Trade Agreement Us Honduras

Trade Agreement Us Honduras

The Republic of Honduras is a low-income country facing major challenges, with more than two-thirds of the country`s population living in poverty and about 46% in extreme poverty. Honduras ranked 78th out of 132 countries that measure institutions, policies and services to facilitate trade in countries as part of the Enabling Trade Index (WEF) (WEF) (2012). The Honduran trade regime is very open. Globally, the country`s exports face very good access to foreign markets. In return, the country is open to imports; However, the poor business environment (particularly cumbersome and cumbersome administrative constraints) and poor performance in essential commercial services, which enable infrastructure services, are significantly hampering foreign trade activities. The implementation of many free trade agreements in recent years has led to some modernization and liberalization of the country`s trade and investment systems. The trade pillar of the Association Agreement has been applied provisionally since 1 August 2013 with Honduras, Nicaragua and Panama, 1 October 2013 with Costa Rica and El Salvador and 1 December with Guatemala. The Central American countries agreed in December 1960 on the establishment of a system of economic integration and a Central American Customs Union (CACU). This commitment was reaffirmed in 1993. Between 2000 and 2002, Central American countries became part of the legal framework agreement.

The subscription of the CACU constitution contract was concluded in 2006. The aim is to allow the free movement of goods and the establishment of a uniform Central American right with duty-free privileges between countries in the region. The products must be from the Central American region. The new agreement aims to promote sustainable development and deepen its process of regional integration. This closer economic integration between the countries of the Central American region is important to attract investment in the region and help local businesses develop the strength of their regional market in order to be internationally competitive. Today, Donald Trump is the scapegoat for the economic insecurity faced by many Americans, for whom he is scapegoating with his racist attacks and xenophobic obsession with building a wall along our southern border. But it is the same U.S. trade policy that harms workers in the United States, which many in Central America have left no choice but migration, as they struggle to feed and support their families. The U.S.-Central America Free Trade Agreement (CAFTA-DR) came into force in 2006.

It removes most tariffs and other barriers to U.S. products destined for the Central American market, protects investment and intellectual property in the United States, and creates more transparent rules and procedures for conducting transactions. CAFTA-DR`s goal is also to eliminate tariffs in Central America and facilitate the strengthening of regional trade, which benefits U.S. companies that produce in Honduras. Major U.S. exporters to Honduras include petroleum products, textiles and fabrics, cotton yarns, electrical equipment, chemicals, stacked artificial fibers, computer and electronic products, machinery and food and cereals (corn, soybean flour, wheat and rice).