# Presentation: 245937

**U.S. Commercial Service**
**Dominican Republic**
**Caribbean Region**

***May 2006***

**Presented by:  Michael L. McGee**
**Commercial Counselor- Caribbean Region**

## FOCUS

**Caribbean at a Glance**
**DR-CAFTA Agreement and Process**
**Benefits & Opportunities In Dominican Republic**
**Trials, Challenges, And Concerns**
**Programs / Services in CS Caribbean**

## Caribbean Regionat a Glance	

- 26 Markets, 34 million people
- 2nd Largest U.S. export Market in Latin America
- Total Imports:		$38 billion
- Imports from U.S.:	$15 billion
- U.S. Import Market Share:	40%
- 	Statistical Data For 2005

## DR-CAFTA: Facts

- Dominican Congress Ratified DR-CAFTA on September 6, 2005
- Comprehensive reciprocal Trade Agreement; not unilateral like CBI/CBTPA
- Immediate Duty Free entry for more than 80% of U.S. manufactured exports; 10 year phase-in for remainder

**DR-CAFTA: Facts**

**Dominican Republic**

## DR-CAFTA: Facts

- DR-CAFTA agreement will enter into force in the D.R. when the country fulfills the conditions and  obligations needed to implement it
- Projected DR entry date is July 2006

**DR-CAFTA: Facts**

**Dominican Republic- cont’d**

## DR- CAFTA Country Percentage GDP Growth Rates 2005

## Dominican Republic

**Highlights**

- Population:				9 million
- GDP:				$17 billion
- GDP growth:			9%
- Bilateral Trade US/DR:		$9.3 billion
- Total Imports:			$7.9 billion
- Imports from US:			$4.7 billion
- US Imports Market Share:		60%
- Consumer Goods imports from US:	70%
- Ranking for U.S. Exports to WH:	7th Largest

- Note: Statistical data for 2005

## Why Export to the Dominican Republic?

- Growing Use Of English In Business
- U.S. Standards Widely Recognized and Accepted
- Affinity to U.S. Culture
- Progressive Market Liberalization
- Few Import Restrictions
- Labeling and Testing Not Typically a Problem

## Dominican Republic

**DR Advantages**

**Geographic Proximity**
**State-of-the-art ICT Infrastructure**
**Modern FTZ infrastructure**
**Five International Airports and More than 45 Direct Flights to U.S. Territory Daily**
**Eight Major Seaports including Punta Caucedo Port, a state-of-the-art deepwater container terminal designed to become a regional hub for the Caribbean, Central, and South America**

## U.S. Presence in the Dominican Republic

_***ICT:***_**  Microsoft, Centennial, Lucent Technologies, Xerox**
_***Finance:***_**  Citigroup, Western Union**
_***Real Estate:***_**  Stewart Title, Century        21, Coldwell Banker**
_***Automotive:***_**  Ford General Motors, MFI Products**
_***Pharmaceuticals:***_**  Pfizer Labs, Merck Sharp & Dohme**
_***Shipping:***_**  CSX, Tropical Shipping, Seaboard Marine, Bernuth Lines, FedEx, UPS**
_***Oil:***_**  Chevron, Exxon/Mobil**

_***Apparel:***_**  Hanes Caribe (Sara Lee),   Timberland**
_***Consumer Products:***_**  3M, Colgate, Palmolive, Johnson & ****	****Johnson, Proctor & Gamble**
_***Accounting:***_**  Price Cooper, KPMG**
_***Energy:***_**  AES, Cogentrix**
_***Airlines:***_**  American, United, Continental, Delta, US Airways, Jet Blue, Spirit**
_***Hotel/Tourism:***_**  Westin, Clarion, Coral/Embassy Suites/Hilton, Renaissance/Courtyard/Marriott, Quality Inn**

## Dominican Republic

**Medical Equipment and Healthcare Services**
**Printing and Graphics Arts Equipment and Supplies**
**Automotive Parts and Service Equipment**
**Computers and Peripherals**
**Hotel and Restaurant Equipment**
**Air Conditioning and Refrigeration Equipment**

| $262 million | $86 million | 33% |
| --- | --- | --- |
| $216.5 million | $105 million | 48% |
| $170 million | $132 million | 77% |
| $85 million | $59 million | 69% |
| $81.5 million | $50 million | 61% |
| $19.5 million | $13 million | 67% |
| $46.5 million | $15 million | 32% |

