US Origin Dry Beans Shipments to Dominican Republic Held up in Customs
September 19, 2016Over the last month, several US dry bean exporters have experienced problems with their shipments to the Dominican Republic. At issue is recognition of the U.S. origin of dry beans that are transshipped through Canada. Under the CAFTA/DR free trade agreement, U.S. dry beans, along with most U.S. origin agricultural commodities, enter the DR at zero or preferential duties. In the last month, customs authorities in the DR have begun to demand presentation of a document certifying that any U.S dry bean shipments transshipped through Canada have not been touched, altered, or repackaged by Canadian authorities. DR customs authorities are demanding a stamped and certified form, called A8A, which has never been required before. The problem is, this form does not exist for shipments railed into Canada. Without this form, U.S. dry bean shipments to the DR are not considered U.S. origin and are subject to full duty price for entry. This is a highly disruptive tariff barrier to U.S./DR agricultural trade and USDBC is working with exporters and USDA’s Foreign Agricultural Service (FAS) office in Santo Domingo to try and find a solution. USDBC learned this week, that in addition to FAS Santo Domingo, the issue has also been escalated to the relevant authorities at FAS/DC. We will continue to work with all parties impacted by this ongoing situation until it is resolved. If you are experiencing any problems with your shipments to the DR or have any questions, please contact USDBC.