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Honduras'S Export Processing Zone Faces Fierce Competition For Garment Exports From The United States

2010/9/30 9:30:00 90
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American Made Garments In Honduras

According to the report issued by the World Trade Organization (WTO),

Honduras

The clothing materials and clothing produced by maquila (export processing zone) are facing fierce competition in their main import market.


US imports account for 75% of Honduras's export processing zone exports.

The Republic of Dominica - the Central American Free Trade (DR-CAFTA) special trade agreement provides many privileges for most enterprises in the region.


The products produced in the export processing zone constituted the main export part of the Central American region, with exports of US $2 billion 800 million in 2009, accounting for about 54% of the total exports in the region.


Most factories in the processing area are

clothing

and

Spin

Production plant.

These factories produce 62 billion 700 million HNL or 3 billion 320 million US dollars together, or 79.5% of last year's total output value.


According to WTO's report, about 90% of Honduras's exports are garment processing, clothing, knitting, or crochet fabrics, yarns and yarns.


WTO trade experts believe that Honduras companies are facing fierce competition in the United States because the global import quota system ends in 2005.

Tariff competition means that the employment rate in the processing area decreases and the gross output value decreases.


The number of workers decreased from 134007 in 2007 to 121700 in 2008.

In 2009, it dropped to 104048.

Similarly, the percentage of gross domestic product in GDP dropped from 7.3% in 2007 to 5.9% in 2009.

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