2005News

DR-CAFTA to wait for US approval

According to El Caribe, the Senate has approved its priority agenda yesterday, including bills such as the Civil Code, the Consumer Defense Law, and others, yet not including the Dominican Republic – Central American Free Trade Agreement (DR-CAFTA) with the US. Senators have made the approval of the treaty conditional on the passing of compensatory legislation that would benefit the local productive sector. They also want the government to seek alternatives for the country’s adaptation to the new international trade scheme that would come into effect. The most important compensatory measures requested include the matching of DR fiscal policies with those of Central America, and the adoption of a development model based on the fostering of the productive sector and the promotion of exports. Specifically, the business sector is seeking the abolition of the exchange commission for the import of raw materials and capital goods. Meanwhile, US Embassy officials Michael Melgens and Bainbridge Cowell recently visited the representative of the Senate’s Industry and Commerce Commission, Alejandro Santos, and offered details of the steps being taken in the US for the approval of the treaty. Also, the American Chamber of Commerce has asked Congress to approve the treaty as soon as possible, as it has received the support of Democratic Party leaders in the US. In its letter to Congress the Chamber also asked for reforms relating to competitiveness laws, international arbitration, customs reform and agricultural issues, which according to them are hindering Dominican exports.