That medical devices are exported from the Dominican Republic to 132 countries, including demanding markets such as Japan, is a clear sign of the growth and transformation of the free trade zones, which have moved from simple manufacturing to more specialized production. Supporting this boom are the numbers: 94 parks, 853 companies, 198,552 direct jobs, and RD$150 billion in purchases from the local market.
Additionally, in 2024, free trade zones accounted for 67% of national exports, exceeding US$8.6 billion, representing 3.1% of GDP.
Meanwhile, foreign direct investment in the regime reached US$417.4 million, with an annual growth of 21%, and a cumulative investment of US$7.735 billion.
These figures were presented during the Corripio Group Lunch by the Minister of Industry, Commerce and MSMEs (MICM), Víctor (Ito) Bisonó; Daniel Liranzo, Executive Director of the National Council of Free Export Zones (CNZFE); Claudia Pellerano, President of the Dominican Association of Free Zones (Adozona); and Samuel Conde, business executive from DP World.
Leap Forward
Highlighting this growth, Minister Bisonó emphasized that the sector’s leap has mainly come from the manufacture of electronic and medical devices. “If in the United States they are going to stitch you up, that thread comes from the Dominican Republic. In some cases, they might implant a pacemaker, and that is from the Dominican Republic,” Bisonó said, using these examples to demonstrate the diversification of the sector’s industries.
He highlighted that the country ranks first worldwide as an exporter of hand-rolled cigars, ostomy devices (devices that cover artificial openings) to the United States, and jewelry in Latin America.
He pointed out that free trade zones are not an isolated project but are fully integrated with the productive and labor fabric of the Dominican Republic. Therefore, to strengthen the industry, the government has worked in partnership with the private sector.
Towards Advanced Manufacturing
Pellerano noted that while the sector has evolved significantly, traditional industries such as cigars, sewing, and footwear, which generate important jobs, remain valid and necessary. “But diversity is what has raised the level of products, processes, and obviously the education level and, therefore, the level of wages and compensation for employees.”
She said they are focused on very specific sectors to complement the ecosystem of companies, which involve increasingly technical processes, thus speaking of advanced manufacturing that brings a “raising of the bar” in all aspects — from infrastructure quality to talent and remuneration.
In that vein, Conde stated that the goal is to increase production levels and greater sophistication to reach advanced manufacturing. He mentioned that some parks have small spaces but produce 25% of the US$8 billion in exports, and plants with equipment worth up to US$100 million, spaces up to 15,000 square meters, with thousands of people working under high-security conditions.
One of these is the production of medical devices carried out under completely aseptic conditions and with particle control, as “these plants are internationally certified by agencies with stringent requirements from both the United States and Europe.”
He highlighted that a German company with 6,000 workers has the country as a global manufacturing center for medical devices used in dialysis and exported to 132 countries.
“What we pursue in the program’s evolution is to keep raising the category and sophistication, aiming for us to reach what is considered advanced manufacturing,” he expressed.
Salaries
Regarding salaries, Bisonó stated that in 5 years, workers have received three raises, the last being a 25% increase agreed upon between employers and employees as part of ensuring competitiveness and fair compensation.
He emphasized that 54% of the workforce in free zones are women, which has a direct positive impact on families as they tend to manage resources better. Pellerano explained that employees receive comprehensive compensation, meaning that from a base salary (minimum RD$20,000), they also get transportation, food subsidies, performance bonuses, and other benefits.
Meanwhile, Liranzo explained that 15 years ago, 85% of free zone employees were laborers, and 15% were technical, professional, and administrative staff. Today, this 15% has risen to 35%, implying greater opportunities for technical personnel and an improved labor offer.
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