**Dominican**** ****Republic**

**Best Prospect Sectors for U.S. Exporters**

**Market Size**

**U.S. Imports**

**Market Share**

## Trials, Challenges And Concerns

- Slow Progress Toward Preparations To Implement DR-CAFTA
- Increase in the illegal narcotics transit, delivered by air or     by boat from South America
- Inadequate Protection Of Intellectual Property Rights
- Lack of Transparency in Customs Operations
- The Failure of the Electrical Power System
- The Culture Of Impunity
- Lack of Transparency In Government Procurement

**Trials, Challenges And Concerns**

## Slide 13

## Products and Services for U.S. Exporters

**Products and Services for U.S. Exporters**

**COUNSELING**
**ADVOCACY**
**MARKET RESEARCH**
**FINDING INTERNATIONAL PARTNERS**
**TRADE MISSIONS**
**INTERNATIONAL BUYER PROGRAM**
**OUTREACH AND COMMERCIAL DIPLOMACY**

## Upcoming Events

**TRADE MISSIONS / INTERNATIONAL BUYER PROGRAMS**
**Reverse Trade Mission to Miami, FL****	****	****	****	****May 1-3, 2006**
**National Hardware Show and Lawn & Garden World IBP****	****May 9-11, 2006**
**National Restaurant Hotel-Motel Show IBP****	****	****	****May 20-23, 2006  **
**Las Americas Trade Show****	****	****	****	****	****June 4-6, 2006**
**International Plastics Showcase – NPE 2006 IBP****	****	****June 19-23, 2006**
**Director General-Led SME Mission to the DR****	****	****	****June 26-28, 2006 **
**Enterprise Florida****	****Trade Mission****	****	****	****	****July 9-12, 2006**
**FIME 2006 IBP****	****	****	****	****	****	****August 16-18, 2006**
**Magic Show 2006****	****IBP****	****	****	****	****	****August 28-30, 2006**
**Reverse Trade Mission to North Carolina****	****	****	****September 5-8, 2006**

## UsefulContact Information

**U.S. Commercial Service in the Caribbean:**
**	**_[www.](http://www.buyusa.gov/caribbean/en)__[buyusa](http://www.buyusa.gov/caribbean/en)__[.](http://www.buyusa.gov/caribbean/en)__[gov](http://www.buyusa.gov/caribbean/en)__[/](http://www.buyusa.gov/caribbean/en)__[caribbean](http://www.buyusa.gov/caribbean/en)__[/en](http://www.buyusa.gov/caribbean/en)_
**U.S. International Trade Administration:**
**	**_[www.export.](http://www.export.gov/)__[gov](http://www.export.gov/)__[ ](http://www.export.gov/)_
**Office of the United States Trade Representative:**
**	**_[www.](http://www.ustr.gov/)__[ustr](http://www.ustr.gov/)__[.](http://www.ustr.gov/)__[gov](http://www.ustr.gov/)_
**Business Coalition for U.S.-Central America Trade:**
**	**_[www.uscafta.org](http://www.uscafta.org/)_
**USDOC CAFTA Website**
**	**_[www.](http://www.ita.doc.gov/cafta)__[ita](http://www.ita.doc.gov/cafta)__[.doc.](http://www.ita.doc.gov/cafta)__[gov](http://www.ita.doc.gov/cafta)__[/](http://www.ita.doc.gov/cafta)__[cafta](http://www.ita.doc.gov/cafta)_
**Trade Compliance Center, U.S. Dept. of Commerce:**
**	**_[www.tcc.mac.doc.](http://www.tcc.mac.doc.gov/)__[gov](http://www.tcc.mac.doc.gov/)_

##  U.S. COMMERCIAL SERVICECARIBBEAN

**Dominican Republic**
**Maria Elena Portorreal**
**Tel: (809) 227-2121**
**Fax: (809) 920-0267**
**maria.elenaportorreal@mail.doc.gov**

**Jamaica**
**Emile Finlay**
**Tel: (876) 920-2826**
**Fax: (876) 920-2580**
**emile.finlay@mail.doc.gov**

**Barbados**
**Doreen Weekes**
**Tel: (246)436-4950**
**Fax: (246) 228-6084**
**doreen.weekes@mail.doc.gov**

**Trinidad & Tobago**
**Hannah Bereaux**
**Tel: (868) 622-6371**
**Fax: (868)622-2444**
**hannah.bereaux@mail.doc.gov**

- _[www.BuyUSA.gov/caribbean/en](http://www.buyusa.gov/caribbean/en)_

**Michael L. McGee**** **
**Counselor for Commercial Affairs for the Caribbean **
**michael.mcgee@mail.doc.gov**