White House asks US clothing companies to 'Buy Haitian'

Even before the earthquake, a factory job was extremely valuable. “One person with a job supports 10 to 12 people,” says Jerry Cook, vice president for government and trade relations for Hanes Brands, Inc., which has operated in Haiti for 10 years.

Hanes ships US-grown cotton to the Dominican Republic, where it is converted to fabric. Then it is shipped to Haiti, where it is manufactured into underwear and T-shirts. It is then shipped back to the US or other countries, says Mr. Cook.

Retailers are generally positive about buying goods from Haiti. “It is another source, and we generally don’t like to put all our eggs in one basket,” says Craig Shearman, vice president for government relations at the National Retail Federation in Washington. “And, it’s closer, so you have a shorter shipping time.”

Hanes and other US producers in Haiti take advantage of two trade acts that give duty-free treatment to Caribbean. One of them, the Caribbean Basin Trade Act, is due to expire in October. The second, the Haitian Hemispheric Opportunity Partnership Encouragement Act (HOPE II), which benefits Haiti more, expires in 2018.

Under legislation proposed earlier this month by Sens. Ron Wyden (D) of Oregon and Bill Nelson (D) of Florida, both trade acts would be extended, one until 2013, the other until 2022. Rep. Charles Rangel (D) of New York is expected to introduce similar legislation in the House.

HOPE II was enacted in 2008 after the Haitian apparel industry declined from 100,000 workers to 12,000, says Andre Samet, founder of Sorini, Samet and Associates, a lobbying firm in Washington. In the new legislation, Mr. Samet would like to see duty-free status also given to apparel made with non-US made fabric, in an effort to get back more of those lost textile jobs.

“It won’t hurt the US industry,” he argues, “since most of the fabric, such as those used to make shirts and trousers, is not available in the US anyway.”

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