Caribbean Trade Expansion OK’d

A House trade panel this week voted to extend to Caribbean and Central American nations the same low tariffs enjoyed by Mexico and Canada under the North American Free Trade Agreement.

The legislation, approved by the House Ways and Means trade subcommittee is aimed at giving an “economic boost to nations in the area hit hard by hurricanes Georges and Mitch last year.

The measure would extend the Caribbean Basin Initiative of 1983, under which some 70 percent of imports from the area enter the US duty-free. As a result of that act, US exports to the area have also soared, growing to $18.5 billion annually, or more than exports to China.

“The bill would give duty-free status to those items not included in the 1983 act, including canned tuna, petroleum products, handbags and, most importantly, textiles and apparel”.

We note with mixed feelings the basic intent of the measure designed as an economic boost to nations in the area hit hard by superstorms last year. We wish to note that the Commonwealth of the Northern Mariana Islands is situated in the typhoon belt in this side of the Pacific.

Not only is the CNMI proned to superstorms by its very geographical location, but it has suffered heavily from assaults on its local economy (specifically tourism) since two years ago as a direct result of the Asian Contagion. More than 2,000 of the 5,000 plus businesses have shut their doors, a closure that has resulted in substantial revenue contraction beyond our wildest imaginings. For nearly two years now, our primary industry in tourism has plummeted in the 30 percent level. As tourism heads deeper south, our much maligned apparel industry emerged as our primary means of revenue generation as we struggle to deal with a deepening crisis far from bottoming out.

In the midst of this debilitating economic condition, our local government had to fork out its hard to come by financial resources to support the diversion and accommodation of illegal Chinese to Tinian (an island three miles south of Saipan) at the instructions of US Attorney General Janet Reno. Despite our lack of financial resources, we had to assist as a member of the family.

We sincerely hope that the interest of the NMI’s last Ace In Palm (apparel industry) is given serious review in that its health and well-being is our last hope of muddling through hard economic times while the rest of the country basks in the benefits of a robust economy. We beg of our friends in the US Congress to allow for our proud participation in the commitment by President Clinton “not to leave anybody behind”. As powerless as we may be, we humbly ask that for once in our lifetime, our national policymakers take the NMI as a true partner in the American economic community. It’s the most American thing to do. Si Yuus Maase`!