Honduras Logistics: Pressures, Progress, and the Path Forward

By Johana Dubon, Import Leader of BKG Logistics

Understanding the state of logistics in Honduras begins with Puerto Cortés. As the nation’s primary port, it mirrors both the challenges and the potential shaping the sector in 2025. From my perspective at the intersection of policy and practice, this is a defining moment. The logistics sector faces mounting pressure from congestion, complex regulations, and the urgent need for modernization. Yet there is also meaningful progress—driven by new investments, digital tools, and a stronger sense of strategic direction.

Port Congestion: Puerto Cortés and the Cost of Delay

Port congestion is not new to Honduras, but the scale of the problem in 2025 is notable. At Puerto Cortés, import withdrawal times have exceeded 12 hours in June. For a country that depends heavily on maritime trade, this is more than an inconvenience—it is a constraint on growth. The port handles the majority of Honduras’s containerized imports and exports, making it the linchpin of national supply chains. When cargo piles up, the effects ripple across the economy.

The causes of congestion are both structural and operational. On the structural side, the port’s infrastructure—while recently upgraded—still struggles to keep pace with rising volumes. On the operational side, customs processes, paperwork, and coordination between agencies can slow down the movement of goods. The result is a system that is often running close to capacity, with little margin for error or disruption.

The impact of congestion is measurable. For logistics providers, longer dwell times mean higher costs, as trucks and drivers wait for cargo to clear. For importers and exporters, delays can disrupt production schedules and inventory management. And for the economy as a whole, inefficiency at the port reduces competitiveness and limits the potential for growth.

Sector Modernization: The IDB Loan and the Drive for Reform

Against this backdrop, the $118.48 million loan from the Inter-American Development Bank (IDB) is a significant development. Approved in 2025, the loan is designed to support a wide range of reforms, from regulatory updates to infrastructure development and trade facilitation. The goal is to modernize the logistics sector, boost competitiveness, and improve integration with regional and global markets.

The reforms focus on three main areas. First, there is a push to modernize the regulatory framework for freight logistics. This includes updating rules for overland transport, improving customs management, and strengthening institutional capacity. Second, the program aims to upgrade foreign trade processes, making them more transparent and efficient. Third, there is investment in technological systems, to support better data management and decision-making.

The expected benefits are clear. Producers and marketers will have greater access to domestic and international markets. Logistics operators will have processes and infrastructure that are more orderly and efficient. And users of transportation and logistics services will be able to deliver cost-effective services, with fewer delays and lower costs.

The loan is being disbursed over one year, with a 20-year repayment term and a 5.5-year grace period. The interest rate is based on LIBOR, making the financing accessible and sustainable for Honduras. This is not just a short-term fix—it is a long-term investment in the future of the sector.

Digital Tools: Streamlining Trade with the US and Beyond

Digitalization is changing the way logistics works in Honduras. Digital logistics platforms are increasingly being used to streamline trade with the US, manage customs clearance, and track shipments in real time. These tools are particularly important for small and medium-sized enterprises (SMEs), which often lack the resources to navigate complex international trade processes.

Platforms like FreightAmigo and others are making it easier for exporters and importers to manage documentation, coordinate with carriers, and track the status of their shipments. The result is faster, more reliable, and more transparent trade. For logistics providers, digital tools mean better visibility, fewer errors, and the ability to respond more quickly to disruptions.

The adoption of digital tools is still in its early stages, but the trend is clear. As more companies move online, the sector is becoming more connected, more efficient, and more resilient. The challenge now is to ensure that digitalization is inclusive, reaching not just large companies but also SMEs and local operators.

Market Dynamics: Growth, Competition, and the Role of Logistics

The logistics sector in Honduras is growing, but it faces significant challenges. The country’s economic outlook for 2025 is positive, with a projected 4.2% increase in sectors such as transportation and logistics. This growth is driven by rising demand for imports and exports, as well as the expansion of e-commerce and cold chain logistics.

At the same time, competition is intensifying. Regional rivals—such as Guatemala and El Salvador—are investing in their own logistics infrastructure, making it essential for Honduras to keep pace. The country’s strategic location, with access to both the Atlantic and Pacific, gives it a natural advantage, but this advantage can only be realized if the sector is efficient and reliable.

Labor and talent are also a challenge. The logistics sector requires skilled workers, from truck drivers and warehouse operators to customs brokers and IT specialists. Recruitment and retention are ongoing issues, particularly in a tight labor market. Training and upskilling will be essential to ensure that the sector has the talent it needs to grow.

