North & Central America and Caribbean

Dominican Republic
Last reviewed: 12 August 2009

Country information

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TRADE AND INVESTMENT

Trade and Investment with the UK

The DR is an important market within the Caribbean and represents a small but significant growth market for the UK. The value of exports to the DR in 2008 was £61.5 million, and imports from the DR totalled £80.7 million.
Principal UK exports are beverages, clothing, dairy products, chemicals and related products, road vehicles and industrial machinery. Principal imports from Dominican Republic are: organic fruits, coffee, tobacco, sugar, clothing and footwear, furniture, gold and silver alloy, ferro-nickel. Whisky is becoming an increasingly popular choice among Dominican drinkers. The rise in whisky consumption has attracted a host of overseas suppliers to satisfy the increased demand, and with their product portfolio and new campaigns they are attracting new customers everyday. International and local companies import a wide variety of well-known brands that go from single malt to blended. In 2008, the DR imported approximately 500,000 cases of whisky.

The main trading partners with Dominican Republic are the USA (which provides for 46% of imports and receives 66% of exports) and the European Community.In addition to promoting industrial investment opportunities in the Industrial Free Zones (IFZs), the DR government also offers substantial incentives for investment in the tourism sector. There are significant opportunities for UK companies to invest in the tourism industry either individually or on a joint venture basis with local private sector hotel operators.

Agriculture

The traditional export crops were sugar, coffee, cocoa and tobacco, but the country's agricultural sector has moved away from such crops, with increased production and exports of organic bananas, pineapples, citrus, melons, and mangoes. The government is committed to attracting new investment to this sector.

Tourism

Tourism became a strong growth industry in the 1980s and is playing a major role in the country's development. It is the largest foreign exchange earner. The number of tourists is steadily increasing. The major development areas are the North in Puerto Plata, and along the eastern coast at Punta Cana and Bavaro, and in the south at Bayahibe. The DR continues to invest for the future. There are over 60,000 hotel beds, up from 34,000 in 1996. After an absence of some years, Caribbean cruise ships are again calling at ports in the Dominican Republic. During 2007, the Dominican Republic received 377 cruise ships, totalling over 400,000 visitors. It increased to 475,000 in 2008. The tourism sector has bounced back following a slow down in 2002 due to the September 11th factor. In 2008 approximately 215,000 British tourists visited the country. 2008 statistics showed an increase in overall tourist arrivals reaching over 3.4 m, a 1.45% increase on the previous year

Mining

The mining sector continues significantly to contribute to GDP.

The strong performance of the mining sector is a result of increases in nickel production (11.2%), marble (10.5%) and plaster (60.4%), other factors contributing to the sector's growth in foreign demand are the increase in the nickel international prices and a higher use of the productive capacity.

Manufacturing

The manufacturing sector comprises two separate subsectors: industries producing for the domestic market, notably sugar and rice milling and production of construction materials. Light manufacturing is contributing an ever more important share of national output, exports and employment.

UK Trade & Investment Country Profile: Dominican Republic