diff --git a/frontend/src/components/domain/onboarding/steps/SmartInventorySetupStep.tsx b/frontend/src/components/domain/onboarding/steps/SmartInventorySetupStep.tsx
index 7ff31c6e..502e138f 100644
--- a/frontend/src/components/domain/onboarding/steps/SmartInventorySetupStep.tsx
+++ b/frontend/src/components/domain/onboarding/steps/SmartInventorySetupStep.tsx
@@ -122,16 +122,6 @@ export const SmartInventorySetupStep: React.FC<OnboardingStepProps> = ({
     
     const result = Boolean(hasAuth && (hasTenantId || tenantCreatedSuccessfully || tenantCreatedInOnboarding));
     
-    console.log('🔄 SmartInventorySetup - isTenantAvailable check:', {
-      hasAuth,
-      authLoading,
-      hasUser: !!user,
-      hasTenantId,
-      tenantId: getTenantId(),
-      tenantCreatedSuccessfully,
-      tenantCreatedInOnboarding,
-      finalResult: result
-    });
     
     return result;
   };
@@ -160,7 +150,8 @@ export const SmartInventorySetupStep: React.FC<OnboardingStepProps> = ({
     console.log('🔄 SmartInventorySetup - suggestions effect:', {
       suggestionsLength: suggestions?.length || 0,
       productsLength: products.length,
-      suggestions: suggestions,
+      suggestionsIsArray: Array.isArray(suggestions),
+      suggestionsType: typeof suggestions,
     });
     
     if (suggestions && suggestions.length > 0 && products.length === 0) {
@@ -286,10 +277,20 @@ export const SmartInventorySetupStep: React.FC<OnboardingStepProps> = ({
       if (success) {
         console.log('✅ File processed successfully, setting stage to review');
         setLocalStage('review');
-        toast.addToast('El archivo se procesó correctamente. Revisa los productos detectados.', {
-          title: 'Procesamiento completado',
-          type: 'success'
-        });
+        
+        // Check if there was a suggestion error (AI service timeout)
+        const stepData = data.allStepData?.['smart-inventory-setup'];
+        if (stepData?.suggestionError) {
+          toast.addToast(`Archivo procesado. ${stepData.suggestionError} Se crearon sugerencias básicas que puedes editar.`, {
+            title: 'Procesamiento completado con advertencias',
+            type: 'warning'
+          });
+        } else {
+          toast.addToast('El archivo se procesó correctamente. Revisa los productos detectados.', {
+            title: 'Procesamiento completado',
+            type: 'success'
+          });
+        }
       } else {
         console.error('❌ File processing failed - processSalesFile returned false');
         throw new Error('Error procesando el archivo');
diff --git a/frontend/src/hooks/business/onboarding/core/actions.ts b/frontend/src/hooks/business/onboarding/core/actions.ts
index c457d87b..86b09588 100644
--- a/frontend/src/hooks/business/onboarding/core/actions.ts
+++ b/frontend/src/hooks/business/onboarding/core/actions.ts
@@ -166,12 +166,19 @@ export const useOnboardingActions = () => {
   }, [store, tenantCreation]);
 
   const processSalesFile = useCallback(async (file: File): Promise<boolean> => {
+    console.log('🎬 Actions - processSalesFile started');
     store.setLoading(true);
+    
     const result = await salesProcessing.processFile(file);
+    console.log('🎬 Actions - processFile result:', result);
+    
     store.setLoading(false);
     
     if (!result.success) {
+      console.error('❌ Actions - Processing failed:', salesProcessing.error);
       store.setError(salesProcessing.error || 'Error processing sales file');
+    } else {
+      console.log('✅ Actions - Processing succeeded');
     }
     
     return result.success;
diff --git a/frontend/src/hooks/business/onboarding/services/useSalesProcessing.ts b/frontend/src/hooks/business/onboarding/services/useSalesProcessing.ts
index 1224f715..0300688c 100644
--- a/frontend/src/hooks/business/onboarding/services/useSalesProcessing.ts
+++ b/frontend/src/hooks/business/onboarding/services/useSalesProcessing.ts
@@ -74,13 +74,37 @@ export const useSalesProcessing = () => {
         }
       };
 
