NICARAGUA NEWS – The Under Secretary of Commerce in the United States sees no need for renewal of preferential tariff arrangements, which up to now have favored Nicaragua’s textile industry.
Statements by the senior official of the Obama administration fell like a bucket of cold water over textile entrepreneurs, who claim that without the renewal of TPL, production costs will increase by up to 40%.
Estrategiaynegocios.net reports that the US Secretary of Commerce, Walter Bastian, said “… This is an industry that can now compete globally and maintain its position in the market (…) with or without those tariff preferences. ”
“… The Nicaraguan government and employers are asking for an extension through 2024, “however,” … the decision is in the hands of the Obama administration, which has not announced an official final position. ”
For his part, the President of the Superior Council of Private Enterprise, José Aguerri, added “… The TPL has been a prerogative that was given to Nicaragua to shorten the gap which exists between the Nicaraguan economy and other economies in the region. Also duty free exports to the United States even of clothing made of yarns and fabrics from third party countries for a maximum of one hundred million square meters per year are permitted. ”