Dominican Republic eyes regional market for export growth

Santo Domingo.- The Caribbean, home to over 44 million people and known for its white-sand beaches and rich heritage from Spanish, French, and Dutch ancestors, is emerging as a key export destination for the Dominican Republic. This potential is underscored by data from the Dominican Republic’s Export and Investment Center (ProDominicana), which shows a trade exchange of US$ 9.12 billion with the Caribbean from 2019 to 2022. Notably, 2022 saw trade amounting to US$ 2,143 million.

Victor Bisonó, the Minister of Industry, Commerce, and MSMEs (MICM), emphasized the geographical proximity and agricultural development of the Dominican Republic as significant factors in exploring the Caribbean market. He pointed out the growth in exports, like fruit products, which increased from US$ 4.8 million in 2018 to US$ 17 million in 2022, with notable exports of avocado to Guyana and bananas to Turks and Caicos.

Biviana Riveiro, the director of ProDominicana, highlighted the strategic need to diversify markets. She noted that while the majority of remittances, migration, and trade typically involve the United States and Europe, the Caribbean offers new opportunities for Dominican businesses. In 2022, exports to Jamaica reached US$100 million, and other nations like Guyana, Trinidad and Tobago, Curacao, Grenada, and Saint Kitts and Nevis are seen as potential markets, particularly for micro, small, and medium-sized enterprises (MSMEs).

The challenges in tapping into this potential include enhancing connectivity, developing infrastructure, and having a skilled workforce. Factors like the Russia-Ukraine war, border closures, pandemic effects on maritime trade, and rising raw material and fuel costs have impacted the Dominican Republic’s global trade balance. Peter Palewonsky, director of the National Competitiveness Council, acknowledged that global factors influence the national economy but stressed the importance of looking towards the Caribbean to diversify export destinations.

Source: Karla Alcantara, Acento