooding and landslips, all of which have adversely affected food, nutrition and water security. [1] Although the agricultural sector is small in terms of its contribution to GDP, it is very important for socioeconomic development because it employs over 14% of the workforce in rural areas (Table 4.1).
[1] National Climate Change Plan for the Agricultural Sector in Panama, Summary. Viewed at: https://www.mida.gob.pa/direcciones/direcciones_nacionales/unidad ambiental/resumen del plan nacional de cambio clim tico.html.