Israel and Costa Rica have taken a “leap forward” in bilateral relations with the signing of a free trade agreement encompassing goods, services and investments, Jerusalem’s Foreign Ministry announced on Monday.
The announcement came just days after Costa Rica’s minister of foreign trade, Manuel Tovar Rivera, announced that San José would be opening an office for innovation in trade and investment in Jerusalem in 2026.
Monday’s ceremony was also attended by Israeli Foreign Minister Gideon Sa’ar and Minister of Economy and Industry Nir Barkat, the MFA stated.
The agreement will immediately eliminate over 90% of tariffs, granting broad access for Israeli industrial and agricultural products to the Costa Rican market. The Jewish state will also reduce import costs on a wide range of goods, from food and medical equipment to industrial tools.
“This agreement opens significant new avenues for both Costa Rica and Israel,” Tovar Rivera said, adding: “It enhances access to high-quality Costa Rican goods and services while creating a mutually beneficial platform for collaboration in high-technology industries, premium agribusiness and specialized services.
Barkat hailed Costa Rica as “a natural trade partner for Israel—an advanced OECD country with a deep commitment to free and open trade.”
He added, “The free trade agreement is expected to strengthen the growth trend in Israeli exports, deepen business cooperation, and help reduce the cost of living in Israel by lowering the costs of imports.”
The announcement that Costa Rica would be opening a trade office was made on Saturday night, in the wake of a meeting in Jerusalem between Sa’ar and Tovar Rivera, and followed similar moves by other countries that do not maintain their embassy in the Jewish state’s capital.
Costa Rica formerly maintained its embassy in Jerusalem but relocated it to Tel Aviv in 2006 due to international pressure and efforts to further its relations with the Arab world.
