Haiti

Haiti is a beneficiary of the EU's "Everything but Arms" (EBA) scheme for least developed countries. Haiti is considered a lower-middle income economy by the World Bank with a per-capita income of $ 1.610 in 2022, which makes it one of the poorest countries in the Western hemisphere. Nonetheless, imports from Haiti reached considerable € 33 million in 2022. About 77% of these imports are eligible for EBA preferences.

What is the EBA?

The “Everything but Arms”(EBA) scheme is a permanent arrangement covering Least Developed Countries (LDC’s) as classified by the United Nations. This arrangement enables duty-free and quota-free access for all products (7200 products in total) originating in LDC’s except for arms and ammunition. Different from the Standard GSP and GSP+, LDC’s are not excluded from the scheme if they benefit from other preferential arrangements.

Haiti flag

At a glance: EBA beneficiaries' preferential imports to the EU

group

11,58 M

Population

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Semi-Presidential Republic

Government

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-1.70%

GDP Growth

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13.40%

Inflation

money

$ 20,25 B

GDP

Facts about Haiti's economy

Export Products

Haiti's main export products are articles of apparel and clothing, which account for about 90% of overall exports. Other export goods include live fish (eels), essential oils and fruits (guavas, citrus fruits, and melons).

Trade Partners

The most important trading partners for Haiti are the US and China. The US is by far the most important export market for Haitian products, around 81% of products go to the US market. Looking at imports, China and the US are the most imprtant trade partners with shares, 29% and 21% respectively.

Economic Structure

The majority of the population is employed in the agricultural sector which, however, only contributes 20% to the national income as the main focus of the sector is subsistence farming. The industrial sector is focused on processed foods, such as coffee and sugarcane as the main cash crops. Other relevant industries are textiles, footwear, and beverages.

Remittances

Remittances play an immense role for the Haitian economy as they account for almost 40% of Haiti’s GDP, the second highest share among all countries in the world.

Usage of EBA Preferences

About 24% of overall imports from Haiti make use of EBA preferences. The preference utilisation rate, which represents the ratio of preferential imports to GSP eligible imports, currently stands at 72.4%.

Trade with the EU

Total trade with the EU summed up to € 224 million in 2021. With a share of 5.7% of total trade, the EU only plays a minor role in Haiti's overall trade.

Haiti and the EU (2022)

Imports from Haiti by product section

Imports from Haiti over time (in € m)

HAITI AND THE EU’s GSP

Economic Impact

33%

About one third of Haiti's exports to the EU market are eligible for EBA preferences.

55.00%

With a preference utilisation rate of 55%, Haiti currently makes good use of EBA preferences.

Preference utilisation and export diversification

Haiti's imports to the EU

Preference Utilisation vs. total eligible imports

Haiti’s preference utilisation rate shows some fluctuations in the past years. It becomes evident, however, that Haiti took more advantage of its EBA status following the reform of the GSP regulation in 2014. Overall, EU imports from Haiti suggest an increasing trend while eligible imports show more variation.

The largest product sections under EBA

Haiti uses zero duties granted by the EBA mainly for its garment and chemical exports to the EU. A number of other products that are exported to the EU already benefit from free market access.

SUSTAINABLE DEVELOPMENT

As a beneficiary of the EBA scheme, Haiti's preferential access to the EU market is not conditional on the ratification of international conventions. Nonetheless, Haiti has ratified all 15 core conventions on the protection of human rights and labour standards. Additionally, Haiti has ratified 4 environmental protection conventions and is a signatory to the Basel Convention, the Cartagena Protocol and the Stockholm Convention. Haiti has also ratified 3 conventions on good governance

Core international conventions on human rights and labour standards

Ratified

  • Convention on the Prevention and Punishment of the Crime of Genocide (1948)
  • International Convention on the Elimination of All Forms of Racial Discrimination (1969)
  • International Covenant on Civil and Political Rights (1976)
  • International Covenant on Economic Social and Cultural Rights (1976)
  • Convention on the Elimination of All Forms of Discrimination Against Women (1981)
  • Convention Against Torture and other Cruel, Inhuman or Degrading Treatment or Punishment (1987)
  • Convention on the Rights of the Child (1990)
  • Convention concerning Forced or Compulsory Labour, No 29 (1930)
  • Convention concerning Freedom of Association and Protection of the Right to Organise, No 87 (1948)
  • Convention concerning the Application of the Principles of the Right to Organise and to Bargain Collectively, No 98 (1949)
  • Convention concerning Equal Remuneration of Men and Women Workers for Work of Equal Value, No 100 (1951)
  • Convention concerning the Abolition of Forced Labour, No 105 (1957)
  • Convention concerning Discrimination in Respect of Employment and Occupation, No 111 (1958)
  • Convention concerning Minimum Age for Admission to Employment, No 138 (1973)
  • Convention concerning the Prohibition and Immediate Action for the Elimination of the Worst Forms of Child Labour, No 182 (1999)

Additional Conventions

  • Montreal Protocol on Substances that Deplete the Ozone Layer (1987)
  • Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal (1989) (signed)
  • Convention on Biological Diversity (1992)
  • The United Nations Framework Convention on Climate Change (1992)
  • Cartagena Protocol on Biosafety (2000) (signed)
  • Stockholm Convention on persistent Organic Pollutants (2001) (signed)
  • Kyoto Protocol to the United Nations Framework Convention on Climate Change (1998)
  • United Nations Single Convention on Narcotic Drugs (1961)
  • United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances (1988)
  • United Nations Convention against Corruption (2004)

EU-Haiti Bilateral Development Assistance

DG INTPA

Access all info about EU-Haiti relations on the International Partnerships website: https://international-partnerships.ec.europa.eu/countries/haiti_en

Opportunities in Haiti

  • With developed industrial parks and free zones, Haiti provides the best investment opportunities in the Caribbean region in the apparel sector.
  • European companies in the power generation equipment, packaging and food processing equipment, energy-efficient and smart grid systems, and construction materials sectors can benefit from a strong market interest in Haiti

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