Doing Business in Haiti - U.S. Embassy in Haiti

Doing Business in Haiti:

2018 Country Commercial Guide for U.S. Companies

INTERNATIONAL COPYRIGHT, U.S. & FOREIGN COMMERCIAL SERVICE AND U.S. DEPARTMENT OF STATE, 2018. ALL RIGHTS RESERVED OUTSIDE OF THE UNITED STATES.

Table of Contents

Doing Business in Haiti _____________________________________________ 5 Market Overview ________________________________________________________ 5 Market Challenges ______________________________________________________ 8 Market Opportunities ____________________________________________________ 9 Market Entry Strategy __________________________________________________ 11

Political Environment______________________________________________ 11 Political Environment___________________________________________________ 11

Selling U.S. Products & Services ____________________________________ 12 Using an Agent to Sell U.S. Products and Services __________________________ 12 Establishing an Office __________________________________________________ 12 Franchising ___________________________________________________________ 13 Direct Marketing _______________________________________________________ 13

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Joint Ventures/Licensing________________________________________________ 13

Selling to the Government_______________________________________________ 13

Distribution & Sales Channels ___________________________________________ 14

Express Delivery ______________________________________________________ 15

Selling Factors & Techniques ____________________________________________ 15

E-Commerce __________________________________________________________ 15

Overview ___________________________________________________________________ 15 Online Payment______________________________________________________________ 16 E-Commerce Intellectual Property Rights _________________________________________ 16 Mobile E-Commerce __________________________________________________________ 16 Digital Marketing _____________________________________________________________ 16 Social Media ________________________________________________________________ 17

Trade Promotion & Advertising __________________________________________ 17

Pricing _______________________________________________________________ 18

Sales Service/Customer Support _________________________________________ 18

Protecting Intellectual Property __________________________________________ 19

Due Diligence _________________________________________________________ 19

Local Professional Services _____________________________________________ 20

Principal Business Associations _________________________________________ 20

Limitations on Selling US Products and Services ___________________________ 26

Web Resources _______________________________________________________ 27

Leading Sectors for U.S. Exports & Investments _______________________ 28

Energy _______________________________________________________________ 28

Overview ___________________________________________________________________ 28 Leading Sub-Sectors__________________________________________________________ 30 Opportunities_______________________________________________________________ 31 Web Resources _____________________________________________________________ 32

Agricultural Sector _____________________________________________________ 33

Overview ___________________________________________________________________ 33 Leading Sub-Sectors__________________________________________________________ 36 Opportunities_______________________________________________________________ 36 Web Resources _____________________________________________________________ 37

Construction __________________________________________________________ 39

Overview ___________________________________________________________________ 39 Leading Sub-Sectors__________________________________________________________ 40 Opportunities_______________________________________________________________ 40 Web Resources _____________________________________________________________ 41

Mining and Minerals ____________________________________________________ 42

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Overview ___________________________________________________________________ 42 Leading Sub-Sectors__________________________________________________________ 43 Opportunities_______________________________________________________________ 43

Telecommunications ___________________________________________________ 43

Overview ___________________________________________________________________ 43 Opportunities_______________________________________________________________ 46 Web Resources _____________________________________________________________ 46

Travel and Tourism ____________________________________________________ 47

Overview ___________________________________________________________________ 47 Leading Sub-Sectors__________________________________________________________ 48 Opportunities_______________________________________________________________ 48 Web Resources _____________________________________________________________ 49

Customs, Regulations & Standards __________________________________ 49

Trade Barriers_________________________________________________________ 49

Import Tariff __________________________________________________________ 50

Import Requirements & Documentation ___________________________________ 57

Labeling/Marking Requirements __________________________________________ 57

U.S. Export Controls ___________________________________________________ 58

Temporary Entry_______________________________________________________ 58

Prohibited & Restricted Imports __________________________________________ 58

Customs Regulations __________________________________________________ 60

Standards for Trade ____________________________________________________ 60

Overview ___________________________________________________________________ 60 Standards __________________________________________________________________ 61 Testing, inspection and certification ______________________________________________ 62 Publication of technical regulations_______________________________________________ 62 Contact Information ___________________________________________________________ 62

Trade Agreements _____________________________________________________ 63

Current Preference Highlights _________________________________________________ 65

Licensing Requirements for Professional Services __________________________ 68

Web Resources _______________________________________________________ 68

Investment Climate Statement ______________________________________ 69

Executive Summary ____________________________________________________ 69

1. Openness To, and Restrictions Upon, Foreign Investment _____________ 71

2. Bilateral Investment Agreements and Taxation Treaties _______________ 75

3. Legal Regime __________________________________________________ 76

Transparency of the Regulatory System ____________________________________ 76

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Legal System and Judicial Independence ___________________________________ 77 Laws and Regulations on Foreign Direct Investment __________________________ 78 Competition and Anti-Trust Laws _________________________________________ 79 Expropriation and Compensation _________________________________________ 80 Dispute Settlement _____________________________________________________ 80 Bankruptcy Regulations _________________________________________________ 81 4. Industrial Policies_______________________________________________ 82 5. Protection of Property Rights _____________________________________ 86 6. Financial Sector ________________________________________________ 88 7. State-Owned Enterprises_________________________________________ 91 8. Responsible Business Conduct ___________________________________ 93 9. Corruption_____________________________________________________ 93 10. Political and Security Environment _______________________________ 96 11. Labor Policies and Practices ____________________________________ 97 12. OPIC and Other Investment Insurance Programs ____________________ 99 13. Foreign Direct Investment and Foreign Portfolio Investment Statistics __ 99 14. Contact for More Information ___________________________________ 101 Business Travel _________________________________________________ 101 Business Customs ____________________________________________________ 101 Travel Advisory ______________________________________________________ 102 Visa Requirements ____________________________________________________ 102 Currency ____________________________________________________________ 103 Telecommunications/Electric ___________________________________________ 103 Transportation _______________________________________________________ 103 Language ___________________________________________________________ 103 Health ______________________________________________________________ 104 Local Time, Business Hours and Holidays ________________________________ 104 Temporary Entry of Materials or Personal Belongings ______________________ 104 Travel Related Web Resources __________________________________________ 105

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Doing Business in Haiti

Market Overview

Haiti is one of the most open economies in the Caribbean with a number of sectors that are seeking foreign direct investment. Although the business climate is challenging, Haiti's legislation encourages foreign direct investment and the Haitian investment code provides the same rights, privileges, and equal protection to local and foreign companies. The Government of Haiti provides two types of incentives for foreign investment: customs duty incentives and income tax incentives. Import and export policies are nondiscriminatory and are not based on nationality.

President Jovenel Mo?se has designated agriculture, energy, transportation, and water as key investment sectors and announced his "Seven Priority Axes" for development in Haiti. The seven axes are:

Reform the state apparatus and maintain political and social stability, Transform Haiti into an investment destination, Increase agricultural production and improve the environment, Build energy, transportation, and port infrastructure, Reinforce water and sanitation infrastructure, Improve the infrastructure and quality of the education system, Promote stability through social projects.

The United States is one of Haiti's top trading partners. In 2017, imports from the United States represented 24 percent of Haiti's total imports with approximately $2 billion in trade between the two nations in 2017.

The Haitian garment sector, through the HOPE/HELP legislation, continues to perform well with exports to the U.S. totaling $960.1 million in 2017. With the extension of HOPE/HELP through 2025, Haiti's garment sector remains of interest to large-scale manufacturing operations. U.S. companies should consider exporting to Haiti for the following reasons:

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