Dominican Customs posts five‐month High amid global uncertainty

Santo Domingo.- In a rare feat amid international economic turbulence, the Dominican Republic’s General Directorate of Customs (DGA) announced this week that it has collected RD$105,009.04 million in duties and taxes during the first five months of 2025. This figure marks the highest five‐month haul in the agency’s history, outpacing the same period in 2024 by 9.95 percent—equivalent to RD$9,500.40 million—and exceeding its revenue target by 1.6 percent (RD$1,648.58 million).

Customs Director Yayo Sanz Lovatón attributes this milestone to a combination of “operational efficiency measures” and enhanced control protocols. Introduced under his leadership, these initiatives have aimed to streamline import procedures and tighten border enforcement. As a result, the DGA has positioned itself as a regional model for trade facilitation even as supply chains remain unpredictable and global markets volatile.

Indeed, trade activity during January–May 2025 showed a notable uptick: 128,983 containers arrived under the national customs regime, reflecting a 7.84 percent increase over the same stretch in 2024. While rising container traffic might suggest strengthening commercial demand, analysts caution that volume alone does not guarantee higher revenue unless matched by improved valuation and compliance checks—areas where Customs’ new strategic agreements with both domestic and international institutions appear to have paid dividends.

A significant turning point arrived in June 2024, when the DGA launched a digital services platform automating more than 50 procedures—from tariff calculations to permit renewals. By reducing paperwork and human intervention, the platform has not only cut clearance times but also minimized opportunities for under‐invoicing and smuggling. In October 2024, the Dominican Exporters Association (Adoexpo) recognized Customs for its “Service to the Export Sector,” highlighting how smoother export processes can coexist with stricter import controls.

Yet the broader implications of this record haul extend beyond Customs’ walls. Increased revenue—achieved without raising duty rates—suggests better compliance rather than additional tax burdens on businesses. That, in turn, may bolster investor confidence at a time when many Latin American economies struggle with inflationary pressures and exchange‐rate swings. Exporters might also benefit, since efficient customs procedures generally reduce transaction costs and encourage competitiveness abroad.

Looking ahead, Customs faces the challenge of sustaining this performance if global conditions deteriorate. “We must ensure these gains are not one‐off,” says an independent economist familiar with DGA data. She notes that future revenue will hinge on maintaining technology upgrades and on Customs’ ability to adapt to changing trade patterns—especially as free‐trade agreements and regional logistics corridors evolve.

In a region where customs agencies often balance revenue collection against trade promotion, the Dominican model under Yayo Sanz Lovatón’s stewardship demonstrates that the two objectives need not be mutually exclusive. By investing in digital tools and forging interagency partnerships, the DGA appears to have turned global uncertainty into an opportunity. Whether this approach holds when commodity prices or shipping costs shift remains to be seen, but for now, Dominican Customs stands at an unprecedented revenue peak—and offers a case study in how agile policy can make a tangible difference.