Infrastructure Investment: Roads, Rail, and Resilience

Infrastructure investment is a priority for Honduras. The World Bank’s recent approval of a $187 million project to build a new road corridor in northwestern Honduras is a case in point. The 46-kilometer corridor will connect the CA-4 highway near Macuelizo to the CA-13 road in Corinto, near Puerto Cortés. This will provide a robust alternative to the heavily congested San Pedro Sula trade route, streamlining goods transport and reinforcing the efficiency of the national logistics network.

The new corridor is expected to benefit nearly 194,000 residents by improving access to customs facilities and boosting trade with neighboring countries. It will also strengthen resilience against extreme weather, which is a recurring challenge in Honduras. By providing an alternative route, the project reduces dependency on San Pedro Sula as the sole gateway to the country’s key ports.

Rail investment is less prominent, but there are discussions about reviving and expanding rail links to support multimodal transport. For now, the focus is on road and port infrastructure, with the aim of creating a more integrated and resilient logistics network.

Sustainability Initiatives: Greening the Supply Chain

Sustainability is becoming a priority for logistics in Honduras. The IDB loan program includes support for climate-resilient infrastructure and the adoption of cleaner technologies. This is not just about compliance—it is about long-term competitiveness.

The logistics sector is a significant source of emissions, particularly from road transport. Reducing these emissions will require investment in cleaner vehicles, better route planning, and the adoption of digital tools to optimize operations. The new road corridor, for example, is designed to withstand extreme weather, reducing the risk of disruption and supporting more reliable trade.

There is also a growing focus on circular economy principles, with initiatives to reduce waste and improve resource efficiency in logistics operations. While these efforts are still in their early stages, they reflect a broader shift toward more sustainable supply chains.

Labor and Talent: Building the Workforce of the Future

The logistics sector in Honduras faces a persistent skills gap. The need for skilled workers is growing, but the supply is not keeping pace. This is a challenge for both large operators and SMEs, and it is a constraint on growth.

Training and upskilling are essential. The IDB loan program includes support for institutional capacity building, which can help address some of these challenges. But more will be needed, particularly in areas such as digital skills, customs compliance, and supply chain management.

The sector also needs to attract and retain talent. Competitive wages, good working conditions, and opportunities for career advancement will be key. Collaboration between government, industry, and educational institutions will be essential to build the workforce of the future.

Digitalization: The Next Frontier

Digitalization is transforming logistics in Honduras, but there is still a long way to go. The adoption of digital tools is uneven, with large companies leading the way and SMEs lagging behind. Closing this gap will be essential to ensure that the benefits of digitalization are widely shared.

Digital tools can help manage congestion, improve customs clearance, and provide real-time visibility into supply chains. They can also support better decision-making, reduce errors, and improve customer service. The challenge is to ensure that these tools are accessible, affordable, and easy to use for all operators.

The IDB loan program includes support for upgrading technological systems, which should help accelerate digitalization. But success will depend on collaboration between government, industry, and technology providers.

Future Outlook: Integration, Resilience, and Growth

The future of logistics in Honduras will be shaped by integration, resilience, and growth. The sector is moving toward a more connected, more efficient, and more sustainable model. The IDB loan, the new road corridor, and the adoption of digital tools are all steps in the right direction.

But challenges remain. Port congestion is a persistent problem, and the sector faces stiff competition from regional rivals. Labor and talent are in short supply, and digitalization is still in its early stages. Addressing these challenges will require sustained investment, regulatory reform, and collaboration across the public and private sectors.

The outlook is positive, but progress will depend on execution. For logistics providers, the priorities are clear: invest in infrastructure, adopt digital tools, and build the workforce of the future. The sector is not just reacting to change—it is shaping the future of trade in Honduras.

A Defining Moment for Honduran Logistics

Honduras is at a defining moment for its logistics sector. The pressures are real, but so are the opportunities. The $118.48 million IDB loan, the new road corridor, and the growing adoption of digital tools are all signs of progress. The sector is becoming more efficient, more connected, and more resilient.

But progress will not happen by itself. It will require sustained investment, regulatory reform, and collaboration. For those of us working in the sector, the task is clear: build the infrastructure, adopt the technology, and develop the talent that will drive growth in the years ahead. The future of Honduran logistics is being written now, and the stakes are high.

Article written by

Johana Dubon

Import Leader, BKG Logistics, a member of the Freyt Consol Network

Freyt Consol is a global network for LCL consolidators and NVOCCs dedicated to excellence and long-term growth. We create an environment where members thrive by collaborating with trusted partners and accessing essential resources.