-      const response = await classifyProductsMutation.mutateAsync(requestPayload);
+      console.log('📡 Making API request to:', `/tenants/${currentTenant.id}/inventory/classify-products-batch`);
+      
+      // Add timeout to the API call with shorter timeout
+      const timeoutPromise = new Promise<never>((_, reject) => {
+        setTimeout(() => reject(new Error('API timeout: The inventory service may be overloaded. Please try again in a few moments.')), 15000); // 15 second timeout
+      });
+
+      const response = await Promise.race([
+        classifyProductsMutation.mutateAsync(requestPayload),
+        timeoutPromise
+      ]);
       
       console.log('✅ Generated', response?.length || 0, 'suggestions');
       
       return response || [];
     } catch (error) {
-      console.error('❌ Error generating suggestions:', error);
+      const isTimeout = error instanceof Error && error.message.includes('timeout');
+      const isNetworkError = error instanceof Error && (error.message.includes('fetch') || error.message.includes('network'));
+      
+      console.error('❌ Error generating suggestions:', {
+        error: error,
+        message: error instanceof Error ? error.message : 'Unknown error',
+        isTimeout,
+        isNetworkError
+      });
+      
+      // Re-throw timeout/network errors so they can be handled properly by the UI
+      if (isTimeout || isNetworkError) {
+        throw error;
+      }
+      
       return [];
     }
   }, [classifyProductsMutation, currentTenant]);
@@ -138,12 +162,47 @@ export const useSalesProcessing = () => {
       updateProgress(60, 'analyzing', 'Identificando productos únicos...', onProgress);
       updateProgress(70, 'analyzing', 'Generando sugerencias de IA...', onProgress);
 
-      const suggestions = await generateSuggestions(validationResult.product_list);
+      let suggestions: ProductSuggestionResponse[] = [];
+      let suggestionError: string | null = null;
+
+      try {
+        updateProgress(70, 'analyzing', 'Generando sugerencias de IA...', onProgress);
+        suggestions = await generateSuggestions(validationResult.product_list);
+        
+        console.log('🔍 After generateSuggestions call:', {
+          suggestionsReceived: suggestions?.length || 0,
+        });
+      } catch (error) {
+        const errorMessage = error instanceof Error ? error.message : 'Error generando sugerencias';
+        suggestionError = errorMessage;
+        console.error('❌ Suggestions generation failed:', errorMessage);
+        
+        // Still continue with empty suggestions - user can manually add products later
+        updateProgress(80, 'analyzing', 'Preparando productos básicos...', onProgress);
+        
+        // Create basic suggestions from product names as fallback
+        suggestions = validationResult.product_list.map((productName, index) => ({
+          suggestion_id: `manual-${index}`,
+          original_name: productName,
+          suggested_name: productName,
+          product_type: 'ingredient',
+          category: 'Sin categoría',
+          unit_of_measure: 'units',
+          confidence_score: 0.5,
+          estimated_shelf_life_days: 30,
+          requires_refrigeration: false,
+          requires_freezing: false,
+          is_seasonal: false,
+          notes: 'Clasificación manual - El servicio de IA no está disponible temporalmente'
+        }));
+        
+        console.log('🔧 Created fallback suggestions:', suggestions.length);
+      }
 
       updateProgress(90, 'analyzing', 'Analizando patrones de venta...', onProgress);
       updateProgress(100, 'completed', 'Procesamiento completado exitosamente', onProgress);
 
-      // Update state with suggestions
+      // Update state with suggestions (even if empty or fallback)
       setSuggestions(suggestions || []);
       setValidationResults(validationResult);
       
@@ -155,8 +214,11 @@ export const useSalesProcessing = () => {
         processingStage: 'completed',
         processingResults: validationResult,
         suggestions: suggestions || [],
+        suggestionError: suggestionError,
       });
 
+      console.log('📊 Updated onboarding store with suggestions');
+
       return {
         success: true,
         validationResults: validationResult,