Costa Rica has emerged as a premier destination for medical device manufacturing , earning a reputation as a hub of innovation and excellence.

This transformation has brought numerous benefits to the country, enhancing its economic landscape with an industry-oriented cluster and attracting substantial foreign investment from the Life Sciences and smart manufacturing sectors.

Investors are attracted to Costa Rica for its political and historical economic stability, along with a clear export promotion strategy and attractive tax incentives.

Read: Costa Rica leads in Foreign Direct Investment attraction globally

Coyol Free Zone has several key strengths that attract medical device companies to Costa Rica. These include:

  • Highly trained human talent
  • Strong collaboration between different sectors
  • Access to advanced local suppliers that is reflected on a resilient value chain

Since 2018, Medical Devices have become the primary export product of Costa Rica, and the industry’s experience has led to a 58% increase in productivity per employee.

The Medical Device cluster brings together the main players of the sector, which in 2023 dominated 42% of exports in the country, with US$7.6 billion. Companies based in Coyol Free Zone alone export close to US$2 billion annually.

Read: The Evolution of the Life Sciences Industry in Costa Rica

What is driving the success of the Medical Device Cluster in Costa Rica?

The Inter-American Development Bank (BID, in Spanish) states that the exponential growth of the Medical Device sector of Costa Rica responds to the combination of the dynamism of the private sector and a well-established Policy of Productive Development. We highlight some key points for the success of this industry:

1- An explicit and comprehensive policy to attract, retain and expand OEMs and their supply chain, with close institutional promotion and support for 20 years.
2- International best practices throughout the cycle of attraction, entry and establishment, retention and expansion, linkages and spillover management.
3- The work of the Costa Rican Foreign Trade Promotion Agency (PROCOMER) in the critical areas of linkages, and increasing the export capacity of companies.
4- The development of human talent (skills and bilingualism) with a public and private academic offering that responds to the growth needs of the sector.
5- A new stage of governance under the cluster approach and a strengthening of the academic sector to continue moving up the value chain and turn Costa Rica into a Life-Centered Hub.

A collaborative ecosystem where world-class companies thrive

Coyol Free Zone’s ecosystem is composed of 34 world-class companies, the majority of which belong to the Medical Device sector. Its operation has become a role model for the local, regional, and even global industry, boosting the image of Costa Rica in terms of exports and innovation.

Operating under a competitive yet collaborative environment, it seeks to strengthen local production chains, develop specialized human talent, establish world-class construction standards, and foster transfer of knowledge, innovation, and technological ventures.

Aligned with the latest trends of the Life Sciences industry, companies in Coyol Free Zone are benchmarks for design, research, development, and innovation of products. It is worth mentioning that seven of the Top 30 Medical Device companies operate here:

  • Medtronic
  • Cardinal Health
  • Philips
  • Abbott Vascular
  • Smith & Nephew
  • MicroVention-Terumo
  • Hologic

Providing the ideal conditions for Medical Device companies to operate in Costa Rica not only strengthens the cluster, but also fosters the arrival of other world-class companies of this industry which can help the country to upgrade the local value chain, and increase the job positions available and the value of its exports.