SANTO DOMINGO.- Dominican free zones aim to consolidate their growth and recovery even more in the first months this year, because as of August 15 they’ll have two of the three main mechanisms the country requested of the United States to guarantee more competitiveness within the Free Trade Agreement (Dr-Cafta).

From that date the textile free zones will be able to export tariff-free Dominican garments made with up to 100 million square meters of Mexican fabric to the American market, after the mechanism known as “textile accumulation” stipulated in Dr-Cafta takes effect.

For that same date the free zones expect the approval of 2x1, a mechanism that allows them to export tariff free two trousers made with North American fabric and one with fabric from any part of the world.

National Export Free Zone Council (CNZFE) director Luisa Fernandez, accompanied by other leaders of the industry, said the Dominican free zones also expect approval of the modifications to the rules of origin for pocketing fabric, to access the “simple transformation” criterion, or bringing fabric from any part of the world to make 75 products and export them tariff free to the United States.

Another of the industry’s accomplishment was that four new weave categories the country requested were introduced and will be included in the “short supply” list which will enter tariff free. This allows that parts of a piece of garment, such as a brazziere strap, are recognized as originating from the country.

The CNZFE director outlined the Government’s efforts to guarantee the free zones’ competitiveness, whereas private sector representatives Luis Manuel Pellerano and Eduardo Bogaert stressed the importance of understanding that it’s a productive line which has two legs: access to the American market and the local competitiveness which requires that the Government’s compensation of RD$2,000 per free zone employee, given to employers and established for nine months, continues until December.

SOURCE: listin.com.do