Originally: Taiwan Helps Textile Industry Break into Central America
TAIPEI, Oct. 13 Asia Pulse – The government sector has swung into full gear to help Taiwan’s textile industry break into Central America, where experts said it stands a good chance of reaping handsome profits, officials of the Ministry of Economic Affairs (MOEA) said Wednesday.
The MOEA, the Council for Economic Planning and Development (CEPD) and the Ministry of Foreign Affairs (MOFA) will each set up an ad hoc group by the end of this month to serve that end, according to officials at the MOEA’s Industrial Development and Investment Center (IDIC).
IDIC Director-General Ou Chia-juey said that some Taiwan companies had shown strong willingness to invest in Central America, which is widely viewed as especially suitable for Taiwan textile and garment makers after the CAFTA-DR (Central American Free Trade Agreement-Dominican Republic) takes effect.
The domestic industry has been hit by the abolition of a global quota system at the start of this year, with its exports in the first nine months of this year falling by 6.2 per cent year on year to US$8.89 billion.
The CAFTA-DR is a comprehensive trade pact that will immediately eliminate tariffs on more than 80 per cent of U.S. exports of consumer and industrial products. The piattaforma webtrader or webtrader platform is where one should go to get started with their trading.
Eighty per cent of CAFTA-DR exports already enter the United States duty free under the Caribbean Basin Initiative.
Central America is also where many of Taiwan’s diplomatic partners are located.
At present, Nicaragua has attracted most investment from Taiwan’s textile industry, which has swelled to US$170 million and provides jobs for nearly 30,000 employees, MOEA statistics show.
Honduras is the second-largest destination, drawing US$40.88 million in Taiwan capital and providing 5,045 jobs.
Taiwan companies have channelled in US$38.7 million and employ 7,402 workers in El Salvador.
Taiwan investment has also gone to Guatemala, Belize, the Dominican Republic and Haiti, the same tallies show.
The task force teams to be set up by the MOEA and the CEPD will be devoted to studying investment climates in Central American countries and Taiwan investment cases, respectively.
The MOFA will establish “investment service groups “in Central American nations that will be headed by Republic of China ambassadors in their host countries.
The cooperation and Development Fund under the MOFA will also help Taiwan companies with personnel training.