He minister of Industry, Commerce and MSMEs, Víctor-Ito Bisonó, announced this Wednesday the issuance of a decree to protect local production of rice given the imminent entry into force of the Free Trade Agreement with Central America, the Dominican Republic and the United States (DR-CAFTA) in 2025. This agreement could put local distribution at risk due to the importation of rice with tariff zero.
It is about the Decree 693-24, signed by President Luis Abinader, which establishes a set of specific tariff measures to safeguard national production. Article 1 of the decree establishes that the products of ricecoded in headings 1006.10.00, 1006.20.00, 1006.30.00 and 1006.40.00, will have a tariff of 20% ad valorem within the quota established by the Dominican Republic in the World Trade Organization (WTO). Outside of this quota, a tariff 99% ad valorem.
Article 2 introduces a share preference of 23,300 metric tons of rice originating from the United States, which may enter the country with a tariff of 0%. However, outside of this sharethe tariff of Most Favored Nation (MFN), which reaches 99% ad valorem.
On the other hand, article 3 establishes that the products of rice originating from Nicaragua will be subject to the same treatment tariff of 99% ad valorem under the Most Favored Nation regime.
In addition, the decree clarifies that these measures will remain in force until the National Council for Food and Nutrition Sovereignty and Security (Conassan) recommends otherwise, based on a new report prepared by the Technical Secretariat of Sovereignty and Food Security and Nutrition.
He minister He highlighted that these measures seek to balance international commercial interests with the need to strengthen production agricultural local, especially sector rice cookerwhich faces new challenges due to the liberalization of tariffs within the framework of the DR-CAFTA.
He Decree will come into force upon its publication in the Gazette Officialwhich marks a decisive step to protect the country’s food and economic security, in the face of the challenges posed by regional integration and international agreements.
This decision was detailed to the press during a meeting in which representatives of the sector agriculturalwho expressed satisfaction with the government support.
