Six years after the implementation of the Earned Import Allowance Program (EIAP), the government of the Dominican Republic and U.S. and Dominican apparel industry sources continue to indicate that the program is not providing enough incentives to help reverse the decline in Dominican apparel exports to the U.S. market, as intended, reports the U.S. International Trade Commission (USITC) in its new publication.
The EIAP allows apparel manufacturers in the Dominican Republic who use U.S. fabric to produce certain apparel to earn a credit that can be used to ship eligible apparel made with non-U.S.-produced fabric into the United States duty free. The Dominican Republic-Central America-United States Free Trade Agreement Implementation Act, as amended, requires the USITC, an independent, nonpartisan, factfinding federal agency, to evaluate annually the effectiveness of the EIAP program and make recommendations for improvements.
The USITC's sixth annual review found:
View the publication at: http://www.usitc.gov/publications/332/pub4544.pdf.
Earned Import Allowance Program: Evaluation of the Effectiveness of the Program for Certain Apparel from the Dominican Republic; Sixth Annual Review
Industry & Econ Analysis (332)
Textile - Apparel Industries