Separating issues from politics

A Bank of Hawaii economist asked a salient query about the much maligned apparel industry in the islands: Take away the politics and realistically review the economics of the industry to see if we have an alternative investment ready as a substitute in the event the apparel industry pulls out. Definitely, we don’t have an answer today given that planning was never and still isn’t our forte.

Politicians and bureaucrats seem to have donned the role of a reluctant bride who loves the groom but refuses to acknowledge her love for the man of her dreams even on their wedding day. Yet, he is and will remain the provider for the family they are about to establish together. A bit sad but true!

A brief glimpse into the history of private sector development shows that no other industry was established in the islands over the past 16 years. Thus, there are only two major industries here: tourism and apparel. The former has suffered from the vicious assaults of the Asian Crisis while the latter is mangled in an infamous agenda of a federal takeover to ascertain its complete closure.

The fact remains that the apparel industry here has provided more than 3,000 direct and indirect jobs, in addition to pouring a steady flow of revenue to the local government coffers. Since its establishment it has spurred establishment and expansion of support businesses, i.e., shipping (air and sea), wholesaling, insurance, purchases from local farmers, land leases (private and public), among others. All these at a time when the tourism industry went deep south. It’s an economic sector that has taken first fiddle over tourism.

It’s mind boggling how special interests, in concert with operatives at the US Department of Interior’s OIA, have seen fit to take on an agenda that would bring the CNMI’s apparel industry to its knees. OIA has cleverly embraced and employed the politics of the US Textile Labor Unions fronting a half-cocked reform proposal wrapped in federal takeover as the alternative. Interesting though that it never answered serious queries from the CNMI to share its ill-conceived economic blue print.

The politics of policy instability from both sides of the Pacific has basically ruined an already half-limping CNMI economy from the Asian Contagion. To destroy our last major investment is to force total economic meltdown of the local economy. Most perplexing is the notion that Uncle Sam isn’t as generous as he used to be when this fledgling territory first joined the union as a partner. Certainly, all concerns must buckle down to resolving the bottom line query of economic substitute by separating merit of the issue from politics. Si Yuus Maase`!