Former trade negotiator for the Dominican Republic, Frederic Emam Zade told Hoy newspaper of the high cost the country will pay for having given up its leadership position with the Caribbean and Central America. During the
Fernandez government, the country successfully sought to be the link between Central America and the Caribbean. Emam Zade told Hoy newspaper that the DR lost its position when it stopped participating in regional meetings alleging they were not of
interest to the government.
Emam Zade said that the country did not attend key meetings to establish the game rules for the strategic alliance between Caricom (Caribbean Common Market) and Central America to negotiate as a block with the US prior to the Free Trade Agreement of
the Americas (FTAA) talks.
Emam Zade also explained that if the country would have continued participating in the talks, it would be a key player in laying down the rules, instead of having to dock to the CAFTA without defending its own national interests.
One of the benefits of negotiating on our terms, according to Emam Zade, would have been to assure that materials manufacted in the DR and used in the apparel industry be allowed duty-free entry into the US. He says that now, the country may be
forced to accept that only apparel manufactured in the DR with US materials be given free access.
Emam Zade also pointed to the numerous taxes levied by this government on local production, citing them as reason for the reduced competitiveness of Dominican products compared to those of Central America. Consequently, the country has been unable to
take advantage of the bilateral free trade agreement signed with Central America.
Emam Zade, as the economic development director of the Fundaci?n Global, Democracia y Desarrollo (under former President Leonel Fern?ndez), favors eliminating the taxes on exports and the ITBIS on the export of goods and services. He said this would
stimulate the tourism sector to purchase more food, towels, sheets and other goods domestically, instead of importing them. He also said that instead of penalizing export sectors, the government should be stimulating them by removing all taxes so
that their earnings have a widespread impact on the economy.
http://www.hoy.com.do/index.corr?module=display