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Opportunities on the Haitian Market
By Alice Mitchell, Export-USA.com Editor; 2008-12-20
Haiti imports about 70% of market goods and 50% of the total imports come from U.S. exporters. Even with this significant percentage, the Haitian market is challenging because of the deteriorated and limited transportation infrastructure, but, more important, because of the corruption.
In Haiti, doing business includes, most of the times, bribing certain officials of GoH, or Government of Haiti. Another disadvantage is the port fees, which are the highest in the hemisphere. It is recommended for any U.S. firm that wants to find a distributor in Haiti to get in contact with the U.S. Department of Commerce for details.
The sectors in Haiti that offer the best prospects for U.S. exporters are the agricultural and the commercial ones. American firms can choose to export products and services in the following domains: apparel and textile, telecommunications services and equipment, electrical power systems, machinery and transport, and tourism.
For 2007, the total import value for the textile sector reached $150.5 million. For this year, statistics from the U.S. Census Bureau show an increase of almost $15 million. The textile and apparel sectors still offer potential for U.S. exporters.
It is know that Haitian firms work as contractors for U.S. companies in the textile sector. The assembly sector is an important part of the Haitian economy and U.S. exporters provide raw materials, cut fabric and equipment to ease the assembly process.
Therefore, this is a sector that offers market opportunities for U.S. firms that produce raw materials for the apparel and textile sector. The machinery and transport sector is promising, considering that the Haitian the road system is deteriorated and the physical infrastructure is extremely poor.
One of the government’s goals is to renovate the infrastructure, which will also lead to improving the tourism. This is a good opportunity for U.S. companies to export parts, such as graders and tractors, and new equipment which will be used for the road-building construction program.
This year, the projected figures from the U.S. Census Bureau show that U.S. companies have exported products and services from this sector at the total value of $83 million, with an increase of $7.5 from last year. The automotive market also offers opportunities, especially for American companies that sell new as well as used buses for public transportation and trucks.
The ELP (Electrical Power Systems) sector offers good opportunities for U.S. exporters since U.S. lead the Haitian market in this sector. According to statistics, 50% of electric generators come from the U.S. The same statistics show that total imports from American firms for this is are approximated to $35 million, with more that $9 million compared to last year’s imports.
There are great opportunities for U.S. companies that produce generators, parts and service, especially in the Port au-Prince are where there has been severe electricity shortage. Specialists believe that this offers long-term opportunities for exporters and investors.
The agricultural sector is also full of opportunities for American exporters. In 2007, according to the U.S Customs Agency statistics, U.S. exports reached a total of $220 million and increased with 6% compared to 2006. The main products exported are: rice, wheat, processed food, and poultry.
The main barrier American companies are confronted with when exporting products in Haiti is the high coasts and high port user fees.
Disclaimer: This article is for informative purposes only and was comprised from various sources believed to be reliable. However, Export-USA does not make any warranty regarding the accuracy of the information in this article. Always check with a specialist and do your own research before engaging in international trade.
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