Dominican Republic: The Dominican Republic Moves Ahead with Measures to Protect Its Rice Industry from US Competition under CAFTA-DR

On December 17, 2024, the Dominican Republic issued Decree 693-24, to limit rice imports into the country. The Decree establishes a quota of 23,300 metric tons (MT) for U.S. rice, subject to a 0 percent ad valorem tariff. Imports of U.S. rice exceeding that quota may use the WTO quota of 17,810 MT subject to a 20% ad valorem tariff. Outside of these two quotas, U.S. rice will face a 99 percent tariff. These restrictions appear inconsistent with the duty-free and unlimited access U.S. rice was set to enjoy in the Dominican Republic beginning January 1, 2025, under the Dominican Republic-Central American Free Trade Agreement (CAFTA-DR). The Decree is grounded in Law 75-24, which grants the Dominican Government's National Council for Food Sovereignty and Nutritional Security (CONASSAN) authority to regulate imports of "sensitive products" for national security purposes.