23/07/2009 17:39:15
Association of Industries of Herrera (AEIH) president Manuel Cabrera is asking the government for answers about supposed violations of the DR-CAFTA agreement by Central American nations. Cabrera claims that some Central American countries are exporting "dumped" goods to the DR, in violation of the free trade agreement and to the detriment of Dominican businesses.
Dumping is when a manufacturer exports products to a second nation below local production costs.
Cabrera is arguing that Dominicans are forced to comply with the rules of CAFTA and so should Central Americans.
Cabrera argues that plastic and glass containers, sacks, electrical wiring, socks, shoes and dairy products are being imported into the country under unfavorable conditions for industrialists and business owners.
Cabrera also commented on the rumor that Guatemalan and Dominican officials were on the verge of restructuring the trade agreement, saying that neither country can reform the agreement.
Since the implementation of DR-CAFTA, the DR has an US$1.2 billion deficit with Central America. This is partly due to the importation of duty free products from the Central American Free Trade Zones.
