SANTO DOMINGO, Dominican Republic (sentinel.ht) – To deal with a socio-economic imbalance that causes much harm in Haiti and the Dominican Republic, arguments for a new trade deal between the two countries were raised at the first forum of the Binational Observatory for Migration, the Environment, Education and Trade (OBMEC) on Thursday in Santo Domingo, Dominican Republic.
Professor Bénédique Paul, of the School of Economics and Administrative Sciences (FSEA) at the private Quisqueya University (UniQ), argued for the creation and respect for a negotiated institutional framework regarding trade relations between Haiti and the Dominican Republic.
At this first OBMEC forum, held Thursday, August 25, 2016, in Santo Domingo (capital of the Dominican Republic), the researcher said, “note that an institutional imbalance in trade between the two countries which share the island of Haïti exists”.
In his diagnosis, Dr. Paul emphasizes agreements not respected agreements between the Haitian and Dominican authorities, as well as non-economic measures that weaken the business climate.
In a paper presented at the presentation and forwarded to AlterPresse, Director of Management and Research Centre of Development Economics (CREGED) at UniQ evokes national institutional characteristics typical of imbalance.
A macroeconomic imbalance is also reported in the binational trade, resulting from uneven production capacity.
Dr. Paul describes a weak Haitian industry compared to that of the Dominican Republic, which is very strong.
There is a bilateral trade, fueled by re-export dynamics overall, but with significant potential in terms of exportable products, he noted.
Bilateral trade is disrupted by conflict between the productive sectors of both countries, fueled by complaints smuggling and disruption caused by tariff barriers, non-tariff and illegal taxation, among others.
The document denounces corrupt practices, perceived differently on both sides and economic lobby, which misrepresent the institutional game and controller.
Various measures, some of which have not been respected, taken by the Haitian government, has provoked strong reactions from the side of the Dominican authorities, including the decision to ban the import, by land, 23 products from the Dominican Republic on Haitian territory, adopted in October 2015.
Another temporary provision, taken in March 2015, was aimed at preventing the import of fruit and vegetables from the Dominican Republic, in order to avoid that the Haitian people will be contaminated by the Mediterranean fruit fly, which has already invaded Punta Cana region of the Dominican Republic.