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SANTIAGO.- Tobacco farmers of the country’s north region (Cibao) yesterday heard with joy the news that U.S. president  George Bush’s vetoed a bill passed by Congress, which threatened to decimate the Dominican and Central American tobacco industries.

The president of the Cibao Tobacco Harvesters Federation, Jorge Mercado, said the U.S. president’s decision would reactivate the north zone’s tobacco industry, mainly in Santiago province. "The veto of the law represents hope and relief for more than 300 harvesters in this region who have lived off the production of tobacco for centuries."

Agriculture minister Salvador Jiménez, quoted by the newspaper Diario Libre, said if the bill had been signed into law the country would’ve lost some 54,000 jobs.

The legislation also threatened to shutter 60 cigarette factories in the municipalities Tamboril, Villa González and Navarrete, and cause more than US$100 million annually in lost income for the country.

The U.S. tax on each cigar is currently 9 cents though the proposed law was going to raise it between one and three dollars, according to experts.

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3 comment(s)
Written by: Billy H. Adams, 5 Oct 2007 9:01 AM
From: Santiago, Santiago
The veto by President Bush is but a short reprieve of theproposed tax on tobacco products imported into theUSA.
The Democratic Congress is one which will revive the tax at the earliest possible time.
The Tovbacco Industry really needs to concentrate on developing new and extensive markets for their products so as to aleviate the impact of thetax which will be forthcoming at the end of the Bush Administration.
It will happen, so be prepared and make alternative plans.
Written by: Patron Saint PR, 17 Oct 2007 3:21 PM
From: USA
This article has been cited on the Health Care Reform Now! blog, a companion to the new book by George C. Halvorson. You can view the posting at this URL:

Written by: MrThelmo Almeyda Rancier, 18 Nov 2007 9:32 PM
From: Bogota,N,J, USA
This is a good example of DR-CAFTA 's weakness. As US congress changes ,so will the laws to be.Nothing guarantees the tobacco industries's existance ,since it has been proven causing respiratory illness by the(surgeon General of the US).

So in this case what is the advantage of the DR-CAFTA,when
the price of imported product such as this,has been dictated
by the US Congress to make up for the wars debts?Same as S/S 's premium .
They may as well tax marijuana and solve its DEA problem
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